The trend was DOWN until 11am EST. From 7am – 11am EST, a new trend change candle formed and changed the trend from down to UP. After 11am EST, the trend remained UP the rest of the day.
Today I only looked for short trades until 11am EST. After 11am EST, I only looked for long trades.
News events to watch for today :
1:15am EST– There was a moving average crossover for a long trade. RSI was greater than 50, MACD went from negative to positive, but Stochastics were still trending down. This cancelled out the signal and I did not enter.
7:00am EST– There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up and MACD went from negative to positive. This was a valid entry.
The entry was at the close of the candle at 1.4314 with a stop at the most recent swing low at 1.4283. Since I was 36 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.4350.
Entry: Long at 1.4314 Stop: 1.4283 Target: 1.4350
8:15am EST– My target was hit. Price did not make a clean break so I took my final profit. I exited at 1.4347. (+33 pips)
Trade Result: +33 pips R-Multiple: 1.06
News events to watch for Thursday:
- 4:30am EST– UK GDP
- 6:00am EST– UK CBI Distributive Trades
- 8:30am EST– US Durable Goods
- 10:00am EST– US Pending Home Sales