The trend was DOWN the entire day.
Today I only looked for short trades.
News events to watch for today :
- 4:30am EST– UK BBA Mortgage Approvals
- 6:00am EST– UK CBI Distributive Trades
- 10:00am EST– US New Home Sales
3:30am EST– There was a moving average crossover for a short trade. RSI was less than 50, stochastics were trending down and MACD was positive and losing value. This was a valid entry.
The entry was at the close of the candle at 1.3983 with a stop at the most recent swing high at 1.4016. Since I was 33 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.3950
Entry: Short at 1.3983 Stop: 1.4016 Target: 1.3950
4:00am EST– My target was hit. Price made a clean break so I moved my stop to 1.3950 and set my next target for 1.3900.
4:15am EST– My 2nd target wasn’t hit and since news was coming out at 4:30am EST, I decided to lock in as much profit as possible and exit my trade. I got out at 1.3926. (+57 pips)
Trade Result: +57 pips R-Multiple: 1.72