The trend was UP until 11am EST. From 7am – 11am EST, a new trend change candle formed and changed the trend from up to DOWN. After 11am EST, the trend remained down the rest of the day.
Today I only looked for long trades until 11am EST. After 11am EST, I only looked for short trades.
News events to watch for today:
- 4:30am EST- UK CIPS Market Construction PMI
- 7:00am EST– UK BOE MPC Base Rate
- 8:30am EST– US Initial Claims
3:00am EST– There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up and MACD was negative and gaining value. This was a valid entry.
The entry was at the close of the candle at 1.2675 with a stop at the most recent swing low at 1.2658. Since I was 25 pips away from the nearest 50 or 00 level I decided to put my initial target at 1.2700.
Entry: Long at 1.2675 Stop: 1.2658 Target: 1.2700
3:45am EST– My target was hit. Price didn’t make a clean break so I took my final profit. I got out at 1.2697. (+22 pips)
Trade Result: +22 pips R-Multiple: 1.29