The trend was UP until 8am EST. From 4am – 8am EST, a new trend change candle formed and changed the trend from up to DOWN. After 8am EST, the trend remained DOWN the rest of the day.
Today I only looked for long trades until 8am EST. After 8am EST, I only looked for short trades.
News events to watch for today:
2:30am 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 1.4240 with a stop at the most recent swing low at 1.4223. Since I was only 10 pips away from the nearest 50 or 00 level (1.4250), I decided to go for the same amount of pips I was risking on the trade, which in this case was 17. This put my initial target at 1.4257.
Entry: Long at 1.4240 Stop: 1.4223 Target: 1.4257
3:00am EST– Unfortunately I was stopped out of my trade. (-17 pips)
Trade Result: -17 pips R-Multiple: -1.00