Don’t you hate it when that little Han Solo voice in your head going “I’ve got a bad feeling about this” turns out to be right? Here’s how my trade wound up.
Long EUR/AUD Trade
I was feeling a bit antsy about not having any trades open for a few weeks already, so I may have jumped the gun in hopping in too early with this long setup.
You see, I had a long EUR bias mostly due to hawkish ECB expectations, but medium-tier data didn’t seem too supportive of this view. I also expected the Aussie to keep sliding on persistent trade war jitters, but tensions actually cooled down in the past few days.
These were enough to spur a break below the channel support, just enough to hit my stop loss at 1.5780 before pulling up slightly. In retrospect, I probably should have waited for a much deeper correction to the longer-term channel bottom I already had my eye on.
But as they say, hindsight is 20/20… that, and there’s no use crying over spilled pips, right?
Besides, I should’ve taken that 4-hour head and shoulders pattern (that some of my dear readers have also pointed out!) as a warning signal that further losses are in the cards. Here’s what I ended up with:
P/L: -200 pips / -0.50%
Not the best way to start this quarter, huh? Got any new trade setups that could help me recover? Please do share!
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