Trade Update: 2013-05-06 03:20
They say that good things come to those who don’t wait for perfect entries. Okay, I might have altered a couple of words. But that’s exactly how I felt when I saw AUD/JPY shoot up last week!
If you’re one of my followers on Twitter you’ll know that I initially planned on entering at 100.50. But that was around early U.K. session when I thought that the pair could still drop to its bottom WATR level (100.29) before shooting higher.
I guess I shouldn’t have waited for such a perfect entry. At the very least I should have entered at market when I saw that the pair was starting to go up.
So for this trade I will pat myself on the back for guessing the right direction, but I’ll deduct myself points for not being able to take advantage of the move.
My quest to extend my winning streak continues!
Trade Idea: 2013-05-02 04:01
Good morning! After last week’s successful day trade I think I’m in the mood for a longer-term trade.
While AUD/USD’s 1.0200 handle is calling out to me like crazy, I think that trading AUD/JPY’s trend line is also a good idea. The pair is not only testing a rising trend line that has been intact since the start of the year, but it’s also hanging around a former resistance area.
I’m trading this pair cautiously though. Stochastic is not yet on the oversold region and the pair can still drop to its weekly bottom ATR at 99.29. Of course, I also have to consider that data out from Australia and China aren’t exactly making the Aussie bulls giddy.
This is why I placed my buy orders at 99.30 with a 150-pip stop loss (1/2 of the weekly ATR). A profit target at the 105.00 area would be fantastic, but for now I would settle for a target at 102.50, a closer resistance area. That would still give me a reward-to-risk trade of 2:1.
Again, here’s my plan:
Risk 0.5% of my account at 99.30 with a 150-pip stop loss. Ultimate profit target is at 105.00 but I can settle for 102.50.
Think this setup is something that you would also trade? Don’t forget to read the risk disclosure!
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