Quick update as I leave the office at 8.45pm on a Friday night (remind you, I did take a 3-4hr break during the day to play more raquetball and to quickly meet a friend):
- Gold trade hit the initial stop loss around 9.30am. Discussed this one with Joel – he suggested to use the 10/20/100 MA as a way to exit trades earlier if they are not going my way – I have been getting accustomed to looking at these over the past few weeks) – so this is something I will consider on these swing trades. (see chart above for illustration)
- USDCHF – This hit my 1st target just before 8am this morning. I wanted to let the second portion ride, potentially breaking out of the descending triangle pattern on the 4H & D chart. This did in fact occur thanks to the strong EUR CPI news which sparked a lot of movement in the market. I covered at 0.8833 (+62 pips) after taking +25 pips on my first target – net result +1.8R.
- Testing on S3 trades for Jan+Feb 2014 across all 28 FX pairs – just completed this (this was very simple backtesting) – and found it very helpful and encouraging. I will use this to refine how I trade the S3 setups in the live market from Monday, whilst doing further testing in ForexTester2 on Mon & Tue.
Thus I have completed 20 trades since my “meltdown” two weeks ago and basically scratched across those (losing -0.3R over 20 trades). I am not winning, but I have managed to “not lose” over this fortnight either.