I did 3 trades on Friday – all in the afternoon – 1 news trade on NZDCAD (winner), one EMA (small loser) on Cable and one EMA on the DAX (scratch) – though invalid setup. Thus I eeked out a small profit for the week even though I had 9 losers and 4 winners, though my RR for the week ramped up to 2.7 : 1.
After some more reflection and analysis, I figured I can do the following to shift the odds in my favor:
- Paying more attention to MACD during the setup selection
- Paying more attention to the Stochastics-Slow indicator during the setup selection
- Waiting for times when the market is more likely to move – as an illustration, in the majority of sessions over the past fortnight, the markets rarely moved a lot until the New York portions of the trading sessions. Trading when the market is not moving wears me out and then I am not fresh and alert to trade when I should be trading.
- Continue trading post-news moves in the way that I have been.
- Continue the development of position management techniques (=work in progress)
- Lowering transactions – but only if all others factors of the equation actually remain equal – for example – does simply using the LMAX dashboard pricing combined with FXCM-pricing charts adversely impact my trading?
What went well on Friday:
- I waited until the CAD news before putting on any trades. This meant I used up less energy and concentration and produced less stress. Consequently more fun, and ironically better results.
What didn’t go well on Friday:
- Got scared during the Cable trade and exited the trade prematurely rather than following my plan.
- Missed out on a valid setup on GBPAUD (ahead of New York session)
- Took short DAX trade on without having a valid setup
- Analysing price action on past news announcements
- Asking PW on news strategy
- 123 reversals and continuation trades at or near demand and supply zones
OK, it’s Sunday 9.30pm – time for bed – I am ready for another full trading week.