I think it’s just a correction and not a break in the trend, which is why I entered long again. And most likely it won’t hit 1.3100 immediately. I suppose another correction is in the works before moving to that number. I’m more of a swing/day trader, than just a day trader. I tried it and I realize I’m a lousy day trader and scalper.
My thinking is that large market participants are scaling down their exposure in USD and EUR respectively until a clear direction is established. Might be a good idea to look into exotics as some foreign markets won’t react as negatively with the impending fiscal cliff and the unknown future of the Euro. Food for thought.
Thanks for the heads up. I think Greece is getting their money, so that shouldn’t drag the market down, which is why today’s downturn should just be a correction and not a break in the trend. The fiscal cliff hasn’t arrived yet, probably the uncertainty will drive prices down a bit and sideways which it’s been doing (well that and the Euro sovereign debt crisis) for the past few months. As far as the 3-5 day horizon, Euro/USD is at 1.2938 right now, I entered around 1.2930 and MacD at 30m has crossed over. If it crosses zero, I think that would confirm the bullish crossover.
Still long! Chewed up a bit of my pips, still 30 pips ahead. Going to give it another day and see what happens.
Thanks for the insight. I’d like to hear more about your strategy. I am trying to implement a similar trade execution model where I trade both the long term (same pair or correlating pair) if I initially drawdown on the pair and would need to hold by maintaining my original position AND engage in the short term by coming in and out of profitable trades until it reaches my original position or exceeds it. Your comments are always appreciated.
I really try not to over complicate things to be honest. I tested the interday system and found that it had positive expectancy. I tested the daily system and it too had positive expectancy. If you trade each system independently, the math just works out that they are going to enhance your monthly performance by increasing the rate at which compounding helps your account grow simply by increasing trade frequency…even if sometimes you have positions being placed in direct opposition to each other and have them both go bad. It’s just two trades in a month. Not much if you’re taking 5 or more trades p/day between the two systems.
The downside is that if both systems go on a losing streak at the same time, the drawdown can be wicked…so you have to have the gall to push through those times.
Euro/USD went all the way to 1.2880. I got out and followed the trend and the correction seems to be over. The trend is resuming its upward momentum. It’s now moved to 1.2940. My limit is at 1.3000.
How did that work out today?
Getting ready to review all my current trades, but right now I’m at a floating profit of 40+ pips. Will update in about twenty minutes on what I decide to do with the trade.
Now’s a good time to get into Euro/USD. break out above 1.2943.
Good thing I don’t sit glued to my charts all day long. EU went on a hairy ride for those that were long. It made a clean bounce of the 38.2 Fib and it’s looking like a crazy strong buy right now. Still going to hold my long position. No set TP or SL yet.
I got stopped out of EUR/USD today. Not going back in on a daily trade but we’ll see what happens on intraday tomorrow.
My daily AUD/USD trade is still long though…pretty much right where I started from. Ended up with two break-even trades while working the M15.
Shoulda hung on!
If you’re going to hang in AU, might as well let EU come along for the ride. Both of mine are better off than they were at the close of yesterday.
EURUSD is just rallying on news fumes only as usual. There is no reason for it to go up. Let’s be honest. News comes out, knee jerk news trading then huge sell off… goes down down down… news comes out, goes up up… huge sell off… then comes down down down. Short it when news hits!!! That is the predictable play now.
Well, I certainly do need someone to take the other side of my long position, so be all means, sell away!
You missed out on the rally. Resistance at 1.3000.
good chance euro/usd may go south for 100 pips (which is my play for today) and then rebound to 1.3100. or a resumption of the current trend.
I wouldn’t put money on it until the price itself makes that evident.
Already moving south of 1.3000 to 1.2969. It’s pretty evident. I got stopped out when it moved up above 1.3000 and entered again. 100 pips south before a rebound, in my humble opinion.
I don’t know about AUD seem like it’s constipated or something, but EUR is still bull-ish in my book. It’s just back-filling a lot! 10 clicks forward, 8 clicks back, 10 forward, 8 back, 10 forwa…………………
Some of the old Tech Template folks are still hanging out but at a new web location and word from some of them is the market might be pretty herky -jerky until mid January. So maybe take small profits fast. Or sit back, relax for the longer-ride and follow the 4-hour & daily bars as they continue to print HHs & HLs. :44: