My trade idea for this week is given in Post # 322 of my trade journal in babypips forum as link given below.
See…http://forums.babypips.com/trade-journals/47465-bijoys-trading-set-ups-33.html#post416922…for the set up.
[B]BIJOY[/B]
Hi, is this trade still valid?
Initially the trade went up to +30 pips and now it is in -21 pips. My stop loss is at 0.7950 and I am sticking with my plan. I still expect a reversal. Let us hope the best.
As on today, the trade is in -9 pips
When do you think it will hit tp?
Presently the market bias are little bit changed from the date of execution and hence nothing can be predicted. Let the market open and we shall wait up to Monday for further analysis. Anyhow, I am very strict with my plans and going forward with the long trade.
Good day bro. May I ask, don’t you think this is a counter trade setup because what I saw on my 4H chart is a down trend, why not wait for a pull back and follow the trend? I’m just a newbie anyway
Friend,
Following trend is the best way to grab some pips. I really agree with you. But, the problem is in identifying the direction of trend. Which direction it is…? Where it is headed…? which is the real long term trend … ?
When we Zoom out and look into a bigger picture, we can see the downward trend line drawn by you is the blue line in the below picture.
It is very clear that the downtrend was a short term retracement of the long term uptrend as seen within the yellow colored channel.
So again the question comes !!!. Which is the actual trend…? I should go with which trend…?
It is very clear that the long term trend is rising and now the price is resting at the bottom extreme of the rising channel. I am not saying that the price will go up and rising trend will resume as no body can predict the currency market . Price may take a chance to breakout continuing the short term downtrend and commencing a long term down trend. What I do is to trade in the direction of my strategy signals.
But, It is always necessary to look into the bigger picture(Zoom out) or in the higher time frames to identify the actual trend.
A job well done brother I agree with you wholeheartedly you are right. I’m on your side