I place my SL just above the previous high/low depending on the trend. Looks like it is something I need to think about because if the pull back did not trigger my SL yesterday today I’d have hit my TP:
I didn’t go back into the trade again after I got stopped out by the aggressive SL I put on the last trade. Every time I look at the chart makes me want to cry because not only did that drop hit my TP but there was more, with prce closing the week at 1.37981, that’s another 200 pips on top of my TP.
Looking at the monthly and chart for GBP/USD, all the gains of May were wiped out last week and there’s still another two weeks to go before June is over. It looks like price is likely to continue to drop to the support zone of 1.3660 and this is also what it looks like will happen whilst looking at the weekly chart. Looking at the daily chart however, things look very different. Price has previously dropped to this level which has acted as a support zone and from there managed to pull up to 1.40 in March however, when it dropped again to that level it dropped down to 1.36685, the level was unable to act as a support zone.
I am anticipating a pull back on this pair but, in the immediate future expect price to drop to 1.366 and will be shorting this pair as soon as I can see price is ready to move again.
EUR/USD also saw a significant drop in price. Looking at the monthly chart I can see there is a inside bar which shows the gains for May has not only been wiped but, price has dropped below where it had started in May. Looking at the weekly chart, all indicators show that price will drop down to 1.17 and if it breaks below that it will be heading down to 1.16. Looking at the daily chart I am anticipating a pull back up to 1.19 but, as with GBP/USD I am looking to short this, TP 1.17 and if it breaks below this, which is what is likely to happen unless there is a significant shift in the EU’s economic policies, price will drop down to 1.16.
Ever give something like ATR a try when setting stops?
Heard of ATR but never seen it in use and don’t know how it works. I’ve always used support and resistance to set my TP and SL.
June has not been a good month, having missed out on the big drop (on GBP/USD price dropped from 1.413 to 1.38, I waited for the pull back and it did pull back all the way back up to 1.3937. I executed my trade at 1.3927 before it dropped again, as far as 1.38597. That’s 68 pips from my entry and should have been a nice profit hwoever, I had set my TP at 1.38 and price did not fall below 1.38597. Rather than dropping it climbed back up, all the way up to 1.40 triggering my SL before begingng to drop again, currenyly trading below 1.39. What let me down here is my exit and also the level of pull back.
Looking at the weekly, 1.40 has previously acted as a resistant point. Even whilst looking at the H4 chart I could tell that 1.40 might be the point prices goes up before it drops again. Rather than going with 1.40 I put in a aggressive SL 30 pips above 1.3927 and that got triggered as price moved against me after dropping to 1.38597. I did a similar thing on EUR/USD which also got taken out by my SL, see details of trade below:
Both of these pairs are shaping up to fall again. EUR/USD has struggled to break above 1.198 whilst GBP/USD I’ve already mentioned has fallen below 1.39 having reached a high of 1.40. Looking at the EUR/USD on the weekly chart, trend is showing it will fall to 1.17 however, on the flip side if it breaks above 1.20 I can see the upward trend taking shape again. On GBP/USD, I believe price will fall to 1.38 but if it moves up again to 1.4 then this will also change momentum.
Here you go.
And depending on your broker trading platform, you probably have a indicator at your finger tips ready to be added to your chart.
Thanks for this. My broker is IC Markets, going to look this up and see how it works. The one thing letting me down at the moment is exit which the has a knock on effect on confidence in going back into the next trade.
I did not execute any trade on GBP/USD but, as analysed the pair fell to a low of 1.3729 before pulling back up, closing for the week at 1.38247. Looking at the weekly candle it is difficult to say which way price will go but, dropping down to to Daily and H4 charts 1.375 looks to have acted as a support zone and if price manages to find support above 1.38 then we could be looking at the pair ranging between 1.38 and 1.40 before finding direction. If price does not hold above 1.38 then we’re looking at another drop down to 1.367. I believe price will eventually drop but before that it will test 1.39 if it can get past 1.385 and form a new lower high before it drops. If it can’t break above 1.385 then the next bearish candle I see I will be executing a short position on it.
I did execute a trade on EUR/USD, short position details of which are below:
I locked in profit at 60 pips after price dropped as low as 1.18047 before climbing back up at which point it triggered my SL which was set at 1.1865.
Looking at the weekly chart I believe there is more drop to come on this pair, 1.18 has acted as a support zone once, it is likely to be tested again and a break below will see price dropping to 1.17 and even 1.16. Dropping down to the Daily and H4 chart I believe price will pull up to 1.19, failure to break above that will see it drop to 1.17
That’s awesome work right there. Did you get a chance to try out the ATR indicator?
I’m doing that tonight and doing some reading on it, up until now not had a chance to do much on it. I did however, place two trades last week, below are the results:
A total of 90 pips profit from the two trade, I moved the SL to lock in 80 pips after price dropped to 1.174, 110 pips from my entry before pulling back and triggering my SL on GBP/USD. For EUR/USD it was a slightly different picture. I locked in 10 pips after price dropped to a low of 1.178, 64 pips. However, price then pulled back, going past my entry point, triggering my SL on it’s way to reaching a high of 1.188. At the time of writing this EUR/USD has dropped back below 1.18. I didn’t put on a trade but, I have put a trade on GBP/USD which reached a high of 1.39 and now is trdaing just above 1.38.
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Nice work. Green is always nice. Not losing is always nice. You’ve won and you’re green! Double plus!
My last trade…I got taken out by frustration, be it with four pips profit, it should have been 100 pips. Below is the trade closed yesterday:
I thought it was a good entry, I expected the price to hit 1.39 and then drop, price broke above 1.39 got rejected and then started dropping. Executed the trade and saw price drop to 1.385 then jump to 1.39 before dropping to 1.38. Having previously dropped to 1.375 that is what my TP was set to however, throughout the week price kept bouncing of 1.38. Having watched price bouncing of 1.38 twice I decided to move my SL to pips below my entry on the 16th July. Price just jumped just above my entry, triggering the changed SL on its way up there. It then dropped, breaking below 1.38 and closing for the week six pips above my TP. Below is the H4 graph showing what it did:
Looking at the weekly on this pair, it is increasingly looking like it is heading to 1.367 which is a big area!
these analyses seem consstent to me.
First of all well done for not giving up. Secondly I think you have a good thing going there. Hope you will manage to make good returns. Keep up your motivation and your consistency as that helps a lot.
Thank you for the encouranging words.
Just opened new long position on GBP/USD. The pair having reached a high of 1.42336 fell quite a long way, breaking below the daily support zone 1.36685. The break below this zone was rejected, and saw price move back up above 1.36685. Since then we’ve seen a significant push up where price actually reached a high of 1.398 before dropping back to 1.38746. Price has been moving in a range since then currently trading above 1.39. My TP has been set for 1.399 whilst my SL is just over 20 pips below the previous low of 1.38746:
@Thebeezneez Thanks for the tip on ATR, had a read up on it. The SL and TP has been set based on ATR.
Glad to help. What did you decide on ATR. Some peeps do 1:1, some higher, some lower. Takes a bit of tuning on your end. Keep an eye on it.
I went for higher although this is something I still need to fine tune. It was going all so well with price reaching a high of 1.39574 until 3:00pm BST this afternoon when something rocked the market:
Now I’m in the red waiting for the market to correct itself.
The market did correct itself but, in the end the trade did not go according to plan and I got stopped out. Below screen shot shows what happened in the end:
I have pointed to the candle where I entered the trade, it was an absoloute terrible entry, going long on the back of a bearish candle. Price did initially move in the direction I expected it to go but, could not settle above 1.395. It dropped to the support zone then tested 1.395 again and got rejected at which point I should have really closed out my trade or move my SL to break even. Having held on to the trade over the weekend, price finally dropped below the support zone, triggering my SL and is currently trading just below my SL. It is now looking as though price will drop to 1.38.
In my journal at the end of June and begining of July I mentioned that GBP/USD will drop to 1.367 if it breaks below 1.38. Looking at the chart now, 1.38 is within reach, the pair the time of writing this, trading at 1.3836. 1.38 is a key zone, if prices bounces from 1.38 then it will form a higher low on the Daily chart and could catapult price to break above 1.40, an area that it failed to break through recently. Break below however, will see price fall down to the previous low of 1.3571.
I also mentioned on the same post that EUR/USD is likely to fall to 1.16 if it breaks below 1.17. At the time of writing this EUR/USD is hovering just above 1.17, 1.17174 to be precise. If price bounces from here it could catapult it up to 1.20 however, it is increasingly looking as though it will break below 1.17 to drop down to 1.16.
On both pairs I am looking to short, TP target on EUR/USD 1.16 and GBO/USD 1.357 as soon as I see the break below the two key zones.
