Well, stopped out on GU. While looking at yunny’s chart I see why this failed. Congrats on the pips yunny.
Hi HoG,
Here is my thinking behind the GBPUSD short. Although this trade ended in a loss, both zones showed reactions and I followed my trading plan so I am satisfied with it.
The only fault was that my conservative target ignored my own zone and I wasn’t able to monitor the trade to break even once the higher swing low was formed.
Happy to hear any questions or opinions.
TP reached, 120 pips gained
Thank you salimvp The truth is that I wasn’t confortable going against the weekly bias but the support was strong and the daily momentum helped.
@Pippatron your analysis was very good but IMHO your trade was a little bit agressive from the S/D perspective… I will post a chart later.
Love to see this kind of thing. I’m sorry your trade ended in a loss but it’s brilliant to see what’s going on in another trader’s head.
Thank you Pippatron.
I’ve just shorted both EU and GU off of slightly under the R2 on the daily pivots.(both pairs) To be 100% honest that was the only reason I took the trades. I done some stats a while ago about %'s and times price hits pivots levels and turn back.
Although the R2 (or S2) is certainly not cast in stone for a daily reversal, the odds are actually in your favour. Risked 20 pips per trade so I’ve actually went slightly over my 2% risk level. Trades are doing reasonably well right now, may just bail and take the profit.
Well done on the trade yunny, looking forward to seeing your chart.
Well my trade got stopped at +50 pips not bad your entry looks to have been valid HOG oh well just one of those things
Well done bobmaninc, makes the weekend a wee bit better.
As for my entry point, nothing lost nothing gained mate, overall the week has been good to me so far, can’t complain.
Long lunch and a last trade… normal service has been restored! Two shorts and 104 pips. 
Nice trade Hog… missed the R2 entry level but a nice Italian wine was compensation enough.
Edit: Make that 124… and I’m out for the weekend. Catch you all next week.
Whats that bottom indicator RC?
Overall my week was good. Still got a 4% drawdown but thats better than the 15% when I started the week.
Its a HA ‘heatmap’. Gives you a snapshot on any TF’s your interested in tracking on a single chart. In this case, h4, h8, daily, weekly and monthly.
Excellent result with the trade RC, and the Italian Red, a good day all round then LOL!!
R2 trades WOULD have been good ones mate if I hadn’t bottled out and bailed after 15 ish pips on each one.
Above my target for the week though, and I’m finished for the week. Last two R2 trades were a wee bit opportunist, but apart from them I’m happy with the overall trading for the week, the manner of the trades as well as the results that is.
probably poke my head in here later tonight as I want to see if yunny posts his chart, apart from that, if I don’t talk to any of you all for the rest of this week have a good weekend one and all.
HoG
Waiting for you chart mate.
By the way It’s happy to see everyone banked a lot of pips this week. Well done. On the next setups for next week. 
Here is how I would have been looking at that GU h4. I’ve noticed that price often retraces to just under the previous swing high so somewhere near your stop is where I would have been looking to enter. No trading for me today though, way too busy unfortunately. Also strong moves behave sort of like a Sunday gap, they tend to get filled.
and a little prognostication… take it with a grain of salt or three.
As I said when I posted the trade the risk was that the swap area had been already tested (slightly), but RR was very good considering that there was a good gap to be filled
I think I’ll be ready to sell next week…
Loving the insights on this thread.
Discussing trading is what we are all here for after all :). Overall I am getting a good risk to reward ratio by applying this kind of thought process so the loss was quite acceptable.
Great points there TalonD. The first one is actually lesson learnt no. 13 in my trading log and perhaps I should have ruled out the second zone as it was still some distance away from the previous swing high.
Very clear and logical analysis Yunny and great execution as well in holding on for your target.
Why do you take the bottom of swings as SR TD instead of the top of the swings?
Also, where did you get the “ranges” indicator at the bottom of you first chart?
To be honest yunny, at the time when you and RC posted that you were going long, I thought to myself, “Nah, I don’t see that at all.”
Seeing it explained on your chart has me thinking, “Yeah, that’s a long trade.” Well done for the trade and the explanation.
One question I would ask, probably as much for my own clarification as for anyone else who may be reading along and is unsure of this, is the definition of “The Swap”. Is it just simply the point where bias goes from bullish to bearish, the tipping point so to speak?
Ok, here is a question, just to get some opinions since it is the weekend and trading ain’t happening.
Over the last week or two, when I’ve been doing my best to trade “properly”, I’ve found myself wondering about the use of the stop loss, or at least the “best” use of the stop loss.
Since it’s widely written that the big banks know where the small guys tend to accumulate their stop losses, here’s the question.
For the illustration purposes of this question I’ve had to employ my vast talent as an artist, as you are about to see.
Imagine for a second, you run a micro account, and the balance of your account is $500. Generally speaking, each pip in a trade on a micro account is worth 10 cents. It does vary with the pairs slightly but we’ll use 10 cents as an average.
You have also decided that you will risk no more than 1% of your equity on any 1, or a collection of, trades.
This means then that you have decided you will be risking no more than $5 on any 1 trade. This $5 equates to trading 1 lot (10 cents per pip) with 50 pips of an allowed stop loss on your trade.
OR
Trading 2 lots (20 cents per pip) with 25 pips of an allowed stop loss on your trade.
Yes you’re right, the artwork is either the work of an artistic visionary or a 3 year old kid. I know which one I’m betting on.
But there is the question, compounding is all very well, but it shortens your stop loss. Which again is all well and good, if, even after the compounding you still have a wide enough stop loss, but in the example given above, I just wondered if the majority would go for the 1 lot with the wider stop, the 2 lots with the narrower stop and why.
HoG
As you may well know i’m definitely no expert in the area but thought id share my opinion here too…
When looking at a potential trade, the one thing which i consider quite highly when deciding if i should trade or not is looking at the R:R of the trade if it planned out. More recently i’ve gotten into swing trading - and in this case my stop losses have been much larger than what they used to be… Nowadays i don’t see myself using a stop loss any smaller than 35/40+ pips (usually placed one or two swings above / below current price). To me the stop loss amount is irrelevant, and it is all about the R:R i can gain from the trade. As a rule of thumb i will never take a trade if it doesn’t have the potential of at least a 1:1 reward to risk - for every pip i risk, i want to be able to make at least that amount of pips back for me to consider the trade a profitable trade.
More recently i have got into a habit of moving my stop loss to either break even, or at least tightening up my stop when my trade is up as many pips as i have risked, and then only going to take first profit when the trade has reached 2:1. This is all in an attempt to start cutting my losses short, and letting my winners run.
Personally, i think stop losses should be considered only hand in hand with your profit taking objectives. If you could ensure all your trades had a R:R much greater to what you have risked, in my mind i dont even have to be right more than i am wrong, as my rewards long term should outweigh my losses…