Thursday, December 11, 2014

11 Dec 2014: Daytrade #2

I closed this trade with a very tiny profit (around 0.2R).

I saw that price had broken the high of the range on the AUDJPY, but then fell back again below the high. To me, this looked like a breakout trap.

When price closed below the high of the range, I entered short.

Price continued to fall, but then as you can see, it halted halfway through the range. Whether this was the start of a retracement or a reversal, I didn't know. But my stop loss was tight, and I had actually moved it to -0.5R since price was halfway towards my profit target. Whether it was going to be a retracement or a reversal, my stop loss was likely going to get hit, so I took profit at 0.2R. 

At this point, I don't know what the market's doing. So I'll stop.

(click to enlarge)

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.