Both the Federal Reserve and Bank of Japan released monetary statements on Wednesday, which complicated things a little.
EURJPY
On Monday morning, I went long on the EURJPY. I placed a buy order at Friday's low, anticipating that price would rebound upwards.
Because my profit target and stop loss were pretty tight, I hoped to close this trade by late Tuesday, just before the Bank of Japan's announcement on Wednesday.
However, by mid Tuesday, price was going nowhere and hovered near breakeven. I didn't want to be in the market by Wednesday morning, so I closed the trade at a very small loss (-0.2R).
When the BOJ announcement came out, price fell and would've hit my stop loss. I'm happy to have got out relatively unscathed.
RESEARCH
I'm currently focusing on a range breakout strategy. The backtest results look interesting so far. I'll post more details if further backtesting is successful.
THOUGHTS
September continues to be slow. I've kept to my risk limit of 0.5%-1% per trade, and will continue to do so until I see my equity curve turn positive again.
Being aware of news saved my hide this week. Always plan your trade around major news events.
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