Archives for November 2012

The Aussie offered up a nice trade overnight with a greater than 3:1 reward to risk ratio setup.  The EUR and GBP also looked good to trade at the same time, but did not meet our 3:1 R:R minimum.

The AUD made lower highs toward the end of the Asian session, then dropped sharply as the UK traders began their day.  After a pullback forming another lower swing high, followed by a very bearish candle an entry is taken with a stop just above the lower swing high.  We remove the risk from the trade as soon as is prudent to do so and protect our profits by moving our “take profit” down as the trade progresses.

We close the trade after our Target 2 is reached to end the week.  Never be greedy and always protect your profits…the market can reverse in a blink.

It’s been a wonderful week for trading with many crystal clear setups.

Enjoy your weekend!

Back Tuesday…

The EURGBP set up nicely with a lower high overnight and confirmed the entry in advance of the GBP’s big move.  This pair has once again been very tradeable over the past week.   This trade set up with a greater than 5:1 Reward to Risk ratio.

Although the trade did not reach our Targets 1 & 2, we were very happy with the result.

It’s been another great week for trading, and we will be very careful not to give any of it back tonight.  Always be patient and selective with your trade setups.  Take the easy ones and walk away from the confusing ones.

Good luck with your trading!

Back tomorrow.

Beautiful trade setup and very active session – thanks in large part to the US election results.

The Asian session was very active as the election results indicated President Obama was re-elected.  As the UK traders began their session they sold off the EUR and after a pullback which resulted in a lower high with a wicky candle, followed by a bearish candle, an entry short is taken, with a stop loss just above the wicky candle high.  This met our reward to risk with a 4:1 ratio.  Price moved down promptly to yesterday’s high – which it retested, then moved down and through our Target 1 – where we do not give back profits once attained.  The trade progressed through our Target 2, and through the Asian session and yesterday’s lows.  We close the trade on the next candle as price begins to move up, to protect our profits.

Exceptional day with exceptional profits.

It’s rarely this easy!

Back tomorrow.

Lots of very important economic news releases this week, not the least of which will be the result of of the US Presidential election today.  This could be a volatile week, so be careful and keep stop losses tight.

The EUR set up for an excellent reward to risk ratio trade of greater than 5:1 but neither of our Targets was reached.  After getting a quick surge to the upside and riding out a pullback that didn’t threaten our initial stop loss at any time, the trade was eventually closed after a very wicky candle implying a top or reversal.  We protected our modest gains and closed the trade on the next candle.

There will be lots of news this coming session to be aware of, as well as the markets reaction to the US elections.

Be very careful with your trading.

Back tomorrow.

AUD set up as a nice trade overnight.  After initially dropping after the UK open and moving down near the Asian session low, it moves up with several very wicky candles pushing off the bottom.  After a higher low is made and entry long is taken with a stop loss just below the Asian session low.  Price moves up, pulls back and forms a series of higher lows…enabling us to move our “take profit” up with each swing.  We close the trade at Target 1 as we are late in the session and a retest of the figure – 1.0400 is very likely.  We don’t like to give back profits once Target 1 is attained.

It wasn’t until yesterday, that it dawned on me, the UK and Europe moved their clocks back last weekend and that I have been off by an hour this week.  North America moves their clocks back this weekend and everything will be back in sync next week.

It been a good week for trading.

Non Farm Payroll is tomorrow and I don’t trade that day, so I will be back Tuesday.

Enjoy your weekend!