The major currency pairs continued to move in one direction only this week which is not good for my main trading system as it doesn't trigger any trades. So I was therefore forced to look for some breakout trades this week and thankfully I made some very nice profits.

I always trade the 1 hour chart when breakout trading and I wait for the 5, 20 and 50 period EMA's to consolidate very close to each other before waiting for a breakout to occur either upwards or downwards.

This resulted in two trades, both of which occurred on Thursday. There were identical set-ups on the GBP/USD and the EUR/USD so I could have traded either or both but I decided to go with the GBP/USD because our beloved pound is dying a death at the moment thanks to our useless Chancellor and his negative comments.

The price broke downwards and after waiting for a pullback I went short at 1.7735. It then continued to drift down during the rest of the day and I ended up closing out at 1.7627 for a very nice 108 point profit (not including the spread). 

The other trade was on the USD/JPY pair slightly earlier that same day. I entered a short position at 108.16 and closed this one at 107.34 which I was delighted with at the time, but as it turned out it was way too early.

Not to worry though. It's still been an excellent week, at least as far as my forex trading is concerned. My share portfolio has taken a bit of a knock this week but I won't bore you with the details here because I'll end up going on a massive rant. All I'll say is this - Dragon Oil, a massive growing oil company with no debt is now at 250p which puts it on a PE of 4.5 for this year and 3.7 for next year. Has the world gone mad??????????? Okay rant over. Have a great weekend