September 12, 2008
Weekly Trading Update - September 8-12
My favoured 4 hour trading system generated two decent trades this week, both on the USD/JPY pair. However both downwards EMA crossovers happened in the middle of the night so I couldn't trade either of them. So with no downwards crossovers on the GBP/USD or EUR/USD pairs either (I was only looking to go short), I only traded breakout trades on the 1 hour charts this week.
There were three trades in total. The first occurred on Tuesday on the USD/JPY pair. The 5, 20 and 50 period EMA were all converging and were all very close to each other so I waited for a breakout, which happened to be downwards, and went short at 107.51. I then closed half my position for a 40 point profit and let the other half run, but unfortunately this was automatically stopped out at break-even.
The other two trades occurred on Wednesday when both the GBP/USD and EUR/USD pairs broke downwards in a similar fashion. I decided to trade both of these pairs. The EUR/USD went down initially before rebounding and taking out my stop loss which I'd moved to break-even so no profit there but the GBP/USD went down nicely and I managed to close out half for 50 points, but the other half was again stopped out at break-even after bouncing back upwards.
It was quite unlucky that both these positions were stopped out quite early because they subsequently dropped quite sharply right through to Thursday. I also missed out on the GBP/USD and EUR/USD breaking upwards today because, well basically I overslept and didn't wake up until 9.30 when they had already broken upwards.
So what could have been a 500+ point profit this week was, well a lot less, but it was still a profitable week so I can't complain.