January 17, 2009
Weekly Trading Update - January 12-16
Well amazingly it was another week where my main forex trading strategy didn't trigger a trade. There were a few EMA crossovers that would have yielded decent returns but the problem was that they were in the opposite direction to the daily Supertrend, so by my own rules they were not tradable positions.
Actually there was one position which I could have taken but the trouble was that it occurred in the middle of the night when I was fast asleep. For those of you who are interested, it was on the GBP/USD in the very early hours of Friday morning. The daily Supertrend for this pair was green, ie bullish, so this upwards crossover on the 4 hour chart would have been a perfect trade and so it's extremely annoying that it happened overnight.
Not to worry though because I still did pretty well this week trading a few shorter term strategies. I've been experimenting a lot with the Forex Trading Made EZ system that I mentioned in my last post, and so far it's working well. I like the idea of taking small 10 point slices out of the overall trend and I've been quite successful doing this so far with 7 winners and 3 losers. I obviously need to test it out for a bit longer yet but the early signs are certainly encouraging.
One final trade to report happened yesterday afternoon on the GBP/USD. I have also been trialling another new strategy and had been keeping an eye on the 15 minute chart all day waiting for a possible sell-off to occur. Anyway I was confident the moment had arrived just after 2.30 (UK time) when there was a mini-breakout downwards (combined with the EMA (20) being crossed and both the parabolic SARs I've been experimenting with finally being broken) so I entered a short position at 1.4921 with a 50 point target and stop loss order in place. Thankfully despite initially heading the wrong way, my 50 point target was achieved quite easily (and did in fact fall another 200 points or so).
So overall I've quite enjoyed this week and I shall be looking forward to future weeks when hopefully I will continue to squeeze out some more profits using these new strategies.