July 22, 2011
Weekly Trading Update - 18-22 July 2011
There have been four trades in total this week with three breakout trades and one trade based on my 4 hour trading system (see right for more details). Profits have been relatively small, but thankfully my shares have rocketed this week giving me one of my most profitable weeks of the year so far.
Anyway back to the forex trades and I will start with my 4 hour system first of all. I was still looking to go short on the GBP/USD and EUR/USD pairs (although the Supertrend has recently turned green on the daily chart sign so I will now be looking to go long) and the only chance I had to open a short position was when the EMAs crossed downwards on the 4 hour chart of the GBP/USD on Monday afternoon.
I went short at 1.6080 and despite going against me initially, I eventually managed to close half the position for a profit of 50 points. However after bringing my stop loss down to break-even, the price then bounced back and I was taken out at break-even overnight.
The breakout trades (all on the GBP/USD pair as always) worked out relatively well. The first one on Tuesday was a textbook one that yielded 36 points, and I talked about it in my last blog post if you want to find out more.
The next one (on Wednesday) didn't work out quite as well. The price broke downwards out of the overnight range and should have been a straight forward trade down to the S1 level. However it kept falling just short on several occasions, and after moving my stop loss to break-even I was taken out at this level.
The last breakout trade was placed this morning. The overnight trading range was again quite small (around 25 points) and after failing to close above this range, we did see a 5 minute candle close below this range and so I went short at 1.6291. The pivot point was 30 points lower and this is still my target as I am still in this trade.
I have set my stop loss 20 points above my entry price, but it's just 2 points above my entry point at the time of writing and I am still confident that the pivot point will eventually be hit. I will update you later with the result of this trade. As it's Friday I think I will probably take 20 points profit if the price goes that low, rather than hold on for the full 30.
(UPDATE: I've just been taken out for -20 after a spike upwards, so a disappointing end to the week).
Anyway that's all for another week. Have a great weekend.
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