Thursday, November 11, 2010

Quality Action

Today the euro gave some good action. I dug myself in a 20-pip hole early on with some undisciplined trades. I have a bad problem with starting the day out with a loss or a few losses. In this case, I had a proper setup but entered late, which led to another failed attempt, and another. Finally I saw what price was actually doing and got on for the ride (in the other direction). I added to a winning position when I knew I was right--always a good thing to do. After another sloppy entry I got on board for the stop-blowing pop I knew was imminent and got a good move. Price then went on a wild reversal move and I caught a bear flag (which is one of my valid continuation setups) but didn't get greedy, keeping my take-profit where it should be--otherwise I would have been stopped out at breakeven (after the initial move, which is common with flags). I can't say it was solid trading today, but I got the moves according to my premise, so it was profitable overall.

Today's Results: +4.5R (+23 pips)

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