This trade made a couple of runs at profitability during the day yesterday, but it just couldn't hold on. After my last post about the early move to break even, the pair dropped a few more pips, but never made the 20 additional pips we needed to secure some profit. It moved up quickly thereafter taking us out at break even during the 1900 EST bar. When a pair starts acting in a manner contrary to expectation, I will often tighten my stops, move to break even early, or just get out of the trade, even at a loss. There are too many trade opportunities in Forex trading to get too caught up in any one trade. That's what happened here. The pair made a run at the entry line around 1000 EST but couldn't maintain it. That bar was showing weakness in the downward move. If the bar which closed below the entry line (the 1300 EST bar) had not looked strong, I would not have entered this trade at all. That bar, and the next one, looked pretty good, but it started falling apart soon thereafter and the pair seemed to lose its way. That's when I decided to move to break even early. I toyed with the idea of just closing the trade at +30 or so, but the last few bars had been bearish, so I decided to see if it would break further. It did not (sigh). Still, I like this pair and I'm sure we'll be seeing it again.
Happy Trading!
Happy Trading!
