Just to recap I’m following a strategy based on a daily chart setup. The rules are simple:
1. Only Currency Pairs of which one must be in the strong corner and the other in the weak corner….
2. Only when my trend indicator confirms that the daily chart is trending up or down may I even look for entries.
3. My signals are generated by an Oscillator indicating when the market is overbought or oversold.
Simple and easy, the catch is when you are eager to trade and you are looking at a daily chart the signals can take days to manifest…. So you need to SIT ON YOUR HANDS!
Current trades and their status…
1. GBPCAD: buy: 8/11/2012 All three my rules were met, trend is up, strength match is ok and my oscillator just broke the signal level upwards. Moving nicely, GBP still strong and CAD still weakening at 50 pips profit this morning…watch it like a hawk. And just when I turned my back it went the opposite way and I lost 48 pips, closed this trade the 11th.
2. EURCAD: sell: 12/11/2012 All three my rules were met, trend is down and my oscillator bounced off the middle level… suddenly the CAD weakened and I closed the trade with a 19 pip loss.
3. EURNZD: sell: 12/11/2012 All three my rules where met, trend down and oscillator gave the short signal. This trade was very short lived as the NZD suddenly weakened, luckily I closed in profit, 15 pips.
4. GBPAUD: sell: 12/11/2012 Two of my three my rule where met, trend down just the oscillator not overbought yet, took this on h4 signal and it went well. Closed with 55 pip profit.
5. AUDJPY: buy: 13/11/2012 All three rules met and it went well!! Trade closed this morning at 35 pips, could have been more but the JPY flattened a bit making me edgy…
6. EURGBP: sell: 13/11/2012 All three rules were almost met, took this trade prematurely as the oscillator did not cross the overbought level yet. So when the EUR then strengthened a bit it ran against me, closed at 38 pips loss.
New signal this morning!
7. USDJPY: buy: 14/11/2012 All three my rules where met and the trade is good to me, currently in 45 pips profit. A bit worried when the USD opens what it will do…
Thank you and happy trading!!