Another Rookie Mistake on the Forex Desk
I think it happens to us all, you get up and leave the computer with nothing happening; when you come back, you’re suddenly in a major breakout. When I started yesterday mornings trades, I had intended to stay in a long position on the CAD/CHF pair; only because one of the goals in the Apiary fund, is to get 5 trades with 25 PIPs profit, on transactions that are open for more than 24 hours.
This is what it looked like when I first started. The pair was in a position to go one way or the other, it hadn’t reached the secondary support level yet, however the stochastics says we were in over sold territory and the price was about to go up.
I hate these situations and I tend to be a little impatient when trying to wait for the perfect set up. I know it’s a major flaw that I am working on. Reporting my major loses and my major wins to these blog post helps to keep me accountable.
Now at first things seemed to be going well; it would start to dive a little bit, but it would come back. If you can see in the picture above, I knew that there was a good possibility that the price would shoot down before going back up to a higher resistance level. Unfortunately, I didn’t take into consideration just how far it could go to that secondary support level ( almost 70 PIPs!) and I ended up loosing big time.
I set this up to be a 24 hour trade, knowing that the price would fluctuate up and down, I’d been given advice to give the price action plenty of room to move without being stopped out. Now I’ve seen this work for other people, but I’m not one for long term trades, so I stink at setting them properly.
If anybody has any feedback or maybe a trade idea to help me pass this crazy assignment from Apiary Fund; please respond to this post; or talk to me on Facebook