Friday, August 29th 2014
It is Friday before Labor day weekend in the US. Not many people are trading but for the sake of testing this method before it goes live on Monday, I gave it a whirl to ensure my dashboard is ready to go.
It’s a very strange trading day because we have a reset candle at 11am as well as a very large candle at 3pm before closing. I suspect light volume is the culprit here.
Let’s go on to the trades, shall we?
Trade #1 – Long GBP/USD at 1.65981
I couldn’t hope for a worst start using this methodology. I was half asleep at about 3am when I saw a green candle surging past the daily pivot. Ready to test this strategy out, I went long at the close of that candle without looking. Big mistake. I was actually 1 hour late to the party as if you notice the previous candle actually closed above the pivot line which means I should’ve taken the trade in previous candle and actually close the trade on this one when target price was hit.
Probably should’ve activated the EA while I was asleep 😛
Needless to say, trade was stopped out somewhere at the red X candle for approximately for -16 pips
Trade #2 – Short GBP/USD at 1.65831
Previous trade was stopped out and per rules of engagement, I can’t trade for at least 1 hour plus I was doing other things and I actually couldn’t trade until right before noon.
Saw a huge reset candle at 11am that pushed the price below pivot again, decided to take the trade here at the close. Price went down the next few hours to S1 level and I am ready to close the trade. Managed to close it for a +20 pips gain and boy I’m sure glad I did.
Next candle is some crazy engulfing bar that totally caught me off guard. Good thing it’s 3pm on Friday and if the big boys ain’t trading, I sure am won’t.
All in all, a pretty interesting trading day and we’ll see how it goes on Monday.
Safe trades!
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