Mr. Charts
Legendary member
- Messages
- 7,370
- Likes
- 1,200
I normally trade US stocks intra-day but occasionally trade FX.
I've just come back from a three week holiday and very unusually for me position traded cable for a few days from a poolside - the classic and normally mythical dream !
It seemed to me that fundamentally cable was heading south for a while and my falling candles set up occurred so I took a modest short position so I didn't make a huge amount of profit but it was 257 pips.
I didn't take a larger position size as I felt I needed to give it a bit of room and I didn't want to be constantly checking the price and movement - it was a holiday !
The entry point was at the point indicated and the image taken at the time of exit.
I felt it was approaching that earlier support zone and had fallen quite a way over consecutive days so the probability of a reversal was rapidly increasing.
The first image is obviously of the trade, and I took the second one today to show what happened after my exit.
On the "How to make money trading the markets" thread I talk about one of the dozen trading set ups I use every day trading US stocks and this is a slight adaptation of that method. FX is different to stocks as trends tend to be fewer and persist for a much shorter time than with the stocks I like to trade. In other words I don't require a pre-existing strong trend, just a strong move at the time of entry. These moves aren't predictable in advance, I just look at the major pairs and see if anything is actually happening at the time.
I intend adding to this thread if I think something might be of interest or use to people.
There will be plenty of losing trades but they will be smaller than the winning ones as I will be using similar principles to my stock trading, set ups and price action over different time frames. They will also be far fewer in number as I prefer stocks which offer a huge range of trading instruments, not just a handful of FX pairs.
Many of my methods work on FX but not with as high a success rate as with stocks.
Hopefully some people will find the posts helpful.
If the methods are sound, then they can be adapted to some, not all, different trading instruments.
I don't expect there will be many wins of such a large size !
I've just come back from a three week holiday and very unusually for me position traded cable for a few days from a poolside - the classic and normally mythical dream !
It seemed to me that fundamentally cable was heading south for a while and my falling candles set up occurred so I took a modest short position so I didn't make a huge amount of profit but it was 257 pips.
I didn't take a larger position size as I felt I needed to give it a bit of room and I didn't want to be constantly checking the price and movement - it was a holiday !
The entry point was at the point indicated and the image taken at the time of exit.
I felt it was approaching that earlier support zone and had fallen quite a way over consecutive days so the probability of a reversal was rapidly increasing.
The first image is obviously of the trade, and I took the second one today to show what happened after my exit.
On the "How to make money trading the markets" thread I talk about one of the dozen trading set ups I use every day trading US stocks and this is a slight adaptation of that method. FX is different to stocks as trends tend to be fewer and persist for a much shorter time than with the stocks I like to trade. In other words I don't require a pre-existing strong trend, just a strong move at the time of entry. These moves aren't predictable in advance, I just look at the major pairs and see if anything is actually happening at the time.
I intend adding to this thread if I think something might be of interest or use to people.
There will be plenty of losing trades but they will be smaller than the winning ones as I will be using similar principles to my stock trading, set ups and price action over different time frames. They will also be far fewer in number as I prefer stocks which offer a huge range of trading instruments, not just a handful of FX pairs.
Many of my methods work on FX but not with as high a success rate as with stocks.
Hopefully some people will find the posts helpful.
If the methods are sound, then they can be adapted to some, not all, different trading instruments.
I don't expect there will be many wins of such a large size !
Attachments
Last edited:
