A ranging and confusing day.
I took a long AUDJPY trade following this morning's rejection engulfing bar, then an engulfing bar on the 15 minute chart, using the low of the price action as a stop loss. The trade moved in my favour about the same as my risk, then came down sharply. I exited at break even as by this point today's story had changed to one of renewed USD strength, as detailed in my previous post.
When the USD strength returned, there were short MTFM trades on AUDUSD and GBPUSD, shown below.
I took the AUDUSD short but exited for break even. With the sudden USD weakness that began about an hour ago, these trades were not very productive, giving rewards little more than risk, although the GBPUSD would still be open. I missed GBPUSD as I was dealing with AUDJPY.
MTFM is best traded with large take profit targets.
The market today was driven truly by USDJPY and also by GBP weakness.
The overall picture has now become less clear, with EUR and AUD making new highs against both the USD and JPY, but with action being unstable.
There will be important announcements and data coming from Japan tonight, so the market might become clearer and more tradeable tomorrow morning.
For now it is best to wait.
No comments:
Post a Comment