Hi Everyone, I hope last week was a profitable one. From the previous post last week our 2 trades were losses. You win some, and lose some. Needless to say we had 2 more entries which were profitable. See below.
The AUDUSD gave a bearish engulfing candle setup so we went in. This time I used the 38% level as the stop and the 200% as the profit target giving a 1:1.5 risk to reward ratio. Price ran to the profit target in the same day - sweeeet.
The next entry is of the same but for the AUDJPY. See below.
Again we used 38% as stop and 200% as profit. I used tighter profit level due to the current market conditions. You can use either 200% or 261% level it's totally up to you and your style. I choose based on current market conditions but as long as you gain more than you lose then it's totally fine. Like in baseball, you don't need a home run all the time. A few base hits will get you to score as well. I also used the OSMA indicator this week as well for confirming momentum to our core strategy.
I also broke even when price moved in my favor by the stop loss pips and locked in 1/2 the stop lock pips. So it's now a free trade.
It's the month end and for this month we had 10 trades according to our strategy with 6 winners and 3 losses that hit our stop loss and 1 with a small loss. Since our strategy gives us a risk to reward of 1:2 and 1:1.5. You can see that with the daily charts you can trade less and still make good profits.
Enjoy the week and happy night time trading.