Feb 3 – Feb 8 – 2019
How did these setups do?
AUDCHF – For the first time in 5 weeks, we’ve ended with weakness in this pair. We were going with the bullish context leading into this past week but the market had different ideas.
AUDUSD – Great example of a pullback failure. Momentum thrust to make highs and the start of a lazy pullback. Once momentum steps in, the pullback has failed.
CADCHF – We called for pullback to get long off of but the momentum that came into the market on Thursday, shut that play down
EURAUD – Why did we want to see a bear flag and short here? Momentum into the breakout of lows, we’d want to see a retest of lows. However, the momentum for the breakout of lows started from the highs. Breakouts that have the momentum race from one extreme to the other are often prone to longer pullbacks. We got our pullback, but it was with momentum and right back into the highs of the previously broken range. No shorts.
GBPAUD – Longs were what we wanted from the pullback but we needed a trigger. The usual four hour chart was used and the entry trigger was a simple reversal pattern known as the 2B. Over 380 pips were up for grabs off this setup!
GBPCAD – Same type of setup as the GBPAUD but the four hour chart didn’t give much in the way of triggers so the daily chart is used. 155 pips to the upside potential
GBPNZD – Another great trade that setup from a pullback and four hour entry for 330 pips potential
GBPUSD – This setup did nothing
NZDUSD – Price collapsed from highs.
Moves are coming back into our market although at a snail pace. 330 pips were up for grabs these week out of the four setups and I will say again, pip count does not matter.
If a trader only took 25% of the potential, that is 82 pips.
Sounds like nothing?
What if those pips, on average, were worth $5?
That is a $412 week with maybe 2 hours worth of work.
What if $8 per pip? $656 for the week.
The best advice I could give a trader is to be disciplined in their approach, be well capitalized, and make risk your number one priority.
