It is now September, and we should be starting to exit “summer trading” and get back to more volatility. With that in mind, looking at equities, things still looked strong, and it also appeared as though the correlations (risk-on & risk-off currencies) were returning.
When I started looking at the baskets, USD was down for the third day in a row, and didn’t look extended. On the other side, EUR had been down for the last few days, but that was coming off of a large up-move at the beginning of August, and it appeared to be basing with today’s candle pushing up off of the lows of that base.
When I got to this chart, it had pushed up out of some pretty strong resistance, and on the hourly chart, was in a pretty high-base. I also looked at GBP/USD, which was kind of forming a bull pullback, and offered a better R:R, but I really liked the pattern here, so I put an OCO order out there, and this is the one that triggered.
Entry – 1.20026
As I mentioned, I put out an OCO order, and not long after setting the order, it pushed up and triggered me into the trade.
| Entry Order Level |
|---|
| 1.20026 |
| Stop Loss Level |
| 1.196 |
| Target Level |
| 1.206 |
Exit – 1.1958
Less than an hour after setting the order and getting into the trade, price reversed and pushed down enough to stop me out. I believe it was because of positive news coming out of USD, which caused it to push up temporarily. I should’ve been paying attention to that.
