Favourite Pairs?

I think I found my two favourite pairs. It seems like the only pairs I have been trading lately have been USD/CAD and AUD/USD. After my post about holding them over the weekend and having them gap up nicely in my favour, I ended up trading them again the next night. These were two 1% moves which ended up closing in profit. Last night I traded USD/CHF which I will explain a bit later on. Onto the moves that were made last night.

Starting with USD/CAD, I could see there was an inverted head and shoulders forming on the 1H chart. MACD looked a bit bearish for me, but once price shot up and broke through the 50EMA I decided to take this long. 45 pip stop with a 45 pip profit target. Was taken out within a couple hours for a quick 1%. usdcad22

Taking a look at AUD/USD now.aud:usd

I could see price was being rejected by the 50 EMA over and over again indicating weakness to me. MACD was looking to be moving down and losing momentum. I went short at the open of the London session and was taken out for 1.3% profit within two-three hours. These two moves were pretty easy to spot, and although they were just short term moves they’re nice to take advantage of.

Okay I really have to tell you about my trade last night. I didn’t lose any money but it still feels like a loss. I was pretty proud of this trade, everything lined up in my favour, only to be taken out slightly below break even. I took USD/CHF short, I had a profit target lined up, the trade was all going to plan, I went to sleep only to wake up to see I had been taken out.

Lets take a look at the daily chart. usdchf d

Price made a nice move upwards over the last 5 days. It came up to resistance right at the 0.9812 area. I could see this pair was losing steam really quickly. The MACD looks pretty bullish though I will agree. My entry for this was on the 1H chart as it rejected the R1 level around 0.9818. The 4H chart was what really made price look bearish for me.

usdchf4

Price was making a move higher, but take a look at MACD. It looks so bearish. This, and the daily chart was what made me go short. I really enjoyed finding this trade, I had everything line up nicely for me. However I went to sleep around 2am with the move heading in the direction I was expecting. I woke up around 5am and checked the trade, I was about 20 pips from my take profit, so I moved my stop loss to break even and went back to sleep expecting it to take me out for +2.7% profit. However, this was not the result I woke up to. Price did come down to my take profit, and missed it by two pips. My stop was at 0.97237. The lowest point price went was 0.97257. Literally two pips came between my profit. It’s a tough pill to swallow but like always, I need to keep moving forward. I need to look for the good in this situation, perhaps maybe I should keep my stop slightly above the 50EMA from now on to make sure this doesn’t happen again. This isn’t a failed trade in my eyes at all. Even though it would have been nice to have the profit, I can still learn from this.

Just look at this…..usdchfmin

Price retraced up to my break even stop and took me out. Oh well. Tomorrow I will be posting my results for June. Stay Tuned!

Happy Trading!

Disclaimer: This is not investment advice. These are trades I have taken and by the time you read this will have already come and gone. These are not signals and this is not a signal service. Trade at your own risk!