My initial bias at the start of the trading week on this pair was bullish, I entered a long position on Monday to buy as I saw a triple bottom had formed and I was expecting price to push up - and we got this on Monday where I caught a 150+ pip move before closing out.
The next day I saw what looked like a huge reversal bar forming and realised that the formation of this would leave a classic head and shoulders pattern with a huge amount of pent-up selling pressure to boot. I got a nice tight stop loss in as I still feared my early-week bias was active, and had an extended take profit at the 200EMA, well below the neckline as, if the head and shoulder pattern was honoured there would be a violent impulse to the downside here to around 1.745. Overall, this pattern was indeed honoured and we saw a huge 400+ pip reversal form with price now stalling right at the 200EMA as I predicted - I know you aren't supposed to trade with emotions but this is my favourite pair!!
I haven't traded much this week - it has been a mad week!! - but I will now upload some of the moves I've caught, why I took them, why I won and why I lost/broke even!!
The next day I saw what looked like a huge reversal bar forming and realised that the formation of this would leave a classic head and shoulders pattern with a huge amount of pent-up selling pressure to boot. I got a nice tight stop loss in as I still feared my early-week bias was active, and had an extended take profit at the 200EMA, well below the neckline as, if the head and shoulder pattern was honoured there would be a violent impulse to the downside here to around 1.745. Overall, this pattern was indeed honoured and we saw a huge 400+ pip reversal form with price now stalling right at the 200EMA as I predicted - I know you aren't supposed to trade with emotions but this is my favourite pair!!
I haven't traded much this week - it has been a mad week!! - but I will now upload some of the moves I've caught, why I took them, why I won and why I lost/broke even!!