DISCLAIMER: The following actions are done by a professional trader! Don't attempt without professional supervision! ;-P (Hope you all know I'm just kidding, right? Yeah, OK. I got a dry sense of humor but when you sit around by yourself in your underwear all day staring at squiggly lines, you gotta have a sense of humor!)
Now to be honest, I actually did close out 50% of my position at 1.10640 to realize a quick profit. I do at times short-close my profit targets depending on PA at the time. Seeing the 2nd attempt to reach target 1 fail and noticing the action, I made the decision to take profit short of target. There's no hard and fast rules regarding doing this. It is just my gut feelings having traded for so long.
But the point of this post is not too brag about making bank. I post it so that anybody who reads it can get a sense of what to look for in your own trades and hopefully help you in your trading. That is the point of this community, right?
It is also why I am reviewing this trade in this post. There are lessons to be learned.
"You always can learn more from your failures than you ever will from your successes"
Continuing on. Prices then retraced back down and through the PRZ I had defined. Now, of course the hard and fast rule regarding retracement patterns is that if prices break the X point, the pattern is invalid. So this bat was invalidated. But often times, patterns, especially if they form at/near significant areas of S/R, have some deeper meaning. They can point to market movements even though they get invalidated. So it was and still is with this .
Prices broke through my PRZ and then just as quickly came back up through it. Watching the PA, I thought it a good risk to again go long per the pattern. Now, technically, the pattern is not there anymore. But for the trade, I am still following the original TP1 and TP2's.
The other reason for me to have re-entered this trade is because of I think this pair is moving up long-term as per my analysis (see Related Ideas: "UPDATE #2: EURUSD Pattern - A Case To Go LONG")
Lesson here is that, monitor your trades even if they are technically invalid (as per your own rules, of course!). Like zombies, they may come back to life!
If you like my analysis and find it useful, please take a second and hit the LIKE button and follow me. It takes some time to create these posts and your LIKES let me know it is helpful to you. As always, any comments are welcome. Agree or disagree.
Year-to-date Profits: +5,794 pips.
Weekly Best Bets Newsletter: http://bit.ly/2uEvQWF
This Month In Indexes newsletter: http://bit.ly/2tGqpcy
Want results like this? Join us: http://bit.ly/29x4bfM