Looking over the price movements, a few lessons have had to be learnt.
Firstly looking a trend lines and previous patterns on the 4 hour time line - whilst market sentiment is bearish as such there are clear swings between the lower lows and lower highs.
Now for the lesson I had to learn the hard way.
I entered a trade yesterday, looking at the possibility of retracement to 1.2 zone ... My analysis was as such that a retest of this zone seemed sensible and coupled with zone trading between my trend lines.
Price could not break the 1.85 as a low.
My entry was: 1.9562, SL 1.85 TP 1.21 - if I had stuck to my principles this would have been a winning trade and a real confidence boost in my knowledge of trading!
Instead like a complete blithering idiot; I closed the trade on seeing bearish movements and jumped on the band wagon of shorting - which as you can see if just about to hit SL and cancel out all the profits made last week (thank f*ck it is on a demo account).
So the lessons:
1. Analyse the charts properly - taking my time to set up each trade and honour the thought process.
2. Don't be a fool and jump in and out of trades; whilst I agree on moving with the market, the entry point is the most important and closing a trade to jump into another with minimal analysis will cripple me in the long run.
3. Trust my analysis.
4.Respect SL.
Currently watching charts to see how price reacts to 1.2 zone and then will take a call on trade.
Lesson learnt the hard way!
Firstly looking a trend lines and previous patterns on the 4 hour time line - whilst market sentiment is bearish as such there are clear swings between the lower lows and lower highs.
Now for the lesson I had to learn the hard way.
I entered a trade yesterday, looking at the possibility of retracement to 1.2 zone ... My analysis was as such that a retest of this zone seemed sensible and coupled with zone trading between my trend lines.
Price could not break the 1.85 as a low.
My entry was: 1.9562, SL 1.85 TP 1.21 - if I had stuck to my principles this would have been a winning trade and a real confidence boost in my knowledge of trading!
Instead like a complete blithering idiot; I closed the trade on seeing bearish movements and jumped on the band wagon of shorting - which as you can see if just about to hit SL and cancel out all the profits made last week (thank f*ck it is on a demo account).
So the lessons:
1. Analyse the charts properly - taking my time to set up each trade and honour the thought process.
2. Don't be a fool and jump in and out of trades; whilst I agree on moving with the market, the entry point is the most important and closing a trade to jump into another with minimal analysis will cripple me in the long run.
3. Trust my analysis.
4.Respect SL.
Currently watching charts to see how price reacts to 1.2 zone and then will take a call on trade.
Lesson learnt the hard way!