XAGUSD Long - 29 December 2016 (Only posted on 4 Jan 2017)
Background:
- Within the channel noted that:
1.) Each bear run is approx 220 pips to 250 pips
2.) Each bull run is approx 140 pips
- Bullish reversal candle spotted on 20 Dec 2016 after testing the channel support
Entry:
- Buy stop 10pips above the 2nd bullish reversal candle high
- Set up triggered on 29 December 2016
SL:
- Set at 50% fib level of the bullish reversal candle
TP:
- Set slightly below the next resistance area and lower than previous swing high as this is a descending channel with lower high
As at point of writing, this trade is 0.20 up
- Within the channel noted that:
1.) Each bear run is approx 220 pips to 250 pips
2.) Each bull run is approx 140 pips
- Bullish reversal candle spotted on 20 Dec 2016 after testing the channel support
Entry:
- Buy stop 10pips above the 2nd bullish reversal candle high
- Set up triggered on 29 December 2016
SL:
- Set at 50% fib level of the bullish reversal candle
TP:
- Set slightly below the next resistance area and lower than previous swing high as this is a descending channel with lower high
As at point of writing, this trade is 0.20 up
Trade active:
Updates - 5 Jan 2017:
- Yesterday session started gapping up and closed with slight bullishness
- Price could move further up and test the 50MA resistance before continue it prevailing bearish trend.
- To take note of any bearish signal as this set up is a counter trend trade
- Yesterday session started gapping up and closed with slight bullishness
- Price could move further up and test the 50MA resistance before continue it prevailing bearish trend.
- To take note of any bearish signal as this set up is a counter trend trade
Trade active:
Updates - 6 Jan 2017:
- Price had once again gapped up and closed mediocrely
- Based on previous observation of each bull run amounted to 1.4 upwards movement. As such the current bull run will end at (15.7+1.4) = 17.1
- However, lets be prudent on the point that November bull run only amounted to 1.0 movement. As such, I will be revising my PT to (15.7 + 1.0) ~ 16.8
- Lets hope this revised PT will be reached by end of today.
- Price had once again gapped up and closed mediocrely
- Based on previous observation of each bull run amounted to 1.4 upwards movement. As such the current bull run will end at (15.7+1.4) = 17.1
- However, lets be prudent on the point that November bull run only amounted to 1.0 movement. As such, I will be revising my PT to (15.7 + 1.0) ~ 16.8
- Lets hope this revised PT will be reached by end of today.
Trade active:
Updates - 8 Jan 2017:
- The last trading session of the week started bearishly. Soon it reversed and managed to closed slightly above the day's mid range.
- Price is approaching the 50MA resistance and would soon meet with bear action.
- As such, i would need to closely monitor the price action approaching the significant area and make the necessary adjustment.
- The last trading session of the week started bearishly. Soon it reversed and managed to closed slightly above the day's mid range.
- Price is approaching the 50MA resistance and would soon meet with bear action.
- As such, i would need to closely monitor the price action approaching the significant area and make the necessary adjustment.
Trade closed manually:
Updates - 10 Jan 2017:
- Yesterday candle is slightly concerning with another shooting star forming near the 50 MA resistance.
- As at point of writing, price is 30 pips (0.3 dollar) away from my PT.....
- Question now would be:
1.) Should I stress the strategy by only exit when a bearish signal formed after testing 50MA?
2.) Or should I take the profit now and let go the potential further 30pips gain as previous swing high (on 9 Dec 2016) didn't really test the 50MA before going south.
- Maybe I am still a risk adverse trader, I have decided to take my 40 pips gain due to reason (2) above.
- Yesterday candle is slightly concerning with another shooting star forming near the 50 MA resistance.
- As at point of writing, price is 30 pips (0.3 dollar) away from my PT.....
- Question now would be:
1.) Should I stress the strategy by only exit when a bearish signal formed after testing 50MA?
2.) Or should I take the profit now and let go the potential further 30pips gain as previous swing high (on 9 Dec 2016) didn't really test the 50MA before going south.
- Maybe I am still a risk adverse trader, I have decided to take my 40 pips gain due to reason (2) above.
