I probably shouldn’t have traded today because at 3pm there was a significant news release scheduled which, I have to admit, I neglected to check for. As it happens I didn’t get stung but it was an interesting trade.
We got the signal around 2.40 this afternoon and it moved so fast that despite two attempts to enter the trade, I got refused with it saying the price had moved. I got in on the third attempt but at 8 pips beyond the official entry point. I then had the frustration of watching the trade retrace completely. Funny old game this trading malarky. There is no way of knowing (at least of me knowing) if the trade is going to retrace and sods law dictates that had I waited for it to retrace it would have gone on to make three hundred pips without me being on it!
Anyway, as you can see from the chart, it did make significant headway at three o’clock only to come right back up again, bounce back off the 20 DMA and then progress in an orderly fashion in the ‘right’ direction again before changing it’s mind and stopping me out for a 4 pip loss on the day: