The One that got Away
I like a set-up where the Daily trend has shifted, and the Weekly trend is bending but not quite broken. It is at such times when we can attain unusually favorable risk/reward ratios. Such a set-up existed last night in my old friend EURJPY as it tested a long-term trend line drawn on the Daily chart. This time, rather than get up early to trade London — I live in Chicago or (GMT – 5) I decided to just stay awake through Tokyo and attack it from that side of the clock.
Long story short, I got in nicely on the first buy signal, but had to place a break-even stop when I started yawning too much. And you can guess what happened next. Yep, the market dropped down one more time to stop me out at the same price I bought it. Over the next hour price probed lower below the bull trend line, giving us a hammer and then an inside candle on the big bull trend line just prior to launching the 200+ pip move, with me laid out snoring.
It isn’t always easy trying to swing and day-trade from GMT -5.
Next time, and they’ll be a lot of “next times” I’ll be better armed with caffeine.
Jay Norris
I’m very pleased to say we are very close to finishing up our Trading 101 course, which outlines all the strategies we use. It has been a true labor of love, and as I’ve said so many times after editing sections of it: “I wish I had something like this when I was first learning how to trade”
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