My hours are in Singapore Time as such the timing might differ but the graph would be the same based on your individual time zone.
Based on the EUR/USD chart on the 30mins interval, we can clearly see that there has been a strong resistance and support at the 1.2444 level. This gives us the opportunity to trade on this level.
As there are no upcoming news that could majorly impact the pricing, we are guessing that prices will bounce between these levels.
Now I'll show you what I trade on.
Based on the R&S line drawn and as we further zoomed into the charts, we see that prices has bounced off 1.2429 at the 16:00 hr. The thin bar shown indicates that there has been a vast amount of investors and supporters who felt that 1.2429 is a comfortable price to go long on the EUR/USD or sellers taking profit at that level and prices are unlikely to go further lower. We subsequently saw a huge rise peaking at near 1.2490 before it goes down towards the original level.
I did not trade on the 16:00 hr but I looked towards the 02:00 hr where the price went back towards that resistance level.
I placed a long trade at the 1.2431 level where the price has been tested previously and waited.
There are times where my trades don't get filled because of the prices I'm willing to enter the trade. Even thou the technical analysis shows that prices will most likely bounce, I'll not enter the trade at any other price except the price I set. If price eventually bounces at 1.2435, I'll choose to let it go then chase after the price and position as I comply to my rule on sticking to my plan regardless on how market moves.
Remember always that a wise man once said " The opportunities are unlimited but our capital are finite." Don't let your emotions run and just STICK to your plan.
Lucky for me, my order was filled at 1.2431. As this trade was made on Friday, I'll need to close the trade before the market closes. To me as a day trader, weekends are dangerous as we lose control over our trades and prices can go up or down drastically when the market reopens based on news released on weekends, so AVOID holding trades through weekend as far as possible.
I took profit at 1.2443 with a profit of around 10 pips and went to sleep.
I'm not a very high frequency trader and I place big sums on each trade and hence I tend to choose my trades conservatively and 10 pips is good money for myself.
That's all for the day, if you have any queries, drop your comments below and I'll try my best to reply you.
No comments:
Post a Comment