Hi there, my name is Ivan, FX trader. After studying varies sources of information for the past few years, my understanding of the FX market has improved dramatically, with this blog simply intending to share with you all a journey within my mind. When I make it to full-time trading, I know the first person I should be grateful to is an Aussie PA trader named Jonathon; He has been inspirational and an enormours influence to gauge where the money flows to. His trades can be followed at http://forexpriceactiontrader.blogspot.com/ . What price is telling you is key, as it always whispers in low or high intensity what market intentions are. I do not endorse the use of any indicators, as they are lagging in nature; analysis should be based on pure price action. Besides, other factors like sentiment, fundamentals, risk control, rock-solid discipline, thousands of hours readings charts, also make up the equation to succesfully ride the FX waves. When entry triggers are detected, I act without hesitation, letting the market do its thing. Please note, information and opinions contained in this blog are for educational purposes only and do not constitute trading recommendations, thus will not take responisbility for any losses viewers may have. Trading FX carries a high level of risk, and may not be suitable for all investors. Before deciding to invest you should carefully consider your investment objectives, level of experience, and risk appetite. You should not invest money that you cannot afford to lose.
AUD/USD short , EUR/AUD TP
There has been a BEOB in the H1 first that have played as continuation of the downside momentum (did engulf many previous bars), then confirmation has come in the form of another BEOB in the H4. I have waited price to break past 1.0070, then have gone short aiming for 1.0030. SL is just above 1.0100. BE at 1.0050/55 area (swing low). Only risking 1%, normally lower time frames is max. I am willing to lose. Daily chart i am more permissive, risking normally 2 even 3% sometimes.
If I wanted to go short AUD/USD I had to first cancel trade in EUR/AUD, thats what have done... I didnt want to expose myself going long twice the Aussie. Plus in this trade have already made a decent amonunt of pips, although I think price may reach higher ground....
Heya Ivan just going through your blog. Hope you dont mind my comments. If you do just tell me to bugger of!
ReplyDeleteHey just to clear something up you if your long EURAUD your basically short or selling aussie dollars and if your long audusd you long aussie short usd so what im saying is you did the wright thing only having one aud on the books at any one time but if you were to hold them you would be basically hedging your bets going long and short the aussie.
Does this make sense?
Why would I want to hedge, that would likely undermine my prifit potential... here is what went through my mind before pulling the trigger. I was long EUR/AUD with nice profit, then PA in AUD/USD formed to go short, i saw the potential to make bigger bucks in the latter, and didnt want to limit or reduce my gains, all obviusly under the assumption I would take a longer ride in AUD/USD, otherwise would have changed anything. Eventually, AUD/USD tumbled, while EUR/AUD just consolidated at highs...
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