Monday, November 10, 2008

Will this be the first?

6am open 15792 above this long, below short

Potential setup for 8am
6am bar 15671 15804
7am bar 15682 15735
Sell stop at 15678
Stoploss at 15739
4.8 lots (9679.15/3 = 293.07 / 61 = 4.804)
The market rallied up so no trade was taken and order cancelled at 9am.

Inside bar at 1300
12 range 15770 15819
13 range 15772 15819
As this bar was through the open both buy and sell orders were placed.
Buy stop at 15823 stoploss 15768
Sell stop at 15768 stoloss 15823
5.3 lots (9679.15/3 = 293.07 / 55 = 5.32)

The sale triggered at 15768 and the other order was cancelled
Cable traded much lower, previous candle high was 15780 so stop was moved to 15802 (15823-15780/2=42/2 =21.5)
Maybe i should have had included a rule where the stop is moved to break even when Risk:Reward is greater than 2:1 to lock in a good move as Cable has traded as low as 15633 but for now we'll just have to stick to the 50% rule and hopefully it'll continue trading lower.

Unable to move my stop any further as the previous bar did not make a lower low so our stop remains at 15802 for the night, hopefully markets will drift lower. For now i'll run with the 50% rule but if i find too many profits being given back then i will look to change this somehow.

There was an inside bar on the 1500 canle but i said i wouldn't trade after 1500 so we'll let that one go.

Lets see if we are still in the trade tomorrow............

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