Waiting game

Day 3 and still no trades, this was turning into a lesson on patience and discipline not actual trades but i've chosen a setup that should over time produce good Risk:Reward when the correct trades are taken, this means only the right trades, not ones that are sort of Ib's but i've got a hunch etc


We did finally get a trade after the midday candle:

11am range 15702 -15815
12 range 15718 - 15815 (97 pips)

We have taken 15647 as the open so we will only look to go long.

Buy stop placed at 15819 , stop at 15714 for 2.85 contracts ( $300 / 105)

Our order was triggered at 1320 and we went long 2.85 gbpusd at 15819, the market then chopped about before the figures came upon which it gapped down, then up then down again. Since our opening candle made new highs i moved the original stop to 50% of the difference between the original stop 15714 and the low of the 1300 candle 15762 (714 -762 = 48 /2 =24) so the new stop was 15738. This is to reduce risk becasue the market may go back to near the low of this candle so we don't want to get stopped out by a quick flick down, but if it goes much beyond this low then the rally's probably over and we want to be out and wait for the next IB.

Stopped out at 15738 time 1445 for 81 pips loss or $230.85 so we've had a 2.3% loss and the account stands at $9769.15

If i had left the stop at the original point then we would still have been stopped out in the end.

I believe the best profits will come from the trades that go on with little pull back, our job is to manage the ones where it chops around and try to minimise loss.

There's a lot of maybe's with stops, only time will tell if my 50% method is right so thankfully we're demoing this.

Have a good weekend and hopefully we'll all 'ave it off next week.