21 Feb EUR:GBP Short Term Trade And Mid Week Update
I always feel quite conscious when I’ve not updated the site for a couple of days. The traffic keeps coming but nothing new for anyone to read! Unfortunately if there’s nothing convincing in the charts it becomes difficult to keep the site updated with stuff that’s on topic and interesting.
I’ve sat on my hands most of this Week though finally gave up messing around with GBP:CHF as it wasn’t responding to any of my analysis. I’m happy I stopped out early now because I took a tiny 6 point profit but had I stuck to my original stop loss level I’d be looking at -200 now.
Still sitting on the USD:JPY long, the AUD:NZD short (not looking healthy) and the USD:CAD long.
Tonight I shorted EUR:GBP. In all honesty it’s not a trade I’d recommend, but it’s back in an area from where I shorted it from before and it keeps revisiting this area and selling off. There isn’t a lot to say whether this is likely to happen again, but I decided to give it a go anyway from 0.8390. My original analysis of this pair from a couple of Months back still stands in the big picture.
There are 2 options with stop losses. In the big picture if expecting a big move down stops would ideally need to be placed above the 0.8620 area. This is a bit too wide for my liking so I’m simply running a short term trade with stops above the resisting trend line in the chart below but in reality this is likely to be broken to the upside before any proper move down so unless I’m really lucky, I’m not likely to catch any major moves with this trade.
Because I’ve not planned on holding this trade beyond 24 hours (unless luck comes into it), I’m not going to detail it in the Swing Trading log and will post any updates to the position in the comments section below.
Otherwise there isn’t a lot that’s interesting me at the moment. CHF appears to be finding strength but I’ve not seen any potential set-ups that I really like. Indices look like they’ll pull back a little and I am currently running a DOW short ideally looking for 100 points or so beneath current levels (12,970) but again this isn’t a conviction trade. I’m watching GBP:CAD looking for signs of a breakdown to get on the short side again, but nothing compelling about this chart either right now.
Hopefully we’ll see a little more volatility tomorrow and I’ll have something more interesting to talk about!