End of the week and Asia Session. How about an update.

Ok here's an update of what happened for the rest of the afternoon session and my demo trade.

so price did move up above 1.5900, and so i pushed up the stoploss to get stopped out at 1.5900.
If this trade was real, i would have made 23 pips.

So UK industrial production came out lower than expected, so we saw cable plummet. I do see another trade setup occuring. If price is supported above 1.5819, i would look into entering a long position as that's yesterday's daily low and looks like a strong support.

Demo Friday - trade plan - GBPUSD

Ok here's a trade plan for sterling today. It's a demo trade because i want to see whether my tweaking works out.

so in the chart you can see that the moving average crossover occurs just below the pivot point of 1.5879.

So i decided this would be a good place to enter a long position considering the overall trend is still bullish.

i've decided to keep the stoploss at the previous low at 1.5863, and i'll push the stoploss up once levels go above 1.5900.

so here's the trade:

long GBP/USD at 1.5877. Stoploss 1.6893. Take profit 1.5900.

Demo Friday - trade plan - EURUSD

I took up a demo trade this morning on the EURUSD. But i'm not very happy though with how i entered, even though my trade was profitable.

trade plan:
I decided to leave an order to long EURUSD at 1.2895 as it's aligned with the 23.6 fibonacci level.
I left a stoploss order at 1.2810 which is near the 61.8 fibonacci level and is also a strong support.
I left a take profit order at 1.2950 which is yesterday daily high.

My order got triggered at 1.2895 and my take profit order got hit too. so theoretically i just made 55pips in profit.

I'm not happy with the trade because i feel i entered quite early. If i was to do this trade again, i would actually leave an entry order much lower at between the pivot point and the 38.2 fibonacci level. this would have been a less riskier and safer play i think.

Anyways, Tokyo is about to close now, and I usually stay out of Europe session on fridays.
So i shall be closing the orders for the cable and aussie trades.

Lets see what the market has for us next week, and i will be travelling for a week so i will be fairly quiet with my trade plays next week. But i will be back in action on the 26th of July for more forex trades

Demo Friday - trade plan - AUDUSD

As i mentioned in my previous post. I would be looking into shorting AUDUSD, due to the trend.

Trade Plan:
I would short Aussie near the 61.8 fibonacci level which is also where the daily chart 61.8 fibonacci level is as well.
 I would place a stoploss order above the resistance level of 0.8844, as if it breaks, i would see it as a possible trend reversal.
I would leave a take profit order at the daily low.

Short AUDUSD at 0.8800. Stoploss 0.8880. Take Profit 0.8726.

Demo Friday - trade plan - GBPUSD

Here are the economic data that we should be looking out for today:
Eurozone trade balance report - 9am GMT
U.S CPI figures - 12.30pm GMT
University of Michigan consumer confidence report - 1.55pm GMT

Quick economic overview of yesterday's session:
USD was the main loser yesterday due to the weaker US data.
EUR pushed up high due to real money demand in the range of 1.27 and 1.28 and short coverings on the bank of good spanish bond auction.
GBP rallied up on the news of BP latest attempt to halt the oil leak into the Gulf of Mexico
AUD "beared" it out due to citings of China's economic slowdown in H2 would be sharper than expected.

Trade Plan:
Looking to Long GBPUSD and Short AUDUSD. I will play EURUSD after the trade balance report. As there is no news coming out of the U.K or Australia, and i am looking at more negative data out of the U.S, i'm expecting these pairs to continue on their trends.

GBPUSD
I would like to open a new long position at 1.5350 which is just above the 23.6 fibonacci level and also appears to be a fairly strong support as well since the move up. I would leave my stoploss order at the 38.2 fibonacci level which is quite near to the daily low and i would place my take profit order near the daily high which also appears to be a resistance.

Buy GBP/USD at 1.5350. Stoploss at 1.5270. Take Profit at 1.5460

Its Demo Friday!

Hi there,

So i have a personal law where i avoid opening new trades on fridays.
my reasons for this are:
1. Its Friday and almost the weekend, so i like to take a break.
2. Many traders close their positions on fridays including me, so markets go a little haywire.
3. It's just too stressful to be watching the markets on a friday night (ps. i live in Asia, so i generally trade during the asian and europe sessions).

But I do practice my forex trading skills, by opening demo trades.
so what i usually do is setup trade plans, and play demo trades with no money and see how they turn out.