Yesterday I wrote about these two trades, on Tuesday I went short EURAUD and yesterday I got a EURNZD to go long… these two currency pairs are positively correlated and most of the time both of them move in the same direction, I thought it was awkward to get opposite signals in positively correlated currency pairs… Anyway, I got stopped out on my second trade (EURNZD) and my first trade is still running, can’t say I’m safe yet, because it still has a long way to go (my TP order is at 1.3350 and it is currently trading at 1.3524, around +75 pips on my favor). I would feel more comfortable if it confirms the breakout of the ST support level around 1.3532, if this happens I will be able to move my SL closer to my entry level (otherwise I will have to close my trade before the weekend)…
Now, was it a wrong decision?
I don’t think so. A signal is a signal and each currency analysis is independent from each other. We can’t take trading decisions on one currency pair based on the way other currency pair is trading. It was a signal and I had to take it…
It’s all probabilities… I know that if I follow my system enough times, probabilities will make their job… I have always thought that my job as a trader is to make myself available to the low risk trading opportunities that the market offers me, aka: FOLLOW the system… If I do this, good results will come as a result…
Trade Safe!
Raul Lopez
Forex Training
My trading plan for the EURAUD is to look short opportunities as long as it trades below the 1.3137 level. Its important to notice that it is also trading below every important level on the short term charts, we only need a significant pattern with downward pressure to go short.
