13 October 2009

USD/CAD : Right Trade, Wrong Size

  • Last 1.0340.
  • Short 0.9% EAR at 1.0600. This was deliberately initiated in small size due to a few painful rounds of selling lows and buying highs previously. Regret now.
  • Due to small initial position, hard to pyramid meaningfully without destroying good average in rate.
  • Frustration (minimally sated hunger) of a different kind. But I absolutely refuse to chase this down. Usually such situations = proof that trade is good.
  • Think we will test previous downtrend support line on monthly chart = appx 0.9850.

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