16 March 2010

GBP/USD : DownTrend Resumption?

  • After a brief attempt to rally towards last week's close, this looks like turning back down again.
  • Learnt my lesson well. Stick to fixed size position that I am most comfortable with and try to ride this all the way as per USD/CAD.
  • Where I went wrong last week was NOT waiting for the daily to turn before jumping back in. In effect I was trying to pick a short term top by selling into the rally. So buying 1.4877 (good, TP), re-selling 1.5048 (bad, early) and cutting 1.5171 (bad, panic) all added up to a pretty pointless exercise in the end.
  • Would be a completely happy story if I had been more patient and waited for the daily to turn (as per now). In any case, enough of trying to finesse more out of trades. Better to just sit on a measured risk size and wait patiently.

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