1 hour chart: You can see it is at the 50% fib now of todays up move. If it can show solid weakness below this level I will be really happy. The squiggly lines on the bottom frame are the relative strength of the major currencies. You can see that the USD is just starting to turn up, which is really promising for this trade. AUD is flatlined at the moment, if it turns down then this could be a trade to hold for days/weeks.
Well this has worked out great so far. Price has fallen all the way to the breakout point from earlier today. The daily bar has closed as a pseudo hammer candle and if it can take out the low of that bar I just might catch a runner here. Trailed my stop to lock in a little profit just to cover the interest I will be paying on this short, but gonna give it some wiggle room. Looking for larger gains on this trade. Stop to .9407 now. Right now thinking I will target .9115 if this breaks to the downside. Will think about it more tomorrow though.
I had a look at FXCM's SSI - it does seem a little tricky to interpret as apparently the large trades are filtered out, and only the small trades are used to construct the index. Although the result does appear similar but more to the Oanda version, which isn't filtered. I guess it is a contrarian indicator most of the time, until the trend eventually turns round. I'll be following it to see how quickly the index reacts in response to a new trend - esecially the Yen intervention.
This 15 minute hammer looks real nice at this trendline. Added a bit to my short, you can see my stop loss at the red line, moved to breakeven +1 pip.
Got a view poker questions ;-). What was the problem in increasing the profits? Did you step up the limit and the edge wasn't there? Was the variance too much? Anyway, the good news in trading is that the competition doesn't get much better as the limits increase ;-) or if you look at it differently it's already pretty hard to make money consistently in the "beginner sit&go category" . Good luck with your journey !!!