Got caught in a short position after strong employment numbers inticed me in on Friday and watched the market reverse with severe force and finish the day at high. Anyone have a game plan for trading this pair on Monday, I do want to trade but am reluctant to do anything incase of directionless volatility again, anyone have a game plan??
I don't trade eur.usd, but I trade usd.chf, which thanks to the peg is just about exactly the same thing only opposite. Never go into NFP naked It's great when it works out, but a real bitch that can take you forever to recover from if you are wrong Leave that to the gamblers always always bet on directionless volatility set yourself up so you can profit from the rare time it violates the norm If you are hooked on eur.usd. I would suggest also trading aud.usd. That alone is probably not going to make you money, but it's a place to start.
I entered after the first sell off and had a tight stop so didn't cause me a great problem, I usually position myself well before or after such events, was going to let dust settle for a while after meeting monday and see if I can climb on board, im not hooked on it, ill trade anything including crude oil, what's the best strategy for Monday in your opinion then?
EURUSD long, meduim, and short term are in uptrends, I been slowly adding to my long position since June. I added right after the report came out yesterday. Markets have same patterns year after year, decade after decade, very little ever changes. It comes down to timeframe, cause I have taken shorts(intraday less than 60 minute charts) even though long term is up for me. I don't buy new highs, I am strictly retracement trader for adding on and counter-trend on new contract highs/lows providing they are so much away from nine year highs/lows. When in doubt, use futures options to hedge.
Yes I know your right it, strong trend on hourly also, ill see where it opens and try to position before meeting if the bias stays bullish up till meeting I can be flat so makes no odds what results from meeting are
I'm currently running a short position, average 1.3683 (20 ticks underwater now) with 33% of equity, 400:1 leverage. I've been running it for a few days against the trend started from the 20131107 low, anticipating a reversal and a move to retest the mentioned low over 400 ticks below. My game plan is to manage the position increasing the short on further up moves and reducing it on down moves. At this point given my position is overextended there isn't much room for increasing and any lightening up will likely be at a loss. FYI and to clarify my trading, the down spike that enticed you short I used to buy, lightening up the short I already had been running, for a profit. If you wish I'll update you on how it turns out for me.