After the challenge of week 4, this week provided some much needed "easy trades".
The first three trades where LT swing trades inline with the fundamentals as per last weeks trading plan. As news flow developed and some big option orders hit the market and the EUR slowed and basically entered ranging mode for the rest of the week.
This presented the opportunity to take some short term daily pivot trades and play some of the economic data releases.
Overall the week turned into one of those rare unicorn weeks where I finished with six for six trades going my way and overall growth for the week a very respectable 31.97% (that's what myfxbook reckons I calculate it at 28.77% perhaps they calculate it gross)
I've seen this plenty of times before where the price move all crazy during those few days, then gets banged back down on Monday only to resume the trend the next day. Whatever you plan on doing this week be careful.
The USD index is likely to weaken on the low volume trading, unless we get some major news or unless the fed jacks up the discount rate (unconfirmed reports last week of a special fed meeting for this week) this could be interesting!
Looks like we are in for a rainy week here in Paradise, so I'm not sure what the surf will be like here, lucky I have plenty of books to catch up on!
If we can get a short squeeze I fully expect it could rally as high as 1.0950 before getting the smack down.
I'm happy to start adding shorts on a break of 1.0660-70 range adding as the price move higher.
I like buys in this around parity but I'm not sure it will get back there. I currently hold one long from around 1.0015
GOLD was trading very heavy at the start of the week and now looks like its primed for a break below 1080, if that breaks it shouldn't meet much resistance until 1040 zone.
Although I'm not a massive fan of trading Gold through CFD's as its a synthetic product and the market makers tend to let prices diverge during off session trading.
I would be happy to sell GOLD on a break of 1080 maybe just not with the #SAC stake.
If it managed to get down that low I would expect it to be pretty well supported at that level as large buyers step in...how long that may last its anybody s guess. I would not want to be long at these levels.
As with the GOLD trade idea the preferred method of exposure this trade would be through the futures, however as this is the small account challenge, I don't have the #SAC stake build up enough yet to trade futures.
I Liked a short on copper on a break of 2.20 targeting 2.00. If your not short this from Mondays idea already forget about it and move to another idea
Most traders start with between $2,500 and $10,000 trading capital the small account challenge is about growing a small account both in percentage and dollar terms.
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