Live Trades Number 24 & 25 – ANALYSIS and RESULTS

Filed under: Live Trades |

Well, here we go again. We had two trades yesterday and yet again, one was successful and one wasn’t. The one that wasn’t was the trade on the XAG/USD pair, which is the pair for silver. This was a pin bar setup that just didn’t come off as momentum was too strong. However, the trade on the AUD/CAD forex currency pair did come off very well indeed, and I would like to talk you through that trade right now.

Figure 1.

If we begin by looking at Figure 1, you will see that there is an incredibly nice level of resistance near the top of the chart, which has been perfectly respected on five separate occasions.  This was a great area to be looking out for any price action setups on the daily, 4-hour, and 1-hour charts.

 

Figure 2.

Next, if you look at Figure 2, which is the 1-hour chart for the AUD/CAD pair, you will see that price had formed a bearish engulfing pattern right at our level, and it had made a similar pattern just a day or so before (which we also tried to make a trade on but our order was not filled!). I put an order in here at a 50% retracement of the bearish candle, and set a stop loss just a few pips above the high of the move. A target of two times our risk was also set.

 

Figure 3.

Figure 3 shows that this trade was successful and our target was met for a 2% rise on our bank. Price did move close to our stop momentarily, but the bearish engulfing candle proved to be a very strong area of resistance, and price subsequently moved down very swiftly. That’s it for now, and hopefully we’ll have some more trade alerts throughout the day (although the market is fairly quiet so far…). Here are the official results:

 

Starting Bank = 10,000 GBP

Trade 24 = +202.18 GBP

Trade 25 = – 89.13 GBP

Total profit/loss = + 400.19 GBP

Current Bank = 10,400.19 GBP (+4%)

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>