Closed UJ short at BE+1

6.56 bst

My reading of the USDJPY is that this pair doesn’t want to go lower – it is very well bid. It may go lower in a stop hunt to perhaps 98.20 at the most although I think 98.50 will  stop it. However, that will be very temporary and a good place to go long. On the other hand the risk is that if this pair starts climbing it will definitely tackle 100 again and this time it may go through all the way to 101 and higher.

I have therefore closed UJ short, as follows:

Closed USDJPY at 98.96, + 1 pip.

My system trade is still short, although the next candle could very well turn it long too, unless we have a plunge down below 98.60.

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9 thoughts on “Closed UJ short at BE+1

  1. Hans

    The only thing that s$cked about this trade was your entry. I wonder. I never see you do partial entries, how come. Especially with ranging markets, getting in with like 30-50% and adding to a certain predefined point ahead of your stop gives you more play room, and allows you to take advantage of the inner swings while waiting for it to go your way. Your stop was good enough to have made this a risk free trade.

    Interested in what your thinking is here … if I am clear enough about it that is 😉

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    1. ZenFXTrader

      Hi Hans: Thanks for your comment. My usual entry rules require confirmation, that is why it seems the entry is ‘late’. Late, but higher % are profitable. I am trying out entries at key S/R and Fibo levels, these sometimes provide great entries, but the % getting stopped out would be higher. I don’t use partial entries because it tends to lead to over-trading and also each trade needs to be managed which simply increases the trade-stress. In ranging markets, I would rather try and pick edges, i.e. key S/R levels and trade off those.

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  2. Hans

    Thanks for you answer. Well, I guess I can’t fault you for keeping it simple. Although I view such an entry as 1 trade. e.g in this case. entry 1 at 99 entry 2 at 9880 stop at 9960. entry 2 gets stopped moved to +20 as soon as it reaches +-40. Rinse – repeat.

    Like always , to each his own

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    1. ZenFXTrader

      Exactly Hans. I’ve tried all kinds of approaches before, from simple MAs to complex indicators and I have now come full circle. I want a strategy that is simple, easy to execute, robust (i.e. works in most kinds of environments) and consistently profitable on a monthly basis. The system I am following now meets these criteria.

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  3. Jones

    Hi Zen, I know you are not a fan of indicators but one indicator I highly recommend is the RSI. All 3 of my trading systems are based on some kind of original/customised RSI. I’d say most indicators are lagging but RSI is definitely leading. You just have to get the settings right, e.g. try smoothing the RSI on a H4 time frame and you will discover many trading opportunities.

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