EURUSD: stopped out, -38 pips

14.42 gmt

EURUSD has crossed my stop loss level, and I’ve closed it at 1.3213, -38 pips.

Will wait a while longer to see if I should flip – my gut tells me not to flip, since the DXY is getting strong. The weak EU trade still looks right from the overall picture shown by the other charts.

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4 thoughts on “EURUSD: stopped out, -38 pips

  1. Daniel

    Hi zen, when your stop is hit, does it mean that your system always generate a signal to flip or not necessarily?

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    1. ZenFXTrader

      My system rule is to flip when the stop is hit. This needs the stop to be chosen very carefully. On this particular trade my feeling is that my stop is not right – it should have been over 1.3220. Also, all the other charts, especially the DXY chart, is showing long signals, dollar strength, so I am watching a little longer before choosing a direction.

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      1. Daniel

        But do you not need to weigh the decision to flip by comparing it to whether your system has generated a valid signal if you were flat in the first place?

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      2. ZenFXTrader

        Hi Daniel, a clean break of a stop level is a signal to flip. In this case the signal is a little clouded because the stop was not well set, and the break of the stop is not clean / decisive. I could go long here in EU with a stop below 1.3175, but I am waiting to see how this candle closes.

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