EUR/USD Long Trade 17 Mar 2011

The time is shown in GMT+2. I was abroad when I made this trade.

EUR/USD daily stochastic has been bullish since 14 Mar 2011. On 17 Mar 2011, I was expecting EUR/USD upswing to continue. A buy signal would be given when EUR/USD made a stochastic bullish reversal on the 3-hour chart.

EUR/USD made a 3-hour stochastic bullish reversal on 17 Mar 2011 03.00hr 3-hour bar after retracing 76.4% of its previous upswing (yellow line 1).

I placed two trailing one-bar high buy orders (cyan square icon) and they were filled at 1.39291 (cyan triangle icon) on the next 3-hour bar. I placed the initial S/L order at 1.38600 (below 16 Mar 2011 18.00hr 3-hour bar swing low) risking -69.1 pips.

I placed the T/P order for the 1st unit at 1.40000 (below 15 Mar 2011 21.00hr 3-hour swing high) for a +70.9 pips potential gain and it was triggered at 1.40001 (green circle icon) on 17 Mar 2011 09.00hr 3-hour bar for a +71 pips gain.

I placed a trailing stop order for the 2nd unit after EUR/USD almost reached the Fibonacci 161.8% external retracement of the down swing (purple line 1) and 161.8% projection level (yellow line 2). I placed the T/S order such that the profit for the 2nd unit would be at least 2x the initial risk. The T/S order was triggered at 1.40725 (orange circle icon) at 18 Mar 2011 03.00hr 3-hour bar for a +143.4 pips gain.

EUR/USD moved +100 pips higher after I closed my trade!! Nevertheless it was a good trade.

Summary of EUR/USD Long Trade:

Entry date: 17 Mar 2011

Entry price: 1.39291

Initial S/L: 1.38600

Initial risk: -69.1 pips

1st unit:

Exit date: 17 Mar 2011

Exit price: 1.40001

Profit: +71.0 pips

2nd unit:

Exit date: 18 Mar 2011

Exit price: 1.40725

Profit: +143.4 pips

Disclaimer:

Trading and investment involves risk, including possible loss of principal and other losses. I shall not be responsible for any losses or loss profit resulting from trading or investment decision based on my posting and any information presented in this blog.