Maybe's diary

[maybe]

Hey all, seeing as I've gotten so much great info from this forum I thought I'd start to contribute back a bit. I just want to state for the record that I am not an expert on anything forex related and taking my advice is not advised. I am however, trading these trades on a real money account.

 

Anyway the 1st trade I'd like to post is this possible bearish break on EURUSD on the 1st of December, 2010. The screenshot kind of says it all. If the price breaks the support by more than a few pips, my pending order kicks in. The reason I think it will be a break is fairly clear with the consolidating triangle following the bearish downtrend and the price bouncing off the middle bollinger band.

 

This said if it broke the upper bollinger band or 50 sma, then I would be willing to trade bullish, but since I don't want to stay up all night watching the price, I'll only make the bearish pending order as I can't predict at what price the 50 sma will be at when/if the price breaks.

 

I'm setting my tp and sl to just above the next and previous resistance levels, roughly a 1:1 risk ratio. Finally a look at m30, h4 and d1 confirms that there is no major support I am trading into, so I'm satisfied with the probability of the trade.

 

I am perfectly aware that this trade will most likely not happen, the price is a major support level on the weekly chart. This is also my concern though, as I'm worried that the price will not fall through enough to hit my tp, but will just trigger my order due to the vagueness of the weekly support. Anyway, I'll leave the trade there for atleast a day until it gets triggered, and we'll see what happens!

 

http://i.imgur.com/H1F6g.gif

 

The indicators are 30,50 and 100 sma, and bollinger bands.

[maybe]

This is in the wrong forum, sorry, I'll repost in the journal forum. If a mod could delete this it would be great.