Thought I’d do something a bit different from my usual retrospective trading reports. Just took a trade (well, entered it a couple hours ago) and thought I’d post my reasons for getting into it and what I hope to get out of it, then once its finished go back and review it. This trade is a bit of a continuation of a trade I took yesterday, and I’m hoping to get a similar reward to the price movement that happened in that trade.

Yesterday I entered a long position on the GBPUSD after getting a trading entry signal of the bullish engulfing candle coinciding with the other G7 indicators. I set my stop loss to 10 pips below the opening price of the bullish engulfing candle. As I was going to be at my desk, I let the trade run rather than set an automatic take profit. As the trade got up to the 38.2% Fibonacci level I started to meet some resistance and after a couple hours it hadn’t managed to break through that resistance level so I took my profit (just over 130 pips). A few hours later, the price retraced quite a bit.

A couple of hours ago today, there was another candlestick pattern that I thought would be useful to trade off. This is the trade I am currently in. The trade has been running for two hours now and I’m up about 40 pips. I’ve set a take profit level on the 38.2% fibonacci level, and that’s about 70 pips away from my current position. So far things are looking good; I’ll post again tomorrow to let you know how it worked out!