What an ugly volatile day on VFI … +20-9pips = 11pips

Today I have been trading both morning and afternoon session. During the morning session I have spotted one W formation with unusual structure on GBPUSD. Even the formation didn’t have the usual shape I decided to go long for several reasons.  On MA50 there were FOUR bounces back of 1.5380 upward. After the fourth bounce the volume started to add up creating new higher highs quite fast. I have entered after small retrace. The battle wasn’t over. Position went against me in several occasions and every time it bounced back to towards my direction I have tighten my stop loss. I got to the ratio of 10pips risk to 20pips profit. With that I was pretty happy since I saw that there is still some room to go higher. I had to leave my computer since I had other business to do and returned three hours later. My position hit take profit and was able to net +20pips.

Second position happened about half an hour ago. For the whole afternoon session I have been following GBPUSD but missed the entry long at 1.5448 so no trade there. In a meantime an opportunity developed on EURUSD. Again, unusually high volume and W formation not exactly by the book :). I have entered on retrace and in a matter of few minutes the price jumped 10pips in my direction. That is a nice jump up on one minute time frame. Anyway, in the same manner as it jumped up it quickly jumped back. My target was 20 my sl was tighten to +9pips. Unfortunately the price reversed very quickly and from +10 jumped to -9 where I was stopped out. I sometimes forget that during volatile markets it is slightly different strategy. You either have to have bigger target but also bigger stop-loss or smaller target and then you can tighten the stop loss. I did the opposite today. I had big target but tight stop-loss. Well, you learn every day in this business 🙂 and thats why I love it. Looking at the one minute chart it was an ugly volatile day. No trades at the moment on T3. It is over for today VFI trading.

My trading session is over today but I will be watching later some developments since the EURUSD jumped up (as you can see now, wider stop-loss would made my day with 30pips in the house). My eyes will be on T3 later in the evening so if I spot something worth a trade I will try to post it. Have a nice day.