Yes I had a great beginning of my currency day trading week, I profited because I was on top of the news. I was following the news about an other country's trouble. Greece is at risk of being declared bankrupt because they can not pay off their outstanding debt as a country.
This news although very bad for Europe and the Greeks, was a great time to be day trading the currency market. I knew that the dollar would gain on this grim outlook for Europe. The pressure on the euro was high, which was reflected in the volatility of the market.
Using my own Forex day trading system, I started trading the USD/EUR pair. I traded a total of 13 times. At the end of my trading day (Monday 5pm GMT) I realised a profit of a staggering 87%. Not all 13 trades were profitable, 5 were losing trades. I even had one trade hitting a 62% loss. But the total still amounted in a superb profit. What a great start of the week. I was excited.
The next day went on to be volatile, not like Monday but it was a nice time to trade. Again ending the day at a high profit of 58%.
Wednesday a day of 9 profitable trades vs 4 losing ones the total 63% profit. I was having a great week.
Thursday I wasn't trading, but Friday (for me today) I was. Wat started as a great trading week almost ended in a losing one. The market was super volatile today, the euro under tremendous pressure dropped. In a mere 4 trades I lost all of the profits I got from the week.
At the moment of closing the 4Th trade I paused and was recapping what went wrong.
It was simple I was caught in the wrong position going against the market and because of extreme volatility I couldn't close the trade on time. In mere seconds the market shifted 10pips up and down.
So I adapted, switched my platform to "one click trading", this means that with only one click I open or close a trade without the platform asking me if I am sure. The next thing I changed is that I wouldn't be trading against the market, the market was simply to volatile for this strategy.
So I waited on the moment that a great drop was followed by a great correction and jumped in at the end of the correction going with the market. And it was a success, the euro dropped in a leap. A minute in the trade I closed it with 77% profit and repeated it another 3 times till market end. Totaling the week with 112% profit.
Although still a superb profit, it could have been a devastating week. So be sure to stop and smell the roses. It is really needed to constantly asses what you are doing and don't get caught into thinking that you are on a winning streak. The winning streak could change in to a swirl of loss in mere seconds. Remember that Currency Day Trading is all about strategy, reading the market, discipline and following the news.
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