Good day traders!
Trade Update: 5th November 2010 7.03 pm. No trades taken yet as there was no support at the level that I wanted to buy which is at 1.416. The pair however managed to go down all the way to the 21 ema on the 4 hour chart and that is acting as support right now. I am waiting to see whether this support can hold or is the pair headed lower to the 1.405 level.
The euro rally against the dollar met with strong resistance at the 127.2 fibonacci level at 1.4443. Based on the graph above, the price should correct all the way to the 100% fib level at 1.416. I am planning to go long at those levels only after a confirmation signal from candlesticks formation, i.e. Bullish engulfing candles, doji, etc. My target for this trade is the 161.8% fib level at 1.44 to 1.445 region, again looking at price action from candlestick formations to guide me along on when to take the trade out. stop loss at 140.8, just below the shadow on a candle on the 4 hour euro dollar chart.
Lets see how I fare traders. Be it you are a Singapore based Forex Trader of from other countries, I would love to hear your comments. We learn from the success as well as the mistakes of others and I hope that I can contribute to the learning of other traders too. I have received some emails and comments from other traders and I am happy for that. Thank you for your support and great comments. It does make my day. 😛
Lets see how this trade works out my fellow forex traders. I will continue to chronicle my episodes in this humble Singapore Traders’ Blog, be it a win or a loss.
So far, the market have been kind to me but I know there is always a bogey trade right around the corner which would require me to practice my trade management and stop losses.
To your trading success!
Singapore Traders’ Forex Blog