2/3 In the monay!!
1 December 2012
Hey everyone, so I traded 3 times yesterday, with 2/3 ITM. I got a bit of a late start since I had to run a few errands. The market was a little slow, but I still found a couple good trades in there. My first trade was great, and that’s why I traded with a bit more money than normal. To me it was a higher probability because I had several things pointing to a put. Price on the AUD/USD had recently been in a downward trend channel, and I waited for price to move back up and touch the channel line I had drawn. Once price hit my channel line, I waited for it to close to make sure it wouldn’t push though. Well it didn’t push through so I waited for a reversal candle; also price was a good distance from the EMA. The value chart indicator was already above the 106 level for quite some time before price actually dropped back down, and this is why I don’t base trades off the value chart alone. The value chart serves as a confirmation for me, AND it alerts me for the POSSIBILITY of an upcoming trade. Once price found resistance from the channel line, a reversal candle formed, price was far from the EMA, AND in an overall downtrend, I then looked at the value chart to see if it was above 106 or 108. When that happened I placed a 30 min PUT and it was ITM by around 4 pips. I market my entry point the best I could on the chart for y’all to see.
My second trade was based off the 5 min chart and was with the EUR/USD pair. EUR/USD was staying relatively close to my EMA, so instead of taking 30min expiries, I took 10min because the pair wasn’t very volatile. So I got an alert from my value chart that price made a significant upward movement in a short time, so I waited until all my rules were met. Pin bars play a large role in my trading because they tend to be very reliable depending on how strong the pin bar is. Here there was a nice pin bar that formed, and price was away from the EMA. Another thing to note is overall price wasn’t trending strongly in any direction, so I was ok with placing a put on a slight uptrend. My final confirmation was the value chart and since price did make the chart spike through the 108 level, I placed a PUT. It was ITM by about 5 pips.
My third trade was a turd because I paid too close attention to the 1 min TF, and I don’t normally do that, not sure why I did this time. Obviously you can see on the 5 min chart below that there was no trade, at least based on my strategy. Anyways on the 1 min TF I drew a trend line that price seemed to conform to, and on the third touch I placed a CALL. On a 5 min or 60 sec expiry it would have been ITM, but in MW I only use 10, and that didn’t cut it. I WILL NOT look at 1 min charts for 10 min expiries, 5 min expiries yes, but not 10, too many false binary options signals. I’m still working on my patience; it still gets the best of me sometimes lol. Hope everyone has a great weekend.
