Friday, November 14, 2008

11-14 Take Profit

This is yet another entry to show that you do not have to know which way the market is going to be profitable. The USD/CHF pair was consolidating through the early trading day and had formed a nice dealing fractal. When I opened up the chart, I saw that price finally broke above. Although the 1 hour candle had not closed and we were only 20 minutes into the candle, I moved to a lower time frame and the 5 and 15 min. candles had closed above my TSR level. On a pull back I grabbed 24 pips. I took my profit because the New York session was just getting going and I kind of traded this set up to once again prove to myself that price behavior does this over and over. My mindset was in the moment of catching price doing what it does "most" of the time in this situation and it paid. After I exited the trade, the pair proceeded to come back into the range and continue opposite the way I traded. Once again it proves you don't have to know the direction to be profitable.