Friday, May 15, 2009

EUR USD- 05:39ET-Bad Trade

4.7 pip gain on a 10 pip stop.

Missed the first entry in the sequence. That influenced my decisions in the second entry...good entry slightly too wide with the stop, taking the size of a 10 pip stop but immediately trailing it up to 8. The error came in trying to take gains according to ratios between 1) My entry and stop and 2) unrealized profits rather than my entry and suitable stop for the setup-which hit the target as it regularly does- vs unrealized profits.

So really should have been taking gains as the momentum slowed rather than waiting for the market to excuse my poor size management and give me more than my risk.

One positive is that I didn't wait in the hope that it'd continue (which it did, but the outcome is irrelevant..)

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