I shorted the FTSE last night seeing the bearish pin bar. I was a little cautious because the trend was still up so I knew that it was a higher risk trade and the market looked like it had lost momentum on the long side. However, I was wrong today as the market rallied and took out my stop.. Oh well, such is life in trading.. upwards and onwards!
The below chart shows what happened to the Euro (or EURUSD) forex pair on Friday.. the price action had plumetted shortly after the pin bar (as highlighted in blue). I was actually a day late with this trade but the price was pretty much as the same level of the close of the Wednesday bar so I shorted it. My initial target was the previous support level 12885. You can see that the price hit that yielding me 50 pips but it also continued to fall.. there was another 50 pips in the move.
I finally closed my Crude Oil long today and made a nice 120+ points.... a good trade but it was also a fascinating experience for me with regards to my trading emotions. I mentioned that it was a premature entry which I had made on the 25th October - exactly a week ago. I was overconfident due to a pretty good week trading and put on my crude oil long at 8600. I hadn't waited for a confirmation for my entry so psychologically wise, I wasn't best pleased with myself. However, I had committed
