It has been a very long day and I am exhausted, so I will try to keep this short. There is not much new to report really. The trades remain red. We were in the green overall before the FOMC minutes, but I left the trades open as I felt the minutes would support us and get us better profits. Unfortunately, they had the opposite effect and I was wrong.
I have some thoughts on the situation:
Despite the weak UK data, the cable rose and broke 1.5250 but it failed to challenge 1.5330, which tells me there is a high likelihood that this is the result of people profit taking on the USD and the downtrend may resume tomorrow. I’m going to take the wait and see approach on this one.
The USDJPY position, I am less worried about and am convinced that the way is up. I’m so confident that I have an small order for a buy at the support level of 122.89, just in case it touches that level before climbing again.
With regards to these positions, I really had hoped that they would be green by now, but I guess I will have to watch them for a bit longer and then decide whether to close or hold over the weekend. I usually do not like to hold over the weekends, but there is a wealth of US data next week that is forecast to be very strong including:
Revised upwards GDP, PMIs, Personal Spending and Consumption, Consumer Confidence, Home Sales among the few.
If it seems to make more sense to hold, and I see value in it, I may decide to do this. The key thing is that I remain confident that these may turn into profitable trades again.
Looking back over the events so far this week, I guess where I went wrong this week was when my original plan got thrown off. I usually like to start my trades as soon as the market opens on Monday morning, but on this occasion, none of us could on Etoro. I am not trying to pass the blame off here, but from reviewing the way the week went, I can see now that I had I been able to do my USDJPY and GBPJPY buys then, things would be far different now. But I guess no point dwelling over the past, as one can never change it.
Furthermore, I would like to thank the Etoro community for their continued support. Its really heart lifting to reach the notices of faith and encouragement on the forums. Thank you all so much.