Wednesday, July 6, 2011

Strong bias = dangerous trap

The strongly biased market of the last two days (sharp decline of the euro) made me trade whithout a safety net. Price went to -13 on the second trade (as the max. -10 stop was unefficient yesterday) and I was ready to close with a big loss, as the correction could drive much deeper. Suddenly the price scetched a local lower high and dropped like a stone! I closed at +5 and I couldn't believe I was on the positive side!
Not very professional trading, really...Like a newbie, again..

1 comment:

Obama said...

This is something very common with me because there are many times where I am hesitant in opening a trade but once I see it going in my direction then no matter how far it has gone I still ride it which is a horrible habit in most times because it can take a U-turn very fast and I don’t want to be against it. If I do this sort of trade then money management is necessary and thanks to OctaFX broker, it is really possible due to the massive bonus of 50% that we get.