Trade Update - EUR/CAD Short

The Trade: EUR/CAD Short




Reason/Setup:
This trade was signaled on multiple setups. The main signal was given by the OzFX setup, and was also mentioned in the forum. I had both the AC and AO showing red and the Stoch moving down. I was a little late with my entry in the OzFX system.

The A-MACD and Elite setups on 4 hour charts also signaled a short entry. And the entry was made as soon as the signal was given in bot these systems.

Trade Details:

• Date Entered: April 15 2008, 4:20pm
  
• Entry: 1.6055
• Lots: 5
• Stop Loss: 1.6105
  
• Target: 1.5955

• Date Closed: April 15 2008, 10:30pm
  
• Result: Pair hit stop loss.
• Total Pips: -250
• Profit/Loss: $245.42
• Rating: 4.5

Comments:
It was very unfortunate that I got stopped out on this trade. I had placed a 50 pip stop loss. But with a 10 pip spread, the stop loss was just 40 pips. And soon after I entered the trade, the pair moved higher and just managed to hit my stop loss. The fact that I entered the trade late on the OzFX setup did not help either. Soon after my stop was hit, the pair proceeded to move lower and move past my target point.

With pairs like this where the spread is larger, I should place wider stops and reduce my position size accordingly. A stop of 75-100 pips would have definitely helped me end this trade on the green.