It’s been a very good week for Combo Trading. Trades I sent out produced EURAUD 30 pips, AUDNZD 30 pips, EUR/CAD 30 pips, USD/CAD 50 pips, PIPS, USD/JPY -15 pips, and EURCAD 50 pips. If you took some profit on these trades, join me in calling it quits, not allowing the market a chance to take any back.
If you are still trading this week don’t forget – Tomorrow morning is NFP! A few things to remember:
1. Spreads can widen in a flash. Either get into your trade before the release, or plan to wait until the dust settles and spreads calm down. I recommend deleting all unopened pending orders.
2. Expect volatility. That means you have to change the way you enter and exit trades. If you have a plan and price goes there before you can get into the trade, just wait, it’s likely to slip back and give you a second chance. Regarding your stop loss, either keep it wide to accommodate volatility, or keep it very tight and plan to get into your tradable space more than once as price is moving around figuring out which way it will go.
My preference is to wait 10 or 15 minutes after the release and let the volatility spikes appear and let the spreads come back to normal. Then, if there is still a good place to enter my trade, I will, working that trade for the next 3 to 4 hours of the U.S. trading session.
3. Pairs I’m watching:
I am also watching EUR/USD, GPB/USD, and AUD/USD today to see if the present any patterns to plan for before tomorrow morning. If they do, I will send another text/email.
Have a wonderful rest of you week and weekend. See you next week!