My short EUR/USD position that I took the day Fed announced the 10B taper decision was stopped out at +20 pips. It was very obvious that this trade was taken based on some strong fundamental reasons. As tapering means higher interest rates and on the day of the announcement the yields on the 10 years US Treasury went up to 2.89% and this means US dollar strong across the board.

I didn't entered right away after the Fed announcement but instead I was waiting for the market to calm down and to come to me, and after the initial whipsaw I decided to put a limit order below market price and let the market come to me, it was a very conservative approach (see Figure 1).


  • Figure 1. EUR/USD 1h chart.

My first target for this trade was at 1.3600 but missed it by 23 pips, and at one point I was more than 100 pips in profits. I didn't expected the market to reverse so strong and after the initial push up I decided to move my Sl above Friday's high and look in 20 pips in profits, in case I was going to be hit. The 1.3620 was proven quite a strong support so far. Maybe my SL was at too obvious spot but I didn't wanted to let a winner turn into a loser.

Best Regards,
Daytrader21.
Translate to English Show original

Since you are not logged in, we don't know your spoken language, but assume it is English
Please, sign in or choose another language to translate from the list.

– or –