USD/CAD B 1.3119, 1.3114, 1.3051, 1.2969 Limit 1.3270
EUR/AUD B 1.7265, 1.7088 Limit 1.7330
NZD/USD S .6561, .6640, .6744 Limit .6562
EUR/GBP S .6690, .6707, .6754 Limit .6650*
GBP/JPY B 200.10 Limit 204*
Closed Trades
USD/CHF B 1.2500, 1.2401 Sold 1.2635 +135, +234
EUR/USD S 1.2370 Limit 1.2250 +120
EUR/CHF B 1.5328 Sold 1.5420 +92
*I had a minor epiphany about my reversal system over the weekend after mulling over old account statements. I realized that I could trade much less and make about the same if I eliminated shorting the higher yielding currencies and bought them at cycle lows. So I will hold EUR/GBP and GBP/JPY until they reach daily reversal signals rather than 4 hour ones. And I will not be entering trades such as long USD/CAD, short NZD/USD, long EUR/AUD anymore because the overnight interest is slightly cost prohibitive and increases my risk of carrying losing trades overnight.
For those of you not sure what I am talking about, I receive overnight interest when I am holding a currency which has a higher interest rate than the currency I sold(and vice versa, I am charged interest if I sell the higher yielding currency). For example CAD has a higher interest rate than the USD so if I buy USD/CAD I am charged an overnight interest and this accumulates day after day as I am waiting for a reversal signal. If I simply sold USD/CAD on the last reversal signal I would be sitting on a huge 900 pip profit now in addition to interest accumulated from mid-May(about 5 dollars a night per 100,000k). This kind of return on a single trade illustrates my point clearly. Now compound this by the 9-12 currencies I trade on a 4 hour basis and you will see why trading with the interest rate trend is only one more filter to increase my profitability and MANAGE MY RISK better. Which was the main reason I began posting this thread in the first place! So, I guess, mission accomplished!
