F-Forex, Diary of a quant forex trader

High Volatility Trade

New day now, i am in the london-ny overlap, my favorite time of the day for day trading the euro dollar.

I see a downward momentum for today, i also noticed that Europe is concerned about Greece and also Portugal, this can hurt the euro today and also it can hurt the US stock markets.

Now that i have my overall move , i am waiting for some reason to get in the market from the short side, i got a what i call “support becoming resistance” pattern so i am getting in.

Market trading a little higher than the support point, still “normal” to me but be careful.

Starting to see some high volatility, still concern on greece and portugal, market big indecision.

Market finally made a decision and it is now trading lower as expected initially.

pulling lower, i am close to close the position:

getting out:

Entry time: 9:24 EST
Exit time: 12:00 EST
Pips made:  64.3

Tags: eur-usd, greece, portugal, volatility

Downtrend correction in the euro

Euro trading lower during tokyo and london sessions( Greece deficit worst than feared affecting the euro zone),  now in early US a i am expecting for some pips of correction.

I found what it can be a reversal, i am targeting 30 pips only on this trade as its against the trend.

Using the 15 min charts:

2 minutes after the big players see this as a reversal point too and push the market higher.

2 minutes only inside the market, 30 pips of profits.

Tags: correction, eur-usd, greece

38.2% Fibonacci retracement

During a little downtrend, the market start to show some retracement so i added fibs to the 1h charts.

Market is now sited in the 23.6 levels, i am waiting for some more climb to the 38.2 during overnight, this picture shows what was happening on late US yesterday.

In Tokyo and early London market climbed to my alert target of 38.2 and started to reverse, i was sleeping so i don’t have an exact entry, however i am still on time as i expect the market to get down close to the 0% fibs.

I am now in the New York – London overlap, the time of the day where the most volume is on the trade. Starting positions to the downside(1 lot), using the 15 min charts now, if this little consolidation is broken to the downside i will scale my position with another lot.

Market getting lower, added another lot:

I have now around 25 pips on each lot, i  can leave one lot to see if  i can earn some more pips but this time i prefer to close the entire position with a 55 pips of profits.

The less time i am inside the trade , the less stress i feel trading, trading is very stressing to me so i always prefer short trades, however sometimes i have positions open for days.

Tags: eur-usd, fibonacci, retracement

Pattern Reversal

Immediately after the W pattern i just traded the market is ready for a correction, remember, most intraday market in euro-usd is bound range, short term moves are generally corrected sooner or later, this time the correction is happening right now and i am going to trade it.

I will be trading to ride this little downtrend until the W bottom from last trade.

This levels are ok to take profits, i checked smaller timeframes and i am loosing some strenght, 20 pips of profits, good enough.

The market is an endless phenomenon, if i can trade it from one side and to the other all the time that will be great

Tags: continuation, corrections, eur-usd, euro, market correction, w bottom

Quick Pullback

This is the perfect pullback with a really confirmed entry signal given with stochastics and with candles hanging the reversal levels, i am targeting 30 pips on this trade, check the entry:

i used the 15 min charts, stochastics were coming back from the oversold levels and i was in the middle of a forex correction from a lower level.

immediately after my entry the market reached the 30 pips i was targeting, the limit position was hitted and i found myself out of the market:

Tags: eur-usd, euro, Forex Trading, pullback, quick pullback

The trend is my friend

As all trader now, the trend is your friend, so lets use this downtrend formed i nthe 15 min charts to get inside a trade.

Forex intraday haves corrections but in general, if the trend have some strength odds are for the trend to continue, not for a reversal move.

I am trying to get a 30 pips movement here

Limit hitted, 30 pips earned:

Tags: downtrend, eur-usd, euro-dollar, forex, the trend is your friend, trend

Correction Rally

Market reversing from last lows, i call this pattern “Correction Rally”. This corrections are done by market participants to catch all the shorts around, market will pull higher until all stops and all newbie short traders are out.

I am taking adv of this behavior to make myself available entering the market with a long position, i also add a profit taker limit trade of 30 pips.

Some consolidation,  this is happening because i didn’t waited for pullback, i just got in as soon as i recognize the pattern:

As the market don’t goes down, it haves to go up with a large candle, profits are reached and i am out.

Tags: correction, correction rally, eur-usd, rally, uptrend