Whee! I hit a few limits today!

Yesterday, both John Hyland and Jordan analysed the EUR/JPY trade I was in - the verdict, I'm using the Fibonacci retracement, but then I'm placing my stops too tight - I need to allow a one-range or two-range space for the trade to play out.

So last night, during class, I shorted the EUR/JPY again. Made a small, but delightful profit. This morning, I awoke to find that the EUR/JPY was now on an uptrend. Given that I had the exact same Fibonacci retracement beautifully depicted on the hourly chart, I took that trade long.

Here's the analysis:

Hourly timeframe:

I got in at the green circle at 6 a.m. : bought 10 micro-mini lots at 156.5 with a stop lower than the 0% Fibonacci line at 154.4 and a limit above the 50% line at 157.05. I should probably have trusted that the trade would continue past the 61.8% line at least, maybe even past the 78.6%, but I didn't want to take that chance, so this is the trade I took.

Voila: A few hours later, at work, I got notified that something got exercised. I checked - for a thrilling change, it was the limit, locking in a nice little profit. Of course, I could have had a nicer profit if I'd trusted my analysis, but I wasn't sure that this was not just a short retracement. In the bigger picture, I'm sure all the trading activity since Monday was nothing but a short retracement, too, but this is the timeframe I'm trading on, and I like the way this trade has worked out for me.

Of course, I'm going to keep watching this EUR/JPY currency pair on the hourly timeframe. If my analysis is correct, then, assuming the current dip is a mere retracement, we're in for another healthy uptick: all the way to almost 162.00 - that's where the 78.6% line is for the larger-scale M-to-M Fibonacci retracement on this hourly chart as you see below:




So, I'll be watching this trade this evening. If it starts to trade significantly above 159.5, then I'm going to go long this trade again and set a limit just below 162.00. Let's see whether that plays out as currently planned.

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While that is all going on, I'm also analysing the EUR/USD for a potential trade.

On the hourly timeframe, I'm seeing what looks like a nice opportunity for a kiss trade:

Unfortunately, when I tried to confirm on the 15-minute time-frame, it's got the parabolic SAR above the candlesticks, indicating a temporary down-trend:



So I guess I'm just going to sit here and watch this currency pair and wait for the parabolic SAR to tell me it's okay to go in and buy and then wait for a nice long run upward.

I hate waiting.