The fundamentals over the past week have been coming out as strong catalysts for bullish momentum on the DXY to continue. Therefore, I am currently still looking for SHORTING opportunities on XAUUSD. So if or when price returns to 1940 / 1945, I will be paying attention to price action as it develops and if it starts to look like buying pressure is fizzling out, I will be executing my short positions from these areas.
I am keeping my risk very minimal on both of these orders at only 10 pips, reward is going for 218 pips on the first potential setup for a 1:21.83 RR and the second setup is going for 268 pips for a potential 1:26.8 setup.
I am expecting the 1st setup to potentially fail because it is so close to a fair value gap that was left by the imbalanced selling pressure left after the FOMC meeting yesterday but there is a small risk on the setup so I will take that risk.
The best thing that I have done for my trading is stop trying to trade every single day and wait for the setup Tuesday-Thursday only.
I keep my risk to reward at a 1:10+ so if I lose, I lose small and when I win, I win big.
At this risk to reward, I can hit 9 stops in a row, then hit one target profit, and still be profitable.
The hard part is moving through those losses and not letting it shake my trading fortitude.
I've learned that win ratio is not the most important key performance indicator when you are trading.
99% win ratio sounds better than a 13% win ratio to inexperienced traders but if that 13% win ration has a much higher risk to reward than that 99% win ratio, then the trader who has a 13% win ration will be the more profitable trader.
With that being said, if you decide to take this trade, please do not risk any more than 1% on either one of these setups.
A tight stop loss is great and can be enticing to risk more, however, the tighter the stop loss, the more often you will hit that stop loss.
Please trade intelligently.
I am keeping my risk very minimal on both of these orders at only 10 pips, reward is going for 218 pips on the first potential setup for a 1:21.83 RR and the second setup is going for 268 pips for a potential 1:26.8 setup.
I am expecting the 1st setup to potentially fail because it is so close to a fair value gap that was left by the imbalanced selling pressure left after the FOMC meeting yesterday but there is a small risk on the setup so I will take that risk.
The best thing that I have done for my trading is stop trying to trade every single day and wait for the setup Tuesday-Thursday only.
I keep my risk to reward at a 1:10+ so if I lose, I lose small and when I win, I win big.
At this risk to reward, I can hit 9 stops in a row, then hit one target profit, and still be profitable.
The hard part is moving through those losses and not letting it shake my trading fortitude.
I've learned that win ratio is not the most important key performance indicator when you are trading.
99% win ratio sounds better than a 13% win ratio to inexperienced traders but if that 13% win ration has a much higher risk to reward than that 99% win ratio, then the trader who has a 13% win ration will be the more profitable trader.
With that being said, if you decide to take this trade, please do not risk any more than 1% on either one of these setups.
A tight stop loss is great and can be enticing to risk more, however, the tighter the stop loss, the more often you will hit that stop loss.
Please trade intelligently.
Seeking mentorship?
Join The Hyena Hut and learn exactly how I approach the charts. Contact me on Instagram if you have any questions :)
Join The Hyena Hut and learn exactly how I approach the charts. Contact me on Instagram if you have any questions :)