During the the last week or so, number of possible trades have been outlined here. Most of them were using little longer, intermediate term charts, namely the 4H graphs. That is what I consider “intermediate term”, but this definition simply reflects my trade selection horizon. For somebody else this term could describe daily charts. In principle, though, “intermediate” is typically longer than 24 hours and normally spanning few days, either waiting for the trade to happen or holding the position.

One of those was a long in GBP-CHF, mentioned in Will the Pound rally continue? post. The set up was an upside breakout, above the resistance established at 1.6220, with my specific buy order at 1.6230. Objective was as much as 250 pips. After few days of waiting, this trade was finally filled yesterday at the intended level.

Today, on Tuesday, during the European session, this pair made a nice run and reached as high as 1.6370, before pulling back some. Since my trading was relatively flat recently, I decided to book the profits and closed the transaction just before the New York session at for 104 pips gain. From the perspective of the price action today, it was a good exit, but premature when compared to pre-trade objectives. This pair is still a buy, using 1H chart, for another 100-120 pips above today’s high.

Last week couple of trades in the EUR-CAD were discussed here, with the second one on the losing side. After that new possible entry was discussed if the price moved into a circled area and created a strong bullish reversal candle. That’s what happened on Monday. The EUR-CAD touched the 100 SMA, often a support, and formed an engulfing line, the buy signal. Entry took place at the open of the next candle, 1.3426. Decent rally followed and the trade was closed at the same time as the GBP-CAD, for 140 pips profit. Here also, more trades are sought using the hourly chart.

At the start of the week, a possible short trade in AUD-JPY was discussed. Price moved away from that sell point, so I looked for a short on that rally. Late Monday, this pair came close to the previous high and stalled. Since the risks were relatively small, I sold AUD-JPY at 79.09.

This trade was also held until just about New York session started. At that point, the gain was good, 82 pips, decent exit. Right now, the original sell order at 77.17 using 4H chart is still valid, but I will look for smaller down moves on hourly chart as well. So, Tuesday turned out to be a good day. With any luck, the rest of the week will be similar.

Mike K.