Here’s a nice sequence of trades that took place today using a 9 pip rangebar (Quantum Leap Plug-in for MT4) on the EURUSD.
- First trade set up around 9 am exchange time. Triggered short at 3564. It hit it’s fixed target at 3541 for a net of +21 pips . The trailer came off at 3552 for + 10 more pips. Net result of this trade was + 31 pips.
- The second trade was an attempt to reenter on the short side. It couldn’t really get on track but the dynamic stop pushed down to cut risk and then we actually reversed position to get long. The net of this trade was a small loss of 17 pips x 2 positions = – 38 pips after spread.
- The 3rd trade demonstrates how the SSTFX works. It shows how the edge of our trade system is where we make our money. The SSTFX recognized the change in market conditions and quickly cut the risk on the losing short trade, and put us into the long trade at the best possible moment, allowing us to pick up an excellent move. The first setup captured + 112 pips, after spread costs.
- The 2nd part of the trade, where we take advantage of increasing price momentum, allowed the trade to win an additional + 96 pips!
This example, which happened today, exemplifies the power of one of our key ‘summits,’ the ability to ‘scale and trail.’ In fact, it encapsulates so many critical aspects to successful trading. It shows how sticking to the tradeplan and treating your trades as individual ‘business transactions’ is where the real money is made. Losing trades can not be avoided. Instead, we seek to mitigate their damage with a smart mix of traderules, discipline, knowing when to quit and a trade system that puts the odds in our favor on every trade. The NET result is what counts.
EURUSD 9 pip Rangebar: Today’s session netted + 201 pips!!