Saturday, August 24, 2013

Bought XAU/USD (Gold) at 1378

Stop Loss at 1361. First target at 1422 for 2 days. After which I will let it run with a trailing stop.

After the third bounce at the downward trendline, it plunges down and came up to pierce the downward trendline. At that point, I shorted it for a small profit of 0.4R. At the time that I exited, it broke through the downward trendline strongly.

I anticipated  the break of the 1385 resistance and hence I decided to go long at 1378 while the risk is still small (1378 - 1361 = 17) vs (1385-1361 = 24).

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