Hello traders,
Here is a trade that closed today. With the retarded changes in the NFA rules, I was playing musical brokers, trying to find a broker that would offer any sort of decent leverage for these pivot strategies. I was thankfully able to secure a live micro account at FXCM UK and I am very happy with it. Hopefully the Brits maintain their sensibilities when it comes to regulation of the forex industry. I can finally start trading some pivots again!
I could trade pivots at a US broker with a max 100:1 leverage, but it is riskier because more capital goes to margin and I would have less of a buffer to stay in a trade. It’s kind of ironic, less leverage being more risky, but it is true for me in this particular case.
This was a nice one, somehow I knew it would work out. Even though I had a strong feeling about it, I have to always stick with the guidelines of the trade to maintain consistency. It is a classic Rob Booker Monday Accelerator Trade in the GBPCHF. Basically, I look at the pair as soon as Monday starts and I trade it back to the new weekly central pivot point. Here is the chart:
I love Mondays! (click above for larger image)
The blue line is the weekly central pivot point. I stacked 22 lots from 6580 to a target of 6630 at 5 pip intervals for a grand total of +469 pips and a +9.4% increase in the account. Not bad for a days work, can’t wait until next Monday!
Note: Obviously this is a very, very, very risky strategy and you should backtest it before trying it in a live account. This information is posted for informational purposes only and is not meant to be advice of any kind.
If you enjoyed this article, you might also like:
