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Here is another Monday Trade, done on Wednesday.

I was tempted to do a 100 pip stack on this trade because price had moved so far away from the Weekly Pivot, but I decided to just do a 50 pip stack.  I am experimenting and backtesting variations of this strategy so until I feel really comfortable with larger stacks, I’m just going to stick to smaller ones.

This time I varied from the original method and instead of increasing my lost sizes as I got closer to the target, I just used the same number of lots for each entry.  This trade opened a total of 40 lots.

If this actually happened on Monday, then I probably would have done the 100 pip stack, but as it gets later in the week, I usually tone it down.  NFP is this week too, so I do not want to be caught in any big trades.

Anyway, the trade worked out as planned.  I made a total of +14.9% on the account and it made for a great week of trading for me.  I will post my thoughts as I continue to backtest this strategy.

This Monday was good to me and I was able to execute two trades.  Here they are:

GBPCHF

The first trade was a classic Monday Trade.

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I got burned a few times in recent weeks because the GBPCHF had a strong tendency to the downside, so I was cautious and actually set my target 38 pips below the Weekly Central Pivot, instead of the usual 20 pips below.  Price hit the target easily and I am glad that I traded it a little more conservatively.

The final result was

a +8.5% gain on the account.  In review, there isn’t anything I would have done differently.

GBPUSD

I was flipping through the charts and I came across this trade.  It hasn’t been setting up that often, but when it does, it is fun to trade.  It is the Counter Trend Trade (CTT).

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As you can see, the daily pivot was missed and S3 was hit on the same day.  Traditional CTT rules say to stack entry buy orders up to a target 20 pips away from the missed daily pivot.  However, my backtesting has shown that if the next day’s daily pivot is missed by enough of a margin to stack trades, then there will be a much, much better chance of price hitting the next day’s pivot than the original missed pivot.

In other words, it is easier money (in my opinion) to target the next day’s daily pivot.  So that is what I did.  The final result was a +5.5% gain on the account.

However, the question remains, should I have also done a stack to the original missed pivot and taken full advantage of the signal?  In hindsight, price action looks like it may have a chance at going all the way back to the missed pivot.

Although it would have been nice to go for the much bigger profit, I believe that not taking that trade was the right thing to do.  The primary reason was trade correlation.  When I went to sleep, I had two stacks of orders in the GBPCHF and in the GBPUSD.  That is a lot of money riding on the British Pound.

If price popped up, executed some of my orders, then dropped like a rock, I would have been losing money on three different trades all going the same way.  Not good!

We will see if price gets there, but I am happy with the results.

Conclusion

So two good trades to start the week off.  They yielded a total +14.1% gain on the account and are helping me recover from the string of losses I experienced.

These are risky trades and are explained here for informational purposes only.  This is NOT trading advice.  It is suggested that you backtest a strategy extensively before ever trading it with real money.

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Here is a mini Monday Trade that I did.

Price moved up strongly back towards the Weekly Pivot point but there was a strong area of resistance that made me nervous.   In addition, price has had a downward tendency lately so  I set my price target just below the last area of resistance.

This was meant to be a quick trade based on current price action.  I only traded 2 units.  Price hit the target and bounced back down.

I made +0.5% on the account.   In hindsight, there isn’t anything that I would have done differently on this trade.

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These Monday Trades have been making me a little nervous lately. Case in point is this last trade that I did.

Instead of letting price run its course, I closed the trade early.  This was a case of watching the trade too closely when I should have just went to sleep and let it run.

The result was a gain of less than $1, so not even 1%.  Well, I would rather take a small gain than a big loss.

In hindsight, this pair has had a definite downward bias so I should have taken that into consideration and given the trade a little more room to operate.  Lesson learned, on to the next one!

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After I closed out my last trade, I was feeling pretty good.

My account is back in the black and I can breathe a little easier.  The good thing about these super aggressive strategies is that even if you have a fairly large losing trade, you can make your money back if the next trade is a winner.

This was another Monday Trade back to the Weekly Pivot.  As you will notice, there was once again an opportunity to do a double stack to both the Monday Daily Pivot and the Weekly Pivot.  Considering the big hits that I took in the previous couple of losing trades, I decided to take it easy and only target the Weekly Pivot.

As you can see, price gave me a bit of a scare but it finally ended up going my way.  The end result was a +4.2% gain on the account.

There isn’t anything I would change about this trade, it worked well.

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Whew, these Monday Trades are kicking my ass.

This was a tough one because price just missed my target.  I missed the first couple of hits on Monday but decided that this was a good point to stack trades back to the Weekly Pivot.

This trade resulted in a -2.5% loss on the account.  On a positive note, I controlled the risk much better this time and this size of the loss is acceptable.  However, I should have kept a little closer eye on this trade and took the profit when I had a chance.

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Last week, I did a double stack on the Monday Trade, targeting both the Daily Pivot and the Weekly Pivot.  Both of them reached their profit targets.

This week, my double stack wasn’t so fortunate.  As you can see from the chart to the left, a couple of my orders got executed then the GBPCHF proceeded to tank.

I should have exited after the pair dropped 20-50 pips, but I let it drop about 200 pips before I finally closed the two positions.  This was against the rules of this trade and I paid the price.

The result was a -9.2% loss in the account.  I’m not too disappointed about the loss, I just won’t do it next time.

If you noticed however, the result of this drop set up a Counter Trend Trade, so I reloaded and took the trade.  I still have my Monday Trade stack to the Weekly Pivot in place, but I canceled all of the Monday Trade open orders that targeted the Daily Pivot.  This week is a nail biter, so stay tuned!