Been a bit busy lately so have switched to swing trades and a open=high /open=low strategy for intraday. Have decided that i will continue blogging but only on weekends. So ill take screenshots of all the trades i take along the weekdays and post the interesting ones here and also post swing trades if any.
So this is the swing trade i took in silver last week and iam still in it. Went 10 lots in and in currentlt 8000/- profit. I book profit at around 1000 points in silver. So will get out around 10k profit..but may make this trade as amn exception and ill explain why with the help of a chart.
So as you can see i entered the trade at around the breakout of last swing high. now this point was significant for two reasons
- It was very close to the june 3 month high it made so there were chances of that level acting as a strong resistance level and when bullion’s reverse..they REVERSE. So that factor had to be considered
- Also iam too lazy to draw the trendlines again just for a screenshot :p but this level was very close to the trendline from way back 2016..so that could have been a reversal point.
Hence i applied proper risk management here.Truth be told i had made some decent profit in crude alongside this trade so was okay if i lost some here :p.
Thankfully the analysis worked and after a retest of the breakout the price went upward and has crossed the 3 month high as of 3 sep 2017 .
North korea tested a hydrogen/nuclear bomb sunday morning
IST so that helped the gold prices to gap up . Iam not sure whether it will continue bullish so ill just see the technical part of it. Well there is a thin line between being greedy and being confident in trading and thats my 1 year experience speaking. So i do think it will go higher from here as you can guess from the chart my risk/reward ratio of 1:3 is still way above current lvl and iam confident it will go higher if all things fall in place . Dollar seems to stop the downward move so that can be a obstacle. i intend to book around 1000 points and then trade the extra moments intraday with double size then wait for a fixed target and falling short of it and seeing it reverse and lose even the intended profit. YOU NEVER KNOW WHERE IT WILL GO and thats the excitement of trading :D. Lets see Ill update once i book the trade.
Also will like to add that i do have positional strategy on silver too (cci+kst 1hr candles) which is in 400 points profit and i book my positionals at 500 points. So thats a plus too .