POST TRADE ANALYSIS

I am doing a post-trade analysis of the EURUSD pair. I had a complete and total profit on 3 total contracts, but today the pair would have hit my second target and would be moving down to T3. Looking at the daily chart, you can see that the pair is now below the uptrend line so I expect the pair to come back and retest the 1.4720 level which is previous resistance from late 2008.

When further boiling down to a 4 hour chart, you can see that there was 2 days of consolidation around 1.4720. I should have considered this an area of consolidation and not brought my stop loss down so tight to this area. I just wanted to be profitable and not lose the position. Ah, the emotion of greed.

So I looked at the 15 minute chart. The area of the triangle shows my entry area. There is text right next to the area of my T1 target that was hit and once that was my greed emotion took over and I tightened my stop loss in. As you can see my stop loss was reached at an area of previous support at 1.4782. Lo and behold this could have been a re-entry to the short side rather than getting stopped out. Good learning lesson.

So my future plans are to continue to look at shorting the pair. Waiting for it to retest the 1.4720 area would be feasible for a reentry. Got to wait for the 4 hour chart to get here then turn back down.