I checked over the major pairs this morning and there really wasn't much. Even the EUR/USD gap that I played probably should have been left alone, as it was pretty small. In the other pairs, it didn't look like anything was more than 15 pips, if that. A lot of smaller 10 pip gaps, all of which closed quickly.
On the EUR/USD gap trade yesterday, the first one was stopped out. The stop was far too close to the entry but my thinking was that if I get stopped, fine, I'll re-enter on the next support @ 75. Well, I was stopped out but due to a random spike, one that didn't even show up on the 5 min chart. So...lesson learned, I went ahead and entered again at about the same price and took some gain on the gap closing a couple of hours later. The problem with trading after the open is the spread is big...I believe it was 8-10 pips last night (Oanda)? So with being stopped out, the loss was around 15 pips. And of course when I took profit, there was only +6 pips. Net is -9 pips.
To sum it up, second chances are hard to get in the gaps and my stop was far too tight. My mentality was not set to accommodate the larger spread. Secondly, if I would have kept the spread in mind, the total possible pips on that gap was less than 15 pips and probably should not have been traded in the first place. Ah well.
Nonetheless, it was good to see the gaps fill, no matter how small they were.
Good morning :)
On the EUR/USD gap trade yesterday, the first one was stopped out. The stop was far too close to the entry but my thinking was that if I get stopped, fine, I'll re-enter on the next support @ 75. Well, I was stopped out but due to a random spike, one that didn't even show up on the 5 min chart. So...lesson learned, I went ahead and entered again at about the same price and took some gain on the gap closing a couple of hours later. The problem with trading after the open is the spread is big...I believe it was 8-10 pips last night (Oanda)? So with being stopped out, the loss was around 15 pips. And of course when I took profit, there was only +6 pips. Net is -9 pips.
To sum it up, second chances are hard to get in the gaps and my stop was far too tight. My mentality was not set to accommodate the larger spread. Secondly, if I would have kept the spread in mind, the total possible pips on that gap was less than 15 pips and probably should not have been traded in the first place. Ah well.
Nonetheless, it was good to see the gaps fill, no matter how small they were.
Good morning :)
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