First trade of the day. EUR/USD short for 19.2 pips.
Some great opportunities are often provided as the market transitions from the Asian to the European market time at about 8 am.
The UK market opening at 9 am often more volatile and regularly contains economic activity. This morning at 9.30 am, for example, has a GDP release for Stirling.
As conservative breakout traders, wherever possible we avoid the uncertainty that such news provides.
Our trade this morning is slightly more aggressive than usual. See chart below.
The Asian market provided a strong buffer above the 11,500 price level. The breakout short slightly after 07:00 was not an entry for us. Price bounced (reasonably aggressively) off the significant number of 11,500.
However, bar 1 and the doji before also on the 25 moving average line favoured a short. We entered on the close of the second doji (bar 1) which made our 19.2 pip target some 30 minutes later at bar 2.