A day of day trading

What follows is an unedited Skype day trading chat between Buzz and James, Thursday 24/1/2019.

Buzz 07:30

EUR interest rate decision at 12:45 I see.

James, 07:53

Yes and it is a big one too

James, 08:16

Yes! Caught the little bugger

I just come out when it goes crazy like that in case of a tree shaker. Nice to be in the right way. 

My target was the 50 level

Tried the same trade on the Oz without fortune. Interestingly it looked like the better trade coming off the EMA but the Oz trend has been so strong since 2am.

Out on the Oz despite looking like a combi pattern, it made a double bottom from the doji/pin. The doji was too pinny for me.

Buzz 08:24

Oz too close to the 7,100 for me to consider.

James, 08:24

Yes another good point, one I was aware of

Strong trend though and the EMA pushing it down.

Good amount of consolidation too at that point

Buzz 08:25

I looked closely at taking the EUR on that little pb at 08:00. But the 08:00 has a habit of changing the direction.

James, 08:26

Should have seen that Euro go though! Jumped straight off the screen. I had no idea where it was.

Buzz 08:27

I have a 100 pips on the right so stayed on the screen fine. I missed the actual move though.

James, 08:28

Makes me wonder if I should leave it on ‘optimised scale’, or centre it and keep the target and stop in view

I am pleased to be picking these moments before break-outs. Shows it’s working.

Happened yesterday too, but I came out moments before it went

You are right the 08.00 has a habit of turning it and that’s exactly what I thought was happening after the first trade

Fibre is gapping, something must be happening?

Build up for the decision later?

Buzz 08:31

No easy answer to the bar size. I personally think (as Bob mentions) that the bars should be as relatively constant as possible. 

James, 08:31

That last bar on the Oz looked reasonable but as you say 00 level holding it tight.

I agree but one of our main strategies is to get in at the end of consolidation periods looking for the break-out. Double pressure and strong trends can lead to big bars like that.

Buzz 08:33

How it appeared on mine.

James, 08:36

Wow so different, makes that incredible trend seem flat though.

Guess it’s what you get used to

Finally the chart is picking up some pace.

Buzz 08:38

For me it puts things into perspective. 

James, 08:38

These round numbers really playing their part.

Buzz 08:38

Could be a bouncy day prior to the interest decision.

Yes, for me particularly the double zero numbers. 

James, 08:40

Yes I hadn’t considered that too much, but I suppose they are rounder numbers than the 50’s 

Buzz 08:47

Okay, the bars are all a bit big at the moment. Needs to settle a bit.

EUR news in 10 mins and then clear until the interest rate decision. 

James, 08:49

Good time for a bounce!

Buzz 08:49

Could be.

The Oz lost a lot of ground through night.

James, 08:57

Yes the Oz is stuck to the 00 level for now. Not a bad out after all.

Yes both had an eventful night.

Considering how flat it has been. Must have been Ozzy politics?

Buzz 10:44

Risked the wrath of the double zero for this reasonably classic pr short. Entry was from a auto qty set as seen once the signal bar had been activated by the entry bar. Stop for qty was the top of the spike indicated. Then the stop adjusted to a not go above position, plus a pip, plus half spread. Tgt is a measured distance of the planned stop (from the top of the spike)

Buzz 10:50

The 10:30 test of the ceiling (entry and ema) helped. Funny how we don’t now mind those pullbacks.

James, 10:53

Yes the second entry philosophy on limit can be a good option.

Buzz 11:00

Decided beforehand that with the double zero above I wouldn’t accept any engulfing pullback bars. So came out on bar 10:50.

Buzz 11:30

EUR has gone a little quiet leading up to the interest rate decision.

That was a great out by the way.

Buzz 13:00

Bob says it’s the press conference afterwards (after the interest rate decision) that can have a bigger influence.

James, 13:01

That’s correct. Draghi usually has a few things to add.

Buzz 13:28

Something of note. Even though the spread is steady at .6 (EUR) a limit entry closer than a lot of pips will not be accepted. That must be because of the news. I’ve come across this a few times when news is strong and even when the spread is normal. The only entry at the moment is via a on-market entry. 

James, 13:28


ECB press conference coverage:


ECB Press Conference – 24 January 2019 – YouTube

Buzz 13:37

Draghi said ‘however’ and the market moved 20 pips!

James, 14:37

Haha, it did!

He shouldn’t pause too long after a ‘however’

Buzz 14:42

Not being able to place a limit order has thrown me out somewhat. I’ve missed 2 entries. One that worked and the Oz now.

James, 14:42

Tough breaks

Buzz 14:42


James, 14:43

US news out in a min

Buzz 14:43


James, 14:43

Busy news day

Buzz 15:43

Limit entries are back on. Again, the entry bar activated the signal bar before I set the limit. 

Buzz 15:49

Took the 8 pip scalp. Out on the big number and double bottom.

James, 16:35

Nice, that was a tricky one.

I had a quick in and out as it didn’t form.

Buzz 16:47

I see what you were thinking. An early continuation of that strong bull from 13:30. Could have gone. 

James, 16:48

Yes thanks

Buzz 16:54

I was in the Cable a few minutes ago short. It was from a pbp. I got a good entry but it didn’t break and I took a 4 pip profit. A two bar pullback and now has gone short. But that is fine, I’d rather keep it tight than not.

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