20/08/14 – Whilst I was still out for the evening my Take profit Limit order closed out this AUD USD short trade to take 1.6% profit on my trading account balance. This type of trade that is only on for less than 6 hours and makes my minimum profit of 1.6% is a fantastic injection of profit into my sausage machine strategy which is aimed at taking advantage of Short, Mid and Long term trades on both Forex and US & UK Equities. Chart as Below
19/08/14 – 19:00 – This AUD USD Short XTL Breakout trade has triggered. I have ensured that my Take Profit Limit Order is on to take profits at 0.92895 as I am going out for the evening and so will be happy for this Short trade to hit the first level of support during the night and take my minimum targeted profit. If I am not at my computer to manage a trade on a short time frame like this particular Short trade, then I always set my Take Profit Limit Order at the 1.6% profit line. As part of my overall quarterly profit targets this is an acceptable profit on my trading account balance, especially for Forex trades on shorter time frames like this AUD USD Short trade. Chart as below
19/08/14 – 18:00hr – This AUD USD potential XTL Breakout SHORT trade is setting up well on this 60 minute chart. The first XTL Break out Red Bar is Smaller than the average size of the preceding 20 bars and the JTI indicator (bottom stacked chart) has turned blue which indicates momentum is building. I have calculated the entry point for this potential AUD USD Short trade @ 0.93026 with the Stop Loss at 0.93107. The take profit limit order is set at my minimum profit Risk to Reward Ratio of 1:1.6 which is just inside the first support level for this AUD USD forex pair at 0.92895. Chart showing set up as below.