ForexSpirit

August was a pretty difficult month if you were still a euro bull.

I sat on my hands for the majority of the first half of the month, only really getting active in the last ten days. My activity increased as I tried to position myself for a correction back up to 1.49/1.50 but it was not to be and I got chewed up around the 1.48 handle pretty consistently.

I placed nine trades for the month, with three winners and six losers. Two of those six losers were Anti-Hedge entries, where I got back into the market at the price I had been previously stopped out at.

After seeing my first two AH trades of the month get quickly stopped out I decided to be far more selective when I put those AH trades on. AH trades are a great way to get back into the market if your trend direction is currently in play. Unfortunately that is not the case for me at the moment, so the probability of an AH entry getting the original trade back into positive territory is severely diminished.

I’ll still place AH trades. I just now need to see at least some sign that the euro is making a bit of a recovery before I actively place them.

Even with twice as many losers as winners this month I still ended up with positive account growth of 1.37% for the month. It mainly fluctuated between 1-6% all month as my winning trades were slowly eroded by the smaller loses.

The start of September is seeing EUR/USD inch towards the low of 1.4570 made in August. I think there’s a good chance that the dollar bull run will continue for a while yet and we’ll see a test of the 1.42/3 level that I mentioned in a previous post.