Curreny/Ichimoku: NZDJPY 6-6-07: Trade Update

Our daily chart looks good right now. However, there was a lot of inter-day noise. A lot of people were stopped out today due to the huge price movements. See below at the 15 minute chart. Swing traders loved the volatility that this currency portrayed in the forex market today. However, it was very stressfull for a lot of people because there wasno inter-day trend. The swings were soo huge that a lot of people were stopped out.
nzdjpy_6_6_07__15.png
Below is the daily chart. Notice there is another entry value i.e. Entry2. When NZDJPY went down, I increased my position size. Why you may ask? It is due to money management. Initially, when I enter a trade, I start with a small number of contracts. Once the trade becomes “free”, the size of the contracts are increased on the first pull back as long as the indicators are “healthy”.
Therefore, on the pull back today, I increased my position size. The stop for the new positions will be different from the “free trade”. I will be using the 8 hour timeframe for a stop instead of the daily (which is used for the free trade) until they become “free”.
nzdjpy_6_6_07__daily2.png
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About the Author Manesh Patel