Oct. 17th – EURUSD

Yesterday I went long at 1.0890 and today I am 30 pips in the hole. However, I have not given up my intentions because the count still makes sense. I should point out that the RSI has now changed to a bearish range and will establish itself in the bearish area by moving up during the correction to the 50 or 60 level. That means that should prices start moving higher today, I’ll be ready to exit as soon as the RSI reaches the 50/60 area. Ideally that will be above my entry point.

NOTE: The line chart shows that the count I am working with is not reliable. So all things being equal, this was a very bad judgement, but it typically is whenever we attempt to take countertrend trades.