I made a small loss on this trade (happily it seems that I tightened the stop). Here is a chart (line shows the entry point, at the low of the day after the wide-ranging down day).

This was one of my earliest trades. I placed the stop fairly tight, and then worried about it, but it turns out to have been a reasonable thing to do because I picked a good level. The trade was not taken out as it came back to test the breakout, and then moved in my favour. Unfortunately, it then ran back up again. I failed to take any profit out of this and I hope that my new rule will prevent a repeat of this kind of thing.
Other lessons from the trade:
  • Don’t be afraid to get in after a breakout, but don’t rush in — wait for a good buying level with the chance to place a tight stop.
  • Don’t place too much weight on “fundamentals”. When I went into this trade, there was a story that the RBNZ was going to be cutting sooner then expected, and the RBA later. That’s fine, but the story was stale by the time I was stopped out of this. Believing the story let me to hold even as the market went in the wrong direction.