This is the third time that I have been in this trade. I lost money the previous two times. Fundamentally, EUR data are generally poor (disappointing numbers this week, continuing credit restrictions, tottering banks, peripheral unemployment and sovereign debt concerns, and so on and so on). USD data are not strong but are improving. Technically the market broke out below a trading range, bounced on the 200-day moving average, came back to test the breakout, fell back to the moving average, and then broke away from it. It is this break that I have sold. The stop is somewhat tight, but there wasn’t another logical place to put it until much higher up. The line on the chart shows the approx. stop level (chart from IG Index).

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