I am getting worried about this trade, which I entered on Friday. AUD/NZD broke out above a long-term resistance level, and I went long. I got out of the trade when the breakout failed (i.e. the price dropped again), for no loss. Then the price fell sharply back below the key breakout level. The sharpness of this fall made me inclined to trade the range — i.e. to go short. Now I am wondering whether a failed breakout is a strong enough signal to trade, but I am letting it play out.

Charts, from Prorealtime and IG Index, show the major breakout level (top chart) and approx stop and entry levels (lower charts; cross on the bottom chart shows entry point).

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