NZD, JPY, Chart

July Trade Review: NZD/JPY (-26 pips)

Entered NZDJPY at 66.68 on 30 June. Exited July 29 at 66.92. Result: -26 pips

NZD, JPY, Chart
NZD/JPY May-July Daily

I entered this trade at the same time as my short NZD/JPY trade. I wanted to be short the carry trade at a time I thought stocks were overbought with many risks on the horizon. The stops were wide and this was meant to be a position that could last a month (which it did).

What I should have known better: Similar to NZDCHF, I was away from my computer on July 11 and did not have a T/P order in. While I had a few days to still book a great profit in NZDCHF, this pair rebounded quickly to a loss. Still, it was an amateur mistake.

What I’m happy about: I wasn’t too concerned about the initial loss as I was willing to eat some pips in expectation that I would eventually be in the money. I’m very happy about the way I exited this trade. Sentiment was hurting due to weak GDP data, debt ceiling worries and downgrade worries but the S&P 500 bounced off the 200dma so I covered quickly and shrewdly for a manageable loss.