Weekend Plan: Brace for Volatility
Coming into the weekend with recent volatility, I'm not sure I want to keep positions open too long.
Down 1 Trade
I am down $248.15 on NZDCAD on the 50k challenge from yesterday. The setup looked good, but the trade didn’t work in my favor. I don’t see an error in execution after reviewing the trade. I am not too concerned about a single loss, and my risk was low enough that the drawdown will not affect the challenge.
The Plan
I was reviewing setups this morning and also concerned about holding positions through the volatility of the weekend. I opened one position on the 50k challenge and the 20k challenge for CHFJPY at 0.25% risk. That is half of the 0.5% I normally risk due to the volatility in the market from the Middle East conflict and gaps that have been occurring over the weekends. The stop loss hitting this morning from the position yesterday is a small factor as well. The volatility in the market makes me want to be even more conservative. Remember this is an evaluation account with no timeline. The goal is to preserve capital and make incremental gains toward the target.
I have also been watching a potential short trade on VZ. The stock has touched an oversold RSI and looks like it might be showing signs of reversal. I’m not sure if it will be a valid entry today, but it is worth watching over the next couple of trading days to see what happens.