Profit: -$57.50 Total: $1,183.39
Yikes, the dollar was an absolute nightmare to long due to the pathetic 1.2% GDP growth vs 2.6%. The market did not appreciate the data at all and sold the dollar aggressively. Low GDP decreases the chances of a Fed hike which means we are back in limbo. Will the RBA and BoE cut during August? Is this the perfect rally to short the GBP/USD and AUD/USD, or will the dollar continue to be punished. Macro wise, the market is currently in a big mess due to the divergence in the global economy. Things are definitely weird and interesting.
This week was such a tough week for me, in fact, haven’t had such a loss in a while. So I had a terrible loss on the AUD/USD a couple days ago due to pending orders. Last night, I was looking at the NZD/USD and accidentally shorted the pair with the incorrect size. I was 10x more leverage than my usual trade. I panicked because it was a good trade and if I left it open, I could’ve potentially recovered my AUD/USD losses and earn some more. Unfortunately the BoJ shook the markets too hard and I exited the trade with a small loss. Interestingly enough, if I held, I would’ve scored big profits since the NZD/USD fell shortly after.
After the tough loss, I decided to trade London to recover for my terrible week. I think my mentality wasn’t at the right place since I was seeking for revenge. I was shorting EUR/USD with 3x the normal amount I usually trade and when price continued to move against me, I ignored my technical analysis. If I wasn’t so stubborn, I would’ve bailed the short EUR/USD and reversed it. I wasn’t in the right mindset and then when the GDP released, EUR/USD bears got crushed. I’m finally glad it’s the weekend. Time to rest up and get my psychology back together. Man, what a week.