The EURUSD day trading strategies provide a profit potential of +16R this past week (“R” is described below). The strategies used, and their statistics for the week, are outlined below.

The difference between “potential” and our actual profit is the dollar amount of Trading Mistakes made (factor in any alterations made to the strategy, such as trailing stop losses, etc.)…This week I underperformed the potential by a wide margin.

Volatility picked up this week, especially Thursday and Friday. This generally helps with finding more trades and increasing overall profit.

The strategies have rules and are part of a complete trading plan, but trades are discretionary and subject to interpretation. The goal is to reach the profit potential (or possibly exceed it), but actual results will typically be lower especially when learning.

The profit potential is based on trading a 2-hour window between approximately 8 and 10 AM EST. Quite often I only trade for 1.5 hours.

It can help with consistency to have a daily trading routine, and then I also recommend having a quick pre-trade routine to get yourself in the right headspace for profitable trading.

I trade on a 1-minute chart and use the strategies discussed in this review. The week’s charts, with the trades, are below.

Here is a video recap of the trades for this week.

All the strategies discussed below are covered in the EURUSD Day Trading Course, and the trades are based on the rules of those strategies.

Totals for this week:

• Profit potential was +15.95R for the week. This is if all the valid trades were taken, and no invalid trades were taken.
  • “R” is a standardized risk amount. It could be 1% of the account, 0.5% of the account, or any amount you choose based on your position sizing method.
    
    
  • In other words, if risking 1% of the account per trade, the potential profit from these strategies this week was 15.95% (less commissions), trading about 1.5 to 2 hours per day.
    
    
  • There was more profitpotential than 16R this week. With the big moves there were options for expanding targets, and some additional profitbale trades that I didn’t include because they were a little tricky but still viable. A 20R week was quite feasible.
• Average trading time per day: 1 hour 25 minutes.
  
  
• 78% win rate if the strategy rules were followed.
  • win 7 / 9 trades.
  • Higher than normal. Strong trending moves generally help with that.
• Reward to Risk (based on all potential trades):
  • 2.56:1
  • Winners: 2.49, 2.5, 2.53, 2.5, 2.5, 2.63, 2.8 = 17.95 / 7 = 2.56
  • Losers: 1, 1 = 2 / 2 = 1
  • = 2.56 / 1 = 2.56:1
  • Typical number hoving around the 2.5 mark, which is the R:R to used in each trade at the ouset.
• Typical leverage is about 30:1. Ranging from 20:1 to 50:1, depending on the stop loss distance in pips.

You can track a lot of these stats in the free and downloadable forex day trading log (Excel spreadsheet).

EURUSD Day Trading Strategy Totals

These are optimal results for the strategies, including trades I missed and excluding trades I shouldn’t have been in. This is so I can ascertain over time which strategies are working the best and producing the most profit potential.

• Rounded Tops and Bottoms strategy profit: +15.95R
  (Daily totals: 4.99, 2.53, 0.5, 5.13, 2.8)
  All RTs and RBs this week! That is rare. Don’t recall that happening before.
  
  
• Snap Back strategy profit: 0R
  (0, 0, 0, 0, 0)
  
  
• Double Pump strategy profit: +0R
  (0, 0, 0, 0, 0)
  
  
• Double Pump Variation strategy profit: 0R
  (0, 0, 0 , 0, 0)
  
  
• Squeeze Play (SP): 0R
  (0)
  
  
• Triple Pump: 0R
  (0)
  
  
• Broken Break: 0
  (0, 0, 0, 0, 0)

Daily Charts and Trades

Charting provided by TradingView.

My Focus For the Next Week

I really enjoy being a trader, and I also really enjoy sharing insights I have while doing it. Those two don’t always mix, because while I am trading another part of me just wants to write on my chart and explain things, or work an article while I am supposed to be trading. These are both really strong parts of me; I have a compulsion to do both.

Ideally, my trader just gets to trade during my trade time, and my educator comes in after and I write/share the insights for the day. Instead, quite often they overlap. I share something on Twitter or respond to another trader’s question quickly during the ideal day trading time. The educator creeps into my trader’s time.

For some reason, I have never done a parts negotiation between my inner trader and my inner educator parts.

I will do that today, and negotiate how I can better get these parts working together instead of one seemingly sabotaging the other. They work pretty well together, but there is definitely some room for improvement. Even a little more focus during trading time is likely to transpire into better results…or at minimum more peace, since I won’t be trying to do multiple things at once.

Any conflicts you notice during trading? Compulsions to do other things while trading? Or an urge to take trades when you are not supposed to? Or a voice or feeling that tells you to skip trades because you don’t want to lose?

These things won’t go away on their own. Start questioning why these compulsions/voices/feelings are there. Ask them what they need. Negotiate with them to take care of their needs outside trading hours. Basically, problem-solve with this part of you so your trader and this part both get what they need…so the compulsion/voice/feeling is quieter because it no longer needs to sabotage/scream for attention.

Here are the prior totals (monthly). Actual charts are in the weekly articles listed within the monthly-total articles:

• January: +63R potential
• February: +78R potential
• March: +76R potential
• April: +76R potential
• May: +94R potential
• June: +91R potential
• July: +67R potential
• August: +38R potential (we can see the drop in volatility affecting the number of trades and thus the profit potential)
• September: +51R potential.

Want to learn how to trade like this? Check out the EURUSD Day Trading Course. It covers strategies for crushing the EURUSD in two hours or less, as well as mental game work and exercise to get in the profit-making zone and stay there.

By Cory Mitchell, CMT

Disclaimer: Nothing in this article is personal investment advice, or advice to buy or sell anything. Trading is risky and can result in substantial losses, even more than deposited if using leverage.