The EURUSD day trading strategies provide a profit potential of +9R 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.

Overall, volatility remains on the low side. The chart below shows average volatility over the last year (4-week average) is near the lows of the year this past week. That is typically going to mean fewer trades and less profit and than during higher movement times.

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.

I also recorded my trading session on Friday. You can watch me talk through the trades, live, in the video below.

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 +9.49 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 9.49% (less commissions), trading about 1.5 to 2 hours per day.
    
    
  • I significanlty underperformed the potential this week. I got profitable on Friday by about 3R for the week. I completed missed a few opportunities this week, and some other traders poitned them out to me. The tough week also left me a gunshy Friday, so I closed a few trades early just to lock in some gains, and if I had just let them play out like normal, I would have made more. Just got to take the lessons, make sure I am getting a good sleep, and move onto next week.
• 45% win rate if the strategy rules were followed.
  • win 5 / 11 trades.
  • Lower than normal. Some of the losses were flat trades.
• Reward to Risk (based on all potential trades):
  • 4.4:1
  • Winners: 2.5, 2.5, 3, 2.5, 2.5 = 13 / 5 = 2.6
  • Losers: 1.2, 0.76, 1, 0.1, 0.45, 0 = 3.51 / 6 = 0.585
  • = 2.6 / 0.585 = 4.4:1
  • Higher than usual because because of the tiny losses on early exits.
• 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: +8.84R
  (Daily totals: 2.5, 3, -1.2, -0.45, 5 )
  
  
• Snap Back strategy profit: 0R
  (0, 0, 0, 0, 0)
  
  
• Double Pump strategy profit: +0.64R
  (2.5, 0, 0, -1.86, 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.

On the Monday above, I totally missed a few trades. I recall I was pretty tired that day, so maybe I was a little checked out. Some other traders pointed out some trades that they took and that I missed.

My Focus For the Next Week

I am still doing this, which I mentioned last week…10 minutes x 3 per day—morning, afternoon, and evening—I’m doing a little motivational self-pep-talk. Spending about 3 minutes each on health, work/trading, and family/relationships. Reinforcing what I want from each of these areas, and how I’m getting there.

I am also aware that I didn’t trade well this week. It happens, but I also want to correct what I can. Taking valid trade setups will be a key focus in my little mediations throughout the day over the next week.

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.