This is how the EURUSD day trading strategies from the EURUSD Day Trading Course performed during the month of August. I trade for approximately 1.5 to 2 hours each day, so these results are for the period between roughly 8 and 10 AM EST, during the London and New York overlap period. I use a 1-minute chart.
The results are broken down based on the potential for each strategy. Executing every trade perfectly is not an easy task, so actual trading results will typically be lower. The goal is to continually progress and trade the strategies as well as possible. Once we’re trading a strategy well, then more strategies can be added to the trading plan to further boost returns.
A 2.5:1 reward to risk is used on every trade. Early exits are allowed for high-impact news announcements or if another valid signal develops in the opposite direction while in a trade. I also may exit early if it is pre-planned before the trade because of certain market conditions.
The potential profits for the month and all these statistics (discussed below) are based on the strategies and processes discussed in my EURUSD Day Trading Course. The course covers all this and a lot more.
Volatility dropped off in the EURUSD this month. That contributed to quite a few days with no trades. This was the lowest profit potential month of the year so far. Still a good month, but had to be more patient and disciplined waiting for the good opportunities as there were fewer of them compared to prior months this year.
EURUSD Day Trading Strategy Profit Potential For Month of August
The following chart breaks down profit potential by week. These numbers come from actual trades, plus missed trades that should have been taken, and deducting trades that were taken that shouldn’t have been (didn’t align with the strategies).
|August 2 – 6 profit potential||+9.2R|
|August 9 – 13 profit potential||+11.25R||+2.05 in Broken Break (BB) trades|
|August 16 – 20 profit potential||+5.74R|
|August 23 -27 profit potential||+10.04|
|August 30 – 31 profit potential|
Can also see the daily charts
posted on my Twitter @corymitc
|+2.08||+2.6 on more advanced context trade|
|August Total Profit Potential||+38.31R|
+42.96 if adding in optional trades
|Average Profit Per Day||22 days||1.74R|
1.95R if adding in optional trades
|Average # of Traders Per Day||29 trades|
1.4 trades/day including optionals
|August Win-Rate for Strategies||18/29|
|August Average Reward:Risk||2.9:1 |
higher than usual because of
smaller partial losses and
slightly bigger winners
“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. For example, risking 1% of the account per trade, the profit potential for the strategies was 38% for August, less commissions.
To see the charts and trades for each week, see the links in the table above. Chart examples are also provided for each strategy discussed below.
Remember, these figures are based on trading a strategy perfectly, based on the strategy parameters. The goal, which can take years, is to develop enough discipline and focus to approach the ideal/strategy profit potential number in our actual trading.
Also, to realize these returns, an ECN forex broker is pretty much required, ideally with a small spread. ECN brokers charge a commission. Commissions costs vary greatly are deducted from the results discussed above.
Typical leverage is about 30:1. Ranging from 20:1 to 50:1, depending on the stop loss distance in pips. This is what creates the high percentage returns. Understand the pros and cons of leverage before using it.
EURUSD Day Trading Strategy Totals
These numbers are how each strategy performed. They are my own trades, plus missed trades, less trades I took that I shouldn’t have.
I have included a chart with examples for each strategy.
Rounded Bottoms (RB) and Tops (RT): +22.24R
(By week: 0.5, 9.45, 2.14, 7.57, 2.58)
Double Pump (DP) +9.9R
(By week: 8.7, -0.8, 2.5, 0, -0.5)
Double Pump Variations (DP variation): +6.17R
(By week: 0, 2.6, 1.1, 2.47, 0)
Snap Backs (SB): 0R
(By week: 0, 0, 0, 0, 0)
Broken Break (BB) – (Still being researched and profit not included in results above): +2.05R
(By week: 0, 2.05, 0, 0, 0)
Triple Pump (TP): 0R
(By week: 0, 0, 0, 0, 0 )
Squeeze Play (SP): +0R
(By week: 0, 0, 0, 0, 0 )
I recorded myself trading and talking through the trades. You watch those videos on EURUSD Recorded Day Trading Sessions.
My Own Personal Trading Observations/Areas to Work On
My area to work on remains the same as last week….I really need to work on my focus and commentating the price action. There were a few days throughout the month where I was distracted. I was doing other things. Keeping my eye on the chart, but was not really focused and that tends to lead to mistakes or missed opportunities.
There is almost never anything that is so urgent that it can’t wait an hour or so until I am done trading. There is no need to do any writing, research, or respond to emails while trading. I only trade for 2 hours. It can wait.
My full focus is required. I trade best when I am constantly commentating on the price action as this helps me avoid distractions and keeps me in sync with the price action. Trading is the primary income source, so it deserves the most attention.
This did not improve last week, so it’s my sole focus over the next week. I can only consider a day successful if I commentate the whole time.
The EURUSD Day Trading Course covers this entire method of trading, including getting in the right mental state and staying there.
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: +76 potential
- May: +94R potential
- June: +91R potential
- July: +67R potential
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.