The EURUSD day trading strategies produced a potential profit of +12.61R this past week (“R” is described below), plus another 8.9% in Broken Break trades (a strategy I’m still working on). That’s +12 to 21% on the account for the week if risking 1% per trade. The strategies used, and their statistics for the week, are outlined below. The strategies have rules, but trades are discretionary or 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.
I trade on a 1-minute chart and use the strategies discussed in this review. The week’s charts with the trades are below.
Get all the details on how to trade like this in the EURUSD Day Trading Course.
Totals for this week:
- Potential Profit was +12.61 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 12.61% (less commissions), trading about 1.5 to 2 hours per day.
- There was an additional 8.9R in Broken Break (BB) trades. This is a strategy I’m still working on that has been adding on some great profits. I note the weekly profits, but am not yet including them in the weekly totals since it has not been included in the EURUSD Day Trading Course yet.
- I recorded my day trading session on Feb. 11 and Feb. 17 if you want to watch me trade and talk through the process.
- 10 wins / 17 trades = 59% win rate if the strategy rules were followed.
- Reward to Risk (based on all potential trades):
- Winners: 2.5, 0.1, 2.53, 2.6, 2.44, 0.25, 0.5, 2.52, 2.52, 2.5 = 18.46 / 10 = 1.846
- Losers: 0.2, 1.1, 1.1, 1, 1, 0.35, 1.1 = 5.85 / 7 = 0.83
- 1.846 / 0.83 = 2.22:1
- A little lower than most weeks because had a number of early exits due to a signal in the opposite direction while in a trade.
- Typical leverage is about 30:1. Ranging from 20:1 to 50:1, depending on the stop loss distance in pips.
A lot of these stats you can track 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: +9.57R
(Daily totals: 6.33, -1.1, -1.75, 2.17, 3.92)
- Snap Back strategy profit: +0.1R
(0.1, 0, 0, 0, 0)
- Double Pump strategy profit: +0.5R
(0, 0, 0, 0.5, 0)
- Double Pump Variation strategy profit: +2.44R
(0, 2.44, 0, 0, 0)
- Squeeze Play (SP): 0R
- Triple Pump: 0R
Daily Charts and Trades
Charting provided by TradingView.
My Focus For Next Week
This week I am going to continue with the improved self-talk discussed last week…
A good trader is simply a rule/guideline follower; they follow the guidelines and rules set out in their trading plan.
Use words like: “I’m a great trader because I take every trade that meets my strategy parameters, no more and no fewer” or “I’m a profitable trader because I am disciplined in that I only take trades laid out in my trading plan.”
Add in a because anytime positive self-talk is used.
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
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