Why I Lost The USDJPY Trade
On the 11th of December I entered into a USDJPY trade after I have checked both Fundamental Analysis and I have also checked Price Action which is basically Technical Analysis. After all the needful has been done. My entry point was 151.901, take profit was 153.070 while stop Loss was 151.400. Unfortunately my stop Loss was hit and I lost $3.31.
After realising that I do not have more than $2.12 I entered the same trade again, this time without a Stop Loss and it still went to the market.
What Have I learnt?
Never to enter a trade with a small account; I have learnt this the hard way, that trading with a very small capital is a bad habit and that is what the market will feast on. It is a very good habit to have a good capital and that capital has to be money that one will not be affected with when lost
Taken a trade before the close or nearly the opening of a particular session: What actually led to the loss was the fact that at the opening of the London Session there is always a spike. This is as a result of some traders taking profit or some entering aggressively.
Patient: A good trader has to have patient, if it is not time it is not time. With my knowledge in this market space I should not be learning the hard way. But, it is what it is and the market is not respecting anyone at that.
Conclusion: The market ended up coming my way but, my account is not enough to handle it
It is Holiday period , it is best to stay of the market this period in time