November came to a close and we finished the week with 350 pips in profits which reduced our monthly loss to 170 pips. This was the first time in our history in which we recorded a monthly trading loss which came on the back of a calculated exit during the first week of November for a loss of 850 pips. The following three weeks we earned a combined 680 pips.
The British Pound has been our worst performer and caused our floating trading losses to increase drastically this month as the Bank of England unexpectedly decided to reduce stimulus which spurred a much bigger than expected rally in the British Pound. This unexpected event is reflected in our floating trading losses tied to the GBP. We expect severe reversals in all GBP currency pairs over the next few weeks.
The Australian Dollar added to losses this week, but all charts point towards a reversal of the current trend which should allow us to capitalize on our Australian Dollar positions. We expect the AUDNZD as well as the AUDCHF to outperform over the course of December.
Overview of profits for the week which ended November 29th
- GBPJPY: 350 pips
Total Profits: 350 pips
Net Loss for October: 170 pips
Monday, November 25th
AUDCHF Long Recommendation
We recommended a long position at 0.8225 with a take profit target of 0.8575 (AUDCHF Last Call). This was an addition to our previous two long positions which we took on May 29th and June 11th at 0.9265 and 0.8825 respectively. This currency pair carries a floating trading loss of 1,571 pips. This represents an increase of 103 pips compared to last week. We will maintain our take profit target of 0.8575.
Tuesday, November 26th
GBPUSD Short Recommendation
We recommended a short position at 1.6225 with a take profit target of 1.5900 (GBPUSD Second Put). This was an addition to our previous short position which we took on September 9th at 1.5700. This currency pair carries a floating trading loss of 819 pips. This represents an increase of 291 pips compared to last week. We will maintain our take profit target of 1.5900.
Wednesday, November 27th
EURAUD Short Recommendation
We recommended a short position at 1.5000 with a take profit target of 1.4500 (EURAUD Double Top). This currency pair carries a floating trading profit of 73 pips. We will maintain our take profit target of 1.4500.
Friday, November 29th
USDJPY Short Recommendation
We recommended a short position at 102.50 with a take profit target of 100.00 (USDJPY Second Put). This was an addition to our previous short position which we took on November 14th at 100.00. This currency pair carries a floating trading loss of 250 pips. This represents an increase of 121 pips compared to last week. We will maintain our take profit target of 100.00.
Exit from trades of previous weeks
GBPJPY Hedge
We closed our GBPJPY hedge for 350 pips in profits on November 25th.
We had a total of four trading recommendations this week. One was a new position which carries a floating trading profit of 73 pips and three add-on trades to existing positions. We have also closed one previous position for 350 pips in profits which totals our weekly profits and reduced our first monthly loss to 170 pips.
Our total net profits for 2013 stand at 13,814 pips during the first eleven trading months for an average of 1,255 pips per month. We will further streamline our portfolio in December and expect to exit older trading positions.
In addition to our four trades from this week we also carry seven trades from previous weeks. We have one USDCAD short position which carries a floating trading loss of 166 pips. This represents an increase of 104 pips compared to last week. We have adjusted our take profit target to 1.0450.
We have one GBPJPY short position which carries a floating trading loss of 746 pips. This represents an increase of 615 pips compared to last week. We have adjusted our take profit target to 160.25.
We have one GBPCHF short position which carries a floating trading loss of 164 pips. This represents an increase of 119 pips compared to last week. We have adjusted our take profit target to 1.4675.
We have one EURGBP long position which carries a floating trading loss of 25 pips. This represents a decrease of 4 pips compared to last week. We will maintain our take profit target of 0.8550.
We have one CHFJPY short position which carries a floating trading loss of 312 pips. This represents an increase of 137 pips compared to last week. We have adjusted our take profit target to 110.00.
We have three AUDNZD long positions which carry a floating trading loss of 1,143 pips. This represents a decrease of 39 pips compared to last week. We will maintain our take profit target of 1.1625.
We have two AUDJPY positions, one long position and one short hedge, which carries a floating trading loss of 655 pips. This represents no change from the previous week. We will maintain our take profit target for our long position at 97.30 and for our short position at 90.75.
We hope you enjoy your weekend and that we will see you back on Monday.