Monday, June 18, 2012

ABF:LSE - Short Trade doubled in size

As I suspected on Friday, the price action on ABF:LSE has tested the underside of the original rising wedge which got me short.   This is often what happens with these patterns and I sometimes wait for it to do so before re-entering.  This is at the same level as the .786 Fibonacci retracement of the previous swing.

This pattern has been profitable but did not reach my target and I'm currently under water with it.

Given the apparent euphoria in the markets over the fact that Greece isn't going bust (yet)...I've doubled up on my size which gives me a higher average holding price and that enables me to move my profit target higher, in accordance with my startegy.

I will monitor the price action and close the trade when the new revised target is met.

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