I entered a short position in USD/CAD tonight after the pair broke through an area of support around 1.1455 with a nice wide-range body candle.  This plus the overall downtrend on the daily chart was enough for me to put some money on the line and see if it continues its move down.

Here's the daily chart...

• Short Entry:  1.13686
• Initial Stoploss:  1.15101
  

EUR/USD hit my sell limit early this morning and then came back and hit my stop loss.  In retrospect, I believe that I made some critical errors in this trade.  1).  I was trading on emotion.  By this I mean that I was reacting to a wide-range body day that had just breached support and I was afraid to miss any of the action.  So I quickly entered an order before waiting for a better buying opportunity on a retracement.  2).  I was trying to be too precise with my stop.  I placed my stop too close to my entry, and didn't really have it in a logical place (like just beyond resistance, a recent high, fib retracement level, etc...).

So, while this was a loss, it wasn't a total loss.  I've learned a lesson with this loss that will hopefully protect me in the future.

Trade 7 Profit -

• Trade 7.1: -52.3 pips
• Trade 7.2: -52.3 pips