Update: Structural Moves

I've been performing quicker scans of my main FX watchlist. During this scanning process, I focus almost exclusively on the daily timeframe. Should there be a signal, I would then hop down to the lower 4-hour and 1-hour timeframes to plan a trade. This set-and-forget approach has certainly changed the way I set my trade parameters.

Historically, I've never set a take profit. I would set a stop loss and then manage the trade accordingly. This means closing the trade if I sense that momentum is dying down. The downside of this approach is that I'm prematurely exiting trades on the smallest pullbacks.

As I focus more on structural moves on the daily timeframe, this becomes less of an issue. Specifically, this is because I set a take profit for each one of my trades since I don't have as much time to monitor and manage them throughout the day.

After a rough summer, I feel like I'm able to spot momentum signals again. The screenshots below are the recent ones I've spotted over the past few days.

AUDCAD Daily

AUDCAD broke below the 0.8921 daily level so I entered short in anticipation of downside momentum picking up. So far, it has.

EURAUD Daily

I'm essentially doubling down on an AUD short as I went long on EURAUD. After price failed to sustain new lows, I entered long after price breached above the 1.4707 daily level.

USDCAD Daily

Admittedly, the execution wasn't the greatest. This pair was already making higher highs and I entered long to ride the next wave. The odds of it going higher are probably not as high since even further momentum is needed. This trade will likely be scratched if the dollar index (DXY) isn't showing clearer direction.

The last chart below is not a trade that I'm in. This is a potential trade that I'm eyeing if gold is able to breach the 1,718.50 level. This outlines my thought process showing how I scan and identify opportunities over on the daily timeframe.

XAUUSD Daily