Politics and Profits

Woke up this morning to the news that the Mass Senate race has gone to the Republicans.  I saw considerable speculation in the blogs I read that this impacted the overnight markets.  At Slope of Hope, the Avatars have taken over and at Evil Speculator some commentators see the EURUSD as having been broken.  Certainly the action in the lighter Asian session has pushed the pair under the 200 Simple Moving Average.  This is a big deal in classical FX trading.

I was short two lots late in the day yesterday, anticipating a bounce off of resistance at 1.4290 on the shorter term charts.  I was looking for a move down to the bottom of a channel bounded around 1.4260. The results in the Senate race helped push the pair lower than expected, so I rode it past my original profit point to the 1.4200 level.  I tightened my mental stop at that point and hit buy to close out the two lots for 75 pips!  My monthly target of 200 has been exceeded by more than 100!

Grind on!