Review week 39: trying to catch a falling knife

Result: -1R

I tried catching a falling knife trading a pin bar long on the EURGBP. Although the underlying trend was bullish, the pair was retracing in a impulsive short move. At the end of the week it turned out this move was so big that it totally cancelled out the underlying long trend. Trying to get back in to the underlying trend on such a move is risky.

Here is what it looks like.

EURGBP - Long pin bar -1R: Catching a falling knife

I'll be taking a step back this week from trading. I will try and rethink and write down what I think my edge is. I will probably update my trading plan.