EURCAD - Evergrade giveaway or what goes around in China stays i
Updated
Quick idea in response to the just announced Evergrade default, although not sure it's really public yet. Ok my take is that "what goes around in China, stays in China", the rest and it's really not much, is just a part of investment and capitalism - it has something called a risk element, and it sometimes leads to defaults. Companies default every day around the globe. This with China is just blown up, and it's gripped with fear, because most is hidden, but fear is poison to your trading account as it least to panic and bad decisions. Tempted to take this trade here, but due to current exposure I prefer to wait to see if we will come higher, if not I am fine.
Trade active
I never took the trade as depicted in the first, above chart. Indeed, it was an hasty impulsive idea, with a badly placed SL and would have been stopped now. Instead, I took it as shown below, placing a small order ahead of 61.8 fib and giving the SL more breathing room above the structure. I'm not sure that will be enough though as EUR once again has caught the Early Hike Virus... I read on twitter someone saying "there's more chance of pigs flying than this happening" and I very much agree with that. So at some point, this will be priced out again, maybe when US gets back online but that's not until Friday, so that practically means Monday as most ppl with influence probably has crossed out that day in between.Note
... and I have an open target on this one btw, if it would take off in that direction. I would say at this point it's 50/50 at best.Trade closed manually
Closed this trade at BE as I see better choices elsewhere, for now at least.
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