I was trading the EUR/USD, a fairly stable currency pair in the forex market. I had set a strict stop loss considering the market dynamics, but soon after I had opened my position, there was an abrupt market spike. This spike went against the direction of my trade and instantly hit my stop loss, leading to a loss on my part. What was surprising and frustrating was that immediately after this spike, the market returned to its original trajectory, giving me reason to believe that the spike was an anomaly rather than a genuine market movement.
I was trading the EUR/USD, a fairly stable currency pair in the forex market. I had set a strict stop loss considering the market dynamics, but soon after I had opened my position, there was an abrupt market spike. This spike went against the direction of my trade and instantly hit my stop loss, leading to a loss on my part. What was surprising and frustrating was that immediately after this spike, the market returned to its original trajectory, giving me reason to believe that the spike was an anomaly rather than a genuine market movement.
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