Good morning Team Rainbow. Hopefully, you all got my postings yesterday evening regarding the AUDUSD trade. This is a rare occurrence I have to say. The trade actually made 30 pips profit but cmc didn't bring the price down quite enough to take our first target out. The price then reversed and began to move up, ie we hit the bottom spot on!! I therefore moved the entire to entry at 0.8970 which was duly hit for a break even trade. Some of you I know managed to get the 30 pip profit at first target. Well done!!

The current price is 0.8994, so we WOULD currently be down had I not taken action. There will be other fish to fry and remember, we didn't lose. Managing trades is a large part of this strategy which is why a partial profit is taken at a modest 30 pips.

It also occurs to me that our cumulative result for October is over 10% already. Should we stop trading then and wait until 1 November? I won't do that at the moment, but it is worth bearing in mind when we get the inevitable losing trades. Our overall target is 10% a month. If we do that for 36 months and compound our returns, our initial capital will grow by 30 fold. Fact. This is tortoise and hare remember. Perhaps when over 10% for the month, we REDUCE stakes by half thereby attempting to preserve at least what we have. Or do we carry on as now, hoping to get a bumper month to compensate for an awful month in the future. This is all really up to individuals preferences, but just know that losses will happen. I would be interested to know your thoughts.

Today's economics: US and Canadian trade balances at 1:30pm and then Kiwi retail sales at 10:45pm tonight.