As you see on 2-100k challenge account the buy opened Friday is in + based on Friday analysis given that time!
I decided to leave this position open and run it up as it goes. But this is not a decision made by the system. That's a decision made by emotions.
AI is suggesting a sell anywhere below 1277. Emotions suggest - Hold it, it's going to the moon.
The tricky part here is to know is it a reversal? The Only thing that can prove it is breaking Swing H's like 1277 - 1282 because in trending market it is what it does. In bullish market it will break Swing H's in bearish market it will break swing L's
That being said. I think I will close the green position and go short. I don't mind losing a portion of profits with sell position. I just want Gold to prove that it can break swing H's and then I can load the real long positions.
Emotions vs AI.
If Gold is not breaking Swing H's it has a superior chance to visit 1228 like 1,2,3. The Swing H I'm considering as a bullish proof is 1282.
I may regret this or salute about this, only gold on the chart will tell. But Like described before I give a fifth of a half-eaten $ about losing profits in this challenge, as far as I have 2K the challenge is intact. A lot will depend on open price, gaps, first move etc, but if I do something that, of course, can be seen on the account.
Most probably I will hedge. Let's see the opening price anyway!
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Was worth a try but bull is in. After 1277 broken it was an immediate buy + the break of 1282 another one. Trail the stops as this can go all the way up to 1348 finally. Every swing L is a dip for new buy.
@Salem_20188, If you have a buy open at 1260, and you are not sure about gold breaking 1276, you can open sell without closing the buy!
If you know that break of 1274 downwards will push gold lower, you can then close your buy and ride your sell, this way you make something out of your buy and you make something out of sell.
If Gold breaks 1276 and proves there is a bull, your SL for your sell is hit, but you have your buy open that keeps bringing you money, so having SL hit for sell is not that disappointing.
If you close your BUY and jump in sell and gold goes higher, you are more disappointed because you could at least hold the buy position. Now you have no buy, you have lost a portion of profits with Sell SL hit, and uh, eh, damn it!
But still just like simple Break Even, hedging too is a " tree with two ends ". Setup depends on given market conditions and breakout levels!
Because you can still end up with more than two SL's / BE's hit even if hedging!