That's good to know - hopefully something similar happens again. I must admit I am slightly nervous about being short EUR with tomorrow's Fed decision looming...
Seeing this as H&S : The right shoulder formed perfectly at 1.2330 (left shoulder also at exact same level) - Manually, The H&S entry is complete on break below the sloping neckline at 1.2200.
Made a quick reference check with megan of phibase on this trade setup- part fo the email is below:
Phibase trades patterns as they form - the advantage is that nor all patterns form perfectly all the time. In fact, in most cases of a H&S pattern, the right shoulder may never reach the exact level of the left shoulder. The short entry at 1.2250 level for the first position is a valid entry based on the EA's predictive logic.
Resistance from the EA's point of view would now be at 1.2330 (left shoulder level) - above that the head 1.2390 should provide a stronger ceiling. We then have a strong down trendline at 1.2420 factored in now. The EA will add to the short positions on reversals at these levels.
The above was more or less what I was expecting based on past experience and trading style of this ea.
EA's do not know that fed news is coming up - but that is the beauty of it - manual trading so difficult for us due to our extra vision. I cannot decide on going short or going long because a news is looming - when the news is out it is so volatile that I do not have the guts to trade it. by the time thing settle down, the pattern that I was tracking for 3-4 days becomes a thing of the past and I am left with "why did I not do that or this"
Like fmonera says... only statistics can say if the ea is profitable or not... each trade setup takes 3-4 days to form and trades run for 2-6 days. deciding on the profitability based on live trades will be a toug job based on the very few sample of trades generated even with 6 months or 1 year of trading.
So this trade setup may or may not work in the ea's (our) favor.. but that does not make it a invalid trade. Because statistically it will work out... it may fail even the next 4 times.... but the other 6 may turn out to be the winners.
the trouble is no one knows the order in which wins loss will occur... if some one knew... we would have had the holy grail
Good luck all... Hope to wake up to some nice looking green pips.