I didn't check my CFD account on Friday evening as our large open fire was beckoning. However, having just checked it out now, I discovered that my WES long trade was closed by my profit taker stop at 4204 on Friday. When I open a long trade I always set a stop loss and a profit taker stop. The objective of the profit taker stop is to catch those large intraday spikes before the sp retraces. My long trade profit taker stops are normally set at one of the following points.
Just below an upper support/resistance level.
4 to 5 % above the close of the previous day.
Just above a 'round' number sp.
In the WES case I set my profit taker at 4204, being marginally above the 'round' value of $42.
Normally after a large up day like Thursday 26-Jun I would move both my profit protector stop (the lower one), and my profit taker stop (the higher one), up. However, on this occasion I didn't get around to it. Hence, my WES long trade was stopped out earlier than 'normal'. However, as WES did close lower than it opened on Friday, maybe my inaction on Thursday night (not adjusting stops) may have been a lucky move. Time will tell.
