LONG GBPNZD 05102016 EVENING - CLOSED WITH A LOSS

Longed GBPNZD
Reasons:
- GBP should be oversold by now.
- NZD in lieu of dollar strength should be weak.
- Algo trendline is blue.
- Higher high and higher low on previous day.
- Candlestick shape ended with a Morning Star Doji.

My big question - positioning of stop loss.
Placed it below previous day's low.
Initial risk reward - 1:2

TRADE CLOSED ON 07102016 WITH LOSS
POST TRADE THOUGHTS

- GBP continued to sell off
- Friday Flash eliminated the possibility of win
- stop loss was controlled, however, please consider when other positions risk 1 percent, I risked more than 1 percent on this trade. Should just risk 1 percent.
- it would have been easy to sell a continual fall in GBPNZD.

Things I did right
- money management and 2 percent rule.
- once morning star doji is breached, it means the pattern is largely invalid.

Post thoughts -
I'm starting to dislike GBP pairs.