There are a couple of potential trades on the horizon, there was nothing last week except one I missed when i was on holiday which was on the EURCHF.
When we could have got in, there would have been roughly about 120 pips in profit.
Again though, I decided not to trade as the set up was not ideal, and as mentioned over and over again - I would much rather be 1 or 2 pips in profit than have a bif drawdown and look back saying that it was not a perfect setup! This will be waht distinguishes a trader from a gambler...
I know what bracket I would rather be in!
Happy trading!
Monday, December 19, 2011
Tuesday, December 13, 2011
Time off
Just a quick message to say that I took last week off from looking at the markets due to other work commitments, which meant that I could not update my blog, and it also meant that I was not able to follow the markets that well.
With that in mind, I shall endeavor to let you know BEFORE I take a leave of abscence - of course sometimes that will not be possible, but I will endeavor to do so just so that you need not keep checking back all of the time.
Anyways, this does bring up a good point - I do feel refreshed coming back to looking at the markets, and it is important to have a life away from them. There is nothing better than a trader who is fresh and able to bring energy to the markets... It may sound strange, but energy is what is needed. You need to spend some time going through the markets each and every day, and It can quickly get quite tiring... taking time away can renew and refresh, and just remember, the markets are ALWAYS there (although some currencies may not... EURO !!! ;)
It is a worrying time in all seriousnes though, as the Euro zone represents the largest economy on Earth... 3 times as big as the US banks... that is certainly food for thought. If the Euro were to fail, there will be massive implications on all the markets around the World - not just currency, but equities as well as futures and the whole shabang.
It will be interesting to see how this plays out. Will the Euro fail? I would say probably not, but who thought Enron would fail, or Lehmann brothers or Northern Rock, or the (now) publicly owned banks in the UK....
Nothing is certain, but keep your eyes open for opportunities!!!
As it is, there is nothing on the horizion at the moment in terms of trades, but will be looking for them this week!
Happy trading
With that in mind, I shall endeavor to let you know BEFORE I take a leave of abscence - of course sometimes that will not be possible, but I will endeavor to do so just so that you need not keep checking back all of the time.
Anyways, this does bring up a good point - I do feel refreshed coming back to looking at the markets, and it is important to have a life away from them. There is nothing better than a trader who is fresh and able to bring energy to the markets... It may sound strange, but energy is what is needed. You need to spend some time going through the markets each and every day, and It can quickly get quite tiring... taking time away can renew and refresh, and just remember, the markets are ALWAYS there (although some currencies may not...
It is a worrying time in all seriousnes though, as the Euro zone represents the largest economy on Earth... 3 times as big as the US banks... that is certainly food for thought. If the Euro were to fail, there will be massive implications on all the markets around the World - not just currency, but equities as well as futures and the whole shabang.
It will be interesting to see how this plays out. Will the Euro fail? I would say probably not, but who thought Enron would fail, or Lehmann brothers or Northern Rock, or the (now) publicly owned banks in the UK....
Nothing is certain, but keep your eyes open for opportunities!!!
As it is, there is nothing on the horizion at the moment in terms of trades, but will be looking for them this week!
Happy trading
Wednesday, November 30, 2011
Another trade taken
This one was on the USDCHF. I actually took the trade yesterday evening, but was not close to a computer to update the blog to let everyone know.
I bought at 0.92133 at 17:15 and it was closed out just a few minutes ago at 0.92200 (again I raised my stop to break even, but managed to take a couple of pips in the process.
I have started using a spreadsheet called DDSM which is an automatic spreadsheet that gives you lot sizes against risk. It looks to be very handy, as over the course of 20 trades, if you win 10 trades at 100 pips each, and then lose 100 10 trades at 100 pips each - you will come out with a hefty profit. Likewise if you lose 10 then win 10 you still come out ahead. A very useful tool indeed - it ensures that you have every chances of earning money over the long term.
Anyway, my lot size on this occasion using this spreadsheet and using past performance would have been 0.13, and the account balance would have been $1387.93! Quite a bit more than my other bank balance without using the spreadsheet... This small pip gain would have netted me $9.45,, which for one trade at a very low balance is great!
I think what I will do, is set up another account using the DDSMM money management spreadsheet to track how this spreadheet works - as anything that works well can add to the arsenal!
Happy trading!
I bought at 0.92133 at 17:15 and it was closed out just a few minutes ago at 0.92200 (again I raised my stop to break even, but managed to take a couple of pips in the process.
I have started using a spreadsheet called DDSM which is an automatic spreadsheet that gives you lot sizes against risk. It looks to be very handy, as over the course of 20 trades, if you win 10 trades at 100 pips each, and then lose 100 10 trades at 100 pips each - you will come out with a hefty profit. Likewise if you lose 10 then win 10 you still come out ahead. A very useful tool indeed - it ensures that you have every chances of earning money over the long term.
Anyway, my lot size on this occasion using this spreadsheet and using past performance would have been 0.13, and the account balance would have been $1387.93! Quite a bit more than my other bank balance without using the spreadsheet... This small pip gain would have netted me $9.45,, which for one trade at a very low balance is great!
I think what I will do, is set up another account using the DDSMM money management spreadsheet to track how this spreadheet works - as anything that works well can add to the arsenal!
Happy trading!
Thursday, November 24, 2011
Stopped out last night
Well, as I mentioned yesterday, I was not wholly convinved there woudl be a massive move upwards, and thought I would put my Stop loss at Break even as quickly as possible. Good thing I did, as the trade woudl be in quite a bit of draw down.
Out of the trade with zero loss and zero porfit - my Break even was set at the entry price of 0.91988, so a good result in the end. The max profit I could have acheived would have only been about 4 pips, so it was a bit of a speculative trade that did not quite go to the 20 pip proift I was going after.
Happy trading!
Out of the trade with zero loss and zero porfit - my Break even was set at the entry price of 0.91988, so a good result in the end. The max profit I could have acheived would have only been about 4 pips, so it was a bit of a speculative trade that did not quite go to the 20 pip proift I was going after.
Happy trading!
Wednesday, November 23, 2011
Another trade
This time on the USDCHF (again!).
The charts say to opem up on this strategy, so it has been opened, although I do have some signals which say that it will go the other way... as it is, the startegy is such that I need to follow it to the letter...
So USDCHF is a buy @ 0.91988. I have set the stop loss at about 90 pips to start off, but as soon as I am in profit on this one, I shall be going to break even as I am not entirely sure that this one is going to pan out the way I would like... Time will tell, and we have been on a very good run these past 4 trades, so I am happy to take the trade, but will be interesting to see how this one pans out!
Cross fingers, and trust in the trading Gods as such!
Happy trading!
The charts say to opem up on this strategy, so it has been opened, although I do have some signals which say that it will go the other way... as it is, the startegy is such that I need to follow it to the letter...
So USDCHF is a buy @ 0.91988. I have set the stop loss at about 90 pips to start off, but as soon as I am in profit on this one, I shall be going to break even as I am not entirely sure that this one is going to pan out the way I would like... Time will tell, and we have been on a very good run these past 4 trades, so I am happy to take the trade, but will be interesting to see how this one pans out!
Cross fingers, and trust in the trading Gods as such!
Happy trading!
Stopped out
Well, The trade I took this morning was stopped out with another profit!
This time I was stopped out at a profit of 46.9, as I moved by SL to 1.34000 over the course of the trade.
I should point out that I considered halving my position and putting the SL at 50%, so I would have had some profit, adn the ability to let the remaing half run.
I chose instead jsut to move the SL up when i was in profit by about 65 pips, as I am more than happy to take the full profit early as it means less of an effort in tracking the trade over a course of a few days.
What I am trying ot do at the moment is to reduce the maximum stop loss but keep the risk the same, so when I am in profit, I earn a lot more.
I have detailed this bfore, but by halving the maximum stop loss (from say, 150 to 75) I can double my position sizing (from 0.1 to 0.2 for example). This means that I do not have as much wiggle room in terms of price movement into drawdown, but at the same time I DOUBLE my profits.
So far I have not documented original stop loss levels and position sizes, but maybe I should?
Anyway, another profit!!
Happy trading!
This time I was stopped out at a profit of 46.9, as I moved by SL to 1.34000 over the course of the trade.
I should point out that I considered halving my position and putting the SL at 50%, so I would have had some profit, adn the ability to let the remaing half run.
I chose instead jsut to move the SL up when i was in profit by about 65 pips, as I am more than happy to take the full profit early as it means less of an effort in tracking the trade over a course of a few days.
What I am trying ot do at the moment is to reduce the maximum stop loss but keep the risk the same, so when I am in profit, I earn a lot more.
I have detailed this bfore, but by halving the maximum stop loss (from say, 150 to 75) I can double my position sizing (from 0.1 to 0.2 for example). This means that I do not have as much wiggle room in terms of price movement into drawdown, but at the same time I DOUBLE my profits.
So far I have not documented original stop loss levels and position sizes, but maybe I should?
Anyway, another profit!!
Happy trading!
New trade on EURUSD
A new trade was opened on the EURUSD about half an hour ago.
I got into the trade - a sell @ 1.34469.
I have already moved the stop loss to break even, so I now have zero risk on this trade. It is good to let these ride... The great thing about this trade is that it has broken some really massive resistance, and the next major support level is at about 1.31... so we could be looking at quite a nice little profit on this one (although the cliche 'famous last words' come to mind)....
Already I am in profit, and with the safety net of the stop loss being at break even, I am kind of feeling pretty good about this trade.
Putting the stop loss at break even straight away is a major psycological boost to your trading, and yet it could easily swing back and take away any proifts, but the major thing is that I have absolutely no risk - zilch - to my account, so even if this took a massive reversal, the most I could lose is nothing... How brilliant is that!!! This has got to be the single most best thing I have ever learnt.... and that is no lie. The strategy itself is great, but once I am in proift - I can not not lose. A similar thing can be used by using trailing stops. Although very very useful, I am taking more of an active look at the trades, and trying to determine what should happen with it. It is all a learning curve of course, and in the last two trades, the stop loss was put at a level that meant they were stopped out for relatively small gains when the trades themselves could have gone on for many more pips... HOWEVER, they were stopped out at what was a pretty huge resistance/support level, so despite the fact they were stopped out, I made a profit on something that could have easily gone the other way and wiped out those profits and could have easily gone on to be a loss.
Something I learned a long time ago was never complain about a profit. This means taking small profits despite the fact that a trade goes on to make HUGE gains. If you always make a profit, that is great, if you make 1 or 2 losses, you could be in huge draw down which is not good!
Anways - here's to happy trading!!!
I got into the trade - a sell @ 1.34469.
I have already moved the stop loss to break even, so I now have zero risk on this trade. It is good to let these ride... The great thing about this trade is that it has broken some really massive resistance, and the next major support level is at about 1.31... so we could be looking at quite a nice little profit on this one (although the cliche 'famous last words' come to mind)....
Already I am in profit, and with the safety net of the stop loss being at break even, I am kind of feeling pretty good about this trade.
Putting the stop loss at break even straight away is a major psycological boost to your trading, and yet it could easily swing back and take away any proifts, but the major thing is that I have absolutely no risk - zilch - to my account, so even if this took a massive reversal, the most I could lose is nothing... How brilliant is that!!! This has got to be the single most best thing I have ever learnt.... and that is no lie. The strategy itself is great, but once I am in proift - I can not not lose. A similar thing can be used by using trailing stops. Although very very useful, I am taking more of an active look at the trades, and trying to determine what should happen with it. It is all a learning curve of course, and in the last two trades, the stop loss was put at a level that meant they were stopped out for relatively small gains when the trades themselves could have gone on for many more pips... HOWEVER, they were stopped out at what was a pretty huge resistance/support level, so despite the fact they were stopped out, I made a profit on something that could have easily gone the other way and wiped out those profits and could have easily gone on to be a loss.
Something I learned a long time ago was never complain about a profit. This means taking small profits despite the fact that a trade goes on to make HUGE gains. If you always make a profit, that is great, if you make 1 or 2 losses, you could be in huge draw down which is not good!
Anways - here's to happy trading!!!
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