DUMP THAT LOSER
One of the biggest mistakes that traders make is holding on to losers too long. The reason we do this is because we can't stand to lose that money. We can't stand to see our bottom line shrink. We can't take the fact that we were wrong in the trade set up. We don't want to mess up a good winning streak. We got stopped out too many times, only to soon see price reverse in our favor. We got angry because we got tricked and now refuse to budge, but keeping the loss only hurts us, while another trader is getting our money. We got tricked it happens, it is time to cut our losses and move on to another better trade set-up.
Whatever the reason, holding on to losing trades IS A BAD IDEA, that only cripples you.
There are other ways you lose besides losing your money??????
By refusing to take a legitimate loss, (not when price moves against you a few pips in a well established trend, but holding for days, weeks and months), you rob yourself of many more profits. When you lock yourself in a losing trade, you can't take any profitable trades in that pair. Say you are short on the USD/JPY and the pair moves against you, now you have practiced good money management so you can afford to hold on to it until in comes back in your favor, it has now been 6 months. With FIFO (first in, first out) that is 6 months that you could not make money on that pair because you were nursing a loss. If you traded on the pair twice a day that is 318 trades(taking out Saturday) that you have cheated yourself out of over six month, and even if you got just 5 pips per trader, that is 1590 pips that you have missed, but say that you couldn't get every trade, you only got half that is 795 pips that you have missed...........ok, but even that is a struggle, so let's say a third, that is 265 pips, that you have cheated yourself out of, and if you are really a great trader, you know that you have missed so much more, say you were able to average ten pips per trade over the 6 months, then that is 3,180 pips that you have kept yourself from. Let's translate pips into dollars that is $265.00, enough for a nice Christmas present. $790.00, enough for that nice gadget that will impress your Friends. $1590.00 enough for that great TV you want. $3,180.00 enough for a great down payment on your teenagers first car.
You could have traded that multiple times both long and short, instead you threw it all away because you refused to take that loss.
Then the loss gets too big and you feel like you can't take it, because you can't afford to take it now. If you cut the legs off of that monster while it is manageable, it won't grow up to eat you.
Not cutting a loss, increased your stress level, making you harder to live with. Makes you feel sorry for yourself, 'because GOD will help everybody else but you'. You are too worried to sleep, so you stay up and watch the market. You also limit the amount of money you can trade with, because a portion of it is locked in that losing trade, resulting in smaller profits.
You are going bald, your blood pressure is up and you are stressed to hell. Just cut the loss while it is manageable. I know you don't want to give the market your money, but that is part of the price of playing the game. Don't trap yourself into a corner that you can't make money in, it is sooooooooooo much worst than giving the market a few dollars, because you are still able to trade and make more money. What if it takes a whole week to recover, it is still better than that panicky feeling that comes from watching the market go against you day after day after day and feeling helpless to do anything about it.
The right way is to ride the winners and DUMP THE LOSERS, because they cripple you, they pull you down emotionally, they steal your trading confidence and lastly they drain your account as they get greedier and greedier the larger they become.
IS IT WORTH IT??????????!!!!!!!!
DON'T LET YOUR LOSERS RUN WILD, Because many times they will run until they drain you dry.
YOU CAN DO THIS (^_^)
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This week FOREX technicals did work perfectly.
So next week in algforex.com we'll trade more Calls with high level of accuracy and much bigger amounts.Last 3 weeks my job was to hold people from wrong Entries.Now our time came back .
Same Trend. Still trade very carefully.
Red,- SellGreen,- BuyNZD/USD 0.7080GBP/USD 1.5038USD/CAD 1.0181USD/CHF 1.0650
The Price Yo-Yo
What is the Price Yo-Yo???????It is the price dance that keeps traders confused and keeps them off guard. Every hour, every day, every week and every month you have a natural price movement like the flow of musical notes. It flows up and it flows down sometimes like smooth rolling hills and sometimes like sharp cliffs and canyons.
The Price Yo-Yo is one of the hardest things for traders to get use to, as is seems so random and without any logic. When you are sitting at your computer all day watching price move up, down and sideways it is easy to get confused about the true direction of the market. That is why it is always best to get a view of the bigger picture before you begin trading in smaller time frames.
By looking at the bigger picture you can plan a strategy that will help you to keep sight of your trading objective and give you an advantage that you would not have if you just jumped in on a smaller time frame and started to trade without that bigger time frame reference.
If you see that your market is mostly bullish on a four hour chart, then it may be wise for you to take trades in the bullish direction on the 15min time frame. If you have a predictable range bound market, then you want to look for opportunities to sell near resistance and buy near support on your 15 min time frame. Remember you only want to buy/sell at these point with proper candlestick reversal pattern at/near an established support/resistance. Waiting for proper entry/exit signals will put you on the right side of the trade most of the time (^_^)
Keeping an eye on the bigger time frame picture, will give you an advantage and help keep you from getting confused and losing your way while trading in smaller time frames. If you have been trading any time, you know that you can use every advantage you can get (^_^).
YOU CAN DO THIS (^_^)
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It's last Free Update this week in this Blog. Still Hold USD/CHF Short since 1.0646. Target #2...1.0534.
Red,- SellGreen,- BuyEUR/USD 1.3627 1.3461AUD/USD 0.9225 0.9077NZD/USD 0.7125 0.7000USD/CHF 1.0697 1.0533
PRICE ACTION AND FRIENDS
Why do so many traders go broke???????
The house advantage!!!!
What is the house advantage???????
The house has all of the money and knows and makes the rules. The thing about the rules is that they seem random as if they are being made up as we are going along. That is why the proper interpretation of the language of the charts is so essential to your trading success. Your indicators and oscillators are only following where the price lead. How much better is it to be able to interpret what is going on in the market long before your indicator does? It can be done and is done skillfully everyday by people who understand and know the language the charts speak. What is this secret, strange, mysterious, language that the charts speak???
PRICE ACTION!!!!!!!! What price is doing and has done, along with the natural rhythm of the market.
By the time your indicators tell you what your price is doing, you are already behind those who interpreted price action long before your indicator/oscillator clued you in. Have you ever waited for your indicator/oscillator to tell you to get in only to discover that you have missed a great deal of the move already. Becoming fluent in the language of price will help you to avoid much of that.
THERE IS NO PERFECT FOREX SYSTEM, it doesn't exist, but studying and learning the language of your charts will put the odds in your favor, and help you to glean a sweet little profit in the process.
There are no short cuts here. You can learn the language and get an advantage, or you can rely on the news, support/resistance, trend lines or other indicators/oscillators. I am a huge fan of support/resistance and trend lines, but gaining an understanding of price action will give you a clear advantage.
I am not bashing indicators, but you need to understand what they are. They are merely assistants and interns to the PRESIDENT OF PRICE ACTION.
Is PRICE ACTION ENOUGH??????
NO!!!!!!!
Like the president, your Price action needs a cabinet that can support it. That is where your indicators and oscillators come on. They are your support staff. Once you master PRICE ACTION, the other things become natural assistants.
Price action will not tell you everything, it will not tell you how far price is headed, and how long the destination might be. That is where support/resistance, and long term trend line comes in.
At the end of the month, always see where your price is headed, then plan your strategy accordingly, knowing that most of the time you will have a bounce on your weekly candle. DO NOT SHORT OFF OF THE LOW OF THAT LAST MONTHLY CANDLE, BECAUSE MOST OF THE TIME, YOU WILL END UP ON THE WRONG SIDE OF THE TRADE.
THAT IS WHY LEARNING YOUR MARKET RHYTHM IS SO IMPORTANT!!!
PRICE ACTION ALONG WITH FRIENDS CAN TAKE YOU WHERE YOU WANT TO BE.
You may use any indicator/oscillator that your are comfortable with. Just remember that they are the cabinet to the PRESIDENT OF PRICE ACTION!!!!!!!!!!!
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YOU CAN DO THIS (^_^)
Now we everybody have USD/CAD Long.
Protect your Profit. At 2:15 p.m. ET USD Federal Open Market Committee Interest Rate Decision.It was last Free Update this week in this Blog.Next Update Live just in algforex.com
USD/CAD at 1.0157 - 1.0167 it's good to take Profit and Enter Long.
Our trades based on Intraday - Daily reversion. Reversion level is Pivot level. Same time they are strong resistance or strong support. Resistance we do Sell, support we do Buy. Thees Entries are 2-7 pips accuracy. And Stops are 25 pips. Later after price moves 15 - 25 pips of Profit move Stops near Entry. Also we do trade follow broken Pivot. In this case I do make special note. It works just
We did Sell USD/CAD 1.0217. Now Stops near Entry.
Our trades based on Intraday - Daily reversion. Reversion level is Pivot level. Same time they are strong resistance or strong support. Resistance we do Sell, support we do Buy. Thees Entries are 2-7 pips accuracy. And Stops are 25 pips. Later after price moves 15 - 25 pips of Profit move Stops near Entry. Also we do trade follow broken Pivot. In this case I do make special note. It works just
In algforex.com we got Sell NZD/USD 0.7034 Entry with 1 pip accuracy. Now Stops to Entry.
Our trades based on Intraday - Daily reversion. Reversion level is Pivot level. Same time they are strong resistance or strong support. Resistance we do Sell, support we do Buy. Thees Entries are 2-7 pips accuracy. And Stops are 25 pips. Later after price moves 15 - 25 pips of Profit move Stops near Entry. Also we do trade follow broken Pivot. In this case I do make special note. It works just
THE GUESSING OF TRADING
Trading is based on our hypothesis. In other words trading amounts to our educated guesses, which means the more you invest in your education, the more likely you are to find yourself on the right side of the trade. One of the most widely overlooked parts of trading education by traders is the study of past charts. I make personal videos, so that like a football team I can review my plays and create better strategies.Your chart will tell you almost every thing you need to know to get on the right side of the trade. The one thing it doesn't tell you is what is going on behind the scenes and it will even give you a hint to that most of the time. Your bullish/bearish ENGULFING patterns are evidence that there are some secrets that the market keeps to itself.
Mastering your candlestick psychology, your support/resistance, and your trendlines are things that you want to major on and learn well. You may not win every trade, but having a firm foundation on these simple techniques can greatly increase your odds of a successful trade. I think the more simple your charts, the better and easier it is for you to enter a good trade.
Sometimes you will have the perfect trade set up and all of your analysis will be right and you will find yourself on the wrong side of the trade. No big deal, it happens to all of us, review that trade and see if you can identify the error. When you have reviewed it, look for the next trading opportunity. There is NO PERFECT TRADING STRATEGY!!!!!!! This is only a guessing game for those of us who like to play the odds. The better your education, the better your odds will be against the house.
YOU CAN ABSOLUTELY DO THIS (^_^)
YOU CAN BE SUCCESSFUL AT FOREX!!!!!
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We are USD/CHF buyers so Hold Trades if you have.For new good Entry, after some move fallow our direction, we need and some reversion.So for now just watch. Stops near Entries.If I'll see some trade able situation I'll let you know.End of the day I'll be able to do and Intraday Update for Sunday Trading.
STRATEGY VIDEOS IN ONE PLACE
My Friends, I am always honored to have you along. I am going to post some strategic videos here that you can book mark so that you can review them from time to time. Keep in mind that every market day is different. Your candlesticks are always telling a story. Look at the past story of the candles to help accurately interpret what your candles are telling you right now.
ALWAYS WAIT FOR PROPER TRADE SET-UPS. Great trading is mostly waiting to meet with great profit opportunity. No truly great trader is in the market all of the time. A truly great trader waits to pounce when she/he sees profit ripe on the horizon. However, I know some scalpers that make more than 200pips a day, but they wait for proper trade set-ups.
You have to choose the trading style that fits your personality, as there are many ways to successfully trade forex and no one has the monopoly on great trading. We have just found what works for us successfully. When you find good stuff, learn what you can, then tweak it to make it your own. Forex is a consistent building of knowledge.
YOU CAN DO THIS (^_^)
Get 10 Trading Lessons FREE
http://www.ino.com/info/447/CD4033/&dp=0&l=0&campaignid=6
Get 10 Trading Lessons FREE
http://www.ino.com/info/447/CD4033/&dp=0&l=0&campaignid=6
Just in algforex.com we got new USD/CHF support 1.0647.
Stops as soon as possible to Entry.Our trades based on Intraday - Daily reversion. Reversion level is Pivot level. Same time they are strong resistance or strong support. Resistance we do Sell, support we do Buy. Thees Entries are 2-7 pips accuracy. And Stops are 25 pips. Later after price moves 15 - 25 pips of Profit move Stops near Entry. Also we do trade follow broken Pivot. In this case I do
Stops near Entry.
If you wake up later also your got last Entry 1.0703, what you see on charts.Good luck for everybody.Just Hold this Trade. Now we are in good move.See you later when will be time to take Profit.Target #1 about 100 pips.Our trades based on Intraday - Daily reversion. Reversion level is Pivot level. Same time they are strong resistance or strong support. Resistance we do Sell, support we do Buy.
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