The easiest way to trade

complex chart

Hey trader, how is your trading going? Have you been able to bank some pips this week?

Let me share with you an email experience I had with a trader earlier this week!

On Monday I received an email from this trader, he said something like this:

“You better write an article about closing all JPY trades, (what I’ve been recommending in the last weeks) because its about to retrace back and change direction…”

The first thing I thought was, hey, he must know somethingI don’t know… So I asked him, what makes him think that…

And his reply was something like this:

“There is a Fibonacci retracement around that level… blah blah blah” and he finished with this “by the way… I’m already short XX standard lots”

And that was the keyword…

He went short, and he was looking for support for his cause…

Plus, you already know I don’t care about Fibonacci or other magic formulas, black boxes and “flawless” technical indicators.

I told him what I believe about those kind of tools, and he wasn’t very happy about it…

Anyway…

I guess where I’m getting at is that, for some reason, we, humans, like to complicate things… We do this on many aspects of our lives. But once we realize we don’t need complicate things, things start coming much easier… try it, you’ll see…

The same applies to trading… let me share something with you. A little secret.

The easiest way to trade

If the market is going up: look for long opportunities.

If the market is going down: look for short opportunities.

If you have no idea of what the market is doing: do nothing. Take the day off.

That’t it!

Yes, sometimes the market will retrace back, and we will get caught in those retracements, but more often, the market will continue to move in the same direction… sometimes it will not retrace before it moves thousands of pips first… So you need to take advantage of it!

Makes sense?

Your Turn!

Please, share your thoughts about this.

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Raul Lopez

I’ve been trading the markets for more than 15 years. I believe the best way to trade is by adapting to the market conditions. You can learn it too, join our community .


  • Waqas Khan

    great

    • Raul Lopez

      Good to see you here Waqas!

  • Chad Hogan

    Ha ha.. True that. Ive been a bit hesitant lately to jump on the JPY pairs because like your trader friend Im worried the market will retrace too. In saying that, I also know now that if the market breaks an important level its likely to continue to the next level. I definetely wont be shorting them yet.
    Im still long on AUDJPY and NZDJPY, took profit on USDJPY `and monitoring CHFJPY, CADJPY & GBPJPY. Goodluck Raul..

    • Raul Lopez

      Hahahah I know, I get that feeling too, but I try not to pay attention to it and keep looking for long opportunities…

      Great mate! Looks like you already have a good amount of pips on your favor on those trades?

      Good luck!

  • Jade

    Raul,

    Thanks for everything you do for your subscribers. Ive been looking through your past material and my practice trading is really getting better now. One thing I am confused about is how you setup your stop losses. How do you know how far back to set it? How far back is too far in your opinion? I seem to be missing out on a lot of pips because I base my stop loss with my 2% risk/reward ratio on my take profit. I seem to be guessing where to put my stop loss at times.

    If you already have in article about this, I apologize but I can not find it.

    Thanks again!

    • Raul Lopez

      Hello Jade,

      Yes, I have a few articles about it… What you can do though, is to read the articles where I posta signal and see where I set them… That will give you the info that you are looking for.

      Good luck!

      • Jade

        Thanks Raul,

        I did find some of your signals and kind of figured out about how far back you place your stop losses. I was just wondering the logic and process that you use to figure out the placement, or if it is just something that you have a gut feeling on.

        Thanks,

        Jade

        • Raul Lopez

          Hello Jade, you need to have clear rules… Its not that sometimes you use this and some others other methodology…

          Good luck!

  • Excellent advice, Raul. I am beginning to see the obvious logic in this. Often I’ve tried to grab a quick trade in the opposite direction, hoping for a few bucks. It’s usually ended in tears.
    Like you, all those indicators complicate matters so much. The amount of work needed to keep up with it all often not seems worth the effort – especially when I personally keep losing with them.
    KISS – the best advice. Thank you, Raul.

    • Raul Lopez

      Hello Andy, I definitely agree with you!

      KISS should be our motto!

      Good luck and let me know if I can help you with anything else!

      • Thank you, Raul. I shall.

        • Raul Lopez

          Hello Andy, I want to thank you also for your comments and contributions!

          Have a great weekend!