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…
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.
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!
Please, share your thoughts about this.