Hey traders, I hope everything is going well!
Last Sunday I did an Ironman 70.3 … and let me tell you, it was one of the most unique experiences I’ve ever had in my life.
Just take a look at this picture:
How satisfied do I look?
For those of you that don’t know, an Ironman 70.3 is a: 1.9km swim + 90kms Bike + 21.2kms run, one after the other.
I completed it in 6:46 hrs (more than expected, but based on the circumstances, I guess it was alright).
I have mixed feelings about it, I physically suffered like no other day in my life (that I can recall), but I also was very satisfied when I crossed the line.
So here is how it went.
Are you planning to trade the NFP tomorrow?
Well, you are at the right article… because I’m going to show you exactly what you need to do with your trading during the NFP report…
If you intend to trade the NFP for a quick gain
This is also true for any other fundamental release… If you keep trying to get a quick gain here and there during any fundamental release… your trading career will end pretty soon.
Hey trader, hope everything is going well!!!
How is your trading going so far this week?
By the way, did you take the GBPAUD signal that I sent you on Tuesday?
I’ve been following the GBPAUD in the last weeks and in my last article, I published a signal:
Stop entry: 1.9692, SL 1.9635 and TP 2.0190
Did you take it?
If you did, you have almost 300 pips on your favor, you need to hold it a bit longer so it reaches our TP order, which is around 200 pips from where the market is currently trading at.
200 pips might seem like a lot, but its not the case in the GBPAUD, it could move a few hundred pips in just a few hours, so you got to be patient ok?
Alright, it’s not like I’m going to stop trading for ever, it’s just for the rest of the week.
If you were thinking about taking some days off your trading, this one would be the perfect week to do it.
And here is why:
I few days ago I got an email from a desperate trader, it was something like this:
“It doesn’t matter what indicator I use to trade the market, it always seems to move against me”
Think about it… What would you say to this trader?
My response was something like this:
Look at it this way…
I was about to call it a week… but something came to my mind.
Sometimes putting things into perspective can help you see them from another angle. So I thought about an important question than can help you get better results…
Why do you trade?
Don’t answer because you want to make more money, because that’s not the correct answer.
Actually, you want to make more money because __________________
You need to fill in the line…
The reasons are different from trader to trader, some of them might be:
One of the best things a trader can do when planning his trade is to follow the market (instead of trying to guess where it is going).
So if you are trading the EURUSD or planning to trade it, here is what I think we should focus on:
There are many things that make trading a difficult task (this should read “trading successfully”, because anyone could trade, no previous experience is necessary, you just need to know how to click one simple buy or sell button). Just to name a few:
You need a sound strategy. You need to find and edge, you need a set a rules that identify low risk trade opportunities, you can use technical indicators, Fibonacci, Elliot waves, price action, or whatever fits you and makes you feel comfortable.
Discipline. Our main goal as traders is to trade consistently, we are not looking for unexpected or random gains (aka outguessing our system), and the only way to get them is by following our system to a 100%, period.
Later today the employment report of AUD will be released and tomorrow we have two interest rates announcements, for the EUR and GBP, but even when the EURAUD is related to both of them, I think we have enough time to let the market move on our favor, and then be able to move the SL close to the breakeven level so that we can leave our trade open during those announcements.
Here is the 30M chart:
As long as the EURAUD keeps trading below the ST resistance level 1.3264 I will be looking for short opportunities. Notice also it is trading below every important level on the short term charts.
The Swiss National Bank intervened again on its currency. According to Bloomberg, the SNB sent an email statement: “With immediate effect, it will no longer tolerate a euro-franc exchange rate below the minimum rate of 1.20 francs” and “is prepared to buy foreign currency in unlimited quantities.”
Guess where the EURCHF is currently trading? 1.2023 (from 1.1015 earlier this morning, that’s around 1000 pips)… So it worked, we’ll see if it only worked on the short term (like BOJ interventions) or it has a sustained effect (what they really want). Because we have something clear, as long as traders, investors, bankers all over the world continue seeing the CHF as a reserve currency (because of the debt crisis, etc), sooner or later the market will lead to renewed franc gains, that’s how the market works.
In the meanwhile, I will wait for clearer market conditions on all CHF crosses. And as soon as I have something, I’ll let you know.
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