Another trading idea comes out from my coffee cup. I see a stronger Aussie dollar. And EUR/AUD gives a shorting opportunity. What do you wanna do? Uhm…..
Here is the ย ย .daily CHART!
[photopress:eurauddaily14jan2008.gif,full,alignleft]
Let’s take a closer look….
[photopress:euraud4hourly14jan2008.gif,full,alignleft]
While shopping for some fresh fish and vegetables in Victoria market this morning, some random thought came into my head.
Why do you fear when holding a position overnight? Because you are not confident or not sure about your setup and strategy. Next, because you are not risking the amount that you are comfortable with. The stop of the trade is too wide for you, and your position size is too big for your small stomach. And, you are simply not prepared to accept any loss from trading.
In fact, it is so simple. Risk the amount that you are comfortable with. And watching the position to develop. Why fear?
I did not trade on Thursday, the only setup I have was long USDCAD. However, the setup failed before Mr.Ben’s speech. By the time Mr.Ben talked about further rate cut, I was already in the bed during this hot summer night in Melbourne.
I took a Long AUD/USD trade on Friday. Not so good, end the day with -42 pips. Well… ๐
I received a couple of emails, asking about my trading approach, maybe some hints for them. Well, personally, I do not offer any trading course. And I do not intend to discuss the details of my trading with anyone, not even my wife :-). Basically, I am a trend follower, with a mix of dummy trading. Go long when the market moves up, and short when it is heading down. That’s all I can say. Read the charts on my blog, you can get the idea.
Talking about training, the only trading course I would recommend to my readers is Hector’s trading course. [update: Hector trading is no longer available, there might be some free downloads available on the net, but the I am no longer recommend his material due to lack of follow up ] There are similarities between our approach. And I am confident that his trading course will help my readers. Read my previous review. Don’t ask me about forex killer/cleaner/beggar or whatever, I have no idea about these black box things. :o:
It will be wise to spend your time in studying market, instead of searching for the ‘right system’ which will never be right :-p.
Maybe I had been staying in Singapore for too long, I tend to work or live by rules. Here is something for you to think about.
When crossing a road with moderate traffic, would you rather press the ‘cross’ button of traffic light and wait for the green light before crossing? or you will take your own steps as long as you feel it is safe without even looking at the traffic light?
I often see people ran across the road just to save his 0.1 minute, and people like me, dumb enough to just wait for the green signal before crossing.
Try to link this to your trading. What would you do? why?
Food for thought , from Gavin.
Ok, again, I am going to reveal a ‘trading secret’. ‘Go long when market goes up.’ Cool? ๐
Back to business. There were not too many opportunities today. I missed the short of GBP/USD, because I was busy having dinner :o: . I went long of AUD/CAD. Yup , again. I saw a stronger Aussie and weaker Canadian dollar. Exit the trade after waking up in the Melbourne morning before I am heading to work. Just a +25 pips trade.
Aussie is still looking strong, my gut feeling tells me it should continue moving for a little while. But well, too bad, I have to exit the trade now.
Here is the……CHART!
[photopress:audcad09jan2008_tradeclose_blog.gif,full,alignleft]
