There are two types of traders:
1. You see your trading setup presents perfectly, it ticks all your boxes(for example, price closed above moving average, x-day moving average crosses above Y-day moving average, or ascending triangle is formed, head-n-shoulder appears etc), and you start punching keyboard, submit your order. I call this Kangaroo trader.
2. You see your setup present perfectly. However you are trying to think more, looking for something that would possibly fail your setup (like a bit of fundamentals, market sentiments, and even your gut feeling etc), then you decide if going to punch the keyboard. I call this Koala trader.
I was the Kangaroo trader, but the longer I trade, I realize I am, in fact, a Koala. Note, these two types of traders are not better than each other. Being the Koala, as usual, I made mistakes, missing profitable trades. Sleep away the potential profit. Which type of trader are you?
I was looking at GBP/USD. To reveal some ‘secrets’ to you, my long setup presents now. But, my gut feeling tells me to stay away from the idea. I can’t really explain why do I feel that way. I might be very wrong and missing out another good run.
Here is the…… trend score! We are looking at a weak uptrend at the moment.
And Here is the ………CHART!
[photopress:gbpusd09march2008daily.gif,full,1]
Secondly, do you have a feeling that market has already priced in the weak NFP result, and we had sold too much of USD? Maybe. You know I am not bullish about USD, for sure. But, I guess, we are looking at some rebound, pull back. What do you think? I have been into the ‘Priced-in’ factor recently. It happened to Aussie dollar as well. I might discuss more about this later.
Here is the……CHART! No, I am not looking at candlesticks pattern, so stop guessing how do I trade. 😆
[photopress:USD09March2008.jpg,full,1]
OK, I am heading out for some nice Asian food and grab my coffee. I will continue my Sunday charts scanning later.
Have a good day.
kangaroo, unless i’m going thru a losing streak…then i’m koala
kangaroo, unless i’m going thru a losing streak…then i’m koala
Gav, I couldn’t help but notice that the technical wedge on the USDX had completed and price had reached it’s measured target. This, combined with the recent news of coordination between the ECB and the FED, along with the most recent tranche of “instant liquidity” (just add water!), and I think we have a USD bottom in place, give or take a few percent.
As for GBPUSD, I see inflationary pressures increasing for the Sterling.
Gav, I couldn’t help but notice that the technical wedge on the USDX had completed and price had reached it’s measured target. This, combined with the recent news of coordination between the ECB and the FED, along with the most recent tranche of “instant liquidity” (just add water!), and I think we have a USD bottom in place, give or take a few percent.
As for GBPUSD, I see inflationary pressures increasing for the Sterling.