Market Traders Chewin' The Fat

investment
forex

#161

Hope All Traders here have a solid year ahead :moneybag:

I’m back in the chair on Monday.

If you are in the chair and it meets your criteria, that’s opportunity.


#162

Right… after that buttock clenching moment, I won my four trades and I’m quitting 1.9% ahead

:sweat_smile:


#163

Well, it’s always 9 am somewhere in the world. So some bank is going to take on some trades. Maybe not the top ones because they’re asleep, but more and more parts of the world are getting in on forex these days. But yeah, that 2-3 hour window at the start of the day can do some incredibly wild things. Like the GBP flash crash back in early October 2016. I’m pretty sure it happened in that 5-8pm est window where liquidity is almost non-existent. Now, this flash drop was not as bad as the G/U that tanked about 1150 pips in mere minutes. But the E/J dropped 470 pips in one minute. Depending on your ping/latency, I think this is a good example of why a trader should get a VPS if your account is large enough. Having your opens and closes be triggered anywhere between 5-10 milliseconds, is far preferable to 100+/ms when the markets get chaotic.


#164

Ahh … what a great start to the New Year

I am switching off now because I am up another 2.2%, thank you Mr NFP
In the past I have over traded and ended up giving most of it back, but this year I am trying to be sensible. :wink:

So next week’s goal is to not give back any of this week’s gains.


#165

Good deal Ex. That’s at least 4% on the week. I did some analytic work over the holidays and did couple fine tunes which will probably be the last for the foreseeable future. Strictly scalping now. Where I’ve made my money. Majority of angst and tension over longer term trades.

Three things are major to me. Patience – waiting for the entry I like. Get out of a trade immediately if Ithink it’s turned sour. Shut the screen down immediately if I lose my “feel” (that ol’ mojo). Overtrading will always get ya profits.

Ya doing great, mate. Hope you and others have a spectacular year!:relaxed::sunglasses:


#166

- Weekly Charts January 6th, 2019 -
USDIndex, Weekly
EURUSD,Weekly
USA500, Weekly
USOIL,Weekly


#167

She continues to compress. Generally the longer and tighter the compression, the more violent the breakout. Won’t be on the screen much this week – so green pips, y’all!


#168

Over trading has been mentioned a bit lately, so here is my view.

Is there really such a thing ? Or do we mean spending too many hours at the screens ?

I say this because whenever I sit at the screen it is my intention to take every trade I can that fits my criteria. Some days that might be 1 trade others 20+. On a 20+ day I never consider that it was over trading, it was just taking the opportunity that had presented.

So it is my view that if you take every trade that is valid, that can never be over trading.

I think we tend to maybe misuse the term for sitting in front of the screens for too long and that is something I have definitely done and at one point made me stop trading full-time and go back to my former day job. I had slowly let the hours creep up to some days sitting 18-20 hours at the screen for months. The trades were valid but the screen time caused a total burn out. I think mental tiredness is the worst and the rest periods between trading just don’t give a full recharge, I think the only thing that prevented physical sickness was still managing to squeeze in physical exercise.

So only sit at the screen if it is your intention to trade and take all valid setups. Give yourself a time limit, that can vary but take my advice and never let it creep up to the levels I did. If opportunity doesn’t present in time period you have allotted, don’t chase it, walk away. Don’t get in front of the screen if you are feeling unwell, tired etc !

I tend to spend more hours trading during the colder months, for obvious reasons but still take regular breaks for a walk etc and overall I just don’t fight mental tiredness and recognise when I’ve had enough, regardless of how many trades I’ve taken.

Scalpers really do need to have some rules about their trading time and not just trade criteria.
I personally don’t set profit targets etc but that is one way and time based limits another. It doesn’t matter how you do it but just make sure you have time away from the market as IMO it is just as important as the time spent in the market.


#169

What about tracking profitable times of day, do you do that?


#170

Hi SM

Not really no. I miss more than I take probably now. Depending on what I’m doing I set alarms for levels etc but if I miss, I don’t fret as it generally isn’t too long before something comes along. Even on a crappy 20 pip range day can generally squeeze at least 1 or 2 trades in.

If there is a pattern that you have recognised as more profitable for you for example London Open, The Fix etc etc go for it. It makes sense to be shopping at the time you feel presents the most opportunity for your method.


#171

You are right, the term over trading is misused.

Your rule is correct, its execution requires considerable self-discipline.
By over trading I mean not being strict enough with one’s self, i.e. opening trades when you should not because the number of positive reasons is insufficient.

edit: I generally trade the EU/US overlap, and try to avoid opening trades after 4pm unless the expected duration is only a few minutes.


#172

That is why I thought it best to explain EX. I know “WE” know but the term can be confusing if you are green.

Over Trading and not trading as per your own set parameters are two different things.


#173

If there is a pattern that you have recognised as more profitable for you for example

Thanks. Yes, 3pm UK time or 10am US time seems to be good for an hour.


#174

Gold Fix 3 pm London Fix 4pm


#175

One of the best pieces of advice on scalping I have seen. I only have a couple rules now and I do have a weekly profit goal I shoot for. Scalping fits my personality and the fact I help my son in the building business made me adapt to spending only a few hours screen time a week but make those hours productive. I trade very high risk so I have to be accurate and “fresh mentally” when I open the platform.

I agree that us “seasoned” traders need to be careful about using terms we understand but could be misleading to those just starting. Be gone remainder of week – so y’all have a good’un! :sunglasses:


#176

Current trade, short eurusd. Good time of day. Lots of reasons to short even if it is against the higher timeframe context. I think the picture says it all. Fingers crossed.

Edit: might be wrong, price reversed almost instantly.


#177

GL SM, where is your risk at for this trade ?


#178

I was happy to let it go up to the top of the structure, I guess I can be criticised for R/R and all that, but I listened to advice like that for years and watched stops get nicked out etc etc. The price movement here was perfectly predictable, I was just trying to take a trade when there was none. My fault, I should chase not retracements. Look at the what price did and it so obvious.

In hindsight, the break of the trendline should have been the entry for the reversal and not the H&S pattern.


#179

:+1:Don’t dwell on it mate. It’s always easier as the right side of the chart develops.

I have a limit for 1.1516 if it gets there. Risking 7 on it, TP 10


#180

Thanks.

I think the problem is not the crappy R/R, actually, it is my need to receive some sort of confirmation when I enter the market. For example, I wanted for break of the H&S when the break of the 3-point trendline had already told me that the trend had changed. I don’t wait for the confirmation, then I enter with lower risk. This aligns with your message about trying to reduce risk as much as possible so I need to change this.