Hi all,
I've been actively researching, learning and trading over the past couple of months. I've completed a couple of online beginner trading courses and read a couple of trading books. I first opened up a demo account in which I made 3k in 2 weeks with 17/19 winning trades. I went live with a $500 mini account at the start of this month and my record thus far is winning 19/43 trades and down $350. I have identified the source of my problem as being premature stop losses and cashing in on winning trades far to early.
I traded the GBP/JPY when it began it's rally from 143 only to jump off at 144 while it rocketed up to 150. I was happy that I made $100 bucks only to think damn when I saw it continue trending up.
I also love the triangle formation only that I end up being blown away by a small stop loss that I swear is always out to get me.
I try and incorporate the 2:1 risk reward in my trades but still end up getting stopped out by that ugly retracing candle.
I could go on but I won't at this stage.
So hence I have a theory that I'd like to bring up. Would it be fair to assume that fundamentals are the underpinning success of a currency in the long term and technicals can give short term gains in the dips?
I have wittnessed and even traded during news events and seen currency's rocket both up and down. AUD/USD when interest rates went up for example and the Cable plummeting in minutes off the back of negative GDP figures recently.
Whilst observing the above I have also noticed that traders can't help themselves when they see a chart formation whether or not the fundamentals are good or bad. A triangle always results in a breakout, heads, double heads and sholuders always cause a massive retrace as do lowest lows and highest highs.It also tends to develop on any time frame.
However if the currency has good fundamentals it rebounds rather quickly.
So would all the above be correct in my analysis?
I've tried to get a grasp on intra day trading and it's really difficult as you find yourself chasing the market.My pet love is Triangles but I can't master the stop loss combined with the risk reward ratio. I see so many 30-50 pip break outs only to lose because of 15-25 pip stop losses.
I'm now trying a long term trade on the fundamentals of the US$ has hit it's lows and will slowly recover from this point onwards, of particular interests is the USD/JPY and USD/CHF. These 2 have hit rock bottom and are on the way up long term imo.
Love to hear any positive and helpfull feedback.
Thanks for listening to my rant and happy trading all....
I've been actively researching, learning and trading over the past couple of months. I've completed a couple of online beginner trading courses and read a couple of trading books. I first opened up a demo account in which I made 3k in 2 weeks with 17/19 winning trades. I went live with a $500 mini account at the start of this month and my record thus far is winning 19/43 trades and down $350. I have identified the source of my problem as being premature stop losses and cashing in on winning trades far to early.
I traded the GBP/JPY when it began it's rally from 143 only to jump off at 144 while it rocketed up to 150. I was happy that I made $100 bucks only to think damn when I saw it continue trending up.
I also love the triangle formation only that I end up being blown away by a small stop loss that I swear is always out to get me.
I try and incorporate the 2:1 risk reward in my trades but still end up getting stopped out by that ugly retracing candle.
I could go on but I won't at this stage.
So hence I have a theory that I'd like to bring up. Would it be fair to assume that fundamentals are the underpinning success of a currency in the long term and technicals can give short term gains in the dips?
I have wittnessed and even traded during news events and seen currency's rocket both up and down. AUD/USD when interest rates went up for example and the Cable plummeting in minutes off the back of negative GDP figures recently.
Whilst observing the above I have also noticed that traders can't help themselves when they see a chart formation whether or not the fundamentals are good or bad. A triangle always results in a breakout, heads, double heads and sholuders always cause a massive retrace as do lowest lows and highest highs.It also tends to develop on any time frame.
However if the currency has good fundamentals it rebounds rather quickly.
So would all the above be correct in my analysis?
I've tried to get a grasp on intra day trading and it's really difficult as you find yourself chasing the market.My pet love is Triangles but I can't master the stop loss combined with the risk reward ratio. I see so many 30-50 pip break outs only to lose because of 15-25 pip stop losses.
I'm now trying a long term trade on the fundamentals of the US$ has hit it's lows and will slowly recover from this point onwards, of particular interests is the USD/JPY and USD/CHF. These 2 have hit rock bottom and are on the way up long term imo.
Love to hear any positive and helpfull feedback.
Thanks for listening to my rant and happy trading all....