DislikedHello KeepCalmfx I will send you an email shortly and bring you up to date. I would appreciate your opinion on my last few posts of yesterday and mainly today when you can. I also would appreciate it for you to do a SCREENSHOT of my 8 open positions. My Equity balance as you will see is $67,917.85 US Dollars. Friday was an amazing Forex trading day as I am sure you realized and you did the right thing in your trading and you also got a sneak preview of where your own skill levels will reach over the next six months. We have a great style of Forex...Ignored
Good day Benjamin & Everyone else.
Here is the updated screenshot.
I agree with you, it was nice trading with you, it is nice to see your opening positions, where you have entered and exited, the screenshots is also of great help. I learn better this way by visually seeing your positions and the comments that goes along with it. I can't wait to see how my trading will progress in the next 6 months as this is a marathon and I am truly enjoying the process.
Quote:
"In order to buy US Bonds of all types whether 2 Year or 5 Year or 10 Year or 30 Year you NEED US Dollars to buy it. So when you want safety because of the conflict in Syria you park your MONEY in the US Bonds. This leads to the sale of Euro's so that EUR/USD gets weaker as you can see. Then as the money goes OUT of the US Bonds the US Dollar Index gets Stronger and even though there is SUBSTANTIAL GEOPOLITICAL RISK ON AT THE MOMENT the WRONG PERCEPTIONS are that things are under control so Gold sells off partly because of the rise in the US Dollar. As long as the US Equity Markets are RISK ON then USD/JPY will get weaker and as you see it is now at 111.34. THE MONEY IS FLOWING OUT OF THE US BONDS Now (CALL IT ROTATION) as they now FLOW into the US Equities and The INTEREST RATES GO UP !!!
Please make sure you understand this as once you do then you can make substantial profits. There IS NO WAY that any Chart by itself can tell you what I just shared here yet most Retail Forex Traders and many Commercial Forex Traders use their charts or Pivot Points or Supply and Demand and it just cannot work by itself as you can surely see."
"Here is the MAJOR LESSON for today and EVERYDAY that we trade Forex. We always need to know if we have RISK ON or RISK OFF. That could change at the blink of an eye. I will again state for new readers to this thread that we have PERCEPTIONS which is not usually REALITY.
REALITY can be defined as HARD COLD FACTS even if the FACTS are misleading such as the Non Farm Payroll Number of 98,000 today. However the number is still the number for the moment so in normal times that number would mean that the US Economy is not as STRONG as the ADP number of 263,000 suggested on Wednesday. What happened this morning was complete surprise. That number could mean that we would not have an Interest Rate increase sooner than later.
So normally you would expect EUR/USD to get STRONGER and look now EUR/USD is below 106.00
So now you understand more why RISK ON or RISK OFF has to always be on your RADAR SCREEN. Now that the US Dollar Index is UP again you see how Gold has backed off for the moment. Regardless of anything pointed out in this post as to the REASONS for change of direction the main KEY is still and ALWAYS the Money Flow."
Thank you for your explanations and comments, it makes sense and is also very helpful in understanding the reasoning behind the price movement on Friday.
Most of your trades taken is the SPX500 & US30, so by knowing if we have risk on or risk off you can actually only focus on these 2 to make a consistent profit each month. I like the USDJPY more than the SPX500 as the SPX500 moves a lot faster than the USDJPY. So I like trading the US30 & USDJPY most. It is also nice to follow only a few pairs as you get to know them after a while.
So actually we should wait for the stock markets to open each day, to see if we have "risk on" or "risk off" and where the money flow before we enter a trade. So we then actually do not trade before it and only after we have a clear direction, if we have "risk on" we can always wait for profit taking before the market closes on that particular day and place a order when we have "risk off"
It will be interesting to see how the week progress with everything that is going on.
So Monday or for you later today when the markets open we will only manage our already opened trades to close them in profit and don't take new trades/positions before we know the direction after the stock markets has opened and we see how the money starts to flow?
Maybe we will only have real movement after Yellen's speech?