I woke up this morning and saw that the USD weakened terribly since early this morning. What happened to make the USD weaken so much in such a short space of time?
thanks
thanks
- #3
- Nov 24, 2006 7:02am Nov 24, 2006 7:02am
- | Membership Revoked | Joined Mar 2005 | 4,703 Posts
If I Go Broke Trying Then I Will die happy.
This all happen when the u.s. was stuffing there face's. this was a well plan attack on the dollar. kept the u.s. traders at bay while all this shit was going down. there was nobody there to save the dollar.
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Nice...Investors use to look for alternatives to make money.. they do not "attack'""...
maybe the us economy is not more what it use to be..
no no...wait...look today..some taliban is attacking the cable!!!
well..but..
how can you do that....+500 pips....
you must have a little position doesn't in?
with the yesterday's movement did you lost more than 100 pips...
how can you be sure..? the mark is gonna give you what you want?
interesting....
how can you do that....+500 pips....
you must have a little position doesn't in?
with the yesterday's movement did you lost more than 100 pips...
how can you be sure..? the mark is gonna give you what you want?
interesting....
Yes I use small positions. I made some pips yesterday, cable went up over 100 pips before retracing, so I took some pips off the table.
I dont know without a shadow of a doubt that I will be right, but if a pair has been doing the same thing year after year, I find the chances pretty good.
This is a very simplified explanation of my system, there's more to it but I dont want to go into depth here.
I dont know without a shadow of a doubt that I will be right, but if a pair has been doing the same thing year after year, I find the chances pretty good.
This is a very simplified explanation of my system, there's more to it but I dont want to go into depth here.
- #13
- Jan 24, 2007 10:10am Jan 24, 2007 10:10am
Yes I use small positions. I made some pips yesterday, cable went up over 100 pips before retracing, so I took some pips off the table.
I dont know without a shadow of a doubt that I will be right, but if a pair has been doing the same thing year after year, I find the chances pretty good.
This is a very simplified explanation of my system, there's more to it but I dont want to go into depth here.
I'm glad somebody else has figured it out as well. Small positions and huge allowances for negative moves is a good strategy in my opinion. With the brokers giving out huge margin rates and things, people buy into positions that are worth way more than their money can handle. You get that 50 pip move against you and you're account is down 10%. Do 3 or 4 of those and wham, you've lost a good portion of your account. For me, 1 position generally would have to go against me 1000 pips to make a 10% dip in my account. I do many smaller trades in my account allowing for long term strategies if needed and generally always trading with swap/interest positive directions (you never lose money on the swap/interest that way over several days). Usually within a few days most of them are in the money with lots of profit. I've been averaging 10-15% a month on my account for sometime now and really happy with the results. Good luck!
GirlFlyer
Bodge,
I'm glad somebody else has figured it out as well. Small positions and huge allowances for negative moves is a good strategy in my opinion. With the brokers giving out huge margin rates and things, people buy into positions that are worth way more than their money can handle. You get that 50 pip move against you and you're account is down 10%. Do 3 or 4 of those and wham, you've lost a good portion of your account. For me, 1 position generally would have to go against me 1000 pips to make a 10% dip in my account. I do many smaller trades in my account allowing for long term strategies if needed and generally always trading with swap/interest positive directions (you never lose money on the swap/interest that way over several days). Usually within a few days most of them are in the money with lots of profit. I've been averaging 10-15% a month on my account for sometime now and really happy with the results. Good luck!
GirlFlyer
Seems we have something in common.
I remember you discussing this subject on another thread, I was going to jump in but didn't.
I always looked at the higher timeframes and wanted a piece of the action but never knew how. The answer was staring me in the face and it took me the best part of a year to find it.
This method is definitely not for everyone but I understand why you use it.
- #15
- Edited 11:07am Jan 24, 2007 10:26am | Edited 11:07am
- | Joined Oct 2006 | Status: Trader | 4 Posts
Bodge,
generally always trading with swap/interest positive directions (you never lose money on the swap/interest that way over several days). Usually within a few days most of them are in the money with lots of profit. I've been averaging 10-15% a month on my account for sometime now and really happy with the results. Good luck!
GirlFlyer
so you are part of the problem call carry trades....
making the jpy suffer..and me too.?well but let me ask you something... would you go long gbpjpy at this levels?
- #16
- Last Post: Jan 24, 2007 11:06am Jan 24, 2007 11:06am
Hi Girlflyer..
so you are part of the problem call carry trades....
well but tell me sometheng... would you go long gbpjpy at this levels?
But why should you give up more money to brokers than what you have too? They make enough as it is and if they're going to be dumb enough to give you interest on money that you've borrowed at 100:1 rates, then I'm taking advantage of it. Think if you had a $200,000 account and bought long 10 standard lots of USD/JPY worth $1,000,000. At a 5% interest rate differential, that is a $50,000 annual rate of return or a net effective interest rate return of 25% on your base equity. Of course the risk is that you could lose a good principal amount of your equity over time, but with the right management decisions, you reduce that possibility.Anway... you asked about GBP/JPY.
Usually after a big drop in GBP/JPY like this, I start looking very interested in it. But I don't go wild. Cable has been on a steady uptrend since August 2005... and hasn't shown signs of weakening. Yet, this pair was up 1300 pips in 18 days. Look for it to retrace to some popular Fib levels, and maybe start going long again, but get in with even smaller positions than what you normally would. If it heads back up, add on to it and rake the cash in. If it goes down on you, wait a little while and see where it heads and once it bottoms out, then buy some more. In the meantime, your earlier position is getting you good interest!
Good luck!
GF