Gbp/jpy trading Tip | Forex Factory

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Gbp/jpy trading Tip

  • #1
  • First Post: Aug 20, 2007 2:45am Aug 20, 2007 2:45am
Hi guys,

Here is a tip to all newbies and those who still struggle with trading:

Stay out of this pair unless you know what your doing!!!!

Some many not like that statement but consider the facts: this pair has moved some 500 to 800 pips in a day, if your using a stop, you will most likey be stoped out.

Has the abillity to move 100 or more pips very quick.
What is happening in this pair and why? If you cannot answer should you be trading it?

Just some help...
  • #2
  • Aug 20, 2007 2:59am Aug 20, 2007 2:59am
Thanks for the tips Masterfx. I dont trade that pair, however i am interested to know about what is happening to that pair. I have never seen a 1000pips move in a day before. Maybe you could educate some of us here. Thanks

TNT
I Love Forex Factory!
  • #3
  • Aug 20, 2007 5:13am Aug 20, 2007 5:13am
Quoting masterfx
Hi guys,

Here is a tip to all newbies and those who still struggle with trading:

Stay out of this pair unless you know what your doing!!!!

Some many not like that statement but consider the facts: this pair has moved some 500 to 800 pips in a day, if your using a stop, you will most likey be stoped out.

Has the abillity to move 100 or more pips very quick.
What is happening in this pair and why? If you cannot answer should you be trading it?

Just some help...
hey master, if you can trade one fx pair than you can trade all!!
just need to be disciplined to follow rules and manage the trade.

at the mo the only currency i trade is gbpjpy and last week banked 954 pips. you may want to listen to some of the free videos from Bindal Fx at 4x4u.net, go to the education section - it is all free stuff, also if you have an acct with fxcm loginto dailyfx and they have wealth of tutorials and analysis. I also like some of the free stuff from booker.

hope it helps
  • #4
  • Aug 20, 2007 9:25am Aug 20, 2007 9:25am
GBPJPY, CADJPY, AUDJPY, and other crazy movers are the ones that really make money for me

It's true they are more volatile, but that doesn't mean they're risky. It's like these wall street gurus who say that stocks with higher Betas are more risky which is completely nonsense because volatility has nothing to do with the company itself.

If you're a trader, you have to love the volatility. You have to place your stop loss away from S/R and stay away from intraday S/R because those things don't last. Use at least the daily S/R.

And the best spot for entries are near S/R so at least you have probability on your side that it won't go beyond your specified S/L; this is especially true for weekly or monthly S/R.Not only taht, if you tailor your pips risk equating to your % risk, then getting into the trade near S/R will allow you a low "risk" entry and reaping the biggest rewards.
  • #5
  • Aug 20, 2007 2:57pm Aug 20, 2007 2:57pm
i'm sorry .. but I dont trade that pair !!!
  • #6
  • Aug 20, 2007 3:51pm Aug 20, 2007 3:51pm
Quoting marwan2010
at the mo the only currency i trade is gbpjpy and last week banked 954 pips.
Even the worst trader on the block would've done 1000 pips last week. That's not a good indication of a trader.

Now, if you tell me you can do 200 pips a month, consistently, for a year or two, then we can talk...
Mr. Trend
  • #7
  • Aug 21, 2007 5:24am Aug 21, 2007 5:24am
Quoting Mr Trend

Now, if you tell me you can do 200 pips a month, consistently, for a year or two, then we can talk...

I Love Forex Factory!
  • #8
  • Aug 21, 2007 7:03pm Aug 21, 2007 7:03pm
Quoting masterfx
Hi guys,

Here is a tip to all newbies and those who still struggle with trading:

Stay out of this pair unless you know what your doing!!!!

Some many not like that statement but consider the facts: this pair has moved some 500 to 800 pips in a day, if your using a stop, you will most likey be stoped out.

Has the abillity to move 100 or more pips very quick.
What is happening in this pair and why? If you cannot answer should you be trading it?

Just some help...
I can't agree more. As a beginner, I don't even trade any pairs with JPY.
  • #9
  • Aug 31, 2007 9:04pm Aug 31, 2007 9:04pm
Quoting Mr Trend
Even the worst trader on the block would've done 1000 pips last week. That's not a good indication of a trader.

Now, if you tell me you can do 200 pips a month, consistently, for a year or two, then we can talk...
100% right mr trend......
"Live is for living not for working"
  • #10
  • Edited 2:10am Sep 1, 2007 1:58am | Edited 2:10am
Mr. trend, I can't believe that you think that 200 pips a month is any great feat. It seems to me that many people advocate, are even proud of setting their sights low here.
200 pips a month for the first month or 2 after becoming proficient maybe, but any good trader who is happy with that for a year or 2, sounds like a pretty slow learner to me.
I think it is disappointing for new people to hear such conservative thinking, which is not the reality at all for professional traders.
  • #11
  • Edited 8:28am Sep 1, 2007 2:47am | Edited 8:28am
Randomlight,

While i can understand your logic ,i can not agree with your statement.

If anyone could produce 200 pips a month guarenteed the way i see it is
200pips x 1 lot = $2000
200pips x 5 lots = $10000
200pips x 10 lots=$20000
200pips x 15 lots=$30000 ....ETC,ETC.

I for one would be very happy with that EACH month....no worries.
  • #12
  • Sep 1, 2007 3:00am Sep 1, 2007 3:00am
Quoting masterfx
Hi guys,

Here is a tip to all newbies and those who still struggle with trading:

Stay out of this pair unless you know what your doing!!!!

Some many not like that statement but consider the facts: this pair has moved some 500 to 800 pips in a day, if your using a stop, you will most likey be stoped out.

Has the abillity to move 100 or more pips very quick.
What is happening in this pair and why? If you cannot answer should you be trading it?

Just some help...
GBP/JPY is all I trade, I am up over 1000% over the past 2 weeks trading GBP/JPY. You can lose your shorts as well. I have lost it all in 10 minutes and gained it back in 2 hours after and then some. Its a wild ride. Like they say your trying to taim the beast and it is a mean beast. I love it!!! I hope this never stops.
  • #13
  • Edited 6:19am Sep 1, 2007 6:00am | Edited 6:19am
Quoting sideusprime
Randomlight,

While i can understand your logic ,i can not agree with your statement.

If anyone could produce 200 pips a month guarenteed the way i see it is

200pips x 5 lots = $10000
200pips x 10 lots=$20000
200pips x 15 lots=$30000 ....ETC,ETC.

I for one would be very happy with that EACH month....no worries.

sidusprime,
While I agree with what you're saying in theory,These lot sizes are pretty scary for the average trader. Using proper money management you would need a really large account.
However in fx trading there is no single trade that is 100% "guaranteed" much less month end results.
You would need to have a pretty darn accurate system to risk 5 lots per pip.
Way too good to settle for 200 pips a month I think.... Maybe it depends on the currency you trade as well, I like GBP/JPY, 200 pips a month is slippage with that pair and 5 lot pips would be suicide......Whatever, there are so many angles and variables this could be argued forever.

God, I know it`s the weekend when I`m so bored that I get into pe-ing matches over something as silly as this .
  • #14
  • Sep 1, 2007 8:15am Sep 1, 2007 8:15am
Hmmm I am personally happy with anything between 200-300 pips per month. That would be considered by me as a "job done" month.
  • #15
  • Sep 1, 2007 8:32am Sep 1, 2007 8:32am
Quoting Mr Trend
Even the worst trader on the block would've done 1000 pips last week. That's not a good indication of a trader.
Really?

I must be really, really bad at this then.
  • #16
  • Sep 1, 2007 9:13am Sep 1, 2007 9:13am
This is so true. I've never seen so many GBP/JPY threads before. (and most w/o SL/TP plans)

This pair has been it's easiest in years as far as trading over the last 4-6 weeks and many in for a surprise when it comes out of the closet.

Nevertheless, good luck to all,

kt

Quoting Mr Trend
Even the worst trader on the block would've done 1000 pips last week. That's not a good indication of a trader.

Now, if you tell me you can do 200 pips a month, consistently, for a year or two, then we can talk...
  • #17
  • Sep 1, 2007 9:14am Sep 1, 2007 9:14am
sidusprime,
While I agree with what you're saying in theory,These lot sizes are pretty scary for the average trader. Using proper money management you would need a really large account.
However in fx trading there is no single trade that is 100% "guaranteed" much less month end results.
You would need to have a pretty darn accurate system to risk 5 lots per pip.
Way too good to settle for 200 pips a month I think.... Maybe it depends on the currency you trade as well, I like GBP/JPY, 200 pips a month is slippage with that pair and 5 lot pips would be suicide......Whatever, there are so many angles and variables this could be argued forever.

God, I know it`s the weekend when I`m so bored that I get into pe-ing matches over something as silly as this .
--------------------------------------------------------------------------

Randomlight....No worries mate its not that silly ,you were saying that 200pips a month is very conservative and not becoming of a professional trader .

There are no set rules in forex ,its a huge market and everyone has a different comfort/risk level.I am simply saying that if you believe 200 pips is a walk in the park why would you not gradually increase the lots you trade and walk all the way to the bank?
In my view trading the GBP/JPY takes balls full stop,Get it right and it all smiles ,get it wrong and its PAIN Good Luck.
I have seen Auslanco and Karmo make some terrific calls and locked in 200+ on single trades and also seen scalpers jump in and out with multiple lots and end the day with equal or more pips,again each there own,but for me 200 pips a month would be nice....enouf said...
  • #18
  • Sep 1, 2007 9:25am Sep 1, 2007 9:25am
Quoting sideusprime
Randomlight,

While i can understand your logic ,i can not agree with your statement.

If anyone could produce 200 pips a month guarenteed the way i see it is
200pips x 1 lot = $2000
200pips x 5 lots = $10000
200pips x 10 lots=$20000
200pips x 15 lots=$30000 ....ETC,ETC.

I for one would be very happy with that EACH month....no worries.

I understand your view but if it took you all month to make 200 pips I wouldn't be happy with the result even trading 15lots.

On the other hand if you just targeted 200 and had sufficient capital too trade 15 lots you then just take the the last three weeks of the month off.

Personally a year ago I too was a little scared of the beast, now i think its a 'pussy cat'.

I would advice anybody new to this pair to study it, watch it, learn the way it moves, experiment with different systems, make your own systems to tame the beast, demo trade it or better still trade it useing a micro account and when you have a handle on it start compounding.

It was the volatility and large daily range which made it so attractive to me, I was determined to tame it.

So far it has produced my best trading month.

Closed trades as of last night +4201
Largest win +582
Largest Loss -86
Total trades 36
Winning 61%

One trade still open which was +15 at the close last night with a 70 pip stop.

So I am ecstatic

This has been an exeptional month and who knows how long it will continue, what ever it does I will follow it.

Regards'

Chris.
  • #19
  • Sep 1, 2007 9:29am Sep 1, 2007 9:29am
Quoting randomlight

God, I know it`s the weekend when I`m so bored that I get into pe-ing matches over something as silly as this .


LOL!
I know what you mean.
I am on my sailboat, it's a beautiful day on a long holiday weekend.
And I am reading messages on FF.
  • #20
  • Sep 1, 2007 9:33am Sep 1, 2007 9:33am
Excellent Chris....4000+ pips in one month ....im speechless,keep doing what your doing,were these single lot trades if you dont mind me asking?.

Well Done!!!
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