I swear, I'm not an Oanda rep. I just opened an account with them recently and am impressed by their tools. I wanted to post a link for people to check out the (free) tools they make available. It seems like there's a lot of really interesting info there.
link: FXLabs
Note: Merlin et al, if this is of questionable ethics, by all means delete the thread.
In particular I wanted to point out one simple chart:
Position Summary
In the Position Summary, we can see what I interpret as the retail traders' biggest problem: cutting short profits and letting losses run! As you can see, the blue areas are significantly larger than the green. That suggests that traders are holding onto their losing trades while they close their winners. It also suggests how Oanda manages to stay in business... fear and greed!
It seems like the folks at FXLabs have done a lot of good research, and made some really interesting data available. I wonder how much of it could actually add trade insight... for example, if we know that, on average, the traders at Oanda make the wrong decisions, why don't we make the opposite of the aggregate decision to gain a statistical edge? If nothing else, it seems like there's a lot that could be learned about how the average trader goes wrong, and how to avoid making those same mistakes in your own trading.
If you find something interesting on FXLabs (or other research sites) and can help explain it to the forum... post away!
link: FXLabs
Note: Merlin et al, if this is of questionable ethics, by all means delete the thread.
In particular I wanted to point out one simple chart:
Position Summary
In the Position Summary, we can see what I interpret as the retail traders' biggest problem: cutting short profits and letting losses run! As you can see, the blue areas are significantly larger than the green. That suggests that traders are holding onto their losing trades while they close their winners. It also suggests how Oanda manages to stay in business... fear and greed!
It seems like the folks at FXLabs have done a lot of good research, and made some really interesting data available. I wonder how much of it could actually add trade insight... for example, if we know that, on average, the traders at Oanda make the wrong decisions, why don't we make the opposite of the aggregate decision to gain a statistical edge? If nothing else, it seems like there's a lot that could be learned about how the average trader goes wrong, and how to avoid making those same mistakes in your own trading.
If you find something interesting on FXLabs (or other research sites) and can help explain it to the forum... post away!
thats why oandas tools are so useful...they give us a glimpse of transparency. other than my obvious qualm about their box options, im really impressed with oandas focus on creating tools that create transparency.
Exactly.
