Auslanco - GBP/JPY and GBP/USD (newstrade)

Quoting quecee5

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Yep, loss all the time but not more than I'm willing to risk. . . Most time I set BE SL or +1 SL. . . When I'm unsure of a trade then I "don't trade" simply put!

With this trade I was long from 202.25 area and watch price go up, I added to my trade at 203.70 area, held the position to the NY market closed and collected the positive interest. I waited for price to go up to close my long positions but this time it made a lower low. . .

My indicators were bearish (ZL and mom) which allowed me to watch price range for a bit which was also an opportunity to get short. . . The risk in this trade was very low since price stalled at 204.19/30 area several times. If the trade went against me the most I would lose would be 25/30 pips which is minimal compared to the reward of 150-200 pips if I guessed right. . .

Also, check out www.actionforex.com which basically gives you the trading range, pivots an otherwise to aide you in where price could go and where price could top out. . . Works like a charm! That couple with my indicators and patience helps me to get very good entry which is very important in trading.

Hope this helps. . .

p.s.

If I lose on a trade I spend spend time figuring out what went wrong in my analysis, this way I can learn from my own mistakes and incorporate that in my trading strategy.

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Quoting Money-RX

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Thanks . Been holding shorts since London opening this morning and trying to exercise patience for a change.

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Quoting timewilltell

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thx

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Quoting jacko

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Hi peterzbox

As I stated earlier
"My "method" can be applied to any currency pair (or gold or any market) that trends. Only the parameters of the Trailing Stop Loss and the contract size are the variables."

In the case of the GBP/JPY, it is more volatile than the EUR/USD, therefore the Trailing Stop Loss should be larger and the number of contracts should be smaller (relative to EUR/USD)

1. If you look at the weekly and daily charts, there was an impressive turnaround in July 2007 and the market has been trending downward ever since. Therefore the main trend is down.
Furthermore, that downward trend since Oct 2007 has accelerated.
Remember: If the chart starts at the top left corner and ends at the bottom right corner...the market is going DOWN (It is amazing the number of people who can't see that!!)

Therefore, as a Trend Trader, you should only be trading in the main , or "short", direction for the GBP/JPY pair.

2. Stops From a quick look at the GBP/JPY pair, it would appear that for a medium term trader, that you would need to use stops of about 150 pips. (Big enough not to be whipsawed by the "noise" of the market, small enough not to cause too much damage too your account...but also sufficient to tell you that your entry was wwwrong)

Also, when you have got this down pat, you should then think about using Trailing Stop Losses that continually lock in your profits as the market continues to move in your direction.
AAAAhhhhhh !!!!! SUCCESS !!!!!!

3. Anti-Hedge Insurance.
Now lets look at the other scenario. You know, the one where you were wwwwwrong. (I have trouble saying that word... LOL ).
The Anti-Hedge is a method that will minimise your drawdowns AND will get you back all or most of your losses if you make a bad trade. It was explained here yesterday. Go here

http://www.forexfactory.com/showpost...ostcount=70735

Use those three steps, plus some reasonable money management and you are assured of successful trading.


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Quoting $teve

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12:00am GBPhttp://www.forexfactory.com/images/m...mpact_high.gifHalifax House Price Index m/m
http://www.forexfactory.com/images/m...dar_detail.gif -2.5%
-0.3%-0.3%


Another bad news for the pound, GU has broken support at 1.9850 and is heading for 1.9750. I'm cashing out my short at 202.35 (4H 50 ema). I'll wait to short again from 204.50 area. I will long from 198 area (daily gann). Which ever way price goes.

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Quoting quecee5

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I'll see ya at 201.30 area shortly. . . Stay tuned bro!
Watch it do what it do! =

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Quoting $teve

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I'm not greedy. I like to bank profit once I feel I've gained enough pips. London can be wild at times especially with this pair.

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Quoting Piters

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Anybody starts to beleive in DREAMS ??

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Quoting Piters

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Anybody starts to beleive in DREAMS ??

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