DislikedNewbies
Please re-read his message again and if you did not try ever before average in and scale out, just think again before follow this judgement...
otherwise experienced traders in such practices can survive ;-)Ignored
...Not!
There are many claiming what great opportunities this market presents--what a blessing the volatility is. (Interestingly, these are the folks selling services on FF). Of course they would never advise anybody to stay on the sidelines and wait it out...
TODAY'S FX MARKET:
1. Widening spreads on ECNs and Re-quotes on DDs. This cuts into profits, makes placing limit orders harder and gets you stopped out more easily (and makes trading in general a bitch)
2. Ranges with no definite long term trend
3. Tremendous (unprecedented) volatility making MM more difficult due to the fact that stops have to be widened (therefore increasing risks)
4. Any rumor can move the markets a few 100 pips in minutes. Event risk is always very high.
5. Finally, LIBOR rates are of the mark, making predictable swap income almost impossible.
All this points to a very risky and abnormal market.
If you have an effective and efficient system this volatility is a beautiful thing to behold.
- #24
- Last Post: Oct 13, 2008 8:15am Oct 13, 2008 8:15am
Your favorite edge TD....luck
Seriously though, everything may feel like it's volatile but if you look at a chart we're pretty much in a range on most of the majors, it's hard to lose money long or short!
Wide stops, average in and scale out, it's child's play....
so true