Will any body tell me the logic behind placing buy order of GBPUSD at 1.5762?
Thanks in advance
Thanks in advance
Here are my 2 cents. I am still learning and trying to figure out how I can also spot these trades.
What I know is that we won't know for sure what the next move of a currency pair is going to be. We try to stack probabilities to our intended entry point and go with it. I think that, in this case, part of the reason why a bounce was in the cards is because the pair had already traveled 300+ PIPs in the day and London was already closed, which means a lot of activity in the market dies, and therefore chances to make a new low for the day are close to none.
If I'm totally off base, I'd appreciate an experienced trader to correct me. I'm all for learning.
Regards.
What I know is that we won't know for sure what the next move of a currency pair is going to be. We try to stack probabilities to our intended entry point and go with it. I think that, in this case, part of the reason why a bounce was in the cards is because the pair had already traveled 300+ PIPs in the day and London was already closed, which means a lot of activity in the market dies, and therefore chances to make a new low for the day are close to none.
If I'm totally off base, I'd appreciate an experienced trader to correct me. I'm all for learning.
Regards.
Hi BRV,
I was looking at the attached support at 1.5750.
How could have I known that it would bounce a good 60 pips and not breakout?
It is frustrating not being able to spot them apart...
Thank you for helping us simple people that do not have the feeling for the market.... yet
Hi BRV,
I was looking at the attached support at 1.5750.
How could have I known that it would bounce a good 60 pips and not breakout?
It is frustrating not being able to spot them apart...
Thank you for helping us simple people that do not have the feeling for the market.... yet
You need to have a plan. What did you expect to happen at that level? A breakout? Why or why not? What's the basis of your expectation? Do you think other traders are thinking and seeing the same thing? These are things you need to ask yourself every time you make a trade. If you just wait to see what happens and make a spur of the moment decision with no real rationale behind it, you're probably going to be wrong a lot more than you're right, going to get sucked into a lot of false breakouts, jump into consolidation and tweeter back and forth getting whipsawed into stop-losses, etc. Have a definitive gameplan and trade it. If this means you need to focus on only one pair while you learn, then so be it. I'd rather follow few pairs and be able to confidently make trades and learn from them, than try to follow 10 pairs and be looking to everyone else for guidance.
