Aussie Trading Room and Cartoons Gallery

NOBODY on earth that is a human being is exempt of emotional and "just LIFE" (in the sense John Lennon* describes) whipsaws and mistakes.

Check Jesse Livermore, a tragic example of such extremes.

* LIFE is what happens to you when you're busy making other plans"
(J.L. - Beautiful Boy).

I'd be happy to. I'll shoot you an IM later.

increased SL to 1.04 in case anything happens during my sleep
(assume the down trend remains)

good luck to you all

Somehow, I don't see Livermore blow 5 accounts in a row and coming back to a forum groveling for a miracle receipe that would help him make a few squids to buy groceries!

My 2 cents

Nobody is perfect.
We never know if someone's messages are real or not.
Posting messages may be a therapy for some people to release their stresses.

Take it easy!

http://4.bp.blogspot.com/_jtZM_i2fSV..._and_Bears.jpg

currently EUR/USD

My dear friends,

i am here today to write about audusd.
From my technical prespective, i can see a pair that is right oversold, and i mean it is damn oversold.
We can expect then a bounce, right?
Of course, i'm expecting it from days, but we are at 1.0340 now, no bounce till now.
My message to the bulls (if there are any) is, don't give up, give it one more time, one more hour, one more day, for the bulls shake!

Thank you all, and good luck!!!

This is one clue.
Another one could be overtrading/revenge trading instead of stopping, reassessing, changing things (you seemingly did that a few days ago and set a lot of nice and tight rules... so a third one would seem to be DISCIPLINE missing.

Finally, and going back to the first clue: you need to set HEAVY money management rules and start cutting back on your position size to a more manageable and recoverable, modest approach, even if this means (and it DOES) exercising PATIENCE to build up your equity little by little instead of GAMBLING on the next holygrailylongrun.

I'd rather make one million a dollar at a time and increase my equity at a steady 45-degree angle, with few losing pullbacks that don't eat too much at it, than lose 5 millions to get back 2.

Yes it's boring. But that's just what Forex should be.

(my experience? several accounts (one of them really HEAVY) blown out of stubbornness and bad money management, impatience and overall noobieness and hyper-lousy emotion control. Now steadily profitable - pebble by pebble - since 2009 with a few huge mistakes from time to time still, not greater than a 6-8% loss about twice a year. S**t happens, it's life. But I'm still here).

I WISH he had.
Maybe that way he wouldn't have blown his own LIFE ... literally.

http://en.wikipedia.org/wiki/Jesse_Lauriston_Livermore

There is no such thing as failure. Only tough opportunities to learn and grow much bigger than before.

Nicely said and very true for a lot of traders. Any webinar you watch ALWAYS says this is not a quick get rick thing, this is for long term and patience and discipline are required.

There are 2 kind of traders, the ones who strictly trade money management principles, never risk more than 1% on each trade, use a high R:R ratio, etc.

And there are the kind of traders that use huge leverage, don't use any money management principle, and have no rules about risk.

Oh i mean, at the very surface mind level, each of them can be like the first kind of traders (MM RR etc.), but deep in your real self, your real nature of trader, that one is inprinted in your dna, and if you are a "psycho" trader (no MM no RR etc.), no matter what, you can hide your nature for a while, but in the long-term it will eventually emerge.

Livermore was a psycho trader, and many other great traders of time was like that, me too sadly i've to admit that in my deep i'm a psycho trader, it is not about trade for make money, is about trade for the shake of trading, and yes accounts are blown from time to time, huge amount of capital are created from nothing, and lost later, in the life time-span.
This is life, an up and down, every lfie have it's own up and down, is up to your true nature to determine if such oscillations are big or little, some enjoy a life "stable" and "calm", some enjoy the storm, what i want to say that no matter what, your true nature on a long time-scale enough, always emerge.
And when you are down it seems like nothing will be good as it was in the past anymore, and when you are up it seems that it is not soo great as you expected, but life goes on, life is a game.

cheers

Truer words have never been spoken.

I admit I trade recklessly and it's less about money now but more about trading/winning. This mentality is fatal and I'm trying to curb it but it's hard. If you have iron disciple then congrats, you are 80% made in this business.

I found out the hard way that it's less about trading system but more about emotion and disciple.

alot of traders get into further shits is because of vengeance on the market and getting emotional on trading by over-trading. Over trading oftens happen when trader adds position of mere few pip apart of even within 20-30 pips away when market goes against them usually in a breakout scenario, and usually in us session where volatility is higher and pips move faster, and trader get emotional and then keep adding until their account get more draw down. Only add a new position after a breakout at least 1 hour after europe close, or preferably after new york closing.

Get wrong on the first trade, everything get wrong later on! And worst is when trader start to change position and taking losses at wrong time and adding new position at wrong time, trying to hedge when they dunno how to do it. A short and a long, so which one the trader is hoping to be winner? A lot of traders often fall into this trap, bear/bull trap, and the next moment, market starts to change tide.


Respect 2 main things in forex trading:

We cannot control what the market wants to let us earn how much a day, a time, a year. But we can control risk, we can control how much we can afford to lose, and re-plan a new trade set up.

Technical analysis is not perfect, in fact it does not work 50% of the time in my opinion, indicators and etc are there to make a gauge and calculation, it's how lucky u are only on that particular moment. TA is to analyze risk and price action probabilities.

Risk management: It can be controlled, we can control the amount of risk we can afford to lose. I personally don't encourage losing more than 2% a day, that does not mean 2% per trade, literally maybe only 0.5% for a reward of 1% 1:2 minimum and best is to get the swing one if u are a sniper trader.

Money management: separating account into scalping, swing [ Long term ], and intra-day. But don't mean by trading all 3 account the same time, first the trader need to identify the market's behavior and trading pattern, the month, the trading volume itself and it's likely range/trend.

For example, if a trader sees Forex trading as an investment, he's likely to be profitable, because his time length would be longer.

An example, set up, a trader gets underwater in his first position in -1.5% of 150 pips in a sell AUD/USD on 1.0450 while the market was at 1.0600, everyone thinks that on its going for 1.07 1.1 and etc, i hate market's bullshit on this, they always love to call the cow when they see pa bullish, and call the fuzzy when they see everything sells, so don't listen to anyone plan yourself.

take $10,000 account for example. so trader is $150 under water on a lot of 0.1.

A trader starts to enter the 2nd position on 1.06 sell with lot 0.2 of his account at this junction. The trader must have target and patience.

When price 1.06 reaches 1.05, traders makes an amount of $400, and his first position gets into -50. he can choose to close all trades at a winning of $350 equity increase. Or even, when the market goes to 1.0550, trader 2nd entry made $100.00, first entry is -$100.00, trader can breakeven his account and re-plan a new entry.

That's money management, i am not teaching martingale, but if a trader knows how to set up his trade at a good position subsequent and with many % to manage and not trade like a machine gun, he's likely to be very profitable in the Forex market, because no one can predict where the price is going. The market is driven by range up and down of hitting bid/offers, support resistance until fundamental catalyst move the market, and if u are on the right side u get lucky. Never ever risk everything on a single basket, a proper money management will definitely win in any market condition.

If a trader can make money on his first entry, good enough, if not plan the subsequent ones.

I have swing positions from 1.06 and 1.05 and even 1.0490 before, because my tf and patience is larger, i always let my positions become winner and ride it as long as possible. On the other hand, another account for scalping and intra-day.

just sharing my experience.

upside move expected ..IMO

Couple pips shy of 1.0315. If this breaks, then 1.03. If that breaks, then 1.025~1.02.

200 Daily EMA at 1.029x could give it a bounce..

Will look to attack if PA makes it to the bottom of the red box.

TP would be 1.04

Hmmmmm that looks awefully familiar lol

We already have divergence on higher TF's and now we have 15M Crab, one of the best R:R petterns.

I have already entered my first short and will look to add another at 1.2155, my TP is 1.2105

I do not trade using SL's so will look at manage my trade in the manner that 5% posted. So if the trade goes against me I will end up with a basket of trades and will make my profit when I close the basket.

I will post whenever I add more trades and I hope it will help some traders see how managing a trade over a period of time with low leverage can be profitable.

Remember the market owes you nothing and entering a trade is easy, it is what you do after that which is the important part.

Same in audusd, the divergences are there.

Plus, we have an AB=CD pattern already formed, many clues that give more power to the bullish-trend-resume hypotesis, what can we do, let's wait and see..

Daytrader don't give up!