2010-10-01 GBPUSD Live Trade

(This is a live trade shared by Eric Lye in his Forex Trading Blog.  The purpose is to share how we trade and provide the learning points.  Note that there is no absolute right or wrong about a trade, it is all about managing it well)

After being sabotaged by someone from UK on  Tue, avoid the pair till today which has a much wider range, i.e. greater potential.

Trading Price Action Workshop on 6th Oct

Date / Time : 6th Oct, Wednesday, 7:00pm - 10:00pm
Venue : SMU - School of Econs and Social Science (Seminar Room 2.10) -
Opp. Hotel Rendezvous
Fees : US$30 per person (via Credit Card or PayPal upon RSVP)
RSVP here : http://www.meetup.com/forextrading-152/calendar/14944986

Workshop Outline :
* Price moves in WAVES!
* Understanding of Price Action through Multiple Time Frames (MTF)
* Finding the Flow
* Identifying Setups
* Timing yourself into the market with Reasonable Risks
* Hands-on Practice (IMPT : Bring your laptops!)

Let the market do its job???

(This is an mini article series to encourage traders to learn how to be a better trader written by Eric Lye in our Forex Trading Blog)

There is a saying of after you have put in your entry, let the market do its job.  I can't possibly argue that this statement is wrong, however we can't be applying it blindly as well, especially when you are not trading well.


I have seen traders lost control because of this kind of thoughts.  Especially when they have recent losses, the 2nd voice in the head would say something like "arrggh... why am I wrong, why I didn't take the 30pips first...".  

Then next thing that happens, they see the usual setup, went for the entry and close their computer and let the market do its job.  I can't say much for people that are trading part time and do not rely on trading for a living, but for those are doing it for a living or trying to make trading a full time career, I do not think that market has a job to do.  The trader should do his/her job - i.e. manage your trades and yourself.


Trying to trade with your eyes closed is no different from driving on the road with your eyes closed.  It is suicidal.  Then again, I would hear traders saying they have to stay away from the computer so that their psychology won't be affected.  And to me that is really a lame and lousy excuse.  Most successful business did well not because they have a unique product or in our case a special, reliable trading strategy or system; they did well because the manage their operations and risks well.  Thus, as traders we need manage our trades and risks well in order to make this business of us profitable.




Written by
Eric Lye

GBPUSD 2010-09-28 Analysis

(Technical analysis done by Eric Lye in our Forex Trading Blog.  The purpose is to share how we analyze the market and put ourselves on the side of higher probability of things happening.)

A quiet Monday as expected after strong breakout from last week.  Trend is still up, but I am expecting some retracement. 

 

EURUSD 2010-09-21 Post Analysis

(Technical analysis done by Eric Lye in our Forex Trading Blog.  The purpose is to share how we analyze the market and put ourselves on the side of higher probability of things happening.)

This is a post analysis of a trade I misread during the sluggish day and missed a good setup.  Post analysis is a very important activity regardless you have made a trade or not.  It always provide us with learning points and continues to shape our thought process so that we get better in identifying opportunities over time.

EURUSD 2010-09-21 Road Map

2010-09-20 GBPUSD Live Trade

(This is a live trade shared by Eric Lye in his Forex Trading Blog.  The purpose is to share how we trade and provide the learning points.  Note that there is no absolute right or wrong about a trade, it is all about managing it well)

As planned, there was opportunity to take the retracement leg.  Though there was a head and shoulder, it doesn't means it will reverse all the way.  i.e. we should never apply all these pattern blindly, you would need to reconcile to higher time frame to know possibly where the prices are going.

GBPUSD 2010-09-20

GBPUSD 2010-09-20 Live Analysis

(Technical analysis done by Eric Lye in our Forex Trading Blog.  The purpose is to share how we analyze the market and put ourselves on the side of higher probability of things happening.)

Looks like it might be a slow start for the week (but I can change my stance after 45 secs saying this... :-O).  Anyway, technical trading is about collecting information from the charts and decide course of actions.  As far as we could see, price might need some retracement but the flow is generally still up for the dollar pairs.

GBPUSD 2010-09-20

Is trading too good to be true?

There is a good article on Sunday Times on 19th Sep to warn people about Forex training courses.  There are too much hype about turning small capital into hundreds of thousand or millions.  It is not impossible, but it won't happen for most if not all people.

Trading is a good skill to pick up regardless you are planning a career change or for additional knowledge to help in your investments or looking for supplementary income. 

The most important fact is that you need to pick up the skills first.  And this requires a lot of learning and training.  It will take nothing less than 5000 hours of practices and trainings with clear objectives.