FT has been trading full time from home for two years, with nothing but four kids and a beach to distract him .
He fills his spare time with weight training and rugby, though more coaching than playing these days.
FT mostly trades the forex markets and although he plays FTSE on occasions his bread and butter market is £$.
He likes to think that his technique is evolving but still hasn’t the temperament or money to back the big calls. He prefers to trade between 1 and 3 times a day, aiming to take regular small gains, but feels part of the evolution is in not dealing if the conditions don’t feel right.
This Is One That Went Wrong
Curses! I had expected that when GBP/USD woke from yesterday’s slumber that there would be a quick trade in it. Unfortunately I was having a late breakfast during the 10 minutes of mayhem. Sterling fell a very rapid 70 pips against the Dollar - for no particular reason that I could see. How dare the markests not move without warning me first.
Over the next hour and a half it recovered all its losses and somewhere in the middle of that I sold GBP/USD for a fairly quick loss of £72. I’ll explain why I felt so generous today:
The 30-minute candle had closed below the support/resistance line and the next candle appeared to fail at the line. I decided to sell £4 at $2.0368 and place a tight stop just the other side of the resistance line. It was a reasonable plan, but it didn’t work this time. That’s OK, my stop kept my loss small and there’ll be plenty of opportunities over the next few days.
Several Yen trades have broken out today. I’ve shown EUR/JPY below, but USD/JPY showed a similar move. If I had better co-ordination I’d kick myself for missing such a good buy signal, when the price came back to touch the uptrend line.
On the short-term charts the Yen is looking oversold, so I’m going to be greedy and wait to see if there’s a set-back to buy into.
Beware of interest rate nerves in the market ahead of announcements from the Bank of England and European Central Bank on Thursday.
Happy Trading
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