Journal.
Let’s go.
Let’s talk in most simplest terms. My strategy is to be in a trade when the yellow line (8 EMA) crosses the (21 EMA). Then stay in it till it crosses back over. On the daily time frame. That’s catching a trend. That’s being in a trend from the beginning to the end. As you know, I have narrowed it down to the JPY. Trending strong. And I can’t get in to prove that yet because we have risk-on happening now in the market. But, at it’s core, it’s the yellow line crossing the green line. It gets to me because it happens all the time, on other currencies.
Let’s look at what happened to the EUR lately.
Now, given the fact that the JPY is off the map, what am I going to do? Sit there wondering what everybody is doing without even looking? Sure I’m going to venture. And guess what I see? I see huge trends take place. Now, as you see there, the EUR has taken over trending high because of the French elections. All I’m saying is look at yellow and green lines that I have there. I tell ya, I would like to know if there are traders out there who simply get in on the trend and ride it out to the end.
Take a closer look. They are not even the strongest currency! The GBP is. Let’s look at their charts.
These charts are on the daily time frame. You can clearly see how long they have been trending high against every other currency. Against everyone they have been trending strong since mid March. Only against the JPY (top right) they started later, mid April. It was like they got a head start from all the other currencies, and the Yen was the last one to let go. Only then to continue for another month against everyone still.
You know, I have to say that all of this reminds me of something. I’m talking about riding out a trend to the end. This is exactly what MasterGunners thread was all about. This is what I realized last week after I posted. All I did here is figure out a way to determine when I believe the trend begins and ends. All he had, and he did mention it countless times along with Clint Eastwood, was a methodology. In my mind that means it’s based on principle. You ride out the trends on the higher time frames. Also making a portfolio of all the ones that are trending high. Using small position sizing and in as many trends as there are available.
That was his principles in a nutshell. That’s being in the market 24/7.
All I want to know is, the reasons why cannot I get into a trend, from the beginning and ride it out to the end. More specifically, from when the yellow line crosses over the green line, stay in it, until the back cross over. Look…I’m serious. Literally. I want to know the reasons. This is not complicated whatsoever. I mean, I cannot be the only one that has ever wanted to know these answers. Surely others have come before me and thought this. I don’t know, maybe those who have figured this out are pretty successful by now.
Look, I’m always getting closer. And this fine point of getting in at the beginning till the end will be my final mission. If I have to make a science out of it, then so be it. I’m sure there are technicalities to it. For instance, I definitely do believe one major factor of it all is the fact that I’m working on it on the daily time frame. Everybody knows that the higher you go, the more accurate and predictable it gets. I do believe everything gets shaken out during a day, for the most part.
This is going to be my final mission Journal. And I tell you, we will get to the bottom of it. I will uncover the questions with you. Why? Why? Why? Can I not get in when they cross? Can I not stay in. Can I not be in from the beginning to the end. This is plastered all over any and every chart.
Got to run for now. Be back soon.
Mike