I will not be trading EURUSD this week because its current market structure does not meet a condition I need for short-term swing trading. I expect a sideways market situation on the pair. From the standpoint of technical analysis on the weekly time frame, the southward move is still in play but the momentum is weakening.
[B]Nuggets:[/B]
Having enough money in your trading account to trade tomorrow and when the best opportunities present themselves is more important than just chasing profits and being reckless in your trading.
I love this quotation:
‘Don’t worry about what the markets are going to do, worry about what you are going to do in response to the markets.’ - Michael Carr
[B]Just my 10 cents:[/B]
Many of us need to be weaned from the delusive idea that a trader must always win and should never suffer losses. The business is about winning some and losing some; the nub is consistent efficiency and sustainable profitability in the trader’s trading business/career. Trade safe.
I took advantage of the weakness of the USD and the bearish mood of the GBP to trade GBPJPY and GBPCAD southwards to good effect today. Trade safe.
After concluding my weekly scanning and analysis of the 12 pairs on my watch list, I will be looking to trading three pairs this week: GBPCAD (the first priority trade), GBPJPY (the second priority trade) and GBPUSD (a potential trade; will wait until after my mid-week update). Green pips to all.
I chose to step aside for now regarding GBPUSD. Here is why. Although on all the htfs, the technicals I use for my weekly scan and analysis of pairs to trade agree that the primary mode of the pair is towards the downside, the intraday technicals are at variance - indicating a northward mood for perhaps a strong pull back to the upside. Therefore, as a swing trader I have to wait for agreement of the intraday with the higher time frames. Trade safe.
I am now tracking the GBPJPY as it is testing the daily pivot. Any bounce off the daily pivot or a (bearish) rejection candle around it will be a cue for me to trade the pair southwards. [B]I may be wrong.[/B]
Absolutely! You hit the nail on the head there. A method/strategy that you repeat over and over and over…
Thanks, mate.
I have now decided to reduce the number of pairs on my watch list and focus primarily on the pairs whose economic background I have a good mastery of.
GBPUSD opened below yesterday’s daily high and is now trading below the monthly pivot. I have a bearish outlook on this pair. Trade safe.
I have just completed the weekly scan and analysis of the pairs on my watch list. After the process, I will look for opportunities to trade the following pairs: GBPJPY (‘A’-rated pair, and first priority pair to trade), GBPCAD (‘A’-rated pair and second priority pair to trade), and GBPNZD (‘B+’ -rated pair, and a third priority pair to trade). I will step aside for now and wait for further price action on EURJPY, which I rated ‘B’ overall. Trade safe.
[B]Tip:[/B]
Your mindset is key. If you are desperate for quid, you’ll make a whole load of mistakes in trading. Trade safe.
I look for efficient ways to do my weekly scan and analysis to reduce the time I put in. Therefore, I have dropped two pairs from my watch list for this week. Also, I have reduced my weekly scanning process from seven steps to five. Trade safe.
I have streamlined the technical items I use for synergy and effective market clarity. The MAs I use are now aligned for better scanning and analysis of the pairs on my watch list and for better market tracking. Trade safe.
Would you mind posting one of your charts so I can get an idea of your process and how you analyze?
Hi, m8! I use a process that has five main steps; the first one starts with the trendiness of the pairs on the weekly time frame using an EMA. There are other steps, based on the criteria that would facilitate my techniques for short-term swing trading. So, it is not just one chart. But my analysis spans three time frames: weekly, daily and 4-hourly. Trade safe.
I don’t use too many technical indicators or technical indicators that don’t perform complementary roles. I use a few complementary technical indicators as part of a set of significant confluence factors to track, stalk and trap the market/price action. Trade safe.
[B]Nuggets:[/B]
'The hard work in trading comes in the preparation. The actual process of trading, however, should be effortless.’ Jack Schwager , Author of Market Wizards