:33:As our friend thelastbear says “it’s a tough business out there.”
Traders Join Exodus as Forex Probes Add Pressure on Costs - Bloomberg
Pretty depressing stuff…
I have to selfishly say that, thankfully, for my few pips a day, it will not matter what the ‘big boys and girls’ do…
It is a blinkered view, but I would not trade at all and get too depressed about how HFT is taking over the market…
I know, gp00053, that you rightly said that it is incorrect to assume (as I suggested on another thread) that
‘there is no money in scalping’ (because of High Frequency Trading), because we can still make money as retail
traders… Some of the market concerns, however, especially when it comes to volatility, are having a real impact…
Choppy trends, lack of conviction, wavering risk trends: these themes may touch us, the smaller retail traders, but
I think that they may have more of an impact on the larger investors… What do you think?
I mean, apart from holiday periods, you and I (and anyone who knows where to look) can still make a hundred pips
a day, all being well …maybe not the same every day, and maybe not every day, but certainly it is not inconceivable
to make profits every day…or at least it seems so to me, but that is my narrow experience…
Not really. Don’t look at as depressing; look at it as valuable information you can use in your analysis. You’re exactly right with the view of not getting to depressed or not at all because HFT’S manipulate. There is always something if you really want to get depressed. Even with the cheats, and manipulators it is still possible to make money. They have always been there and assume they always will be.
What’s the difference between manipulators and bank governors hawkish or dove sentiments in their announcements; answer nothing. The answer is include it in your analysis. Big buy/sell trades can’t hide. You look at whatever time frame you’re trading and see where big buy/sell trades are. If the closest one to your potential entry, is a big long candle, what think happens next. . .in most cases a little sideways, then the big short, a little sideways then the big long. When Soros’s or Buffet are saying buy, you can bet it’s because they have already bought and they’re looking to set up their sell.
Another thing you can do is instead of trying to pick tops and bottoms, pick profit somewhere between the top and bottom. I don’t trade around any major or medium announcements. I either trade 20 minutes before or after. Another thing big people don’t just think about short and long. They think how can my short set up my next long entry and vise versa.
Forget about scalping, day trading, swing trading, money or pips. Trade opportunity. If you trade opportunity the money/pips come. When they don’t either you read the opportunity wrong, made some other mistake or the market changed for no apparent reason. That’s why god gave us stop losses and money management; every day can’t be a picnic, like the bear says; it’s tough business out there. And really don’t just trade opportunity; trade the best opportunity.
I think the way to lessen the probability of negative results and increase the probability positive results lies within analysis. The better you get at it, the better the chance of a positive result. As far as those days where it didn’t work. Review what you did to make sure the problem wasn’t your analysis, after that, move on looking for the next opportunity to come your way. Like always only my opinion.