I wonder if some of the experienced traders here could share with us some of the ways in which they have had to change their methodology over the years to cope with changes in the forex markets. Do you see anything in today’s markets that is noticeably different from in past years etc. Not sure just how relevant or ambiguous my questions are but any responses will be much appreciated.
Great question Michael!
I look forward to seeing some of the replies to this, could be very interesting.
Hopefully the thread won’t get swamped by some of the nonsense posters we have just trying to increase their post count or feed their egos.
i dont know about the forex market as i simply dont trade anything regarding currency exchange. but in stocks things have changed. its more money in the market and people who used to manage 1 billion now manage 2 billions in “photonic money” so the markets are much more volatile then they used to be. in the past a 300 points move was something that happens over a week. now a 300 points move is nothing unusal in a timespan of one day.
to be honest: nothing ever changes in stocks.
up/down = thats all it is
even the reasons for the ups and downs keep on repeating itself in the always same cycle. boom and bust thats all someone needs to know and thats what keeps on repeating itself over and over again.
so no. except the expectancy of a trade (volatility=pip/points count) theres nothing that changes and nothing you need to adapt to. (in forex its different as the votality stays the same and the market numbers/statistics are not influenced by compounding interest in form of inflation= that means that eur/usd was ranging between 1.05 and 1.55 , 15 years ago just as it is ranging in the same area today / stock market [dow jones] was at all time high 15 years ago on 8500 and all time high now is 18350) the same goes for commodities. compound interest/inflation making commodities worth more every year. for example average price of oil in 1990ies was between 35$ and 65$, average price from 2000-2010 was around 85$ to 105$.
once you figured out how to make money on any market it is only YOU who is the variable factor that makes you loose (overconfidence, psychology, and veryimportant lazyness)