Personally IMHO I dont understand why you would want to limit yourself to a certain amount of pairs. With price action the story is all told in the PRICE therefore sticking to certain pairs and trying to become knowledgable about certain pairs doesnt give you a HUGE advantage.
You are correct about going all in on certain correlated pairs which is pretty fundamental trader knowledge. For instance when I went through Baby Pips Forex School they include a section on correlated pairs.
For me I look for A+ trades and then decipher whether or not I like the pair based on the current spread. I do not like exotics but I’m sure there are some price action traders that do trade exotics. I believe it is a personal preference you will have to figure out. As most things with trading there is no absolutely right answer.
no1 in this thread has said to only just trade one pair as that would limit the trading right down.
I watch about 30 which is all the majors, all the crosses and a few exotics. You do not need to trade exotics such as EURTRY etc but just the obvious ones.
It is far far better to cherry pick the bets setups from many pairs than force trades on only 1 or two pairs.
Though i have read the first 50 pages, i have a doubt on the setup.
I agree, you say trade as A+ when it has long candles…but how would you say it is long enough.
Few days back, i could see a engulfing and 2BR reversal in EURUSD and USDCAD respectively …but both the trades triggered the SL and again it went along the trade side…
So how you will recognize that it is long enough for the trade to go.
Did you end up taking the GBPJPY? Went down super quick, was too late putting in entry, watching it go
If it can close strongly below that support (around 125.50), it may have a chance to run to the next 123.88 region in the coming days…
Thanks for checking back. I actually did take the trade and right now I’m locked in on 85 pips of profit already. I moved my TP to about 124.00 level around where you suggested (slightly higher just not to be greedy). However, I don’t think it will really drop that low. Right now I’m just watching the trade so let’s see how far I can take it!
I’m not sure what will happen with this one but I’m watching it as the day is still young. This has a potential to become a BEEB, however, it will be against the trend as it is now. IF AND ONLY IF the bar becomes large and obvious enough I would take that. In my opinion it has a potential for about 75 pips or so before it hits the FSA. Any comments are of course welcome and encouraged.
But be aware of spread, especially if you trade daily charts and after NY close set orders. In this time (during Asia) spread widens and it’s quite difference between 3 pips spread and 8 pips spread which is common during Asia on cross pairs.
