I know as a newbie I have a ton of reading to do. I am currently trying to make my way through the School of Pipsology while also balancing out other material, but I was curious as to other peoples process over the weekend. Do you do anything on your Sat & Sun to prepare for the coming week ahead, while the market is closed? What news items do you peruse, are there any particular websites you browse, is there anything you rely on to help you predict how the market will jump on Monday morning?
I feel like I should be a jumble of nerves for what will happen once the markets open again on Monday morning without spending my weekend reading something to help me prepare/predict what direction it will take. I mean, who could have seen the Lahore bombing or the Panama Papers scandal coming, eh? It’s like every week something happens to throw us off track.
Over the weekend I often review my trades during the past week and update my money management situation on the month so far. This will often affect my risk taking for the coming week. I try to keep a spreadsheet log of all the trade signals given by my method (whether I entered them or not) and check the maximum follow-though and pull-back during the trade. This helps me in optimising targets and stoploss levels.
I also review my trading strategy in case there might be something to tweak or improve, etc.
I keep a desk diary next to my PC and on Sundays/Monday morning I enter all the next week’s relevant economic releases, events, speeches, etc. This provides a daily reminder of when markets might be quiet before such events and when bigger moves can be anticipated. It also helps clarify whether the week ahead is likely to be trending or ranging and thus helps decide whether to concentrate on short timeframes or longer timeframes. Sometimes a 5min chart can give three 20-pip trades whilst the equivalent 1hour bar looks like nothing has happened from open to close
Apart from that it is time away from markets and with family, friends and an intense closeness with nature!
I do not generally trade on Monday mornings (London mkts) - or Friday afternoons, come to that.
Really interested to know whereabouts you go looking for these. I often have to spend hours trawling news channels on TV then going online for further info on the bulletins they bring up, and even then I don’t know what sort of economic impact these particular newsreels will have on the financial markets. It takes ages. What’s your process?
Being new, I wouldnt pay much attention to news, but doenst hurt to look back on your charts and investigate the outcome and movement of you pair on the news event, then just keep a News Journal for reaction thesis. average relax time on news events is about 22 minutes, so best to just stay out of news events 30 mins before, 30 mins after, and just not even mess with it.
You should be strictly learning price action. Nothing else. Maybe Fibs, and focusing on the 4H chart.
DO NOT COMMIT TO INFORMATION OVERLOAD.
There is alot of information out there that is not needed, and alot of wrong information that fills your mind by brainwashing you to fail.
Find a good, simple, price action stratedgy. Hit the charts and backtest it. Meaning scroll slow from a farther start date, keep notes on your chart. Most important thing right now is proper entry, so work on that…
Weekend are for backtesting and family. If your going to go route of price action, there is really nothing to plan for.
Do you have a certain kind of stratedgy your planning on following? Is your demo account all set up?
I am using a demo account but I have no idea how to backtest, and I don’t have any specific strategies. I have only been play-trading for 2 weeks now. What do you mean by that exactly? Just keep a journal writing down the news events of the day and notes on how the chart moves, then review on the weekend to find correlations?
I don’t look to analyse any of these inputs,I only want to know when they are coming so that I don’t get caught unawares or trapped into a trade just before the quiet preludes to important events. For this reason I am content with the economic diaries on sites like Myfxbook.com. Also, I have two brokers, each of which issues e-mails on Sundays highlighting the main events for the coming week including talks by Central Bankers, etc. They also have diaries on their sites.
I only ever trade one currency pair and so these are easily sufficient for my purposes.
You have no strat, but your play trading? You at least flipping a coin?, lol… Just messin…
Your gonna need direction. You need to find a system to follow. Even if its something as simple as a moving average crossover. You need to build consistency in SOMETHING.
I really cant direct you to anyones thread, I dont really know whos systems work and dont work. I created my own system. As a Professional trader, I cant give out advice in a sense of helping you in that way.
**running from the flame throwers, LOL< **AHHHHHHHHHHHH, * Looks back, **Ahhhhh, stay back Clark!!
Seriously, go on Youtube and look up some price action videos, and see what you can gather. Its a starting point. Nile Fuller is easy to follow.
Backtesting is simple looking at the charts, and looking for your strategy to form thru past prices. Thats all it is. U can insert lines and arrows, and numbers and such, to keep notes on the chart to revert back to, maybe several times as a learning tool for your system. You just need to develop a plan of attack, I wont say your wasting time, but in a sense, you are.
The news event thing, I mean by keeping a paper journal to again, refer back to. But in all honesty, Forget the news. What you need to do, is like said above, go to myfxbook ( Everyone should have one)lol,< and look at the calendar. Then, on your chart that your working from on MT4, just simple put a vertical line on the time of the News event for that day. Label them if you want. The idea is being aware of them, not necessarily trading them. Like I said, 30 mins before, 30 mins after, If news hits a 8:30, you should be sitting on your hands from actually, 7:45 to 9:20ish…
News isnt always what it seems, and when it hits your really to late to take action. If you want to mess with news events, as maybe a side hobby, I would treat them as run thru trades. By setting limits and stops with tight Trails. More breakout stratish, but looking for seconds in the trade… Again, advanced stuff that you shouldnt be spending time worring about…
Alot comes down to what time your investing to watch/intereact with your charts.
This is especially relevant when you are trying to develop a new strategy. This is not about profit, it is about the method you are planning to use. It is very easy to fall into the trap of best-fitting lines-to-price over the last few days/hours/mins etc and then concluding that the same patterns of line movements will continue.
If you look back over a considerable time at how the “patterns” of movements evolve then you may well find the lines/levels do not actually work as you at first anticipated and need to be modified. Equally, it is easier to recognise sensible S/R in price action models if one has practiced this with historic data. A method which has been optimised over a period of time is more likely to continue at least for the near future even though even this process is also “best-fitting” and is worth monitoring regularly.
This is actually what I am doing when I mentioned earlier: “I also review my trading strategy in case there might be something to tweak or improve, etc.”