Qingyo, Whenever you find a method, I would suggest journalling all your trades. When you take a trade, write down why you took the trade and study your thoughts regularly, especially your losses. After 100 of trades or so, compute your ratios. What is the % of your trades that are winners, how much money do you make on your winners, how much do you lose on your losers. When you get to app. 50% winners and make $2 for every $1 you lose, you could have durable method. Focus on your thoughts and your discipline and your pathway to net profitable will be easier.
Right on DaveO. On a more fundamental question, how do you view David C. fiscal plan/austerity. The U.K. seems to be getting their fiscal house in order, can't say the same for the U.S. Long term I like sterling.
DaveO, no worry man, I do not take offense to anyone on this forum. I enjoy the discussion and the d/f views other traders bring. IRON SHARPENS IRON. Your trader friend is very skilled indeed. He obviously has a PROVABLE edge with a robust system of money management. If traders of any type can identify a PROVABLE edge, it does not matter how they trade or on what timeframe, most however do not know their edge. Believe me, I learned, through many losses and a mentor, how to develop my edge to the best of my ability and I try to build on that everyday. I love trying to help novice traders b/c I believe they need sound advice(I know I did) instead of most of the dribble that is out there now.
Catnip, that is very interesting. I must admit, the stuff in your first sentence is over my head. Since there is no way to measure volume on FX, I use futures volume. It does differ than FX volume, but I also read bulge bracket reports from banks, that says how much volume flowed through their desks(though this is not real time). So how do you determine(based on your first sentence) which pairs to trade and how to execute?
In my opinion, scalping is a hard way to trade for a living, like you said most traders will decide what type of trading suits them. It really depends on what you want out of forex trading. If you are looking to make big money and a good living, scalping the market everyday would be very hard. I would guess the people making a living scalping forex everyday is very low. I am sure there are some but they are the exceptions. Scalping also uses tremendous MENTAL CAPITAL, b/c you have to make so many decisions about what to do. The 80/20 rule probably applies in FOREX, in that 80% make most the money.
Another point to new traders, you don't need to take every trade idea Ashraf says just b/c he said it. Use him as a source of learning, but in the end you need to know why you took the trade you took and have YOUR own reasons. If you depend on Ashraf or anyone for that matter to make your trading decisions, you will never learn how to trade. You have to stay disciplined to YOUR approach and make sure your approach has a provable edge so that overtime you can consistenty pull money out the market. New traders, work on discipline and understanding market structure and you will do better over time. Also, price is the LEAST important element in market structure, think about it...
Lisa, it shouldn't matter what Ashraf says and I personally don't believe he needs to come on here when a call he made turns out to be wrong, I am wrong all the time, but I still make money. The best traders in the world have winning % b/w 45-70%(at least the ones I know). As long as you are right 50% of the time and pull $2 out for every 1$ you give back, you have a winning approach. I assure you winning traders do not spend time parsing every word Ashraf says, to play gotcha when he happens to miss. I have followed him for a long time and he hits winners more than 50% of the time. He is not advising you make the trade, he is just giving you his perspective from his 20 plus years of experience. You can take it or leave it. Concentrate on your discipline and forget the rest.
Ashraf, with a record number of people short the EURO and not a EURO bull in sight, isn't there a high probability for a correction upwards? Last March everybody in the world was bearish stocks and then the rally started. If everybody has sold, who is left to sell? Maybe I am missing something?
Try publishing this in the UK weekend papers: Traders bet BankofEngland will raise rates to 6.25% --highest since 1… https://t.co/GWXrTEAk4R(10 months ago)
Poor start to a slow market day as Ezone PMIs disappoint. Im still keeping an eye on the rare (-2%) USD-GOLD combo,… https://t.co/UyRzWsRbs7(10 months ago)
-5% YTD is not good, while -7% from the year highs can be tough. Gold traders have their eyes fixated on this for n… https://t.co/NV5UMKsfNo(10 months ago)
ما وراء هبوط الدولار مع الذهب و من منهما يتمكن الارتداد؟
موعدنا الآن في غرفة شركة إكس أم لجلسة الأسواق
https://t.co/Y7tD0RxCS2
@XM_COM (10 months ago)
Jobless claims > 300k before next FOMC meeting would be ideal for Fed to make up for any CPI upside surprise (10 months ago)
"Cook & Eat at Home" scheme may come next to defeat UK inflation... (10 months ago)
Earlier in the week gold selloff was attributed to smaller than exp China EASING. Metal is now holding v well despi… https://t.co/ZW9cmXTPWW(10 months ago)
Caleb
Happy trading,
Caleb