Most US stock markets are at key diagonal resistance... It will be interesting to see where price goes from here...
The Russell, and other stock indices, have been in a retrace move since November 2021. High inflation and fears of a predicted recession are the driving force of the current downside. Is now the time to re-enter equities? Is the retrace move coming to the end? Have the markets found a bottom? Here are my thoughts... Fundamental Analysis Inflation is coming...
Fundamentals drive the markets... Here is what we could see happen in 2023... 1. Inflation reversal - possible downside for the US Dollar. Rising inflation and inflation fears drove the USD higher in 2022. Now that inflation is coming down and is more under control, we could see USD downside throughout 2023. 2. Global recession trades - this is already priced...
This is my high risk, long term carry trade for 2023 (opened in 2022, looking to add to my position further). The swap rate is very attractive - to provide some insight, I have received a 3% account increase since opening my first long position in 2022, through daily interest receivables. The Fundamentals... Turkey has potential. Exports are climbing. The...
Most USD pairs are ranging on intraday time-frames... It will be interesting to see where price goes from here... GBPUSD didn't even break it's range with today's negative CPI figure...
A possible stall area of the recent upside. Maybe even some GBP selling...
USD pairs testing key daily and weekly areas... Some of which are shared in my charts above... We could see some USD buying... If the areas break, then perhaps a longer-term USD retrace move I have been short USDJPY since 1.4930, so hoping for a break lower
The Yen is weak... The weakest against the dollar I have ever experienced in my trading career... Economically though, Japan is not in the worst situation, especially when compared to key economic figures... Current global inflation rates; US 8.2%, UK 10.1%, EU 9.9%, AUS 6.1%, CAD 6.9%... Japan 3.0% GDP growth; US -0.6% (recession), UK 0.2%, EU 0.8%, CAD...
It seems stupid to trade against the dollar right now, huh? Well, I think there is potentially a good early shorting opportunity against the Yen. This is why... The Fundamental View 1. The BOJ intervened in the Forex markets on Thursday 22nd September. This is just the start. I understand that the BOJ are doing this by themselves (without the support of the...
The US Dollar has been bullish for months... Global economic uncertainty caused by inflation, COVID, and the Russian and Ukrainian conflict have caused cash to flow to USD assets. Could the USD be currently over-valued? My analysis suggests that USD price is due a retrace move, especially on very over-extended pairs such as USDCHF, USDJPY, EURUSD and GBPUSD......
Plan for success but have no expectations... A lot of trading emotion comes from expectation. Traders expect the next trade to be a winner, they expect this month to be profitable, they expect the USD to become bearish, etc, etc. Having no expectations can really help to reduce trading emotions. Obviously, you should still stick with a strategy and do all you can...
Keep yourself busy between trades... Work, run a business, study or play video games. Being busy between trades will help to keep your mind occupied and your emotions focused on something else. As soon as emotion becomes involved in trading, everything will go pear-shaped.
Focus on the long-term. Calculate returns and review your trading performance once per quarter or once per year. Checking returns daily or weekly just becomes frustrating and leads to emotional trading. Trading is about getting rich slowly. Analysing performance on a daily or weekly basis is irrational and can be soul destroying.
Have a trading schedule. Start, finish and check the charts the same time everyday. Many new traders never develop a trading routine. This leads to them checking the charts too often or having long breaks between trades.
Check open positions less frequently... Once you've opened a trade, leave it. Don't watch the movement and close of every candle, this will lead to the trade becoming emotional, which spells DISASTER. If you swing trade, then checking trades 1-2 times a day should be fine. If you day trade, then checking open positions once an hour should be adequate....
The above statement is true, but only from a certain point of view... I only need to trade a few minutes every hour, I work from home, I have no daily commute and I have uncapped earnings. This is all correct. What people don't see is the amount of time and commitment involved in getting to this point. My trading journey has taken hours of study, practice, losses...
I lose a lot of the time. A large amount of my trades are stopped-out for a loss. This does not make me a bad trader, it actually makes me a real trader! Most profitable traders are right only 40%-65% of the time. A lot of traders understand that there will be losing trades. What they don't understand is that there will be consecutive losing trades. Even a...
Forex trading is not a 'get rich quick' scheme. It can make you rich, but it will do this slowly. In order to make large returns, a trader may have to take large risks. High risk trading guarantees greater emotional and psychological challenges. This may lead to quick short-term profits but it will also lead to discouraging long-term losses. Too many traders...