Well, today is Monday and if you look at the charts, you will think the market is ready to break down through to their new lows that were reached about a month ago. The market is overbought and there is plenty of room down for the SP's to 1,400. If that happens quickly, there will probably be some big spikes in the eur/usd if you are a forex trader. However, today we see barely any movement in currencies.
Sep 28, 2015
Sep 25, 2015
Well it's mid-day on Friday and it has been an interesting week for my personal forex trading. The good part is I never legged out. That means I am learning from my previous mistakes within this triangular hedged trading strategy. However, I am naked short the usd/cad just as an opportunity play against it being at levels from 2003. I am small enough on that position that it isn't really killing my margin.
at 12:34 PM
I wish I knew this sooner, but I finally became an introducing broker to Tallinex. They offer clients with small and large account a chance to trade with inter-bank bid/ask rates. The cool thing with them is you can scale up depending on what kind of account you have.
at 10:12 AM
Sep 22, 2015
Well what a big drop in the eur/usd (300 pips) and gbp/usd (350 pips). Anyone with the sell side basket on is probably enjoying some profits. It shows how mean reverting the markets can be if you are using cross currency hedges. Anyway, for my account I had the wrong side on, but did enter after the first move down on Monday and have been stacking 0.01 lot sides on the entire position as I look to take off the naked usd/cad short.
at 3:49 PM
If you have been paying attention, my eur/aud cross currency hedge or basket as some call it has been a position in my forex account since last Wednesday. I did some safer management techniques on this new trade over the course of the last 5 trading days in order to safely turn a loser into a winner.
at 5:56 AM
Sep 18, 2015
Well after FOMC the aud/usd came blazing right back up to where it was sitting yesterday. However, I scalped another $17 with a 0.02 lot short in the usd/cad, which helped me move into profitable territory even though the initial triangular hedge is down about $30 on a 0.04 lot per side. The usd/cad is right back up a little higher than where it was when I sold it yesterday so I re-entered that short.
at 4:40 PM
Sep 17, 2015
Well as you know I am trying to slowly and methodically build my way up to $100k and then $800k within the forex markets. It's possible within a few years if done correctly and worth the work it takes to get there. The basic underlying theme of it is to take profits when they come and manage losing positions in a safe and mechanical way so they become profitable over time.
at 4:33 PM
Sep 15, 2015
Well I was hoping for another 0.5% of profit return on this position, but it was close enough! I would gladly take the profit and get setup on a new position in a difference cross currency trade. The most recent trade that you see being closed out in the video below was put on back last week on Friday and didn't move a whole lot until today.
at 12:23 PM
Sep 11, 2015
Well it was a quicker profit to go into Friday with. I went ahead and traded the entire eur/aud basket for a rough 1.2% balance return profit. This was awesome for only one night and it took near 3.5 days to get that with the eur/gbp basket. However, after trading currencies like this for awhile, you realize that both of those hedges can move quickly on a daily basis so don't read much into it.
at 7:48 AM
Sep 10, 2015
Well you can see towards the end of the video I had to fight my tail off to get that last $1.00 of profit, but was able to and get everything closed out at once. This is why it's important to not have more than 1 scale into the initial risk and that scale should be though of as a little booster to get back to profits quicker without taking any leg risk.
at 12:14 PM
Sep 9, 2015
So this doesn't really have anything to do with my own trading philosophy or current positions but sometimes people like to see what others think about a given market condition or in this case a currency condition. We are talking about the eur/usd and gbp/usd today.
Sep 8, 2015
Well, the type of trading I have done the past week really meant nothing as far as learning how to trade. It was just me taking a ton of account risk with my smaller account to try and get back to a point where I can do the triangular currency hedges. But, there is a takeaway and it's more ammo for why you should not be buying or selling one currency without being balanced in a hedge.
Sep 4, 2015
Well the market still wants to take these forex pairs lower in value. It seems that despite a bad NFP number the eur/usd, gbp/usd, and aud/usd still don't have all the sellers out. I am holding onto all my longs for a few weeks if my margin can withstand it because there is a very good chance they move higher rather than lower in that time.
at 9:46 AM
Sep 1, 2015
Hey forex traders. It's early Tuesday morning, about 4am EST, and I just finally took off the last big leg that I ever plan to have on. If you have been following along, I have been using the triangular hedging strategy I teach in my forex course to trade profitably for a few months. I went wrong last Monday as the eur/usd went for 500 pips + and I was legged out short that pair as well as the usd/cad.
at 4:14 AM