Peter Bain Forex Trading Commentary for Wednesday August 9, 2006
Since I will be on holidays until August 22nd, I have asked some Forexmentor members to fill in for me on the AM Reviews. Today's AM Review is by Seth Gregory who is not only the man behind the PM Preview and the Know Where You Live Risk Managment Toolkit but also manages a forex managed fund. Please read his thoughts with care and I will see you when I return. Good luck with your trading.
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Forexmentor.com Forex Trading Price Action
Quite a wicked move on the EURUSD yesterday after the US Fed rate announcement. In the PM Preveiw we suggest that all new and intermediate traders wait for the dust to settle, after such an announcement, until the London session - truly good advice yesterday and every time we have given it. Traders that know me still find it hard to believe I am not glued to the charts and news around such events. The reason that I am not, is that such trades have a low probability associated with them. The AM Review today shows the high probability trade for the previous sessions and how you could have made a HUGE amount of pips without having your heart jump out of your chest or blowing out your account during a news event where, due to volume, the brokers have difficulty executing fills and stops - as many found out the hard way losing considerable sums of money.
Question for technical traders: does your trading judgment ever get clouded by the news and you miss a perfectly good technical trade because of it? If that is the case, what do you suppose a reasonable remedy might be?
Seth Gregory
(filling in for Peter)
forexmentor.com
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Forexmentor.com Forex Trading Price Action
Quite a wicked move on the EURUSD yesterday after the US Fed rate announcement. In the PM Preveiw we suggest that all new and intermediate traders wait for the dust to settle, after such an announcement, until the London session - truly good advice yesterday and every time we have given it. Traders that know me still find it hard to believe I am not glued to the charts and news around such events. The reason that I am not, is that such trades have a low probability associated with them. The AM Review today shows the high probability trade for the previous sessions and how you could have made a HUGE amount of pips without having your heart jump out of your chest or blowing out your account during a news event where, due to volume, the brokers have difficulty executing fills and stops - as many found out the hard way losing considerable sums of money.
Question for technical traders: does your trading judgment ever get clouded by the news and you miss a perfectly good technical trade because of it? If that is the case, what do you suppose a reasonable remedy might be?
Seth Gregory
(filling in for Peter)
forexmentor.com
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