Even if you only trade 1-2 times per month. That is fine. When you can potentially make anywhere between 5-100% every time you trade, it doesn’t matter if you trade one time a month. Why waste your time placing 30 trades and ending the month barely up 3%? Now some people cannot be that patient, …
This may sound ironic since I first learned about order flow trading form the forex factory forums. But over the years, I have learned that trading forums need to be treated very skeptically. I first joined forexfactory back in 2006. I have made two or three hundred posts or so. But my interest in it …
Originally posted at forexfactory on February 3, 2011: Gold standard? screw that. I want a cotton standard. I would prefer my money backed by cotton. You seen that commodity lately? Cotton has been outperforming gold by leaps and bounds. No sense having a gold standard, when cotton is appreciating more. It is more valuable after …
Greg Riba is one of the traders featured in the movie “Floored.” It is about the changing face of the pit traders in the Chicago futures exchanges. You can find him in the Floored Episode 4 on Babelgum. You can scroll to the time of around 7:15 to start seeing the Greg Riba part in …
Originally posted at forexfactory on January 23, 2011 The whole argument that gold is going higher just because it is not near it’s inflation adjusted value is ridiculous. People like to make false assumptions that just because the inflation adjusted value from 1970 should be $5,000 or whatever, they believe that a financial instrument must …
I recently had a chat with a beginning trader who had just entered the forex trading world, had opened up an account and was eager to place their first trade. He was interested in what I was trading, what positions I had on, etc. I then went into my global macro analysis of the situation. …
Retail traders don’t really move the market most of the time. False moves against fundamental values can even bait semi-informed professional traders. Sometimes they can bait even informed traders if certain market participants have goals unrelated to fundamental values, and are willing to risk capital to achieve objectives within a certain time frame, before …
Do you like to wing it when it comes to trading? Many traders just like to go in based on some feel of the market and trade without having done any previous thinking, analysis, order flow research? They think they can just step in to the markets after having been away and just know …
Originally posted at forexfactory on Jan 13, 2011: Buyers and Sellers always exist. Even in trending markets there are always the same amount of buyers and sellers. The question is which side is more aggressive and is going to start bidding up the market or dumping the market. What is going to cause one side …
The forex market is truly unique. It operates a 24 hours a day for 5.5 days per week. It is open on Sundays as well because the Tokyo and Sydney markets are starting their week. It is decentralized as there are many different mini exchanges where forex transactions can occur. The forex spot transaction can …