Many aspiring traders spend endless amounts of time being spectators in the market instead of actually trading it. They watch the charts, analyze the market, tweak their indicators, place some lines on their charts, and do so for weeks or months straight, only problem is they never end up placing a trade. They constantly remain …
The three words you need to know and understand masterfully: Order Flow, liquidity and volatility. Whether you trade forex, commodities, stocks, bonds. Those are the three principles that you need to master to be a successful order flow trader. Those are the three pillars of successful trading. Never forget those words. Order flow, liquidity, and …
I hear a lot of people complaining about suffering from information overload nowadays. They may have a point – it depends on what type of information are you getting overloaded on? Are you overloading your charts with ten different technical indicators, that each of which by themselves, or taken together, will never generate enough …
What happens when you combine oil money with Goldman Sachs? Well in Libya’s case you get a 98% loss according to the WSJ article: Libya’s Goldman Dalliance Ends in Losses, Acrimony There are very important lessons here for order flow traders. Pay attention here we go. Libya’s sovereign wealth fund invested in financial instruments it …
In many business categories, less than 5% of the people experience extraordinary success, consistency, income and wealth. The other 95% fall into the mediocre majority and usually fail and are frustrated for life. There are stark differences between people who are in the 95% mediocre majority category and those who are in the 5% high-achieving …
You hear the term thrown around a lot, that knowledge is power. That is definitely not true in all cases. There are some very smart people that I have met, many well educated, with impeccable academic credentials in various fields including economics, finance, that have failed miserably in trading, and continue to do so …
There are so many different currency pairs and financial instruments that you can trade on any given day. It is critically important that you figure out which ones are going to be the most active, which ones are going to make the breakouts, which ones are going to be trending, and which ones are going …
It can be very valuable to look at how hedge funds behave. You can see their successes and failures. You can see very rich people making dumb decisions, or poorly timed decisions to enter the market. When you start to see very rich people losing a lot of money, or are undergoing large paper losses, …
Pyramid Trading can be part of your money management and trading system allowing you to take advantage of trends that can persist for longer than you anticipated or beyond the scope of your normal trade holding periods. You want to take advantage of a sustained move in the financial instrument that you are trading. Many …
Finally, the insider trading trial of the century is over. Raj Rajaratnam was found guilty on all counts and he is looking at 15-20 years in prison. Now you may say what does this have to do with order flow trading? It has a lot to do with order flow trading and the human inefficiencies …