You can’t rush the trade. If there is no trade – then so be it.
No trade – “is” the trade.
I know it’s hard, especially when you are starting out. You want to get back out there, you want to see some action, you want another shot at making some money. But an important skill to learn (actually a very important skill to learn) is to be able to access the current environment, and evaluate whether a trade is even warranted at all.
Capital preservation needs to take priority over new opportunities for added profits – and when the markets are crazy – finding a trade (and I mean a good trade) – gets increasingly more difficult. You have to learn to include “not trading” in your trade plan. Embrace it, and consider yourself a better trader for it.
When you can’t find a decent trade (certainly consider that perhaps there isn’t one) and tell yourself “Gees! – Thank god I don’t have any of my hard-earned cash tied up in that mess! – I can’t find a decent trade if my life depended on it!”
As you get better at this – you start to trust yourself. The feeling of “not trading” starts to become a feeling of relaxation and confidence, rather than anxious or stressful.
There will always be a trade….just maybe not today.
For what it’s worth – it’s no picnic out there for me these past couple weeks either. I am still looking short USD with a couple of irons in the fire – but am patiently waiting for a move of some substance. The markets are proving difficult as I suggested 2013 would, and regardless of smaller / less profitable trades as of the past – I am thrilled to have very little exposure.
Kong, if you are buying the JPY don’t you mean you are shorting those pairs you mentioned or am I confused?
Sorry. I need to be more clear in these damn lil “tweets”.
No – considering my longer term view is still very very bearish JPY, coupled with a 600 pip dive in pairs such as AUD/JPY – I am a buyer of these pairs!
I know I know…..you think it sounds crazy…fair enough. But consider this – those in the west coin the term “don’t fight the FED” so…..why is it any different in the East? Japan has a double bazooka pointed at the Yen – and the initial blast has now taken a major retracement in many pairs. I trade the fundamentals…….and fundamentally speaking – AUD/JPY would be a buy for me.
So we back to risk-on trade, sir. But what about usd/yen direction … i already bought U/J pair : small around the horn. Hope its right decision. Oh .. intermarket crazy
I am playing this “risk on” but caution that it may be a quick trade. Thus far some great pips in AUD – but we’ll need to see how London as well U.S in the a.m goes.
I would prefer to “get in and get out” so – be on your toes!