In this video:
00:25 Looking for some really good price action
00:35 Taking position on the Australian Dollar/US Dollar, Australian Dollar/Japanese Yen
01:08 Short position on the Euro/Canadian Dollar on the four hourly charts
01:41 Trust the Strategy; let the trade do its own thing
01:46 The set and forget approach’ mental effect on trade
02:16 Keeping risk low per trade
Hi everybody, Andrew Mitchem here, The Forex Trading Coach.
Today is Friday, the 7th of September 2012 and thank goodness it’s September!
The quiet month of August is behind us.
Now the European and the US markets are back after their summer holidays. We’re looking for some good price action. And we’ve finally seen some today!
I’m long on the Euro US dollar on a daily chart from yesterday, being Thursday and today I’ve taken a long position on the Australian Dollar/US Dollar and also the Australian Dollar/Japanese Yen. And right now, behind me those three trades are looking really good.
Yesterday I held my webinar, my fortnightly webinar for my clients. We had one hundred and six people on that webinar from all different countries around the world.
Really good webinar!
A lesson in it for me, was a lesson that I tell my clients and I forgot to do myself was let the trade do its own thing.
I’ll give you a really good example:
Yesterday I took a short position on the Euro/Canadian Dollar on the four hourly charts in front of my clients live on a live account. After the webinar had finished, the trade and was looking in really good profit.
However there was European interest rate announcement out and I saw that – it went against the trade. The trade then came back to a break-even and I closed the trade out for just a break-even trade.
I should have left the trade.
So even though I’ve been trading for nine years, I still occasionally make mistakes and it’s really a lesson to say, “Trust the Strategy. Let the trade do its own thing!”
The set and forget approach has the ‘less mental’ effect on the trade. Just put on yourself as a trader. Put the trade on, put your stop on, put your profit on, you’re happy with the trade.
Let it do its own thing.
I failed to that yesterday. It cost me about six thousand dollars. I came up with zero instead of six thousand.
So I’m hoping that the three trades that are on behind here right now will more make up for that. So, just a lesson I wanted to share with you. Last time we talked about risk to reward, and keeping risk low per trade.
The lesson for today is, trust you system, put the trade on, let the market detect which way the trade goes.
So that’s all for now!
Quick update on the silver that’s going really well. Just come back and touch then to the thirty-two level but it’s still doing really well. That’s the longer term silver that I’ve been holding for a number of weeks now.
So that’s all for now. The non-farm payrolls are out later today. So I’m expecting the market probably be a little bit quiet between now and then.
So that’s all.
Look forward to talking to you this time next week. Have a great week and be safe and be well.
See you next week!