Market conditions are changing all of the time – so must you
In this weekly video:
00:23 – Why you need to adapt to the current market conditions
00:51 – Does your system only work in trending markets?
01:27 – A very quiet week – Thanks Giving Day in the US
02:05 – Candlesticks and candle patterns
02:35 – Live webinar with clients
02:55 – Account is up +2.21% for the week so far in 4 days
03:23 – Cyber Monday Sale – 24 hours only on Monday 27th November
You need to adapt to the current market conditions to be a good trader. Let's talk about that and more right now.
Hi, Forex traders. It's Andrew Mitchem here, the owner of the Forex Trading Coach video and podcast number 252.
Why you need to adapt to the current market conditions
This video and podcast is all about the current market conditions and why you need to adapt to the current market conditions to be a good trader. Why? Well, market conditions are changing all the time. I've been trading for 14 years, and I've seen all sorts of conditions, but the problem that you have is you don't really know what market you're in right now until a little bit later, until hindsight. The problem is with people, and it's a common problem.
Does your system only work in trending markets?
The problem is, with a lot of people, is they rely on a system that relies on only working on trending markets.
To give you an example, a lot of systems that use moving average crossovers, let's say. A lot of those, when you see pictures of systems like that online, you'll see massive up trends or massive down trends and line A crosses over line B. You see this enormous trend, and everybody goes, “Wow, fantastic. Look at all that money we made.” That's really good, and that does work in the strong trending markets. The problem is you never know when that trend's going to begin or end.
A very quiet week – Thanks Giving Day in the US
Have a look at the current market conditions that we're in right now, just this current week. We've had a very, very quiet week so far, and today's Friday, so I'm not expecting a great deal to happen today. Why? Well, it's thanksgiving day in America, and the market is very, very quiet. Yesterday, there was a public holiday in Japan, and going into Friday in America, it's black Friday, so again, not expecting too much to happen. If you have some form of breakout system, if you have some form of trend strategy, right now, you will be struggling because more than likely, your system will be taking lots and lots of trades that are getting stopped out more than likely.
Candlesticks and candle patterns
That's why I always comes back to candlesticks and candle patterns to me as a trader, which is why I love trading them, as simple as that.
Now, not every trading pattern and not every candlestick has equal weight and value. That's why you need to analyse they're all at, what part of the charter are you in right now. Certainly, when you understand candle patterns, when you get range band markets and the candles are going sideways, then, there's nothing there to trade.
Live webinar with clients
Another example. Yesterday, I held a live two-hour webinar for my clients in the European session on the Thursday morning session, Europe time. There were no trades. I couldn't see a single trade in the entire two hours that I took. That is part of the lesson. Don't trade just for the sake of trading. There were no setups. I couldn't take anything.
Account is up +2.21% for the week so far in 4 days
This entire week, the first four days of the week, I've not posted my Friday trades yet, but the first four days of the week, I've only taken three trades on the daily charts. However, going down to the shorter timeframe charts because it has been quite a quiet week on the shorter timeframe charts, I'm up 2.21% for the week so far in four days because I've taken a lot of shorter timeframe one in four-hour charts trades this week.
Cyber Monday Sale – 24 hours only on Monday 27th November
If you would like to know more, when this video and podcast gets posts, it will be Monday, the 27th of November, and the Cyber Monday sales starts that day. It's a one-day sale. There will be a link below this video and podcast. If you'd like to get on to my course, they're heavily discounted, right? This one-day sale starts at a crazy low price. The price will be increasing second-by-second over the 24 hours. If you'd like to join us, it would be great to have you. A link will be below this video. I hope to see you then. Once again, this is Andrew Mitchem, the Forex Trading Coach. Have a great weekend. I'll see you on Monday.