Forex Trading 05/01/10

I was up and at the charts this morning…well it was more like, I was frozen and needed to get some early momentum into my body. After reading out aloud my beliefs and my weekly trading plan, I sat by the radiator and did my self-hypnosis.

It wasn’t long before I was in a trade. I was quite shocked to see that Cable (GBP/USD) started moving early (05:45 UK time). I opened my ticket and was in the trade, within a minute or two I found myself around 13 points up. I sat there waiting for more. What the heck was I thinking about, it was 05:45 in the morning and I didn’t take the 13 on offer. I did end that trade with a smidgen over 6, my learning for that trade is “Remember to remind yourself what it is you want from the trade”.


As mentioned in the chart at this time of day 10+ points should have been a no brainer, especially with the pivot at 16138. Limit as usual for me was set at 30 and stop of the same. With Cable I have noticed over the years that the levels the fifty’s hundred’s can be quite significant. My stop on this trade of 30 being below the 16100, I was pretty sure that I would not get stopped out.

Another reason I should have been out of the trade a little earlier, when I was viewing my stochastic indicator, I was being told that this trade was over bought.

Onwards and upwards as they say to my other trades of the early morning.

I entered again around 16125 and exited at 16151.



Not much more you can say about that trade really.

What happened next is just really bad. My wife Alison was taking my children to school and needed the car scraping so being the gent I offered. I only wish I lived in warmer climes like our friends in Spain. However, when I arrived back inside and saw that Cable had crashed well I can only sit here and cry nearly 100 points in the half hour I was away scraping the cars.

I was sat talking with Alison, when I looked over my shoulder and noticed that all the signals were looking good for a trade.


I took 10 points on this trade; realistically I should have stayed in for longer and taken 20. However I do say before entering my trades what it is I want from the trade and what I would be happy with. 10 points was what I wanted. I also keep reminding myself “I have a Positive Trading Attitude, I am in total control. My motivation and dedication mean I am fully prepared and confident. My mental toughness and discipline are making me a Master Trader.”

Practicing what you preach was something that I was brought up on. So with that in mind, I will catch you in a couple of hours as I am off to read a trading book “Trading for a Living” by Dr Alexander Elder.

To your trading success

The Investor Guru