Via @TradingWisdoms. Click on the pic for a short read.
I’m still updating my journal every day. Below is the weekly analysis.
Short GBPJPY and GBPAUD are my 2 opened positions left.
On the other hand you have Larry Williams over at TraderPlanet (h/t @swetrader) who explains to us that there might be a pattern between 1905, 1915, 1925, …, 1985, 1995 and 2005. Will 2015 be the same?
In any case, i’d like to remind you that Miss Market can remain irrational longer than you can remain solvent. Trying to call the top (or the bottom) is in my humble opinion a sure way to get hurt. I think it was in a Market Wizard interview (Bill Lipschutz ?), or maybe it was in Mike’s e-book (another great read, recommended. Check his website to get it for free) that was said “bubbles need a trigger, a catalyst to burst.” I definitely agree. It could be Ukraine, it could be Greece default, it could be another 9/11. But until that happen i’ll keep getting in and out, making small gains here and there whenever i spot discrepancies in the market, and a few stop short orders below in case the thing starts to fall.
“Successful trading depends on the 3M`s – Mind, Method and Money. Beginners focus on analysis, but professionals operate in a three dimensional space. They are aware of trading psychology their own feelings and the mass psychology of the markets. Each trader needs to have a method for choosing specific stocks, options or futures as well as firm rules for pulling the trigger – deciding when to buy and sell. Money refers to how you manage your trading capital.” – Alexander Elder
The quote above comes Steve J Burns fantastic resource newtraderu.com. In the article linked he gives a few other quotes that changed his perception of what trading really is and eventually helped him as a trader. I strongly recommend to browse through his free resource as it’s really great for newbie traders. Pros will find knowledge already acquired but it can nonetheless be a great reminder sometimes, as it was for me in this case.