Thursday, May 22, 2008

No trade..., is a trade! IFCN Wk 24 -Thu- Equity: $697.89

We've had some strong rallys in the Gbp/Usd and Eur/Usd this week, of course, right after we got stopped out early in the week.

That happens all the time when you are following a method that doesn't try to trade every swing. You miss some good trades, and just as many or even more bad trades.

We are not here to get all of the trades, just our trades.

The OneNightStand orders are going out tonight as usual. There will be only 4 potential trades this week.

Unless the Gbp/Jpy market moves up or down substantially in the next hour, the 10/40 moving average pair which presets the trade is too close to call. Most observers would likely lean with the buy side (take the upside breakout of the highest high of the last ten days) in this case, but for me too close to call.

The trading rule for this:

If there is any doubt about whether you have a trade, pass the trade.

If you adopt this rule too, you will be much happier and more profitable in your trading lifetime.

Markets do not like unnecessary uncertainty, and neither do professional traders.

Have a great night.

Joel Rensink

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