Monday, September 29, 2008

Anyone Want to Buy Some Stocks- Or Nancy Pelosi go Home? IFCN Wk 43 – Mon- Equity: $1,556.92

I'm sure there are many people who threw in the towel in the stock market today. Discomfort ran rampant.

It didn't help that the resident commie Nancy Pelosi caused bitter feelings just before the vote with the partisan speech she gave on the floor of the House of Representatives. With the strong feelings and pressures all sides were feeling, some representatives just had enough. I wasn't there, but there is plenty of footage.

I'm a trader. I would have preferred getting it over with. You can't stop idiots from spreading their ideas, especially when they're issued gavels.

The news continues about the buyout/sellout. Although it is doubtless going to be concluded soon, the agonizing over it continues in the media 24/7. And in the minds and hearts of the troubled.

Concern is palpable whenever a gathering of people takes place; at coffee shops, in the line at grocery stores, when you get gas and talk to the next guy filling up. Anger, resentment; all earmarks of fear, are present in every exchange.

I believe the biggest problem that is being dealt with is the mental one-- people feel like they are being hijacked without any chance to fight.

The stock market did what it tends to do when the people holding stocks are feeling fractious. The fact that some long term cycle lows are due soon probably had something to do with the ease of the market break.

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Challenge Account currently up 211% in the last 43 weeks and 220+ trades.

In contrast to the stock market, the profits in the Challenge account continue to grow. When you have straight-line currency moves from the beginning of the week as we've been enjoying lately, it is hard not to make profits.

If it was that way all the time! Still, the Challenge account is now above $1500 and marks a tripling of account size since I started.

We got filled on all five of the week's FirstStrike trades and 2 of the pairs have been stopped out – the short Eur/Usd and the long Usd/Chf.

Of the three remaining, and quite profitable short trades, the Gbp/Jpy is having the largest run to the downside.

The 50% profit trailing stop has been placed on the Gbp/Jpy because it has had over 700 pips in profit at its peak today. The other two trades are doing well, but not excessive. I moved their stops to breakeven because they have moved substantially and it would be ridiculous to take a loss after such large profits were attained.

Silver dropped a little from last week's close. I am actually surprised it did not fall more.

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The following FirstStrike trades were entered this morning:
  • Eur/Usd: Short @ 1.4449, stopped out at 1.4509 for a 60 pip loss.
  • Gbp/Jpy: Short @ 193.74, stop 190.07. (50% profit stop)
  • Gbp/Usd: Short @ 1.8230, stop 1.8230. Breakeven stop.
  • Usd/Chf: Long @ 1.1007, stopped out at 1.0947 for a 60 pip loss.
  • Usd/Jpy: Short @ 105.89, stop 105.89. Breakeven stop.
Any FirstStrike trade not stopped out before Friday-- exits on Friday just before 15:00 CST.

Have a good evening. No matter what else happens this should be a decent week.


Current trade equity is: $1,325.92.
Silver position equity: $231.00.
TOTAL Equity: $1,556.92

Joel Rensink
www.infiniteyield.com

PS: To receive the FREE! trading rules for the Infiniteyield Forex Challenge ($499 value) and the semi-monthly newsletter about this challenge, send an email to: newsletter@infiniteyield.com and tell me to which address you would like it sent. Please do not use AOL, Hotmail or Yahoo addresses. They've been known to filter out more good mail than actual spam. Try a Gmail address. It's free, simple and perfect for traders!

1 comment:

David A. Loboy said...

Wow, what a week to be trading! Not like the last several have been calm either. Anyway, I was really surprised that this bailout bill failed. I'm certain it wasn't due to an outbreak of principled government non-interference in the markets. The bozo that misrepresents my neighbors voted for it, which also surprised me. I live in a unionized rust-belt wasteland where Wall Street is spoken of in the same tones in which one speaks of serial rapists. (And not because the Street is insufficiently laissez-faire!)
Still, whatever happens, I'm sure it will prove to be interesting... and filled with opportunity!