Wednesday, November 12, 2008

Dollar Resurgence Builds Profits!-- IFCN Wk 49 – Wed- Equity: $1,480.65

All the week's FirstStrike Plus trades are in positive territory. The trend week I was looking for showed up- just in the opposite direction from what I would have expected. Another example of why I take the trades anyway, even though my mind might not like it.

Some extremely so. The short Gbp/Jpy trade started last week, which didn't get exited this Monday because of insufficient profits-- now has in excess of 1200 pips profit. The Gbp/Usd from this week is up over 600 pips.

The FSP concept works. As long as we don't overtrade or overleverage our positions, the potential is very great.

These are the current week's FirstStrikePlus trades (including 2 trades from last week):
  • Eur/Usd: Short @ 1.2681, stop 1.2917. Trade in progress.
  • Gbp/Jpy: Short @ 154.84, stop 160.27. Trade in progress.
  • Gbp/Usd: Short @ 1.5532, stop 1.5879. Trade in progress.
  • Usd/Chf: Long @ 1.1853, stop 1.1721. Trade in progress.
  • Usd/Jpy: Short @ 97.18, stop 100.15. Trade in progress.
FirstStrikePlus trades will be exited on Mondays at 00:00 CST if profitable. (First-Profitable-Open Exit) See complete rule-set for effective trade management.
Trading account equity: $1,492.65

Silver position equity: (-$12.00)
(Current XAG price: $9.34 – 200 unit position average: $9.40)
TOTAL Equity: $1,480.65

Today we have a good example of the equity swings caused by having a significant portion of equity in one tradeable, namely XAG (silver). The quick drop in silver prices dropped our equity substantially in 24 hours. That volatility is why silver is called the “restless” metal. There is little rest for those who hold it long term and have intolerance for the typical swings it sports.

Have a good morning.

Joel Rensink
www.infiniteyield.com

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