Trying to record my experiences trading futureslest I neglect them.
Trying to record my experiences trading futureslest I neglect them.
Shorted 1xYGM8 in 867.50. Had set a sell stop gtc @868. Oh well. Prices had crossed short term assistance at 875 (trendline). However, 20 SMA support lay at 872. As bias were service at 870, why put bets on an expection everyone recognizes versus a point of no return. Dollar is introduced to get an uptrend. My reasoning? Bullish CPI. Crude? Prices have been restricted and so are losing momentum @126. Tomorrow's inventory reports should not help either, assuming that stocks grow. Gold should continue falling into its decreasing leash. Am not hoping to add more. No idea how far prices will fall.
Trend sustainability ought to be considered in all trades. Just how long will the trend last and under what conditions does it survive? Speculation prior to an event happens like a media release is a good example. Gold dropped from 95X to 864.1 on speculation that the FED was about to quit cutting rates. Though it did not happen, the event was already priced into gold. So this begs the question, how does it matter whether the scheduled event occurs? Gold has already been priced in for a 25 BP cut. Whether the FED does or doesn't shouldn't be a reason to fret. With this in mind, will you decide to wait until the day of this press release to shut out all positions or until the press release is published before making a decision? The first would be chosen by me. Why? I waited and lost money when I was up in the positive. I lost everything I earned, and half of what I should have earned. With this in mind, remind me never to trade news ever again. It isn't worth it. The press' day is that the day that the trend ends. Simple as that.