How to separate Frustration and Emotions from your trading.

We all learn several techniques as a Trader, even we use same in stock, commodity and Forex or Future market, and those strategies have been used by traders since the inception of Trading, but why then they have been so successful and why we are not and the shocking answer is Frustration which brings emotions in trading that really destroy every mindset or change it for a while. Frustration can really of several type as not understanding the market price action or poorly time trade without knowing the result or reward of that trade making mistakes which could easily be avoided. Reason of raising this matter is the case that has happened to me just recently where I was stopped twice of my pound sterling trade and succeed only once but that does not patter. IF we buy and sell at the same place then It really frustrate your mind as all those several years spend in trading can really be of no use.

Pound bulls attack 1.4661 Crucial Turning pont

Situation has completely changed in Pound dollar after I post yesterday that pound will look or a decline from 14580 but It has mange to break it with ease and manage to go close 1.4661 which is clear defining point between bulls and bears. But I would put on my bet on the bull side for a ride towards 1.5035, no matter what happens to Fed and BOE.

Could be the case of buy stops and sell stops stack orders

IF you watch the chart posted carefully above, then you can probably see that If price has managed to give sellers and buyers both any chance to dominate and When It is the case price is trying to consume all the supply to buy at best of the price, and If that is the case then price probably will become volatile and all the bulls and new cash flow will be punched into the market.

Pound Rise due to Brexit postive Report but headwinds Ahead of FOMC

We saw pound sideways movement through this Month of May after expecting Price to move ahead but it got trap in ranges till Today Brexit Poll Report shows Remain leads to 55/45, really pumps Pound bulls and pound Rise to as more than 150 pips from the daily lows and "Do We need to use our brains to know the Situation that why that move happened ahead of FOMC Report", may be We don't really are too serious about the unexpected even but that is seen on chart. Price Was due to bounce from lows and create new high and let trader guessing ahead of FOMC report.

If market manage to gather or pick all the buy orders in that move which took place after the Release of Employment and Earning Index From Britain, then this could be a biggest trap ahead of FOMC meeting. I can see a Trap waiting and FOMC Report has to be published with 6 hours from now, but Really maintain and staying above that breakout will really put lot of doubt in traders mind that consolidation breakout is looking quite bullish and positive data supporting that move and there is no chance of reversal. But You need to stay ahead and see who is in control, Bears can dominate and take the benefit of squeezing all buy orders and sell at the best price.

Buy orders squeeze in Gbp Ahead of FOMC Report

> This Article might change the way you approach forex market completely. I will update the Article before the release of FOMC report to let you take benefit of this report.

How to select Currency Pairs to trade Trending Or Sideways

Since I have start trading Forex, It took me while to understand which pairs should I line up for the next week. So, I decided to target News calendar for that Purpose and see which Currency Pair has high impact releases to be Scheduled next week and then I decided to take with the trend entries only and upcoming reports should match with trend entry. But that did not work for me in the long run as I struggle to find out the reason why currency pairs reverse even after strong data in favor. Strong Release does move pairs but If that release brings risk aversion, then It can reverse totally, but Chart should be decisive enough for us to make crucial decision at such events.

Well, It is quite clear that only few major pairs dominate the market volume as it is prime choice of bunch of traders, and every strategy you built in may not suit every currency pair, because few currency pairs offer strong movements and volatility, they still might not be best one to trade at particular scenarios, specially at the time of release. Australian Dollar, Canadian Dollar, Eurodollar, Pound dollar and Dollar Yen are prefferrable choice for every trader to look for their profits but still there might be few correlated pairs that you can use to hedge positions but still You does need to see enough reason to trade the rest of the currency pairs that offer movement and are trending as well.

There are so many factors that influence the movement of a Currency Pairs event after positive data release that should offer strength and good enough to buy but still it moves lower and trade has to be close due to loss. Its a trader's responsibility to track which currency pair is dominating e.g Dollar has been dominate against pound since last year or so and When You expect couple of news can drive sterling higher or reverse the trade, then You should built several strategy that offer entries in trending market.

Let's be more decisive with the chart to clear Doubts raising in your mind

Pound Policy Statement and Inflation Report

These two reports were the highlights of previous week as Pound was moving sideways for extended period in expectation of this release and as You see in daily chart pair has already reverse and that bearish movement was quite significant and one should always look for short entries If trend start to reverse of a new high.

Let’s take the above scenario from another perspective:-

There is another perspective that You can take it from above example as you expect British pound to increase in Value, so you want to buy pound. But instead of just look to buy pound against the dollar, you search for the most suited pair to do it with. And after bit of search you find that Australian dollar has been the extremely weaker of all the currency pairs, and you decide that you will buy Strong Pound against Weak Australian Dollar and this works well If you would have been able to do that because it was weakest pair of all on that day.

That's How I find Trending Currency Pairs with Logic and timing

In the example above, you might have get the idea How banks target different currency pairs at different scenarios and How just a big of understanding of the logic and overall context can offer you sense to buy best currency pairs in the trending market even with weak reports which is unexpected scenario but still quite profitable one if you manage to use bit of research and choose optimal currency pair.

How to trade confidently in any global or domestic Market.

Hi, readers, As I have stated in my previous articles that Trading Price Action is all about confidence, but Price Action does involve lot of logic and sense and it is never about doing what we are not suppose to do and by that I means taking choppy market into consideration and letting a loss run expecting that price will come back to your entry again and in expectation drag your too far and get loss more than you first anticipate and that what we all suppose to do what We never or ever should be doing.

Trading with psychological edge should be our first motive and that really put you far from the hurdle who trade for just profit and don't consider why a high probability setups is something we all have to look for rather than high frequency of volume which increases the chances of losses more than chance of winning. Volumes never brings profit as there is always a risk of giving back the profit your earn when you try too much out of Thin Market and specially when trading is So thin like this week and We must observe what price action should do after breakouts in such thin trading sessions.

How I manage to Read the context in Price Action

I thought about taking few Price Action setups of Euro dollar several times this week, but really Price Action did not allow me to do so and hence I drop the Idea of taking any setup and watch if market offers any trap and failed breakout, and today I find out that breakout yesterday was a false trap and another trendline rejection would allow me lot less risky entry than I think of it at first sight, and that is how price action behave after the rejection top which was the base of the selling and because of the fact market compressed to decision point, there was good chance of rejection at trendline as most traders would set pending buy orders at trendlines and that was no exception and Price make a new low today and a setup which initially have few doubts but nothing after rejection as I made my mind to sell at close of rejecting Candle.

Also Read:- Watch How I Recommend Selling Euro After weak US Employment Data

So,a setup which was looking like breakout of choppy conditions again failed and market was free to fall after the rejection as chances of bounce were very often in such cases and risk was minimal to zero as We never look to drag the trade and set small stops and look to close when market find a new low with momentum.