Pilam
01-02-2023 16:11,
Lately has been fascinating reading in the forums. A lot of men and women are a bit bewildered. The dollar moves up on data that is poor and down on information that is good. All the while leaving stop losses in its aftermath. It is particularly hurtful for many since the quarter edued them. This has left many would be champs face down on the canvas.
Merlin is often quick to determine when currencies reveal strength or weakness in the face of opposing data, however, several people continue to contribute stops to the market. While we have to play our egies, once the market is in a contrary disposition, we have to possess capitol preservation in the forefront. I've read some articles where traders have held contrary to the obvious opinion because the data favored there positions. For those traders, the price did not.
I've discovered that price contrary to information can be just as strong or stronger signal than price moving with the information. I try to remember that all sorts of traders, entities and institutions all buy and sell at different prices for all sorts of different reasons. What may drive my trade decisions is completely different than that which may drive the hedge or a funds position shift of a corporation. I'd offer that prices can turn on simple trader opinion or large players entering the market feeling a value. This is said to relate the concept that it is really impossible to understand all of the factors at play in overall price movement. We must accept what we see.
Many traders have made the announcement that they only consider price. Expounding that they don't try to interpret anything. They simply see the prices response. I'm of what they're saying a advoe while I don't comply with this fashion strictly. I love to work fundemental information out. In the right market conditions, I will also jump in based on a release. But, I keep an eye on what sort of market I'm in. Nobody wants to get caught throwing a left hook against a lefty who is known for a straight knockout punch that is straight.
Merlin is often quick to determine when currencies reveal strength or weakness in the face of opposing data, however, several people continue to contribute stops to the market. While we have to play our egies, once the market is in a contrary disposition, we have to possess capitol preservation in the forefront. I've read some articles where traders have held contrary to the obvious opinion because the data favored there positions. For those traders, the price did not.
I've discovered that price contrary to information can be just as strong or stronger signal than price moving with the information. I try to remember that all sorts of traders, entities and institutions all buy and sell at different prices for all sorts of different reasons. What may drive my trade decisions is completely different than that which may drive the hedge or a funds position shift of a corporation. I'd offer that prices can turn on simple trader opinion or large players entering the market feeling a value. This is said to relate the concept that it is really impossible to understand all of the factors at play in overall price movement. We must accept what we see.
Many traders have made the announcement that they only consider price. Expounding that they don't try to interpret anything. They simply see the prices response. I'm of what they're saying a advoe while I don't comply with this fashion strictly. I love to work fundemental information out. In the right market conditions, I will also jump in based on a release. But, I keep an eye on what sort of market I'm in. Nobody wants to get caught throwing a left hook against a lefty who is known for a straight knockout punch that is straight.