Friday, September 28, 2012

Wednesday, September 26, 2012

Trades for 9-26-12

As you can see in the screenshot I used the 30min chart to make my entry on the 1st trade this morning. For my 2nd trade I decided to trade it based on a break of support. Lastly, if I had held on a little longer in my 3rd trade I would have made back all the money I lost in the 2nd one.

Forex: 3 trades, 1 loss and 2 gains for a total of +1.19%

Tuesday, September 25, 2012

Monday, September 24, 2012

News schedule for this week

Nothing really big is scheduled for this week (except for bond auction), but keep your eye out for these items for some intraday moves (all times are EST):

Tuesday Sep 25th:

  • SNB Chairman Jordan Speaks - Tentative
  • Canada Retail Sales m/m - 8:30am
  • ECB President Draghi Speaks - 9:00am
  • US consumer confidence - 10:00am

  • Wednesday Sep 26th:
  • US new home sales - 10:00am
  • NBNZ Business Confidence - 9:00pm

  • Thursday Sep 27th:
  • UK Current Account - 4:30am
  • UK Final GDP q/q - 4:30am
  • Italian 10-y Bond Auction - Tentative
  • US Durable Goods Orders m/m - 8:30am
  • US Unemployment Claims - 8:30am
  • US Final GDP q/q - 8:30am
  • US Pending Home Sales m/m - 10:00am
  • Japan Unemployment Rate 7:30pm

  • Friday Sep 28th:
  • French Consumer Spending m/m - 2:45am
  • Canada GDP m/m - 8:30am
  • US Revised UoM Consumer Sentiment - 9:55am
  • Bollinger Bands

    Bollinger Bands, invented by a guy name John Bollinger, are one of the most popular tools available to traders (both long and short term). Their design is intended to show a relative definition of high and low, via upper and lower bands. The middle band (though not always shown) is a moving average which shows the direction of the current trend.

    The working parts
    The distance between the upper and lower bands show price volatility. The farther apart they are the more volatile price action is, and the opposite is true when they are close to each other. Most charting software defaults to plotting Bollinger bands with a 20 period moving average, and a 2 standard deviation. However you can adjust this setting to fit your trading style/preference.

    The math
    Though they can use other forms of moving averages (MA) the most common is the simple moving average. The first step is calculating the simple moving average:

    The next is to calculate for the upper band:

    Lastly we calculate for the lower band:

    Ways of trading
    There are many ways of interpreting Bollinger Bands...
    1.) Some traders will buy when price is oversold (touching the lower band), and exit when price touches the middle band. The opposite is true for shorts (short when price touches the upper band, exit when it touches the middle band).

    2.) Others will wait until price actually crosses above the upper band to long, and to short they will wait until price crosses below the lower band.

    Just like most indicators, Bollinger Bands are often used in conjunction with other indicators. Usually the other indicator(s) will be a chart pattern, trendline, or other form of non-oscillating indicator(s).

    They are also not just for any one trading instrument, they can be used to trade may things from currencies to stocks to bonds.

    My personal take
    My personal take on them would be to use the first mentioned way for trading during consolidation (there is no trend, price is in a range). I would use the second way for breakouts from ranges with a trading stop.

    Trades for 9-24-12

    Forex: 3 trades, 2 losses and 1 gain for a total of -4.40%

    Thursday, September 20, 2012

    Wednesday, September 19, 2012

    Tuesday, September 18, 2012

    Monday, September 17, 2012

    Saturday, September 15, 2012

    Buck hunting

    It took my dad a couple shots but we got him! Now it's just a matter of time before we go back out for my elk hunt in October.

    Tuesday, September 11, 2012

    Trades for 9-11-12

    I should have held my 2nd trade longer but I'm a bit "gun shy" after the beating I took this past month.

    2 trades, 1 loss and 1 gain for a total of +5.09%

    Thursday, September 6, 2012