I have developed a Trend Following Swing Trading strategy that I use for Stocks and ETFs. It is a very profitable system that is most effective when trading on margin, using leveraged instruments, and using highly liquid stocks and ETFs. Part of my frustration with my system was trading in trendless environments and especialy when there was high volatility like 10-2011 to 11-2011. These few weeks pissed me off because frequently there would be a Gap open (triggering a BUY) and then I would profit that day only to have that erased and trigger my stop loss as the market gap opened lower the next. I realize that trendless markets require different strategies but my system adopts a new strategy as the market trend slows. Recently I decided to try my system in the Forex currency markets. All I can say is ...WOW!!! What an improvement!! 24 hr trading, highly liquid market, lots of leverage....PERFECT for my system. Anyone else have similar experiences?
I trade the same system on ES,ZN,EURUSD,USDJPY,GBPUSD,USDCHF and AUDUSD. All setups and targets/stops determined by volatility with fixed risk management.
Of course. Certain markets practically beg trend followers to come in and help rebalance the emotions. Every market has a different set of participants with unique insecurities. Robots rule.