LouDogg's Spot Forex Trading Journal

Discussion in 'Journals' started by LouDogg, Feb 17, 2004.

  1. LouDogg


    What's up Y'all. I have started this journal to help me traverse the mess which is the Spot Forex market. While I have been trading for about 18 months, it has only been in the last three that I have developed the consistency that I have striving for. This has mainly come about from actually taking advise and start planning my trades. This has helped immeasurable ( well actually more like I went from an average loss of 30% monthly to a gain of 40%). Thank you for simulators.

    I use a fairly simple system based around Bollinger Bands, MACD, and Candlesticks. Using less indicators was a big help as well. I guess the meat of it is concerns proper position sizing. Considering that Spot Forex allows crazy leverage, this where my edge lies (if you actually want to call it that).

    While Spot Forex has had many haters lately, I think it is an ideal market to learn how to trade on. Mainly because it so simple and requires very little capital.

    Enough of the talk, here are my picks.

    For 2/17/4
    I am looking to buy the Euro/US today at ideally 1.2855
    Sell it at 1.2920
    My stop is at 1.2830
    Use 10% of my available capital.

    All for now.
  2. Loudogg,

    I'm in this one too. Long EUR/ USD from 1.2845 with a decent stop just under the figure. I tell you though, I don't have a good feeling on this one. The US $ index is sitting at some tough support around the 84.80 level. It just seems that the USD wants to make a retracement higher, which means we're going to take some heat in the EURO, before we see heavy USD selling on the London opening in a few hours.

    I should probably just get out and re-establish at a better price. But I'm going to obey my stops, trade the patterns as they're meant to be traded, and not try to out smart the market.

    Oh well, we'll see.

    Good luck!

  3. Good thing I didn't try outsmart the market. I took most off my EURO trade off table into the 1.0 Fib extension of the previous move, 1.2920 just now. I'm going to sleep with the remaining 1/3rd. Nice trade Loudogg!
  4. LouDogg


    Limit Hit for a gain of 65 Pips.

    Now looking to possible sell at 1.2930
  5. LouDogg


    Decided to go to bed early and missed the big swing down. Oh well, I'll look at the charts again after I get back from work and see what's happening then. Probably move a little further down then a nice bounce up.
  6. LouDogg


    Just got back from work. Right now the Euro/US appears to be range bound in low 1.2700 - 1.2730. I'm not really sure if this is the actual bottom or if it just waiting to go further lower. After looking at the 4, 8, and daily chart my feeling is that it is going lower. Where, I am not sure. I am going to say for now somewhere around 1.2670, but that might as well be a guess.

    So my pick for now is

    Sell Euro/USD at 1.2730
    Buy at 1.2680
    Stop at 1.2750

    use 2% of capital
  7. LouDogg


    Okay, this what I actually did. Instead of listening to my trading rules, I entered a sell at 1.2702. My thought was that it would start drop immediately. Of course it ran up 20 pips. So realizing that it now was pretty near my original target, I entered another sell order at 1.2725. I chickened out and closed the position at 1.2703 and 1.2706 respectively instead of my original target of 1.2680. While this represented a loss of 1 pip and a gain of 19, I feel this was a badly planned trade. I entered too soon (my biggest problem), didn't use my position size, and finally didn't wait it out to hit the target.

    So far my record stands as such:

    2/17/04 +65
    2/18/04 +19,-1

    Total +83

    I'm going to bed.
  8. AC3


    U trading Cash or the Futures and BTW nice cple of days.....
  9. LouDogg


    I'm doing cash for now. I want to make the move to futures soon though. Velocity is located right here in Houston so I thought about working through them. I use Refco currently for the cash market. I have no problems with them. Sometimes they can be a little slow, though.

    The reason why I want to make the move is that I don't think the infrastructure is there yet for people to make serious $$$ (unless your dealing on UBS and have several million dollars to play with). I still think it is good place to learn though. Also, there is no way I would trust some of these companies with my money. Refco seems to be very legit, but who really knows. At least with futures there is a centralized exchange and some rules. The issues of the spread and commissions doesn't really bother me. I am more concern about the integrity of the market.

    My main problem with the futures market is ignorance. I just need to crack down and do some research.
  10. LouDogg


    Got in from from work. Euro/US has dropped to 1.2640. Looking at 4 and 8 chart, should go down further.

    My pick then is

    Sell Euro/ US at 1.2645
    Buy at 1.2620
    Stop at 1.2655

    Use 2% of capital

    Just looking for small move now. I'll wait until Sunday to make a determination on where it is going from there.
    #10     Feb 20, 2004