Analysts Anaylze Traders Trade

It is important to understand the difference between being a trader and being an analyst. The first one tries to make money through actual trading, while the later tries to make money by selling advice in some form. Always trust your own technical analysis beyond any other person's advice, regardless of the source. You MUST have faith in your own ability to analyze the market, and stop waiting for others to tell you when and where to take trades. One of the goals of my new mentoring program will be to teach my students how to think and "see the market" for themselves.

Check out any major Forex message board or chat room and you will see that there are always plenty of individuals willing to offer up their advice. Even better they can be so convincing that others in the room will blindly jump into a trade based on the advice! Best of all you can usually find two equally convincing traders both offering the opposite advice at the same exact time. Never ever enter a trade based on some other person's suggestion. Never ever!

You can even find professional paid analysts offering up contradictory advice, along with pivots, supports, and fibs that all differ from each other. That is why you need to have your own method of analysis that you know inside and out. You may be a day trader that is trading a minor downtrend, while the analyst whose advice you are reading is looking very long term at a major uptrend. Depending on the time frame you are trading it can and will completely change your perspective on things. Know the time frame you are trading. Know the profit you are seeking and stop loss you can accept. Know your entry and exit signals. If you are confused and struggling from month-to-month like many traders, I can help. My mentoring program will be starting within the next two months.

Until then best of luck traders!

Trading EURUSD in the Forex Market

We have essentially been in a new uptrend move on EURUSD since March 4th of this year going by the daily chart. There was a minor retracement wave which had a peak high on 3/19 and bottomed out on 4/22. Since April 22nd the Euro has been a Long trade only in my opinion. Too many traders over-complicate things and try to trade way too often. When a currency pair is in this strong of a move, why try to fight against it? The best approach is keep buying pullbacks, until there is a reason not to buy them any longer.

Here during the Monday morning U.S. trading session I am watching for yet another Long entry. The first level I am watching is 1.4170, which would be a bounce off of the previous day's high. So far price bounced off that level once exactly one hour ago. If Price breaks through I will try for an even better entry at 1.4138, which is my 23.6% fib retracement level. If Price does not come low enough I will consider a Long entry around 1.4200.

I always recommend coming up with a plan, and for any trader that works with me personally in the future, you will come to know that I like to work in threes. Perhaps this has to do with my background in Tai Chi and Qigong, as the number 3 has a lot of prominence in Chinese culture. It also seem to be the maximum # of things I can concentrate on at one time. I use three different charts, to look at a currency pair three different ways. I zero down to three time frames to find a trade. I try to come up with three different potential entry points. I always try to remain adaptable so I can remain with the flow of the market.

Happy trading!