Friday 26 December 2014

Boxing Day

When I was a kid I thought boxing day was about a boxing match...  turns out it is an English tradition of "boxing" up your old clothes to give to the poor and needy.  Hence "Boxing Day".

As I'm packing for my flight to Cambodia I'm going through my wardrobe and finding all sorts of shirts that I haven't worn in a long time.  To my surprise they fit great and look better than I remember.  Possibly because I've lost a lot of weight since doing Yoga Daily.  I think I'm down 10 kilos now.  Maybe because I'm just more toned and the shirt fits my complexion better.  Or it looks the same and not having worn it in a long time it looks "new".

Trading can be like that too.  One day a strategy you haven't used in a while, or a currency you haven't traded in a long time, looks quite appealing.  For me that's AUDJPY.  In the past I have had some of my best trades with it.  But I typically stick to EURUSD.  And you know these days I have even traded GBPUSD quite successfully while in the past I found it to be a pain.   Maybe it's that I'm up earlier now and trade the Asian session, or maybe it's my new strategies.  Maybe it's the old strategies I have started using again.

Whatever the case, if it's working.  So this boxing day, perhaps have a look at a new currency to trade.  A new (or new again) strategy to explore.  The holidays are a great time to do some analysis and figure out what your New Years Strategy should be.

Wednesday 24 December 2014

Merry Christmas from Cambodia

Merry Christmas - Frohe Weihnachten - Feliz Navidad - สุขสันต์วันคริสต์มาส - រីករាយថ្ងៃបុណ្យណូអែល


It's that time of the year again.  For me Christmas is always a slow time of the year.  Kind of dead and boring.   Here in South East Asia at least we have good weather so I often forget it's Winter, let alone Christmas.  Sure, a stroll through the Christkindl Market in Vienna would be nice.  The sound of snow being crushed as you walk along amazing architecture and smell wood burning.  Or some downhill skiing in Canada in the Alberta Rocky Mountains.   I still prefer to stay warm.

The next week or two will likely be slow trading days.  Sure there might be some activity, but I say turn off your computer, take a break from trading, and do something to recharge your batteries.  You'll feel refreshed and alive again when you start trading.

I'm in Cambodia for Christmas and New Years.   A long overdue trip.  I'm meeting a friend and look forward to a couple weeks of playing tourist and to have a look at a potential new home.  Cambodia's visa laws and quiet athmosphere (in my opinion, what I expected Thailand to be like), make it very attractive to expats and digital nomads.  Perhaps a new home base for me.  It's close to Vietnam, Laos, and Thailand, so it presents itself with some great traveling opportunities.

Merry Christmas

Friday 5 December 2014

Multiple Monitors - How many do you need for Day Trading?

My life has changed over the last few years.  From Management Consultant to Forex Day Trader, from living in cold Canada to warm Thailand, from living in Excess to enjoying simple life where less is more.

Back in the consulting days I always had 2 or 3 monitors.   Heck I even had 6 PCs at one point working out trading algorithms, back testing, etc... but that's another story. 

When I started trading it seemed natural to trade with at least 2 screens.  One to focus on my charts, another for surfing the web, reading emails, and doing whatever else to keep busy waiting for a trade setup. 

That progressed into 6 whopping screens.  It was quite the setup, I'll have to see if I can dig up a picture.  I remember when I first plugged them all in I could feel my face getting a burn. (Canada Eh!)  It was cold outside and my trading station was warm now.

From 6 I went to 3, then 2, then 4, and well now as I relocated to Thailand I just had my laptop and I got pretty used to just using it.   Granted I can hook up one of my may TVs....  and sure I use my Media Player Laptop to play movies on the TV and occasionally toggle over to my charts.   I even had ChromeCast  display charts on another TV in my office...

Then I started programming more and scalping again and though hey why not get another monitor, it'll make it easier.   The only reason I have been holding back is that monitors are pricey here, even used ones.  So I have been waiting and waiting and now I am okay without one.

You see "Less really is More".   With just the one screen I navigate around quickly and focus on just what's on my screen.  I don't get overwhelmed with action across all screens.  I don't get annoyed with dragging from one screen to another or Windows changing my monitor settings, AND when I travel I have exactly the same setup as I use at home.  In other words, I don't miss my monitor when I don't have it and work just as well, if not better than with multiple monitors.

How many monitors are right for you?   Obviously everyone has their personal preference.  I would say really think about why you need that monitor and then see if there are other creative ways to do without one.

If you have just one screen then here are some tips:
  • Alt-Tab to switch between windows
  • Ctrl-Tab to switch between tabs in your browser
  • Resize your windows
  • Dock your windows to the right and left of your screen
  • Learn your Trading Platform's Shortcut Keys, for MetaTrader:
    • Ctrl-T hides/shows the Terminal Window
    • Ctrl-N hides/shows the Navigator Window
    • Put frequently used Scripts in your Navigator Favorites
    • Ctrl-B brings up Object Browser
    • Enter on any Chart lets you switch to another Currency and Timeframe
    • Ctrl-Tab Toggles between your Charts
    • F9 Brings up the Order Screen

Thursday 4 December 2014

Exit too Early? Good!

I am sitting here smiling because I closed out early again.  I was short AUDJPY @ 100.80 and got out at 100.60 with half my lot.  The other half I put a Trailing Stop on.  AUDJPY has been doing this several times to me now, it goes down, then hesitates, then keeps going.   A few hours later and wouldn't you know it, 100.20.  That's 40 extra pips I could have made.  Should have made.  You know what "shoulds" do right?  They "should" all over you. haha.   Well seriously it's okay. I'm smiling and you should be smiling too every time your gut tells you one thing and you do the opposite only to realize your gut was right.

Why is an early exit a good thing?  Simple.  For the same reason it's a good thing you missed a trade.  You saw it coming.  You are getting a feel for the market.  Your gut told you to stay in and your brain sided with caution.   Caution is a good thing.  Lets face it, you're not going to make 100% on every wave.  20% is good.  50% is great, and if you're in the 80% zone you're a rockstar.

Training your gut instinct and your brain to work with it, is a good thing too.  It takes time to develop your "spidey sense".

You know I read the other day that the gut is created from the same tissue as the brain and that explains "gut feelings".  Keep that in mind next time you have gut feelings.   Also keep in mind that you need to ease into things.  Practice is the mother of skill! ;)

Sunny Days

Don't you just love sunny days?  There is something in the air,  you feel happy,  the sun feels good and there are so many fun things to do.

When you are making good trades it's like a sunny warm summer day.  Enjoy it.  Be sure to be thankful for it and reminisce a little.  Remember what it was like.  What you did and did not do to make positive trades.  Your work environment. Your mental and physical state.  Where you drinking Espressos? Did you do Yoga before? What did you eat?  What indicators,  strategies and tactics did you use.  Why did it work? What are signs for another "sunny day".

Cherish those Sunny Days and your Good Trading Days.  And when they come around again then dive in and enjoy.

Trading is about more than technicals and fundamentals.  It's about figuring out what works FOR YOU and how to repeat.

35C and Crispy Warm Here Today.  :)