In the UK at the moment – hanging out with my Mum. The most “with it” 82-year old I know. We talk about eBooks, new media and how her grandson, who maybe wants to be a journalist, is going to break in. Etc.
And missed a nice couple of days trading. That was quite a sell-off on Wednesday. Now at 1,350 we got that exhaustion volume on Better Momentum I was looking for on the 40,500 tick chart. So maybe Thursday we’ll spend basing and testing the low and then go for a little rally on Friday.
“Priceless video, easy to follow and informative, you rock.” Kevin K.
I recorded the video above a few days ago – just as the US Dollar was breaking up into this new uptrend. The Emini is a prefect day trading vehicle, but I must admit I do find Forex fascinating.
In essence, the value of a currency is a vote on the “strength” of that country, and it’s future.
(BTW, that’s why currency intervention by central authorities will ALWAYS fail – you can’t fight the market, the combined opinion of billion of investment dollars. It’s like Woody Allen buying million of cinema tickets to his own movie. Do you want to go see Midnight in Paris or Skyfall?)
And we all can see how different countries are faring. Europe is a mess and unravelling at the seams – plus getting older. Australia has almost become a new Switzerland (I can hear your scoff) – very low government debt, safe banks, expensive houses, very desirable to live in. Etc.
Now, more than ever, you need to be aware of the big picture and, in particular, the relative strength of your base trading capital. Is the US Dollar holding it’s value? Are emerging nation currencies appreciating faster? Am I lossing purchasing power by keeping my capital in US Dollars?
This video shows some long term Forex charts and recommends some analytical tools that you can use to track the US Dollar versus the other major currencies.
So day trading the Emini – but watching the long term Forex trends. And planning accordingly.
