Wednesday 19 December 2012

When not to trade

Sometimes the market will go sideways, and even though you believe it to be weak or strong, if you enter a trade and nothing happens after 5 or so bars, then it is time to consider getting out.  I believed the market to be weak today at the market open, which, at the time of writing, appears to be the case.  But for most of the day it has gone sideways, then when it finally dropped, there was no clear evidence that it was going to do so at that time.

So no trades today.  I'm off to the supermarket.  Deep joy.  But I would not be surprised if I came back later to see there was an opportunity whilst I was out ..... happens so much!


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