Black: April Review

Week 1: -121
Week 2: Rest (no trade)
Week 3: +37
Week 4: -62

Month: -146
Equity: -20%

This is some serious drawdown man. I cant imagine a scarier roller coaster ride than the equity graph plotted above - flat dead. conclusively, old habits are still kicking. I still cant accept a losing night, therefore leads to revenge trades and then leads to such catastrophe.

I dont whether anyone would agree with me, but after learning to play Texas Hold'em for some time, i find a little similarity in it with trading. there are bound to be risk, and you CAN'T WIN EVERY round. u are meant to fold. it is part of the game. when u get bad cards, u fold. u lose the initial "deposit" (what do they call it?) when u have bad cards in hand.. because base on probability, any pair greater than 2 or 5 (if those were the cards u were holding) you'd lose.

the winning part comes when u got pictures, or higher cards or pairs, best with an ace pairs. thats when chances are at your side and u can throw higher stake. still bound to lose, but probability are at your side (i wouldnt say chances because i feel chances are random). i never call super-high stakes when i dont have pairs to back me up, this is my poker rule, that should never have one single stake that kicks u out of the game.

Coming back to trading, this spells the Risk:Reward ratio. Accept the small loses, cuz the big one will cover them, all when chances are here. fundamentally, i failed to apply good risk:reward ratio, miserably.

If i can apply good risk:reward ratio in trading like playing poker, the question is, when is it the right time, or rather when do i know i'm holding an "ace pair"?

time to buck up. otherwise, this blog will sooner or later be renamed "101 things you should not do when trading forex".

Black

Revenge of the Chart.

Learned a new technique from some site posted by some guy... so decided to try on it since he was so sure that it works and that he tested it numerous time. He succeeded almost everytime he use it as he claim. Well, i backtested and it looks ok so... i tried to do it.

This technique goes like this, consist of 3 period 50 Bollinger Bands (3 4 and 5 deviation respectively) and if the price touchs the blue one(second Bollinger Band), there is a high possibility that the price will retrace to the middle red line which is the 50ma. I did succeed a few times with this system, its kinda not my style though, as this is more used for scalping whereas i go for longer period trading kind.. so i managed to scalp 2 times of 10pips and once 2pips. But this flop destroyed me.

For what actually happened, u may refer to my attached image above. Well maybe someone can modify it abit and make it more reliable? Who knows... im just sharing yea? There maybe some potential to it. Lol. Cos the price as promised... always do retrace to 50ma. Just that the entry isnt good enough and before it can hit the target.. my stop gets hit.

I tickled the chart for a few pips and it punch me for 40... F***

Bottle

Once u learn to quit, it becomes a habit.

22 Apr, Eur/Usd - Bear Has Left His Ass On Me

Guess i joined the bear a little too late. I wanted to pick audusd but it seems to move slower than eurusd and the pips higher. so i picked my usual eurusd. but sadly, if i had sold aussie on 0.9250, i would have taken at least ten pips and sleep. eurusd barely go down, anymore. going against me seem like the usual easy thing to do. The struggle never came through.


-22 pips.

Black.
I just told FFXD not to give up, but should i?

21 Apr, Eur/Usd - Do Re Mi Lot Size

Short at 1.3400. I did something different today. Instead of averaging loss, i did an average win. The thing about averaging-winner is that when price went against u u look like an idiot. My first average-in position opened with a slippage.. due to the US Crude Oil Inventories announcement that created a small knee jerk movement, unexpectedly.

Third average-winner position went well. I learned my lesson today. My first position at the smallest size lot and follow by higher when trade becomes confident. I still think price will go further down, based on Daily chart, but then again anything can happen.

The thing about trading small lot size is that u need to take more steps (pips) to get to where you wan. But you can do so more comfortably.


+19 pips.. another small small step back.

Black.

20 Apr, Eur/Usd - Scalp Scalp Scalp

Always remind myself to take smaller size in first position, only after realising i had too much exposure. Euro rallied right after New York session hit, against me (once again). This is very bad move for scalping - when u cant catch the first move. I average-in twice with smaller sizes, before price quickly go in my favour. Scored on the 2nd n 3rd position and closed my first (freaking bad price) position at small loss. Pretty short night.


Came across Denarii Trader's blog earlier and saw some interesting posts. I saw a comment to him by someone who tried to give him some encouragement with a nice quote. This is very true, and here it goes:

"Once you stop fighting for what you want, what you don't want will automatically take over"

+16 pips

Black.