I might be a little early but…….you know me. This is nothing new. I’m always early.
Fact of the matter is…….this “bounce” in risk has looked incredibly weak, and considering we’ve “supposedly” come so far so fast ( with The SP now retracing 61.8% of the recent fall ) now is as good a time as any to start staggering orders “short risk” once again.
Aside from the SP 500 short, I’ve now “begun” starter positions in several currency pairs including short AUD/JPY ( set for even greater profits than the last trade ) as well CHF/JPY and GBP/JPY with trades in several other pairs to follow.
Short and sweet here today as the outline / plan ( presented only a few short days ago ) is playing out as expected.
There’s not enough “upside potencial” at this point to really get concerned about “perfect entries short”. If it’s not today……then perhaps a couple more points tomorrow – who cares.
We are on the other side of the mountain, and we don’t want to miss the slide.
More trades, weekly reporting and daily real time commentary at the Members site: www.forexkong.net if you’re interested in making any money over the next few months.
Hello,
Im wondering whether to move some pounds into USD. Do you have a 6 / 12 month forecast for the pair. I don’t want my hard earned cash money turning to salt. Its not a trade per say. Rather just moving it from a pound pot to a dollar pot.
Thanks!
Steven
Looking out that far, you’d have to take into account that interest rates will likely come into play as……the U.S has even hinted that rates may rise as soon as the first quarter of 2015.
This sets the stage for an entirely “new view” of forex markets as we’ve been trading now for some time under the guise that “interest rates will never rise”.
Then throw in the idea that The Fed will likely need to introduce some “new form of QE” within the next 12 months and you’ve got yourself a bit of a rats nest.
GBP certainly looks like it’s due for a reasonable correction “upward” short term but it’s really a matter of what The U.S does affecting USD that will make the difference.
Timing these things longer term is tricky at this point as we are on the cusp of fundamental changes in monetary policy.
Personally I believe that USD is going lower – but you’ll hear both sides of that debate day in and day out.
Thanks Kong. Also. You still feel good about shorting the market? At what level do you feel you may be wrong?
Feeling great about shorting the market…with absolutely “no chance” of deviating from the current trade plan.
A couple points higher….a couple more days – no thing to me as I trade “deep and wide” over much longer time frames to get concerned about a couple days action.
This thing ( alongside global growth etc.. ) is going lower.
Great. Ill follow you down into the Barranca del Cobre.
Go easy.
I employ a strategy of deploying “small orders over time” so……you need to allow these turns to unfold without “hanging your hat” on a specific price level and “going all in”.
A contract here…..a contract there as the turn is made.
This reduces risk, and keeps you in the game.
Gotcha!