What Does That Mean for Day Trading Today?
Like always, we watch the forex markets (by far larger mass/volume than any other market) and let it forecast where markets are likely to head. Today our forex diet began at the open strong Yen and dollar – bad news for the S&P 500 – so we see markets falling. And like a well behaved pet, lo and behold we see the markets fall. The way we then use our favored binary options hedge is we look for a change in the forex market (once retail trading is open), and then we simply jump on the band wagon once we see the reversal. If we don’t see a reversal back toward zero… we stay out and horde our cash.
We make money when we see a day trading hedge opportunity during retail hours that we can get in early on. We avoid trading on news that the institutions get ahead of us. We stay out unless we can move our money ahead of the macro wave impact we see coming. Get it?
Seeing a lightening of the mood in the forex trading markets. Although the tambre is still negative for the S&P 500 the force of the push appears to be lightening. We may be seeing the intra-day low for the S&P right now – I am keeping an eye on the Yen – if it weakens I figure that’s my opportunity to go long binary options calls on DIA or SPY. Yen not weakening… treading water. Likewise the risk currencies aren’t treading water upward so still out on the sidelines. Only hope to get our bottom fishing today will be courtesy of Jesus the Miracle Goaltender sometime around 3:20 / 3:30pm. Going to go nap until then.
Have You Subscribed to Free Our E-Newsletter Yet? Get Trading Ideas Sent Right to Your Email Inbox as We Come Up With Them - Free!
Also Don't Miss Out on the New Binary Options Trading Signals and Free Binary Options Trading CourseSometimes Holding Your Cash Is the Best Investment You Can Make
Today was a perfect example of why you stay disciplined in your trading. We saw the unfavorable market conditions today right off the bat and made a commitment to invest only if we say a favorable turn in the forex markets (combined with favorable VIX). While the forex trading market started to warm it never actually got hot the way we needed it and as a result stood pat and saved our money. We took a look later in the day for government intervention (Jesus the Miracle Goaltender) but Jesus took a pass this afternoon too. Did not make money day trading today, but more importantly no money lost either. Penny saved is a penny earned.
Twitter
Facebook
Myspace
Youtube
Identica