The Forex Market! As is always the case, there are two ways this Forex market can be traded (and the choices are not ‘good’ and ‘bad’). If you are flexible and not a ‘bullish trader’ or a ‘bearish trader’ (which you shouldn’t be, by the way…who cares which way the Forex market is going as long as you’re making money?), then you can ride this trend until at least its next support line. The next support line looks to be at around the 1.25 area. It doesn’t have far to go to reach this area, so admittedly you might want to adjust your quantities accordingly. If, and only if, it fits into your game plan should you be adjusting your quantities. If it doesn’t, then trade your normal quantities and be satisfied with a profit. Everyone should be satisfied with profits in the Forex market.
Another plan of attack could be to wait until the Forex market hits the next level of support and put on a new position there. There is never anything wrong with not chasing a market. If you’d like, you could even throw in a buy order; your stop-loss sell order below the support level; and take the kids to the pool. It’s still August, you know.
The Forex Market
Either way, it is evident that right now the market is not acting and reacting erratically, so it is an opportune time to chart, plan, and execute your Forex trades. It might not be the adrenaline rushing experience you look forward to in trading the markets, but there will be plenty of time for that later. In absence of any earth shattering news, this is actually a very good market to trade.
It will be interesting to see how the next support level holds up. If it can hold, it could mean that there will be a nice trend upwards that you’ll be able to ride and pyramid. However, if there isn’t enough faith in that line, it might just be time to get out your claws and turn into a bear. Because after that, the next Forex stop will be around 1.21.
The Forex Market
