We are trained as a T.A. trader. Day in day out, we look at price action and act according to what the price told us.
I have heard many times from traders telling me, they are holding lots of Stocks and therefore they cannot bring themselves to short the Indices. Living in denial!!! They just need to act according to what the charts produced.
Most of my snipers know that my girl is going to UK this year, and I will need GBP to drop as much as possible so that I can benefit from it. But, if this thinking were to affect my trading, do you think I can go into a long position when my chart tell me so? If I cannot bring myself to act according to what the market showed, I will "lose" even more right?
Let me show you one "hot from the oven" chart. The 423 Effect is the most powerful indicator that we have to capitalize. When price come to this level on 20th Jul 2018 with buy signal, and knowing this is a full size trade zone, immediate action is needed! With our usual example using 25 lots as full size (for GBP, we have to double as it is only $6.25 per tic), our target to exit is 1.3223.
191 tics profit x 50 lots = $59,687.50 in 3 trading days.
By learning to trade what we see, and not what we think, we can make sure that we are operating on logic and objectivity instead of emotion.