Ahead of 10am fixing
and post-crappy retail sales incomings
–
DLRx is heading head first into the toilet
Euro at 1.0739 still searching for some phillip (to pop over 1.0750)
Deluge of FED yikkers yet to come:
10am barkin (on economy, on the FED)
11:40 collins
13:00 yellen peddles off 13 billion in 20yr paper
13:00 logan
13:00 kugler on economy & on mon policy
13:20 newbie musalen on economy & mon policy
14:00 goolsbee
Collectively in a sum-total players will be needing to come away with the impression that the yikkers tried to sound hawkish otherwise DLR will plunge
A look at the day ahead in U.S. and global markets from Mike Dolan
Tech-led Wall Street stocks have sailed to new records again this week, with Tuesday expected to see retail sales return to growth and as nervy European markets calmed for a second day.
EURUSD 4 HOUR CHARTT – PAUSED BELOW 1.0745
The two red lines drawn off the low is an Amazing Trader Directional Indicator pattern that has signaled a potential change in direcdtion.
You can see how that worked out. coming close but pausing below the key 1.0745 blue resistancde line.
So, all we have now is consolidation with key levels highlighted on this chart.
I posted this yesterday…
In a politically driven market (French electio) a key is to identify when the market is trading on this upcoming event and when it is in the background.
This chart is clear —
Key levels are at the 1.0667 low (major levels 1.0649 and 1.0600) and 1.0745 (suggests limited upside unless 1.0750 trades, stronger bias if it stays below 1.0719
USDJPY 4 HOUR CHART – WHERE IS THE BOJ?
USDJPY so fsr came within 2 pips of its 158.25 high. If broken, there is a void on charts until the 160.16 high. This should put traders on intervention alert but with bids likely lying in wait at lower levels
As I noted yesterday around this time’
If it wasn’t for the BoJ threat one could make a case for a run at 160.
But the threat is there above 158 so expecy caution if approached but support as long as it stays aboive 157, stronger if 157,50 becomes support
This suggests support as long as it trades above 157.50=00
Where is demand coming from?
I am not privy to the flows but firmer stocks and a firmer USDJPY suggest carry trades may be a source of JPY selling.
Filip De Mott
for Markets Insider.
Trump’s idea to replace the US income tax with tariffs notched criticism from two Treasury secretaries.
“This is a prescription for the mother of all stagflations,” Larry Summers told Bloomberg TV.
Secretary Janet Yellen said that it would make life unaffordable for Americans.
Nasdaq Composite: Flying on fumes?
The Nasdaq composite IXIC has now seen five-straight record closing highs which is its longest such streak since an eight-day run of record closing highs from October 28 to November 8, 2021.
In any event, traders are on the edge, as despite the run of record highs, one has to ask himself : is this going to last ???
OnlineBroker.Fr is the best resource for French language information on the best online trading platforms and crypto exchanges in France.
You may find this useful
What is Risk Management in Trading – Forex Forum
For any trader, managing risk is essential to success. But what exactly is risk management? In this blog post, we’ll explore what risk management is and how it can help you become a successful trader.
We’ll also look at some common mistakes that traders make when it comes to managing their risks. After all, if you’re not managing risk appropriately, you’re just a gambler. So if you’re ready to learn more about risk management, read on!
What is Risk Management in Trading?
Risk management is the process of assessing, controlling, and managing risk within a trading portfolio. This involves defining trading goals and understanding potential losses that could occur as part of the trading process.
It also includes identifying potential risks, such as market volatility or sudden changes in the market, understanding how these risks can affect your profits, and taking steps to limit potential losses.
In general, risk management should be a priority for all traders. By properly managing your risks and using effective strategies, you can minimize potential losses and increase the chances of making successful trades.
Common Mistakes When Managing Risk in Trading
Unfortunately, many traders make mistakes when it comes to managing their risks. Here are some of the most common mistakes that traders make when it comes to risk management:
Not Setting a Trading Plan:
Many traders don’t have a detailed trading plan, which is a key component of risk management. Without a trading plan, traders are more likely to take risks that could have otherwise been avoided. It’s important to establish clear trading goals and a plan for how to reach those goals.
Not Understanding Risk:
Many traders fail to understand the risks associated with certain trades, which can lead to serious losses if they don’t take the time to research and understand the risks involved. It’s important to have a thorough understanding of the markets you’re trading in before taking any risks.
Not Taking Advantage of Stop Losses:
Stop losses are an essential component of risk management, as they help to limit potential losses in the event of a market downturn or sudden changes in the market. However, many traders don’t take advantage of stop losses and end up taking larger risks than necessary.
Over-Trading:
Over-trading is a common mistake made by many traders. This involves taking too many trades, which can lead to losses if the market turns against you. Look, all traders love the price action. It’s exciting to take a position and watch your P/L go up and down. But don’t become addicted to the price action for the sake of just having a position. It’s important to only take trades when the setup is right and avoid over trading.
Not Diversifying Risk:
Diversification is another important part of risk management. By diversifying your trades, you can spread out risk and limit potential losses if the market turns against you.
Why is Risk Management Important in Trading?
Risk management is a critical factor in success when trading in the markets. It involves understanding and controlling what could potentially impact your trades and actively analyzing scenarios that may occur.
Without proper risk management, traders are leaving themselves vulnerable to potential losses which could be catastrophic for their investments.
Good risk management also allows traders to effectively assess opportunities and make better decisions that take into account volatility or leading indicators of future market performance.
Simply put, risk management can provide peace of mind so traders can enjoy the highs of profitable investments while minimizing losses when markets start to dip.
What are Some Common Risk Management Strategies?
Common risk management strategies used by traders include setting stop-loss orders, limiting capital exposure, and diversifying investments to minimize volatility.
Another essential approach for traders is to set predetermined targets for both profits and losses to help stabilize your exposure. To further limit potential losses and maximize gains, traders should always be aware of economic news and other world events that might affect the market.
How to Implement Risk Management in your Trading Plan
Implementing effective risk management into your trading plan is incredibly important for successful and profitable trading. It can help you to control the amount of draws you take in any given trade, and it can also protect against large losses which could potentially wipe out your entire trading account.
A good risk management plan should include determining the amount of capital at risk on each trade, setting predetermined stop-losses to limit downside exposure, and having a strict, disciplined approach towards minimizing losses:
never increasing position size
never risking more than you are comfortable with, and always controlling potential risk-reward ratios.
Taking the time to set up a comprehensive yet flexible risk management plan will put you in a better position when it comes to positive returns in the long run.
Risk management is an important part of trading. It allows you to trade with less stress and more confidence. There are many different risk management strategies, so it is important to find one that fits your trading style.
Proper risk management can help you make money in the long run by preserving your capital and preventing you from making careless mistakes.
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