Not much trades for me this week and for good reason. I got a bit caught up with my workload for the past few days and I had to remind myself not to force any trades. After all, I learned the hard way that I don't usually come up with the best trade ideas nor do I get to manage my trades properly when my attention is focused elsewhere. Still, I'm proud of myself for having the discipline to sit on the sidelines for a while even though I was really tempted to trade.
I did take one longer-term setup for the week though (and maybe until the next week, unless I get stopped out) and it's going pretty well. It was that short opportunity on NZD/USD (trend line, Fib, divergence, doji on the daily) that I had been waiting to take since the other week. At that time though, there weren't any market catalysts that could trigger a drop so I decided to stay patient.
Towards the second half of the week, my entries got triggered and I was able to add a couple more positions as price went my way. I risked little on this trade though, but I hope I'm able to catch the entire move until the gap closes. If I do get stopped out before the weekend, I will probably enter again on Monday next week.
Of course I did learn some new things this week, though not from my trading activity. I attended a seminar on charting earlier this week and I enjoyed hearing from more experienced veteran traders. One of them kept emphasizing that oscillators are the worst indicators in trending markets since they should only be applied in ranging ones. Although I'm still not completely sold on his idea, it's something I'd like to keep in mind and maybe test for myself later on.
Another speaker focused on the benefit of creating custom studies so one can come up with an indicator that the "crowd" doesn't know about and outsmart everyone else in the market. At first this sounded off to me since I have always thought that the more common indicators are the ones that tend to be self-fulfilling. However, the speaker pointed out that if everyone is looking at the same thing and is looking to buy, who would be left to take the opposite side and sell? And if no one is there to sell, then the market wouldn't move at all. I must say, he did make sense!
Although I took their insights with a grain of salt because I want to see for myself, I have to admit that it was somewhat refershing to hear new perspectives from time to time. In my past few years of trading, I have always looked at markets the same way, digested new pieces of information the same way, and took the usual kinds of setups. It's really nice to be reminded that there's still plenty of learning out there and that I should never be complacent with what I already know.
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