No Bullshit Forex Blog, A Part of No Bullshit Network

Here’s a little quick overview of what I usually do for my daily forex analysis exercise since there won’t be any signals out for today.

1. Check On Any News Release

I’ll hop onto Forexfactory to look at any economic news release on today’s calendar. Make sure that you have the timezone set accordingly to the one you are using.

These are the news that will be released tomorrow since there are no important news that will be released to today.

Any Red indicators are news worth looking at for any running market action. As you can see, USD Core PCI, USD Chicago PMI and CAD GDP will be released tomorrow. If you are a technical trader, try not to trade during any economic news release.

A fundamental trader that trades the news will take the advantage of the release to bag some pips (or alot depending on the volatility of the news. A big mover would be Non-farm Payroll). Those that are worth lesser to look at since you cannot forecast on the market directions are speeches by key persons like Bernanke.

2. Read RSS Feeds from DailyFX and emails from Forex mailing lists

After checking the daily releases on times to avoid trading for the day, I’ll be reading off RSS feeds from Daily FX and some of the forex mailing lists that I have subscribed to. We’ll touch on some of that list that might be worth your time in the next few blog entries.

The reason for the reads is to allow yourself to be updated on the market conditions and views from all different people before studying the charts on your own on the next step.

3. Studying Your Charts

Open up your favorite pairs or potential pairs you think you’ll be looking at closely for the day. Over the weekend, I will be using Daily and Weekly to look at the trend whilst during trading days, the charts I open are usually 30 mins, 1 hour and 4 hours. 30 minutes to look for signals, 1 hour and 4 hours for the entry.

Individual may vary since everyone can have different trading style. Whichever that works for you.

4. Place The Trades Carefully and Watch Over Them Like a Hawk

Once any trades are planned and executed, proper watch has to be maintained (Still it depends on what kind of trader and what sort of system you are using) in case of any spikes (which aren’t likely to happen if there are no major news indicators.. but it does awkwardly from time to time when institutional traders steps in). Stop Loss/ Trailing stops must be placed at all times.

Again, different traders might have different style. Some traders rely a lot on the Take Profit function of their brokerage trading platform as well.

5. Either Bag Your PIPS Or Cut Loss As Soon As You Feel Something is Really Wrong

Point is, if price action is going against your way and you feel that you should not have open it in the first place, chances are you have opened the position too soon without any confirmation from your own personal trading methodology (or either that, your trading method might be flaw in a way or two, practice makes perfect).

6. Reflect on Actions at the End of the Day

It’s a learning experience at the end of everyday. If there are mistakes made during the duration, I will be identifying the problem and try to make sure the same problem will never happen again (It still happens from time to time). That’s how it works for me.

What’s your routine like?

Popularity: 8% [?]

Share This