As I Get Better

Wednesday, December 31, 2008

I probably shouldn't be trading during this period. I know there is thin volume, that moves may not reflect wider market sentiment, and whatever else I should know. However, I simply like to trade. Besides, now that I'm getting better, it's a hobby that can generate an income.One thing I've noticed though is that I'm still too impatient. Basically, my worst batting average will coincide with

Extraction Strategies

Monday, December 29, 2008

Extraction strategies? What the heck is that?Underwater PsychologyIf you are like anyone else you've found yourself in a trade that is going against you from time to time. You start to imagine reasons why the price could continue to move against you.For example, this morning I was underwater in a position due to the spike in AUDJPY. The price of oil was rising due to the conflict in Gaza,

Christmas Week Trading Results

Saturday, December 27, 2008

Between the thin trading volume and the holidays there wasn't a lot of opportunity in the Forex markets this week.In any case, I did manage to eek out a 7.5% gain in net asset value.This has me thinking. If I was to build up an account balance of approximately $20,000 and maintain gains of 5% or more per week then I'd probably be able to think about quitting my day job.This task seems

Thin Trading Resistance Test

Friday, December 26, 2008

I'm not sure how significant technical events will be with thin holiday trading. However, the AUDJPY tested the long term resistance mentioned in my previous post.As I write, this pair has been slipping down after what appeared to be a sustained break for several hours (at least according to my chart... over such a large period of time small inaccuracies could lead to misinterpretation).Which

Post Holiday AUDJPY Strategy

Wednesday, December 24, 2008

Though trading is probably going to be thin until we get into January I think it's a good time to consider trading strategy.In the short term I expect the following:A test of the long term resistance line showing up on the daily charts from around October 14th until now. This could take place around 62.10 to 62.20 depending on how long it is before the test happens.I'm not sure it will happen,

3:00am AUDJPY Upswing

Once again, upon waking in the very early hours, I was able to catch an upward movement in the AUDJPY.Though the price did come back again around 5:00am and 6:00am, I certainly wouldn't have been awake to catch those moves.So, strange as it is, I unloaded my positions to the tune of a 1% gain in NAV (Net Asset Value) and went back to sleep all squared away.Happy trading! Zzzzz.


Having trouble log in into blogger account lately. Forex is not going anyway at the moment. Up and down it is still at the same level.

Currently I am watching for a certain level in GbpUsd. 1.4650 is the level I am waiting for. Believe it or not, I have not traded this week. Today GU nearly hit my stop order. I am still waiting

A Pop And A Drop

In my last post, where I gave an audible AUDJPY signal, I suggested that we were coming up to a decision point for the AUDJPY.My take was that we'd see a drop.It took some patience, but after carefully accumulating a few positions on the way up I was rewarded with a nice quick profitable drop. While I would have done better playing for the pop and keeping an eye out for signs of a drop, I really


Okay, this isn't really a signal, but what the heck. It looks like the AUDJPY is positioned to head downwards on the 3hr, 1hr, 15min and 5min charts.Yes, yes, I know. It doesn't actually mean it's going to do that. However, this does mean it's a good time to do your own technical analysis and see whether you see a reversal or a breakout.Either will do.

Adjusting My Risk

Tuesday, December 23, 2008

Though I'm very happy to report great earnings progress it also makes me nervous. Not only are my these recent gains a hard act to follow but now I need to adjust the size of my trades.Enter the arena of trading psychology.Trading larger amounts let's you see losses and gains adding up faster. It's harder to resist the emotional forces generated.So far this week I've been a bit hesitant and

Recent Trading Results

Saturday, December 20, 2008

First, some recent results:Week ending 28-Nov: +23% NAVWeek ending 05-Dec: +08% NAVWeek ending 12-Dec: +10% NAVWeek ending 19-Dec: +45% NAVThis is silly! I'm going to outline some of the events that transpired to help this happen.During the week ending 05-Dec I acquired some AUDJPY positions in the 58.xx price range. I had a nice trend line indicating that this was likely to be a support point

Yen Cross Spike

Thursday, December 18, 2008

Guess who was lucky enough to wake up at 4:00am this morning?At around 4:20 there was a massive spike in my AUD/JPY holdings. I'd accumulated some positions on the way up from 58.xx and unloaded them as it made a 63.xx rocket launch. Checking out my news sources it seems that various stops were triggered. Given that market conditions were thin the price went nuts.Anyway, though my open trades

Where To Go From Here

While I'm getting fairly comfortable with my ability to trade I'm not sure what to do with my blog.To make my blog really useful to others I'd have to spend a fair amount of time on it. Perhaps post charts and so forth with explanatory text. Heck, I have trouble finding time to blog at all given the duties of my full time job, some hobbies, family responsibilities and finally watching the


Monday, December 15, 2008

I was doing some graphic editing these days. Just as a hobby. It seems that everytime I try to render in Photoshop, my pc will shutdown. It just switch off the power and everything is blank.

So I decided to investigate on the cause of the shutdown. After monitoring the temperature while doing some Photoshop rendering. My CPU temperature climbed up to 94C and my north bridge chipset is at 124C and the system will shutdown.

Imagine the component of your PC is reaching 124C. That is higher than point of boiling for water. It is scary sometimes thinking that the pc is under my table, just beside my leg and it is burning hot. Hopefully nothing will ever explode and take my leg with it. Im typing this with one leg on the chair just in case.

If you are using a pc, there is nothing to worry about. Under normal usage, the cpu is always below 40C. Mine is sleeping at 33C now. Its just that when you do some heavy calculation stuff that everything turns up red hot. So you can just surf the net, play some 3d games, watch dvd etc. Those normal usage do not require heavy calculation and your PC is half awake. Btw, 3d games is not a heavy usage. My pc can run Quake Wars with everything turned to max for hours. No problem there.

I will not use photoshop again on this pc. This is my power pc and it is running hot. I am using my 2nd pc to render all my photoshop graphic. Its been an hour and my 2nd pc still not finish rendering a 14Mega Pixel picture. This pc however can do it in 10 minutes. Talk about difference in power.

Next I am going to buy an Apple Mac for all my rendering needs. So my house will be full of computers. Btw I have 3 desktop and a laptop now working in the house. So if I add another Mac, I can turn my house into a cyber cafe.

As for Forex, its going up but at the moment the direction is down. So be on the look out for a sell but keep in mind, the long term trade is a buy. Forex is not a straight road and I feel like Yoda speaking right now. How can I say sell but at the time look for buy. You know it when its there. I assure you.


Friday, December 12, 2008

The Market is now moving with unexpected turns. These are hard times. News traders have long gone. These kind of market isnt moving with the news. The only ones left are fundamental long term traders and technical traders. These are the traders who will survive in these kind of situation.

I have heard of quiet a numbers of blown accounts now. For these people dont feel bad. The world is not againts you. Just have to wait for a better time to enter the market.

I for myself have taken the long term trades only. Short term trades is out of the question now. Those sharp and sudden turns will kill any short term traders. It took me a while to realize, fortunately my loss is small and I manage to change tactics in a short period of time. At the moment I only take long position because that is what the daily chart is saying. All managed accounts is currently on hold. No more live trades for managed accounts. The risk is not very healthy right now.

These are hard times. The market is ever changing but at the moment the changes is greater than before. You need to be on your feet and react accordingly to changes of the market. Survive this and you will survive a long time in the market.

Catching A Bottom?

Monday, December 8, 2008

I don't know if it will really be the bottom, but I've managed to sink a decent amount of long AUDJPY around the 58.00 mark. There was a long term trend support line right around that point and I went with it.There are two separate positions at that point. Both of them have a protective stop loss slightly above their purchase price.Thought I've been having fun picking off a few pips here and

Ranging Market

In long term, this is a ranging market. You can see it from 4H. In medium term, this is a turning market. It is in a process of going for a long trade. That is the direction but I do not know if the trend will hold the direction.

Last week I manage to profit but only by a little. I lost a lot on Friday but manage to cover the losses and gain a little profit in the last minute. Have to stay up till 4am just to cover the losses.

Its a hard life becoming a trader. Is this the life you wanted? Sometimes I wonder that myself.

Trading Results: AUDJPY

Saturday, December 6, 2008

For the week ending Fri 05-Dec-2008 I managed scrape out an 8% increase in net asset value.This week was more challenging, for me, than last week. I seem biased to seek opportunities with gains on the up side. So, on a week with sideways trading and periods of downward drift things slowed down.However, as always, watching my own trades brings insights that might be useful to other traders.For


Thursday, December 4, 2008

Its ranging period again and its driving me nuts. My SL for EU got hit after 3 days. Got a few chance of closing it in profit but I refuse. Talk about being greedy now I am down by 50 pips.

This time around, big move belongs to GBP pairs. Steady move belongs to AUD pairs. Take your pick. You want big and risky, or small but safer. Safe here refer to your insurance in forex called Stop Loss.

At the moment GBP pairs has hit a brick wall on its way up. Most probably it wont break it or drop down again. Either way, a drop down again is unavoidable. That is where i plan to take my entry. Long position is looking good now but only after one more correction.


Wednesday, December 3, 2008

At the time of writing EU is in a unique condition. 30M = 4H = D1. They are all pointing up but a bit heavy on the downside. This type of condition is very dangerous. It is all based on market sentiment.

At the moment the market is still trying to push EU down but EU has aligned itself for a shoot up. Just be carefull where you are standing when the big dogs enter the arena.


Tuesday, December 2, 2008

Sorry for the long period of no update on this blog. It seems that internet connection is really bad. At the office I am using Streamyx. Connection is crappy as usual. At home I am using Celcom 3G. Its better but its slow. Maybe my home is not well covered by the 3G network.

As for forex, EurUsd, GbpUsd, AudUsd, EurJpy and GbpJpy is heading up now but not to worry, there is still time. On the long term only EurUsd looks good for a long trade. I am currently holding long EurUsd @ 1.2640 with a stop loss of 50 pip. This is a long term trade, hopefully the move upwards will take a long time and lots of pips on the way.

As for the other pairs, it is heading up but its not an uptrend yet. They will be entering the ranging period now. So there will be plenty of chances for entry. If all these pairs maintained their direction we will see a change in trend in the longer term trades.

I will list key levels for guidelines. These key levels are good for both sell and buy position. Treat them as guidelines for entry in either direction.

EurUsd : 1.2670
GbpUsd : 1.5050
AudUsd : 1.6450
EurJpy : 119.20
GbpJpy : 141.50

These key levels are always changing. Since most of these pairs are entering the ranging zone so you can use these key level for this whole week. As for me I will be looking for a long trade from these levels that is if the current direction stays.

Good things are simple things. If you have a system, make sure it is simple. With simple indication you can make clear decision.

AUD/JPY Trading Week

Monday, December 1, 2008

Well, the last couple days weren't as good as the first portion of the week, but they were still positive. I'm not complaining!Thursday and Friday were positive by 0.4% and 1.1% respectively. So, for the week, that gave me a NAV gain of 23.2% in total.If you've been following along you know that I only have a tiny total account size. However, the current plan, now that I seem to be able to

AUD/JPY Trading Review

Thursday, November 27, 2008

Guess what. Some of the books that I bought have had an impact on my trading. I know, I hear the phrase "No shit, Sherlock" echoing out there. However, so many of the Internet generation want everything to be fast, easy and online that I just have to stress the value of more formal information.I bet you'd also be surprised to hear how many traders are starting out in their teenage years. It's


Wednesday, November 26, 2008

At the moment, majoriti of pairs are struggling to break the trend. From my analysis, only EurJpy and AudJpy have broken the trend. The rest will be in ranging mode until the trend is broken.

AudJpy @ 61.70
EurJpy @ 123.80

Those are entry point for short. Those are guideline only. You should be looking for better entry unless you have the guts for -ve pips

The rest of the pairs are ranging at the moment until the trendline broken. Do enter at will but no long term trade. Scalping mode from now on until a new trend is born.

Good luck


Sometimes it happen but this is one rare ocassion and I am really stunned. I was holding a long position on GJ. I am in profit of about 100 pip with a stop loss of 50 pip from my entry point. Guess what. The market turned down 150 pip in one move, hit my stop loss and now its flying.

This has nothing to do with the broker, it is just the market is cruel. No matter who, you will get hit sooner or later. In order to hit me, the market has to move 150 pip againts the trend. What an honour I must say. 150 pip is much more than most people TP.

Enough said, all pairs should have a steady climb from now on. If you are holding long at the moment, make it long term.


Sunday, November 23, 2008

Spent sometime at the beach yesterday. Taking a few pictures here and there. I have cropped the pictures into a widescreen wallpaper. Maybe some of you may like it. Its not a professional job but for me its ok.


Friday, November 21, 2008

Its Friday and time to get lost. If any of you still holding long position from this morning, its time to close it and get lost. Go get yourself lost in a pub, disco or something.

Im going off now. See you next week.

Btw, 500 pip move by GJ is unbelieveable but its Friday, anything goes on friday


I am thinking of uploading my system to the internet so that it will be available for everyone. It will only be the basic system. The rest you have to figure out yourself.

Can anyone tell me where is the best place to upload and share files. I intend to upload a MT4 template and a text document explaining how it works.

Suggestion anyone??


As I said before, Friday is not a good day to trade but what if you have a signal to reverse everthing on Friday morning. Will you take it?

AUDUSD did drop down an enormous amount. I hope some of you profit from it as I posted earlier asking you to find a place to short as good as humanly possible. Now its changing direction. Unfortunately it happen on friday morning. As we all know, Friday is for those short term trader to take their profit. Money will flow out of the market leaving it with a very low trading volume. Anything can happen on Friday.

Trade on your own risk

Forex For The Small Speculator

Wednesday, November 19, 2008

Today was a banner day for me... trading the AUD/JPY with a return of more than 10% NAV. The market simply walked up and down my trend lines bringing me profits with every pass. How come this doesn't happen more often?Anyway, as a small time speculator I thought I'd outline some issues that we face compared to some of the larger traders:We trade in very small lot sizesTo make any meaningful

Getting A Forex Education - Forex Books

Sunday, November 16, 2008

How many of us in the Forex market simply jumped in the market and started trading? I know that was my path. I tossed a few dollars in an account and figured losing it would be a paid lesson in how the markets work.I can't say that this hasn't been a valuable path. I've learned some good lessons along the way:it's important to let go of losses early so you have enough capital to sink your


Saturday, November 15, 2008

Personally after almost 3 years of trading, I found that friday is not a good day to trade. This is true especially at night. So adviceable not to trade late during NY time.

Yesterday was a mixed bag. I hope some of you have closed the post when in profit as the market swings in both direction.


Friday, November 14, 2008

One of my students followed my trade. That is his post. For a gain of 155 pip live trading. Who can complaint


Last nite jump was expected but GBPUSD never made it big. Only EURUSD and AUDUSD manage to jump big enough. EURUSD was screaming long from early morning yesterday while AUDUSD make the last minute move.

From a long term perspective. AUDUSD is in a good position for a short position. This is a long term strategy and may require you to have high tolerence toward -ve pips.

So the signal is to short AUDUSD and AUDJPY at the best position as humanly possible. This trade may run up to weeks if not months. So prepare your account for long term holding of post.

Good luck


Thursday, November 13, 2008

Looking at the charts this morning, I have a very strong feeling that GBPUSD will make a reverse soon. The move will be significant enough for a reverse trade. I have closed all my short post last night. Dont get me wrong, all these pairs are still on a downtrend but the correction is going to be huge.

Only time will tell. Good luck


Wednesday, November 12, 2008

I test Zulutrade as a signal provider. So far so good but I must say 1 thing. FXCM is no good. Spread is extra wide. Carry trade pays so little but get charged so much. Its a losing situation.


Tuesday, November 11, 2008

Busy with a new toy. Sony a350. 14.2 Megapixel Digital SLR. Much better than my old Konica Minolta 7MP. Btw all short post is closed now. Market is going to be crazy for a while.


Monday, November 10, 2008

My position late friday ended up in break even. It seems the market has turned over the weekend. This is a rare situation but sometimes it happens. In forex everything is possible.

Monday morning. The currency that is most volatile is GBP, EUR and CAD. I will not talk on CAD since I dont trade it. For GBP and EUR, it has grown in strength. Market has turned and the trade is now to long GBP and EUR pairs.

I would be looking for opportunity to long GBPJPY and EURJPY. These are the pairs that shown significant trend turn that long position from now on will have a higher chance of profit.

At the moment all GBP and EUR pairs are making a correction. If support level holds, take your long entry on next low.

Good luck


Sunday, November 9, 2008

This is one thing that I hate most. A lot of people asking for my trading system. I know what they are going to do with it. They will take the hard work of many years, code it into an expert advisor and let it run on automatic trade.

For those of you who already has a succesfull system, you may share similliar view. Unfortunately for those who are still looking for a profitable way to trade, this is one of their easiest option. I dont blame them, creating a profitable system is not an easy task. It takes years to develop and test a system with no guarantee of success.

For those of you still looking for a way to be profitable in forex, there are system available on the internet. One of them is Zulutrade. Zulutrade is a place where signal providers (like me) test out their trade system with thousands of traders. It like a competition for traders. Good news is people can open an account and pick which signal providers they want to auto trade their account. Best thing is, its free. Yes, its free. You dont have to pay 30% of your profit to your account manager.

I personally never have used their system but am trying to register as a signal provider. Those of you can try it out if you want. All you have to do is open an account with them. Fund the account and pick which signal providers you want. Dont take my word for it. You have to go to Zulutrade and investigate yourself. Remember its your money.


Saturday, November 8, 2008

When I started to venture into the world of forex, there are a few local traders that I knew. They are either seasoned or newbie like me back then but now it seems that most of them are gone. They are no longer in the land of forex and they are doing something else.

It seems the saying is true. Most people will not survive the 1st 6 months in forex. Those who survive the 1st 6 months will have a tough 2 years. Some people lasted longer but they no longer trade. They have become and IB living on commission. One person whom I know doing that is henrycarol. Before he was an IB for Northfinance, now he is an IB for a different broker. Personally I do not think he trade anymore. This is because the commission is too small compared to profit in forex. If you cannot profit, then your option is taking commission on volume traded by others.

I am heading to my 3rd year in forex. I survived this long by controlling my loss. You cannot win all the time in forex but make sure when you lose, you loss is small. When you win, make sure its big. There will come a time when you have series of losses but those losses can easily be recovered with one big win.

At the moment I am managing an account. Its a loss account where the owner already given up hope. It has a very small margin. Apart from that there are 3 more offers. All of it with the amount of over RM20,000.00. All these offers came from people who have actually watch me trade. I now know that account statement means very little. People wants to see how you trade and they want to see you are winning in front of them.

At the moment my trade system have reached it 3rd revision. I have 2 students at the moment but unfortunately for newbie, the amount of information they have to digest is too much. They easily get lost in it. The hardest part is not the amount of information but following orders. Any system in the world will have specific instruction. It seems that humans are very bad at following instructions. It is in our nature. No matter how simple my system is, there will always be times when people do not follow the rules and human like to blame others on their mistakes.

Enough of that. My last signal actually survive the spike of the rate cut. If anyone following that, you will be in profit or break even. The rest of the pair didnt survive the spike.

At the moment I am holding 2 post that is:
1. Short EURUSD @ 1.2830
2. Short AUDUSD @ 0.6670

One of my students followed me during the trade late friday. Hopefully we will see a trend continuation and the above trade will generate hundreds of pip if not thousand next week. Good luck to all of you. Keep on learning and someday you will be there.

October Nonfarm Payroll (Consensus Estimate: -200,000 to -250,000 Jobs)

Friday, November 7, 2008

The September jobs report was rather gloomy as U.S. employers cut payrolls at the steepest rate in five-and-a-half years. An unexpectedly high 159,000 jobs were slashed as employment thinned for a ninth straight month, strongly suggesting the economy may be in recession.

The unemployment rate was unchanged from August at 6.1 percent—the highest rate since the colossal 212,000 job decline in March 2003—as 121,000 people left the workforce.

Job cuts were across the board in September following revised losses of 73,000 jobs in August and 67,000 in July, showing an acceleration of decline in employment. Nearly 51,000 manufacturing jobs were lost last month on top of 56,000 cut in August, bringing the total number of consecutive months in which manufacturers slashed their payrolls to 27.

For week ending November 1, the Labor Department reported that the advance figure for seasonally adjusted initial claims was 481,000, a decrease of 4,000 from the previous week's revised figure of 485,000. They also reported a four-week moving average of 477,000, unchanged from the previous week's revised average of 477,000.

Despite September's dismal numbers, total job losses remain historically low based on revisions to July and August data. The economy has lost nearly 750,000 jobs since employment peaked in December 2007, which is when many economists say a recession began. By contrast, however, payrolls fell an astounding 1.63 million during the period between March and November 2001 in the recession of that year, and continued falling for almost a full two more years, bringing the total amount of jobs lost to 2.7 million.

Given that the labor market typically lags the broader economic cycle, however, there is little doubt that the worse is yet to come as the economy's cyclical downturn continues.

Now that the presidential election is over, focus is sure to shift back to economic matters. All eyes will be on this week's NFP which—if consensus numbers are accurate—will almost certainly hasten the decline of U.S. equities and give a strong boost to U.S. treasuries, boding well for the greenback.

What is the NFP report?

Of all the world monthly economic reports, the monthly U.S. Non Farm Report (NFP) is the most highly anticipated and has the most dramatic impact on the currency market.

The report, which is released on the first Friday of each month and states the previous month's numbers, provides detailed industry data on employment, hours and earnings of workers on nonfarm payrolls. These numbers are the best way to gauge the current state of the US market as well as the direction that the economy is heading.

What's more, the employment numbers provided by the report are used by the Fed to shape their interest rate policies. The health of the U.S. economy and interest rates translate to the strength or weakness of the U.S. dollar.

Risk with News Trading

As with all major economic releases, there could be significant price volatility with this announcement. Currency spreads will typically widen just before the release and will remain wide for a few minutes after. If the announcement is a shock to the consensus estimate, the price of the currency pair could gap significantly. For example, the price on the EURUSD trading at 1.2820 - 1.2822 just before release could gap up 60 pips to 1.2880 - 1.2882, without any available prices available between the price of 1.2820 and 1.2882. A Buy Stop placed before the announcement at 1.2830 would turn into a Market Order and would be filled at the prevailing price 1.2882. The same would be true with a Sell Stop.

Approximately four years ago we saw a gap of approximately 200 pips on the GBPUSD on a Non-Farm Payroll announcement. While this is an extreme example, it nevertheless is a possibility with trading during economic announcements. Consequently, plan on the spreads widening and, if you are trading with a Buy or a Sell Stop entry order, do not anticipate being filled at your entry price. You will be filled at the prevailing market price after the release, which could be significantly different from your desired price of your entry order.

Please be advised that due to the volatility of price fluctuations during the news, it is possible to see a delay in execution due to the additional verification necessary for each trade.

Article from IBFX. It seems news trading is not a good option if you do not know the news before it breaks out


Thursday, November 6, 2008

Signal 1
Long AUDUSD @ 0.6720 or better
SL 0.6680
TP on your own

Signal 2
Long GBPJPY @ 154.80 or better
SL 154.10
TP on your own


Wednesday, November 5, 2008

This morning after looking at a bunch of chart, I have selected GBPUSD as trade of the day. GBP is weaker compare to other currencies. It would be much better to short it. At the moment hovering around 1.5960 and waiting for a confirmation to trade. Watch out for it.


Tuesday, November 4, 2008

It seems that the rabbit hole is far indeed. It has moved too far that the trend has turned but now its time for a reverse trade. I am not going to give you a signal but fyi, GU, GJ and GCHF is going long now.

Volume has been very low for the whole day. A long signal presented itself but with no volume to support it, its not turning. With such a low volume, pairs just slide with the trend. No trade for me anymore. I have ate my stop loss today.


Monday, November 3, 2008

As usual its Monday morning, but unlike before this morning its a fast mover. As usual forex class started at 9am. Who entered the morning class should be in profit by now. I personally got 100 pips off EJ. Now I am not trading anymore. Monday morning got a lot of work to be done. See you again at 3pm.


As promised earlier. I am trading again at 3pm. This time the signal is not as favourable as in the morning. We have here is a short signal in an uptrend formation. Still it is tradeable but the level of risk is higher.

In the chart there are 2 symbol of hands pointing up and down.
Hand pointing up:
1. Time: 9am Malaysian time
2. Signal: MA cross and RSI>50
3. Trend: Uptrend formation. This is easy picking. I entered 5 minutes earlier and exit 100 pip later. I could have followed the trend but due to office work on monday morning I cannot monitor it. An early exit of 100 pip on Monday morning is not a bad trade.

Hand pointing down:
1. Time: 3pm Malaysian Time
2. Signal: MA cross and RSI=50
3. Trend: Uptrend formation. This is a hard trade. Short signal on an uptrend formation. This trade most probably be a short one. At the time of writing, SL has been moved +10 pips. So I am at a profitable position now. Let see how far the rabbit hole goes.


Wednesday, October 29, 2008

Yesterday was a good day. Seriously 700++ pips from GJ alone. Total of over 1500 pips in the bag.

Its a new day and a new direction has present itself. At moment there is nothing that I can do except to follow the direction. At the moment holding short on GJ, GU and EU. This is a short position that I have to monitor. This is because at the moment, all these pairs are in an uptrend formation.

Satu pesanan kepada murid-murid forex. Ingat waktu masuk kelas forex adalah jam 9 pagi. Apa saja yang dihidangkan pada jam 9 pagi setiap hari perlulah diterima dengan hati terbuka. Jgn sekali kali melawan market. Ini kerana market adalah berkuasa penuh dalam dunia forex. Ingat ye, mulai hari ini, perhatikan jam. Masuk jam 9 pagi, apa saja signal yang ada itulah dia permainannya utk hari tersebut.

Happy trading everyone. I trade during the day, and party at night. Is it ladies night tonight?

Update: 11:50 am
Closed all short position. Looks like its going nowhere. Now waiting for a new direction. Looks like there will be a new direction around 12 noon. Next direction is schedule at 3pm. If the direction of 3pm is a no show then the 12 noon signal will remain till tomorrow. At least that is how I understand it.

Ingat jgn trade membabi buta. Babi buta takkan boleh hidup lama. Jadi gunakan akal dan indicator yang ada dan tidak dilupakan volume dan masa. Jam 9pagi, 12tengahari dan 3petang. Renung renungkan


Tuesday, October 28, 2008

It seems that all pairs are changing direction. I personally dont know if this is a correction or the actual turn. Only time will tell but in the mean time, I am riding it. Long EU and AU at the moment and intending to hold it as far as the trend allows it. Happy trading everyone

Overnight Rally

I like to imagine I am in tune with the markets. My trading record may not agree with this minor flight of fancy, but nonetheless, it's much more rewarding to have a feeling of control.This morning, waking up much earlier than normal, I thought I'd take a look at the section of the Forex world that I follow... the AUDJPY.Aha, not only did we have a nice rally -- an echo of the DOW futures up by

Financial Aid Kicking In

Monday, October 27, 2008

As if things weren't confusing enough. Now we have various types of aid programs starting to impact the credit markets. No, the TARP program doesn't seem to be rolling just yet, but commercial paper facilities and other programs are now active.What does all this mean?To me, it means this. If the world collapses your money doesn't mean squat anyway. We'll all be living off of mushrooms grown


Saturday, October 25, 2008

Just thought I would share a picture of my chart. I have decided to share it since I have to use 3 different settings on 3 different brokers to get it just right. Chances are you will find it hard to get exactly what you see here and what you see here dont tell you the whole story.Its forex anyway. You dont have to get the chart right, just get your head right.

White arrows shows how the price interact with the levels that Ive drawn. Its like magic actually. The wonders of Fibonacci.

Btw, volumes are extremely low at the moment. Do not enter.


Friday, October 24, 2008

At the moment all major pairs are dropping like flies sprayed with Ridsets. Take your position anytime you want. Its a sure winner. No point talking about something like that. Even a noob is making profit now

What I am going to tell you today is what most new comers dont understand. Its about forex market. What type of people can survive in it.

If you were to become a trader, you must be free of all biased, thought, hope and the likes of it. You dont even have to think. Just see where the market is heading and follow it. Dont trade because you think a pair is going to move somewhere. If you think, you are hoping for it to move according to your desire. You are biased towards it. You are going to be punished by it.

Forex doesnt care what you think. It moves for certain reason and a combination of factors. If you dont know the factors or too lazy to do research, all you can do is follow.

One more thing, most people that I know who trades using technical analysis dont take into account the amount of money moving in and out of a currency. Forex is a money market. People are using money to get more or to lose more money. There is nothing inside the forex market other than money. My advise is pay attention on the volumes traded. It is a fact that at times the volume is too low and those times are not a good time to enter the market.

AUDJPY Revisiting Lows

We're down below 63.00 in the AUDJPY market (as I type -- it may bounce).This appears to be a test of the 5+ year low for this pair... google charts. Are we ready for a bounce and the much awaited eventual upward trend?Obviously, I have no idea. However, you can be sure I'm sitting here watching the price action as I type.Right now, we've bounced a bit and are setting up for a possible "tweezer

Betting Against The AUDJPY

Thursday, October 23, 2008

Well, with commodity prices spiraling down the toilet, it's a good time to be short of the AUDJPY.Look, put an SMA 20 on your AUDJPY chart. Load up the 1HR or 3HR chart. What direction is the simple moving average going?That's the trend.So, if the trend is your friend, what's the best direction to play?You guessed it in one... down!If you know how to draw a resistance line, or to put something

Trading The AUDJPY

Tuesday, October 21, 2008

Things are looking much more even-handed today than I've seen in a while.In fact, I was so impressed by the fact that the AUDJPY was following my charts again that I decided to do some trading today. While my account is very small, allowing me to be a bit risker with my trades, I did manage to scoop in about 3.5% of my account's NAV (Net Asset Value) by catching some nice movements.Why am I


Monday, October 20, 2008

Last week was a good trade. It turns out AUD to be the most volatile and combine that with JPY we have a huge mover. At the moment I am still holding my post of AUDJPY from last week.

Its monday again and like usual its going to start of slow. At the moment the strongest currency is AUD and the weakest is JPY. The signal is to long AUDJPY. Entry point is the hard part. You have to figure it out yourself. Advise is to enter on the next pullback.

As for my basic system, I have found the perfect addition to it. It is exactly what I have in mind with a beatiful and simplified way of presenting it. It is so simple that I will not share the screenshot of it. Since anybody can trade with such a simple indication on the screen.

Forgive me if I am not willing to share since its my work of art for the last 2 years. I am still looking for open forex tournament. Anyone knows any tournament which I can test out my system?

Fundamental Market Conjecture

Saturday, October 18, 2008

Be warned that for some reason I remain a perennial optimist.It strikes me that a lot of the current analysis is based on credit spreads and other esoteric measurements with an eye towards what current values would have implied during past periods.I'm not saying that this analysis of fundamentals is wrong, but consider this for a moment. Every time something surprising happens we end up looking


Friday, October 17, 2008

At the moment EUR is stronger compared to GBP. EUR manage to hold its level while GBP has break a level and is hanging mid air. Beware of your GBP trade.


Most of people trading Forex that I know will trade based on pairs. They will trade EU, UCAD, UCHF etc. They trade based on individual strength of pair. Lets look at it from another direction.

When we trade EURUSD, we are actually comparing the strength of EUR and USD. Which ever is stronger we will be buying it in order to be profitable and vice versa. It is true that pair such as EURUSD will move based on fundamental and technical factor. What if we compare USD to 3 other currencies such as EUR, GBP and AUD. If you look at the chart closely you will see that sometimes these 3 pairs break the trend at once. Meaning they are syncronize.

The way I see it, if all 3 currencies of EUR, GBP and AUD becoming stronger compared to JPY at once. This is a sign of true weakness of the JPY and a huge move is going to happen. These moves can be seen once or twice a week only but it will give a huge return.

Let illustrate this for better understanding. This is just a simple example using MA. I am sure you can do better with more advance indicator. Below is chart of 3 pairs. GBPJPY, EURJPY and AUDJPY. At the yellow line, we have MA cross at the same time. See what happens afterwards. Basically this is the idea, I am using RSI to filter the noise and trade those 3 inline moves. Thats how I make money last night. I used MA, RSI and Heiken Ashi.

I would like to know what do you think of this system. Its a system because I am trading it again and again with success. Let me know what you think and your idea in order to filter it.


I kept on trying to implement new things in my trading style but the truth is my basic system gave me this result this morning. Looking for ways to improve or there is no room for improvement


Thursday, October 16, 2008

Last night GU really did go up over 100 pip and then decided to go down. Luckily I have moved my stop loss and gain a little last night. I do not trade the move down since I am not infront of my pc.

Its forex anyway. You cannot have it all.

USD and JPY. The pairs are inline now. Soon there will be a big move.


Wednesday, October 15, 2008

Being the strongest of them all at the moment, GBPUSD is flying. This is the initial charge. Like many other breaks before, it will take a rest but not anytime soon. EURUSD is following close behind in term of strength. Maybe some of you didnt know, the EU actually broke the trend on the last spike before the break. AUDUSD is under par at the moment.

For JPY pair, mainly GBPJPY, EURJPY and AUDJPY they are still turning. Slowly moving up. For GJ this move is the 2nd try and it broke the resistance but there is a catch. JPY is not as weak as USD it seems. So shorting JPY may not be profitable as selling the USD. Eitherway, the resistance is being broken now, but in terms of strength, GBP is still under par. Anyone who wishes to try their luck on JPY pair can buy on the next pullback since its not that strong, the next pullback is coming very soon.

Btw, I only trade 2 currencies which are USD and JPY. In order to be profitable, I compare the strength of these 2 currencies with 3 other currencies GBP. USD and AUD. I monitor and trade only 6 pairs. They are GBPUSD, EURUSD, AUDUSD, GBPJPY, EURJPY and AUDJPY.

Did you know that when all 3 USD pairs broke the trend at once, there will be a huge move going to happen. So the next time you see the 3 planets are inline, watch out for the devil. Diablo is coming.


I am writing this to get some opinion. Let say that you have develop a system. It may not be the holly grail but you manage for forecast turn and correction most of the time. People kept on asking you to share it. They want you to teach them the secret. What would you do?

Back to trading. GBPUSD downwards movements is declining rapidly in strength. It may turn around and fly away for real but as you understand, it takes time to turn. Just sit back and watch. If you are in profit, advisable to get out now. GBP is the 1st choice for long position. Be it GBPUSD or GBPJPY. It is the strongest of the all.


Tuesday, October 14, 2008

As predicted last week, the pairs moved upwards but now its going to do some correction. A huge one if you ask me.

So rileks, enjoy the ride. It is going up but it is no superman. I pity those people who are currently trying to push it up right now.

Market Rationality?

With some major changes happening on a global basis it's just possible that the forex markets will return to rationality.For example, the Yen crosses (the carry trades) have been taking off like a shot today. I know I've been mooing about a possible bottom here and there in the face of mass panic and extreme volatility as indicated by the VIX.Was that it?I hope so, but at the same time there is

VIX Ahoy 2

Friday, October 10, 2008

Did I mention the VIX was high yesterday?I meant that it seemed to be getting a bit heated.Today the VIX is high.Tomorrow? You tell me.

ECB Liquidity Changes

I noticed something in a news item that I read today that I thought I'd share.While the big news is focused on the coordinated drop in central bank rates, the ECB did something else. They also eliminated their auction system. No, no, they haven't stopped providing liquidity, they are just doing it a different way than the standard auction process.What now?They are making unlimited amounts

VIX Ahoy

So, we didn't have any type of bounce off the AUDJPY recovery support trend line. If you were watching the DOW or the NIKKEI you knew what was happening.At the same time we have a new high water mark in the VIX. Look at that thing. I mean, seriously?The only thing I can really point to that may be encouraging is that these higher VIX levels don't seem to be equating to lower lows in the


Thursday, October 9, 2008

Previous signal of GBPUSD and USDCHF still holds. Eventhough GBPUSD decided to do one more move down, it has exhausted all its strength.

Trade of the week belongs to AUDUSD.
Believe it or not, the weakened AUD has grown strongest of them all. It will have huge move upward in weeks to come. My advise it to long AUDUSD at the best entry you can find. AUDUSD is expected to make a move down in the next few hours. Be ready with your entry. The last low of 0.6445 is your benchmark. Do find your entry around there.

Another strong turner.
GBPJPY is a strong turner. It is the 2nd strongest of them all. Take your long entry on the next low and hold for weeks to come. I forecast a move upward that will take at least 2 weeks and pip of thousands.

I do not give exact entry point coz both pair have overshot the weekly level. Take you entry based on last low and good luck to us all.

AUDJPY Technicals

I'm looking at my AUDJPY trend line.We've seen some good movement, recovering from the recent meltdown in short order... probably due to the coordinated rate changes.While I like the move I think we're getting to the top of our current trading channel. How we handle the reversal, assuming there is soon to be one, will set the tone of the next couple of days.If we bounce back up on or before the

Carry Trade Musings

Wednesday, October 8, 2008

Did you see the carry trades collapse today?Neither did I.In fact, things looked downright orderly. Nay, they looked rational. Is this a trick or have all the truly skittish abandon ship at this point?Be warned, I'm almost always too quick to look past current issues, discounting the ability of the current situation to cause additional convulsions before passing. However, with that said, I'm


Tuesday, October 7, 2008

As of writing, USDCHF has broken the trend. It should go down soon but now its ranging. Your entry should be somewhere around the last high. As for me I will be looking at 1.1460 level.

Good luck


It seems that GBPUSD has turned, but we still have time. I manage to snatch 80pip and get out. At the moment I am no longer holding any post. The signal as follows

Long GBPUSD @ 1.7440 or better
SL = 50pip. Try to find the best entry possible. It is in ranging phase now
TP = 100 pip or more or hold till I tell you to close

AUDUSD 0.7220

EURUSD 1.3475

Good luck is the brutal world of forex

Aussie, Aussie, Aussie

Oi, Oi, Oi.Yeah, okay, it's a big honking rate cut.Scuttlebutt has it that there might be some coordinated activity in the works, which this RBA rate cut is a sign of.I'm a bit skeptical of this, but you never know.However, with their rate now down "all the way" to 6.00 percent, a very high employment rate and a huge public works infrastructure project in the pipeline, funded by recent record

Europe Gets Crushed

Well, it's been an interesting 24 hours on the Forex markets.I'd like to say I was on top of everything and made a boatload, but instead I have to admit this has been a lesson style experience. My stops were hammered mercilessly and then the markets dumped me unceremoniously on the pavement. So to speak.I guess the theme of the day is weakness in Europe. Another theme might be strength in


Saturday, October 4, 2008

This was an article I posted last year. I took it down due to some agreement between me and Henry Carol. It seems that he forgot about it and forgot to fill his end of the bargain. Furthermore I notice his website claims profit of 1420pips on March this year. Kind of hard to believe if you are in my position. Keep on reading on the original article and maybe you can understand why is it hard to believe for me. Hopefully this article can give you some ideas on what is going on.

Lately I found myself having very little time to trade. On August 07 I only traded for 3 days due to my day job requires me to travel alot. So I look around the internet for an account manager. After looking around I've decided to let someone whom I once bought signal from to manage my account. Below are his details.

YM name = double88forex aka Henrycarol
Real Name = Leong Tian Su
Maybank A/C Number = 108011745015
Phone Number = +6017 888 0963
Website =

He is an IB for, meaning that anyone who open an account under him will entitle him for commision based on trading volume. The more you trade the more he earns.

After showing some impressive account statements, and promise for a target return of 50% a month I finally handed over the account to him. You can click on the picture to see the result of his trade. It is pretty impressive to see what he can do with USD2k in 2 weeks time.

As you can see he totally lost it in 2 weeks time. After he lost it, he just say that he is being reckless and asked me to fund the account again so that he can trade again. What you guys think I should do?

Money I have and money I can find, but the hardest thing to find is responsibility and friendship. You will be surprised at how easy it it a human can be bought by money. You guys might say USD2000 (RM7000) is a lot of money to lose but know this, I have lost more money to people whom I know as friends. These 5 years I have friends that borrow money from me for a total of RM12,000 and I have never seen the money back. Once they have got the money they will just avoid meeting me.

This is a sad story of how I lose my spending money. I hope that all of you out there can be cautious about who you give your money to be it online or offline. This is because once a friend borrowed money from you and he decided to split you will lose money and friendship. They just dont understand that all the power and money in the world counts for absolutely nothing when you are alone. Which is it that you want? More money or more friends?

Anyway back to trading, fasting month is a month of rest for me. I can spend more time in the office so I have time to trade. Last week I gain 10.99% of my account. Hopefully I can maintain that till end of the month. Happy trading everyone.


I forgot to mention one thing. On top of the USD2000 there was also a setup fee of RM300. I totally forgot about it and that is why I didnt mention it on the above post.

After I posted this story, Henry Carol contact me again via YM with an offer. Take down this story and he will return me the setup fee of RM300. What you guys think?? Good offer or not?

Seeing Beyond The Bailout

Now that the US bailout package has been passed the question on everyone's mind is what happens next?Nobody knows. Conversely, everyone knows!Once the question of government action has been answered we know that the currency markets will move either up or down. Basically, the only time they are in near stasis is when speculators and investors need the next piece of information in order to

Good Trade so far

Its been a good week. Last week I posted signal for UJ and GU. I was hoping UJ to make the move but instead GU has done it. Over 1000 pip move. UJ is undecided due to the US economic situation and the 700b bailout plan.

At the moment I have closed all post. GU and GJ is making the strongest move of turning but it wont turn just yet. If you are used to these type of market you will understand that it will take time. So next week hopefully all goes well and a trade signal will come up.

Looking at the chart GJ is closer to breaking the trend compared to GU while AU is going flat now. The rest is slowing down except UJ. I dont know where its going.

Happy trading and see you next week. Hopefully :)

Close Your Eyes

Thursday, October 2, 2008

Okay, so it doesn't look like anything at all is happening as of yet. Personally, I'm scalping the EURUSD on the 1 min chart this evening.It seems that nobody is willing to assume that the house will pass the bailout bill this time around. So, once again, we find ourselves in a state of financial stasis. In fact, given the rise that occurred on the original announcement, it may just be that we

Open Your Eyes

Wednesday, October 1, 2008

With revived expectations of a bailout package to be voted on this Wednesday evening, it's not hard to spot some double bottoms and double tops on various charts. Okay, maybe not perfect classic formations, but nonetheless, worthy of note.Obviously, there is no guarantee that the bailout package will be adopted. There is also no guarantee that these formations will complete and activate.However

Daily Market Action

Tuesday, September 30, 2008

Every morning, upon waking, I open up my Forex trading platform and look for any major changes in the world of finance.This morning, for example, I see that carry trades have had a bounce overnight.So what, right?Well, wait a minute here. Bounces represent opportunity. If you look at the 1hr GBPJPY or AUDJPY you'll notice some serious signals. Sure, the CCI, Williams %R and stochastics all

Panic In The Streets

Okay, I'm not going to offer any groundbreaking news, we all know what happened to the so-called TARP program.After the House refused to pass the bill in a bi-partisan manner we saw market participants run for the hills to the tune of a 777 point drop on the DOW. It was quite the day.Did I forget to mention that the VIX closed at a new high? I even think I saw pieces of the sky fall!After all

Shuffle Off To Buffalo

Wednesday, September 24, 2008

Is it just me or are the Yen based carry trades in stasis?I might be daydreaming, but it seems to me that the markets are just going to wait around until they find out what happens with the 700 billion bailout program.Have you looked at the 1 hour AUDJPY or GBPJPY? Unbelievable!

Market Uncertainty

Tuesday, September 23, 2008

While the government prevaricates on what best to implement in terms of a housing crisis fix, the details of the TARP proposal, financial markets are in a holding pattern.Nobody wants to simply assume things will go forward as proposed. However, I'm sure nobody wants to stand on the wrong side of a 700 billion tsunami either.Jim Cramer of Mad Money had an interesting viewpoint on how to deal


Last signal of AudUsd failed. AU decided to turn the trend with a single move. Currently working on a short term system. Now I know its really hard, to trade short term but always trade with fixed amount of SL in order to control your loss.

Long UsdJpy @ 105.20 or better
SL = 50 pip
TP = will inform later.

EU and GU is currently in uptrend mode with EU being the strongest of the two. Correction is coming. Its better to short GU at 1.8622 or better. You have to calculate the risk yourself.

Back To Trading?

Monday, September 22, 2008

During the last few weeks I've been content to play it safe and collect small carry trade positions. However, the markets are starting to act normal, in that they are generally unpredictable but they do seem to adhere to technical indicators a reasonable amount of the time.It might be time to start trading again.Prior to the recent market meltdown I was having some success with my trading and


Friday, September 19, 2008

AudUsd has made a double top level 3 (thats what I called it). signal should be as follows

Short AudUsd @ 0.8074 or better
SL = 50 pips
TP = will inform later (Its a moving target)

Market Panic To Market Euphoria?

I'm not certain that euphoria is any wiser than panic, but I do know that the Forex world has changed.The Fed, Congress and the Senate were meeting earlier this evening and are putting together what is touted to be a comprehensive plan to solve the ongoing financial crisis. Basically, by creating an organization to buy and then auction off troubled assets, the fear and uncertainty in the markets

Forex Market Deconstruction

Now that the trading week is over I thought I'd write about a few things that came to mind over the last couple of days.Current SituationEveryone is expecting the Fed to come along and put a multi-hundred billion dollar package together with the help of congress. Obviously, this is relieving a lot of the unprecedented pressure on both stocks and various Forex markets. The only fly in the


Wednesday, September 17, 2008

There are many ways to make money in Forex, not to forget there are a million ways to lose money in Forex market. Its an open market design for open competition. Only the smartest will survive.

A little something about Baseline Trader. I have spend more than 2 years looking at charts. I am looking at charts through technical aspect. Meaning, there must be some logical explanation why forex behave the way it is. Looking thru the naked eyes, forex market is unpredictable, wild and hungry. Its like a tsunami wave, destroying everything in its path but then there are wave surfers who make a living out of surfing waves. How is that possible?

Baseline Trader will be based on Fibonacci numbers. Believe or not, Fibonacci is a wonderful mathematical calculation. In the chart there will be short term and long term trade, fib levels, entry and exit, sl level all bunch up in a single chart. Sounds too much but believe me, once you know how to read it, one glance and you know where you are going to be. It is design to be simple yet precise. If you read the chart right, you will always be with the trend and you will always know your exit.

Below is a chart of GJ trade which I took. I like to share with you the chart since willcare is giving signal in the opposite direction. My entry and exit point is based on Fib levels. In the chart the level is not shown since Marketiva doesnt have the indicator available. My full chart is on MT4. Btw, I missed my entry so I will not trade GJ for now. My entry is exactly on the black line.

Long Term Carry Trade Prognosis

With the temporary loan facility made available to AIG by the Fed it seems that the currency markets are getting back a bit more appetite for risk.The Yen has been dropping and carry trade pairs have floated erratically to more respectable levels. The real question is how the US markets will react tomorrow. I'm expecting the equity markets, the DOW, to do well but I don't know if the carry

Forex Panic Attack

Monday, September 15, 2008

Well, if it looked like there was some panic last week, it should be very interesting to see what happens during trading this week.I hope you've kept your powder dry! There should be some Forex fire sales happening before long. The tough part is figuring out when the currency markets are finally starting to turn around again.Good luck out there...

Baseline Trader

Friday, September 12, 2008

Its been a long time since posted. On 16 July 2008 that is my birthday, a friend of mine call me up and gave me a birthday present. He said that I should short GBP/USD no matter what. Guess what, till today GU has moved down 2500 pips. Talk about a good birthday present. Thanks Abbas.

I will be posting a short term trading strategy soon. I called it Baseline Trader. It is a short term trade strategy couple with a good money management will give you good result. It is because the high win trade ratio.

In the mean time just sit back and enjoy my birthday present

Forex Carry Trade Bottom?

Thursday, September 11, 2008

I'm probably never going to try to call a bottom, but I will point out that there is a difference in behavior since the recent panic drop. Now, we see the Yen based carry pairs bouncing off a resistance point instead of simply dropping as if they are in free-fall.What am I doing about it?I'm glad you asked. My current trading activity involves playing with a bit of a gridding strategy. When

Carry Trade Panic Selling?

Sunday, September 7, 2008

Did anyone notice the panic selling out there?All kinds of carry trades unwound several hundred points in a very short period of time. Speculation in the Forex news rags suggests that losses due to the falling stock exchanges forced people to unwind their carry trades to cover their margins.In any case, after days of regimented downward movement, the sudden fallout represented a panic moment --

EURAUD Head And Shoulders?

Thursday, September 4, 2008

Are you a Forex carry trader?Don't look now but the EURAUD has completed two out of three components of a head and shoulders pattern on the hourlies.You might want to be on the lookout for this over the next several hours. If it activates it could spell a nice downward move for this carry pair.

Carry Trade Accumulation Strategy

Tuesday, September 2, 2008

As I haven't seen this forex tactic expressed anywhere else I thought I'd blog about it and share it with my small readership.Are you familiar with trailing stops?This is when you set a stop loss some number of points below the current price and then allow that stop loss to float when the price moves in a profitable direction. Well, I'm not going to talk about stop losses, but the idea is

Best Forex Trader Return

Monday, September 1, 2008

I see people in various forums asking what the best rate of return is for professional forex traders.What kind of question is that?Do you want an annualized answer based on a great trading day? I could boast a fabulous rate of return if I did that, but it wouldn't be meaningful.How about an annualized rate of return for a trader's best month? No? Maybe some arbitrary consecutive twelve month

Forex: What Is A Pip?

If you are a beginning forex trader you might be wondering what exactly a pip is. Everyone throws around the lingo but hardly anyone ever stops to give a good explanation that makes things clear for the aspiring trader.Generally, a pip is explained as the least significant digit of a price quote.So, if the US Dollar (USD) trades at 120.19 JPY (Japanese Yen) then each unit of change, such as a an

Carry Trading Thoughts

Sunday, August 31, 2008

Today's post is basically a bit of mental exercise concerning accumulating carry trades. If you are looking for serious advice, this post probably isn't it.Anyway, for the two or three people that do follow along, you know that I like carry trading. For today's exercise, let's consider the GBPJPY. Looking at the five year chart on Google finance we can see an absolute range of approximately

Part Time Currency Trader

As I've written before it is quite easy to become a currency trader. The harder part is being a currency trader that doesn't lose money. You see, according to the scuttlebutt on the forums, about 90% of new traders end up losing their money to the market.Are you thinking about trying your hand?I'm not here to talk you out of it. I myself am a part time currency trader. By day I work at my

Forex Turmoil: Still On The Sidelines

During the last few weeks of topsy-turvy price movements I've been playing it safe. I like to buy carry trade pairs, but they've been heading down a lot.Now, the big question, when will things start to turn around? A few of the pairs are getting into historically low valuations. For example, take a look at the GBPJPY pair on google finance -- click the 5yr option when it loads.Sure, we could


Wednesday, August 27, 2008

Last nite usdcad fall too much and too fast. Is is unexpected. As usual when a pair move too much and too fast, it will lose it balance. As a result, usdcad maybe entering swinging mode for a few days. It doesnt really has direction. It will just goes up and down waiting for it to balance out before a new trend continue.

I am still holding usdcad short for now but in the long run it is not profitable. I will exit soon and wait for the equilibrium of the pair.


Tuesday, August 26, 2008

Market is swinging here and there but I think its going to settle into a trend soon. Here it goes. Trade with cautions

Short USDCAD @ 1.0550 or better

Long AUDUSD @ 0.8500 or better

The idea of how to be in profit in forex is to have a good system. A system with accuracy of about 80% or better. Then you take trade using a fixed risk. Meaning all your trade have a fixed value of SL but unlimited value of TP. In the long run you will be able to profit since the accuracy is over 80%


Monday, August 18, 2008

Its monday and forex is moving slowly at the moment though the direction is clear. Trade to the direction and take profit at will. Enter again only to the direction.

Off topic for a while, I just wanted to share with you a new way to call and best thing is call for free. There are a lot of program that will allow you to call over the internet for free. Some of them are Skype, Gizmo, Fring etc. What I am going to tell you today is how to make free call using Gizmo.

In short gizmo is a pc and phone application that will allow you to make free call using the internet through GPRS, EDGE, 3G or WIFI. If you have a phone that is capable of WIFI connection, then you can install this software on the phone and make free calls to using WIFI network that is available mostly everywhere.

Why I choose Gizmo. Its because Gizmo is currently supported by Nokia Beta Labs. The installer is available and implemented directly into Nokia Phonebook. You may find the installer here.

Apart from that, there is also a desktop version which you can make free PC to PC calls. Download it and install to PC. There is also ALL CALL FREE which you can read at the gizmo website.

Go ahead install and leave your username here so that we can call each other for free


Friday, August 15, 2008

Trade at your own risk. Manage your position properly

Long AudUsd @ 0.8700 or better


Wednesday, August 13, 2008

Last week signal all lost. All hit SL and stop trading. Today a new signal emerge.

Short UsdCad @ 1.0650 or better


Tuesday, August 5, 2008

As usual, Forex doesnt move in a straight line. No matter how strong, how fast, correction is inevitable.

Last week signal has resulted a stop for EU and Uchf. Ucad is still climbing from my entry point. This week a few pairs has reached its peak/bottom. Trade at your own risk

Long AudUsd @ 0.9265 or better

Long GbpUsd @ 1.9600 or better (High risk)

Trade at your own risk. Manage your position properly.


Saturday, August 2, 2008

Market is closed so nothing to see and nothing to do. I will post today how to tweak Celcom 3G so that you can get maximum speed from HSPDA.

PC Setting

1st part is pc setting. You have to max out every setting at you pc for the Nokia Modem. Get to the properties of your modem be it a phone or dedicated modem. This is how my pc setting for the Nokia N95 modem.

That is the pc part. Some people say it is not important since the driver will determine the com speed but I do it anyway just to make sure all speed is max out. Next is the important thing that is the phone setting.

Phone Setting

Get into your phone menu and change the network setting to UMTS only but in order to do this u must make sure there is a strong enough 3G signal. This forces the modem to use UMTS or HSDPA mode. At the moment max download speed for HSDPA is 7.2 Mb. So in theory 2 Mb is a piece of cake.

That is the setting i use to tweak my celcom 3g using Nokia N95 as modem. Simple but effective. Highest download speed recorded is around 2Mb but as we know, Celcom 3G isnt at is best now. Sometimes when the network is bad I couldnt even log in. Considering the speed and mobility, Celcom 3G is going to kick screamyx ass for sure. Dont you think?


Friday, August 1, 2008

Last time I used to complain about Celcom 3G speed. Well it seems there is a way to make Celcom 3G fly. With a little tweaking you can achieve the same result and more.This is a recorded speed of my daily broadband unlimited with a cap speed of 384kbps. My max download speed is recorded at 2mbps. Anyone here wants the tweak?


This is a signal that happens on 1st Friday of the month. As usual it is always high risk to trade this early. You may take the signal if you are up to the risk involve

Short USDCAD @ 1.0254 or better

Short USDCHF @ 1.0517 or better

Long EURUSD @ 1.5520 or better

Trade with caution. Btw my final performance for July 08 is as below after taking 3 more trades this week.


Thursday, July 31, 2008

As of writing, UsdChf is at its peek. It may go up again but I dont think there is much to go. It is time for any of you to take profit and run away. EU, GU, and AU is at the bottom and UChf is at the top.

I am currently holding UJ only @ 107.90. A long wait before it can profit since UChf is at turning point.

I am on my way home now, stop by a coffee shop and they have wifi here. Happy trading everyone.

Forex Market Turmoil

Wednesday, July 30, 2008

My recent excellent trading week was followed by a less than stellar week. Basically, I was caught by surprise when the US markets, and hence the US dollar, started to make a comeback.I've been cutting my teeth in the forex market for over a year now, but this entire period has been associated with a weakening US dollar. The market mechanics seem to be changing around -- so I'm finding it more


Monday, July 28, 2008

Currently staying at Belmont Marco Polo. Room is ok but have wifi. Guess what, I brought my laptop along.

Early morning open the chart and couldnt resist looking at UsdJpy doing double top. Now shorting UsdJpy from 107.90.

At the moment EurUsd is also turning and will continue its journey down. Something to look for tomorrow morning. No signal for this week coz I am on holiday.

To all you guys out there, happy trading everyone and btw short GbpUsd on next high


Friday, July 25, 2008

As of writing I have closed all position and I may not trade again for this month. Tomorrow morning I will be going to Tawau by road. It will take 8 hours of driving and will be in Tawau till the end of the month.

I hope all of you had a good month of trading this month. My system generated a total of 17 signal this month with accuracy of over 90%. Attached is my statement for this month. Feel free to study it.


Wednesday, July 23, 2008

Last week signal for GU, EU, AU and Ucad is still holding. This week a short term trade signal is generated

Short Gbp/Jpy @ 213.90 or better

Trade with caution


Monday, July 21, 2008

Its Monday again with Forex entering super slow motion. Last week position of UJ has been closed with 280 pips profit. Position of GU, EU, AU is still holding.

This week I will be looking to short Jpy pairs with no.1 choice of Gbp/Jpy. GJ is expected to reach last week high again and thats is where entry point begins. As of now I would short GJ @ 213.50 or better. Meaning you dont have to enter at the exact point, just watch the strength and enter when market is turning.

I will post signal later for confirmation. In the mean time go do something else. Its monday, no forex magic happens on monday.

Friday Forex Recap

Saturday, July 19, 2008

This has by far been my best trading week...I might have made more in the past but it was admittedly just hit and miss combined with patience. This last week I've been following technical indicators and doing more than just hope for the best at Bollinger boundaries.Sunday PM through Monday PM -- NAV +3.05%Tuesday AM through Tuesday PM -- NAV +2.93%Wednesday AM through Wednesday PM -- NAV +8.2%

Thursday's Forex Results: NAV +3.9%

Friday, July 18, 2008

Believe it or not I'm not enthused about today's earnings.They just didn't seem to be coming naturally. I don't know how to explain it. The markets have been ranging for the last couple of days so maybe that is what's wrong. I actually closed all open trades a few times today -- just so that I could get out of the market and not be exposed to any risk.Maybe I'm just tired?Anyway, I expect

Wednesday Forex Gains: NAV +8.2%

Thursday, July 17, 2008

Like the title said, today was a great day!A short morning session yielded two or three percent. The rest of the day went very slowly, but I was able to wrestle pips out of the market again and again.Basically, I'm watching charts very closely, looking for setups. I've got some work to do to improve my timing, but in general I seem to have a good collection of indicators that keep me from

Day Trading and Scalping

Wednesday, July 16, 2008

Things are still going very well, but I have to admit I haven't been able to pick off huge gains this week. Not yet anyway.Here's the scoop...Sunday PM through Monday PM -- NAV +3.05%Tuesday AM though Tuesday PM -- NAV +2.93%This is okay, but I see large profits left on the table. It's strange, in order to make it easier to pick up pips I'm working on the 1M and 5M charts. This is pretty good


Tuesday, July 15, 2008

Finally, entry is here

Short AUDUSD @ 0.9720 or better

Short GBPUSD @ 1.9950 or better

Short EURUSD @ 1.5940 or better

Short GBPJPY @ 211.75 or better (Same signal as last week)

Another entry has present itself

Long USDJPY @ 104.00 or better. Closed @ 106.80

At the moment these are the best possible entry. Need I remind you that my style is for me to take top and bottom. This style may not suit some of you. Trade according to your own style and margin. Manage your money and risk properly.

Update: Entry has been chosen

In case some of you are wondering. Here is my performance for this month up till today.


Monday, July 14, 2008

Its Monday again with Forex entering super slow motion. Last week we saw a decline in USD despite double good news on friday. It is what I call pushing the market. Someone or a group of people with lots of money is pushing the market opposite of the direction of economic news. This sometimes happens and there is nothing we little fish can do about it but there is a good news. No matter how much you push, it will eventually follow its direction. Forex is an economic instrument afterall. It is influence by supply and demand as well as speculators.

Last week we saw Eur and Aud being the strogest of them all. As a result both has gain over Usd and Jpy making new high but the way I see it, it is a temporary move. The main move is for Usd and Jpy to go higher resulting a fall for Gbp, Eur and Aud being Gbp will be the most affected.

So this week I will be looking to short all Gbp/Usd, Eur/Usd, Aud/Usd, Gbp/Jpy, Eur/Jpy and Aud/Jpy. The question remains is the entry point. From my currenty view entry would somewhere around last week high.

Happy trading and remember to manage your risk at all time. If you are a scalper you may take entry on the downhill movement. As for me I will take top and bottom.

Trading Week Recap

Saturday, July 12, 2008

It's been a great week. I've been able to apply a new strategy dealing with negatively correlated pairs and I've also been able to put together a couple of reasonably successful days by working to curb my greed and waiting for appropriate entry times based on my signals.How successful were these last couple of days?Yesterday I increased the NAV on my high risk account by ~5.6 percent. Today I


Friday, July 11, 2008

Currently my Streamyx connection at home is making me sick. Everytime there is a change in temperature the line disconnect. I have done a lot of complaint to their customer service and nothing has been done to rectify the problem. At the moment no point complaining, nothing can be done to save Malaysia monopoli broadband company Streamyx by Telekom Malaysia.

As for celcom, I am currently using it everytime Streamyx fail, which is most of the time. Sorry to say, Celcom is not much better than Streamyx. Service is below satisfaction with data coming in at a very slow rate and is not constant.

Looks like I am going back to stone age here in Malaysia. With the current political warfare, dont know what will happen. Just can watch and see and pray.

This week is a good week for forex. Huge profit in the bag. Currently looking to short GU, Eu and AU. Entry point is already here but its friday. Better wait for next week for reentry. I will post reentry next week and hope for profit as this week.

Good luck to all of you

Overcoming Greed

No, I'm not here to tell you that I've overcome greed.However, I can tell you how damaging it is to let greed get involved in your decision making process. Generally, it works like this:You see a pair moving in a direction, let's say up, and you want aboard before the big move.You grab a piece of this pair right then, so you won't be left behind.You look at your charts and see that you've bought

Forex Fun and Profit with Correlations

Thursday, July 10, 2008

What is the first thing that comes to mind when you think of Forex trading? I'm willing to bet that it isn't fun.Well, recently I've been enjoying trading a little more than usual.While doing a bit of reading I found a link talking about currency correlations. Go take a look at the charts provided (scroll down a bit). Notice anything? Generally, when a currency pair you are holding rises or


Wednesday, July 9, 2008

Short Usd/Jpy @ 107.40 or better
Short Gbp/Jpy @ 211.75 or better

This may be a short term trading signal.

Previous signal still holding and in profit.

Update 11/07/08

Short Eur/Jpy @ 169.00 or better

All GU, EU and EU post closed. Looking for reentry point.

Weekend Forex Intermission

Sunday, July 6, 2008

Though my wife is happy that there isn't any Forex trading during the weekends I certainly wish there was. I enjoy trading but generally don't have that much opportunity to do so during the work week... and I'm anything but a full time professional.So, the past week was fairly successful. Thanks to the recovery in the AUD carry trades I managed to catch a nice downturn in the EURAUD. I did


Wednesday, July 2, 2008

Trade at your own risk

Short GU @ 1.9950 or better

Short EU @ 1.5800 or better

Update 3/07/08

Short AU @ 1.9600 or better

Update 9/07/08

GU closed all position
EU TP 1 post
AU TP 1 post
Direction stays but correction is coming. Time to manage your SL

Holiday In Kundasang

Monday, June 30, 2008

Its been a while since I update this blog. Been busy with work and decided to go on a holiday to Kundasang. If any of you dont know where Kundasang is, its in Sabah located at the foot of Mount Kinabalu. Enjoy :)


Wednesday, June 11, 2008

1. Short GBPCHF @ 2.0300 or better

2. Short USDJPY @ 107.00 or better


Baru-baru ini, Malaysia telah digemparkan dengan pengumuman YAB Perdana Menteri berhubung kenaikan harga minyak sebanyak 78sen utk petrol dan RM1 untuk diesel. Kenaikan komoditi utama ini akan memberi kesan yang besar kepada rakyat Malaysia. Ini kerana dengan melonjaknya harga komoditi tersebut maka harga barangan lain juga akan turut naik. Ini adalah kesan dari tindakbalas ekonomi yang tidak dapat dielakkan oleh mana mana negara.

Sehubungan itu, timbul berbagai bagai komen, pendapat, idea dan tak kurang juga cacian dan makian yang timbul. Datangnya persoalan bagaimana rakyat Malaysia boleh mengatasi masalah ini. Terus terang cakap, ini baru permulaan. Kita harus berfikir lebih jauh lagi apabila stok minyak Malaysia telah habis dan kita akan turun menjadi pembeli. Pada masa itu keadaan kita akan jadi lebih parah lagi.

Oleh itu saya menyarankan kepada rakyat Malaysia agar berusaha mengurangkan penggantungan kepada subsidi. Rakyat Malaysia ni kalau bab bersukan atau belajar memang hancuss tapi bab subsidi tetap kekal juara. Kalau takde subsidi boleh mati. Dari lahir sampai mati memang ada subsidi kerajaan. Jadi kekallah orang Malaysia juara subsidi.

Untuk mengurangkan penggantungan kepada subsidi kerajaan, maka dicadangkan agar rakyat Malaysia berusaha menjana sumber pendapatan. Sesiapa saja kalau mengharap kepada satu sumber pendapatan maka, hidup tak susah dan tak juga senang tapi sekiranya anda mempunyai beberapa sumber pendapatan maka hidup akan lebih senang dan bahang kenaikan harga minyak tidak begitu dirasai.

Bukan apa, kenaikan harga minyak ni memang memeningkan kepala. Dipejabat bermacam reaksi ada. Sampai ada yang sanggup curi minyak syarikat dan isi dalam kereta sendiri. Sebagai pegawai yang bertanggungjawab menjaga kenderaan, kecurian itu diketahui cuma tidak sampai hati nak menjatuhkan maruah seseorang. Jadi orang itu teruslah berlakon seolah tidak ada kesalahan dan saya terus menerus melihat lakonan dia. Kesian. Curi minyak isi tangki penuh harga dalam RM50 tapi sekiranya kantoi kene buang kerja. Kerana RM50 sanggup gadaikan kerja yang bergaji tetap. Kebodohan manusia ni kadang kala tak masuk akal.

Dengan ini diharap rakyat Malaysia akan berusaha untuk menaikkan taraf dan kedudukan masing masing. Mencipta peluang dan pendapatan. Meningkatkan ilmu dan harga diri. Agar satu hari nanti kita akan ramai ramai pegi shopping di negara jiran dengan ayat " Barang kat sini murahlah ". Biar dia terasa lak yang nilai matawang mereka kecil.

Kepada para pemimpin, jalankan tugas dan atur strategi sebaiknya. Sebuah negara yang kaya dengan sumber tidak susah untuk ditadbir. Cuma perlukan kesungguhan, kepintaran dan kejujuran. Dimana harga diri seorang pemimpin sekiranya agenda utama adalah untuk membina kekayaan untuk diri sendiri dan kroni. Percayalah, lakonan anda itu lambat laun akan diketahui juga dan dimasa itu dimana nak diletakkan muka bila semuanya terbongkar tapi orang politik memang begitu kot. Bangsa yang takde malu punya.


Monday, June 9, 2008

Sorry for long time no post. Been busy. As for this week there are a few trade opportunity but the market is uncertain now due to mixed NFP data and market sentiment.

These are signal based on technical study. Trade wisely and use stop loss appropriately.

Short GBPJPY @ 207.45 or better

Short NZDUSD @ 0.7710 or better

Thats it for today. GBPUSD and EURUSD may come up with an entry tomorrow. For the time being just relax and watch it


Keeping an Eye on the EURTRY

I liquidated some profitable short positions in the EURTRY around the 1.9150 price level. While this wasn't the absolute bottom it was well below the current levels -- due to a recent price spike. As the spreads are reasonable during the morning hours I will consider selling a small chunk tomorrow morning if it looks like things are going to turn around.However, the EURTRY is not the place for

Thoughts on AUDNZD and NZDUSD

Both of these currency pairs have moved a long away against carry positions.It might be time to consider shorting some AUDNZD and going long some NZDUSD. Take a look at the dailies [daily charts] and see if you think some type of reversal is in the works.As always, remember I'm a carry trader, so I'd buy a small position that I'd be happy to hold for the long term in the event that I was

Consider GBPCHF

It's starting to look like time to consider taking a small bite of GBPCHF. However, you may want to wait for a bit of strength before taking the leap...

Learning To Love Stochastics

Sunday, June 8, 2008

Many of you trading in the Forex markets know that the difference between success and failure lies in the probabilities.What is the probability that your speculation will be correct?The more often that your positions are correct the more profitable you will be. This is part of the reason that so many bozos are busy promoting supposedly infallible commercial signals. Seriously, if their signals

Free Forex Signal 21 May 2008

Wednesday, May 21, 2008

Today is your entry day. Think nothing else but entry for AudUsd, NzdUsd and AudJpy. Its going to swing wild and may give you a few entry opportunity

Short AUDUSD @ 0.9574 or better

Short NZDUSD @ 0.7741 or better

Short AUDJPY @ 99.50 or better

For those of you still holding GBPUSD long, you have until tomorrow to take your profit. GU is heading into a slow down and only time will tell the next move.

Signal is getting close

Tuesday, May 20, 2008

Last signal of trade. All closed. Gbp is in an unhealthy condition. It swings too much causing it to hit SL before the full range is hit.

This week I will be looking at AudUsd, NzdUsd and AudJpy very close. Looking at things a new signal may appear tomorrow. For today, its time to rilex.


Thursday, May 15, 2008

This morning we have a couple of big news for NZDUSD and guess what. Its a bad situation. Currently I am holding long post at a loss. These things happen a lot where technically NU is ready to turn but due to economic news it continue to slip down.

Hopefully the drop is not by much since its already in an oversold condition. So I will continue to hold the loss position and hoping for a positive move soon. It may be next week since the news effect really delay things.

For EURAUD, it has enter the overbought condition. Technically it should turn somewhere soon. For today entry for short is at 1.6619. It is an estimation which is hard to do since this pair has a very wide spread and agresive movement.


Wednesday, May 14, 2008

I was doing my day job and suddenly Ive got an idea on how to make a poster to promote a certain product. Using publisher I manage to create this small poster in 15 minutes and I must say, I am very pleased with the result. Just wanted to know what you think of it

Btw, EurAud is coming to its peak. Anyone care to trade???


Tuesday, May 13, 2008

Long GbpUsd @ 1.9450 or better
SL This is the hard part. Figure it out yourself

Short EurGbp @ 0.7950 or better
SL on your own

EurGbp has just reach its peak. Now it is entering ranging zone. So we could see a few swing before a new trend emerge. Furthermore it may make a new high. The entry that Ive given is based on current time.

GbpUsd has been swinging for the past few days and has hold its low. If it failed to break the last low, it will have to make it way up. Hopefully

Happy trading and good luck to us all

Back To Trading

Sunday, May 11, 2008

Its been a week. I can barely trade coz Celcom 3G Internet is slow as hell. Now I am back home so time for some serious trading.

The last 2 signal of GbpChf and EurGbp has given some profit. Its time to exit untill a new signal is generated. This is because in long term trend is the opposite of the signal Ive given.

I will post signal next week when the market open to avoid holding -ve post due to trend continuation. See you next week


Friday, May 2, 2008

Its Friday so it is a bit late to be giving signal but sometimes things take very long time to settle down and give clear direction

Short GBPCHF @ 2.0700 or better
SL @ 2.0775
TP 2.0566, 2.0506, 2.0414

Long EurGbp @ 0.7830 or better
SL 0.7796
TP 0.7865, 0.7883, 0.7910

Happy trading.


Monday, April 28, 2008

EU has turned up this morning but it is not adviseable to enter just yet. There are 2 places to enter EU, they are 1.5620 or 1.5520. Possible safe trade is to wait for EU to go lower than 1.5620 and make a stop order long @ 1.5620. It that way if EU actually goes up it will hit the stop order on its way up and hopefully a zero SL trade.

NU is much like EU has turned up. Possible trade is long @ 0.7825. Wait for price to go lower and put a stop order long.

GChf has turned down. Currently not in a clear downward move. 2.0530 is entry for short. Preferably wait for price to exceed that level and put stop order short.


Sunday, April 27, 2008

Ive been using Streamyx for over 2 years now. All I can say is look at what monopoly has done to us.

At the moment I am surfing at 32 kbps. That is blistering fast or is it? Currently my streamyx speed is slower than a dial up modem. Talk about super fast broadband. How lousy can you get??


Monday, April 21, 2008

Short AudUsd @ 0.9400 or better
SL 30 pip
TP 0.9335, 0.9280 or wait for close signal

For the time being, that the best entry. Will update later. Earlier signal of UJ and EJ at a loss. Signal is given too early.


Friday, April 18, 2008

Here goes:

Short USDJPY @ 102.60 better
SL 25 pip from entry
TP 102.20, 101.50, 101.10

Short EURJPY @ 163.10 or better
SL 50 pip
TP 161.70, 161.00, 159,70

Thats it. Remember to get the best possible entry and always use SL


Wednesday, April 16, 2008

At the moment market has no clear direction. For the past 6 days it has been running on ranging mode at the moment the price is in a squeeze. I have to take exit step in order to avoid break out panic. I am trying to close all my post and in order to do that, I have to take some loss.

It is unavoidable in these market situation. For those of you who has been following my signal, most probably you are making some profit but in the end, like me you will have to give some back.

At the moment it is adviseable to stay aside until a clear direction present itself. Happy trading everyone.

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