Podcast:

Are You In Search of The Holy Grail of Forex Trading?

In this video:

00:23   In search of the Holy Grail of Forex Trading

01:47    Accepting the changes within your trading

03:37    There’s no good at buying a strategy that relies on you

Are you constantly in search of the Holy Grail of Forex trading? If that sounds like you; listen up because I’ve got some really good information to follow.

Hi traders it’s Andrew Mitchem here, the owner of The Forex Trading Coach. Today is Friday, the 21st of November and I want to talk about a subject that I get asked so often and I’ve had another couple of emails about just this week. It’s about people constantly searching for what I call and what everybody else calls the Holy Grail of Forex trading and that really is like the ultimate system that just never fails and people are constantly looking for that, you know, that “perfect” system. Unfortunately it doesn’t exist; there is no such thing. But people are always there looking for the next thing, adding indicators, whatever it might be  to make a system and a strategy that’s probably perfectly okay into something that’s even better.

The other thing of course that a lot of people do is they constantly changing between one system and another, they’re adapting bits of one system over here putting it into another system. People buy robots, they're made out to be just the most fantastic things, all at $97 you notice but, you know, they’re at there to solve everybody’s life problems by plugging and playing for $97. Hindsight and back testing looks fantastic, you put on a live account, it doesn’t work (in most cases) and then people there, they give up and never going to buy another robot.

Changing Market Conditions

Up comes another email on a month or so later, buy it again $97 on to the next system and that happens all the time. It doesn’t matter whether you’re attending webinars, whether you’re buying robots, eBooks, courses, strategies, whatever it is it just happens all the time. So, realistically as a trader you need to accept that the market is changing all of the time, it’s never the same.

Just to look at the Japanese Yen (JPY) over the last sort of few weeks. I’m not sure if you can see right behind me here, I’ve got the CAD/JPY (Canadian Dollar/Japanese Yen) just gone up and up and up and up and up. And the Yen (JPY) has done that against all of the weakness in the Yen (JPY); has just been a fantastic thing to trade. You know, there’s just been so much weakness on the Yen (JPY). There’s been an opportunity to continue buying it up and up. Likewise, there’s been an opportunity to wait for slight pull back to retracements and then buying another currency against the Japanese Yen (JPY). And it’s probably one of those times right now, the last few weeks with the Yen in particular against all currencies has been as good at time to be trading the Yen then it has for long time. Go back on your charts and look back to what it was doing earlier this year. “This did that”, did absolutely nothing, it was flat as a pancake. It was awful to trade the Japanese Yen (JPY) earlier this year. It was just, up one day down the next. Just a small movement, very small daily ranges.

The last few weeks and few months, has just gone crazy and it’s just been brilliant to trade. So accepting that condition are changing within your trading and the strategy needs to allow for that and cope with that and so do you because what happened back in the early part of this year, the conditions are different to now. So earlier or in the year you might be trading the shorter time frame charts to gain some profits out of the Yen pairs. Whereas today you might be trading the longer time frames, the weeklies, the dailies, the 4-hourly charts and make tremendous gains on the Yen pairs because the trends are there right now.