Footsteps to a Trading Journey

Sudden Stop

2012-01-25T10:05:00.001+08:00

We got stopped out on the positive AUDNZD trade. Crazy whiplash happened during the last few hours. We will look for another entry position possibly in another market next time

Trade Update – One Trade Positive

2012-01-25T07:35:00.001+08:00

The triggered AUDNZD position is moving positive and just right for the stop to be moved slightly down to reduce risk exposure. We will try to move it lower in the next few days if market gives us a position to secure minimal profit. The GBPUSD position was not triggered. Momentum indicators are still showing a peak in the higher timeframe and bullish in the lower time frame. We readjusted out positions to have another entry point slightly closer to the market.

We are looking for the high probability reversal in the GBP market and hope to ride it until the next rally. Happy Trading!

2 New positions for the week

2012-01-24T16:12:00.001+08:00

Starting the week with 2 short entry stops. One has been triggered. While the other one is still waiting for entry.

We are looking for a continuous downward movement for the AUDNZD and a market reversal for the GBPUSD. Momentum indicators for both in the longer time frame are showing a recently finished bearish cross. Lower timeframe momentum showing bullish. There would probably be sideways to downward movement in the next few days.

Trades stopped out–ending this week with a loss

2012-01-20T22:26:00.001+08:00

Secured the last trade with a profit stop which was triggered by the decline. We gained a good profit from that. Unfortunately, both newly triggered trades were stopped out with a sudden rally. We end our week with two losses. Well, that’s trading. We will try to re enter once another entry signal is generated. We cant win em all folks

Have a great weekend everyone!

Trade Update–Secured more profit by not taking the Eggs out of the basket immediately

2012-01-20T13:26:00.001+08:00

During my last post there were signs of possible market reversal based on the momentum indicators. I had a position that was against this direction. Instead of closing the position to secure profit, We just move the stops to let the market close the position itself.

Even though the market declined down a little bit, even triggering a new short entry, the market actually did not proceed with the reversal but suddenly went back sideways to up again. If I exited the trade earlier just because of what I perceived, I could not have had secured more profit from it.

The newly triggered short trade is still moving sideways and that trade is still alive. Momentum signals still point out to a downward movement due to the peaking overbought conditions in the daily chart. To what degree of movement? I really don’t know and I could be very wrong about it but judging from the way the AUDUSD continues to behave and the momentum indicators, we’re hoping for it not to stop us out then start a decline once(or if) the lower time frame momentum does another bearish cross.

Keep posted and happy trading everyone!

Secured some net profit then entered new reversal entry Stops

2012-01-19T14:10:00.001+08:00

Moved one trade to profit stop to secure profit and closed the other trade at a small loss. Secured some net profit for the two trades. Momentum signals are showing signs of a high probability downward movement earlier than expected. Placing two new entry signals to see if we can ride the movement if it pushes through.

Analysis on the MT4 charts(click to view)

Keep posted for updates. Happy trading!

Back in Again–Trade update

2012-01-19T08:32:00.001+08:00

Market showed reversal back to bullish direction and went in when the signals shoed itself. Momentum signals showing overbought status for the daily and one of the shorter time frames. A possible sideways movement can happen or even a possibility of a reversal again in the coming few days. I am still waiting for a place to properly place secure profit stops in the shorter time f
frame.

Current live trade status.

Trigger Analysis(Click to view picture)

X marks the point for my entry stop which was triggered a few hours later. now looking for a point to place initial secure profit stop. I’m hoping market gives me room for it in the next few days.

Happy trading!

Stopped out of the market with loss

2012-01-17T13:46:00.001+08:00

After a few days of sideways movement, market rallied for a quick reversal bullish movement which stopped out one of my trades for a loss. The other one is still barely hanging in there.

Will probably wait for another reentry signal if signs show a good entry point again.

New Positions Entered

2012-01-12T12:59:00.001+08:00

Entered two new positions for the GBPUSD and AUDUSD markets. One ws already triggereed and moved to our direction. Moved stop to secure minor profit. The other is still waiting to be triggered. Momentum signals seem to be pointing towards a high probability downward movement. I can still be wrong though. It’s a good thing some profit was already secured in one of these trades.

Keep Posted!

Trade Update– Can’t win em all–stopped with 40 pip loss

2012-01-11T21:09:00.001+08:00

Trade did not go our way, Major market slide stopped both our trades with one at breakeven and the other with a 40 pip loss.

We will wait for the market to give us another signal for entry. Well that’s trading folks. You cant win them all .

Buy Entry Stop Placed again for Reentry on the AUDUSD Market

2012-01-11T16:11:00.001+08:00

Placing a buy entry stop again on the AUDUSD Market when the lower momentum signal is showing signs of high probability cross. Hope it gets triggered and we can ride a uptrend market.

Keep Posted

Trade Update–AUDUSD stopped with profit. The other still alive.

2012-01-11T11:52:00.001+08:00

One of our trades got stopped in profit due to sudden downward movement. The GBPUSD trade almost got stopped at breakeven but is still alive and still going sideways. Were hoping that we are finishing a pullback and going to resume in the same direction. The daily momentum indicators seem to say so.

Momentum indicators and probable reentry signal for the AUDUSD.(Click chart for more detail)

Its not all the time we can expect big wins. But keeping your risk as minimal as possible and continuously raking in profit in my opinion is probably the key to sustainable account growth.

Happy trading everyone!

Trade Update–Secured Small Profit and Eliminated Risk

2012-01-10T12:17:00.001+08:00

Fortunately, Trade went our direction. Once there was an opportunity to place profit stops, stops were automatically adjusted. The GBPUSD trade stop is now breakeven and AUDUSD is now secured with minimal profit.

Momentum indicators in the 1 day timeframe show a bullish cross in the oversold zone which means a high probability upward movement in the next few days. Hourly momentum signals are overbought signaling a possible sideways to up movement with the day.

Current Chart

Happy Trading Everyone!

AUD and GBP Trades Finished–312 Points in Profit. New trade triggered.

2012-01-09T21:22:00.001+08:00

The GBPUSD trade from the last post was now stopped with profit. Total profit from the these 2 trades is 312 points. Not bad at all.

Two new reversal trades entered. Market Signals are signaling a possible movement towards the opposite direction with all timeframe momentums crossing bullish in the oversold zone. place two buys tops which were triggered today.

We will still use the same system of momentum signals, fibonacci and elliot wave recognition to manage this new trade. Keep posted and happy trading!

Trade Update - Protect your Profit.

2012-01-09T13:36:00.001+08:00

Market showing signs of high probability movement to the opposite direction. So what are we going to do? We protect our profit in case market decides to move to the opposite direction.

Why not exit? There is still possibility predictions can be wrong and market would still continue our direction. momentum indicators only show the rate of change of the market, not if its going to go up or down.

Click to see more detail

Current status of these 2 trades
As of writing this post, the AUDUSD trade was stopped out with 133 points of profit .

I still hope I can squeeze a little more from the gbpusd trade

Trade Update–Gap Opening, Adjusted Stops

2012-01-09T08:28:00.001+08:00

In my last update post I said…

“ Current momentum signals show a high probability of sideways to bearish movement in the beginning hours of the start of the coming trading week. There is an hourly bias, albeit bearish, towards upward momentum in the GBPUSD chart. We hope it still continues downward. “

Click here –> Link to last posts’ analysis charts

Thankfully, market opened to our expectations. As you can see from the chart, the AUDUSD chart, there is a wide opening gap which is a very strong signal of high probability downward movement. GBPUSD also has a gap but not very much. current momentum still signaling sideways to bearish but no significant movement yet.

Adjusted Stops to secure more profit in the AUDUSD as I continue to ride this trade.

Happy trading everyone!

Trade weekend update and a little tech analysis

2012-01-08T09:58:00.001+08:00

So far so good. We managed to move our stops to secure even more profit but leave room for market to move a little bit.

Current momentum signals show a high probability of sideways to bearish movement in the beginning hours of the start of the coming trading week. There is an hourly bias, albeit bearish, towards upward momentum in the GBPUSD chart. We hope it still continues downward.

I am very thankful the trade is looking good. We’ll just wait and see if we can ride this trend all the way.

Click picture to see full view

Wishing everyone a very profitable week ahead! Happy trading!

Trade Update – Risk Free and some profit secured

2012-01-05T23:42:00.001+08:00

Both trades managed to show a small correction and went back towards our direction. The pullback was very clear for the AUDUSD trade but wasn’t very obvious in the GBPUSD. I hope this 2 trades will turn out just like the last one.

The consolation though is that profit is already secured which is always a good thing. Lower timeframe momentum signals currently show the possibility of sideways movement within the next day or so, hence the stop movement.

The 2 trades:

I hope the possible pullbacks don’t hit out stops. Happy trading everyone!

Live Trade Update – Trade going our direction

2012-01-05T18:04:00.001+08:00

Current 2 trades going our direction. I still could not find a place to place a profit stop because the drop was very sudden. Probably in the next few hours or tomorrow if market continues to go our way.

Keep posted

Two New Trades Entered–riding the Possible decline

2012-01-04T20:44:00.001+08:00

AUDUSD and GBPUSD. 2 correlated markets I entered into with sell stops because there is a good possibility of a decline in the next few trading days. These trades are now triggered and live. One is currently below entry with a loss and the other one starting to move downward with profit.

I will update whenever I move to secure profit or get stopped by the market(I hope not).

Binary Options bias is PUT when momentum indicators are overbought and cross towards bearish in the 5 min time frames.

Happy trading and God Bless!

AUDUSD Live Trade Update– Stopped at profit

2012-01-04T12:05:00.001+08:00

All good things must come to an end. I got stopped out of the market when market started to decline. I would say that was one of the more ideal trade setups I’ve had.

The trade in review:
1. Found the high probability reversal signals - http://tradingfootsteps.blogspot.com/2011/12/ending-year-with-trade.html
2. Trade triggered and direction bias was confirmed - http://tradingfootsteps.blogspot.com/2011/12/trade-triggered-and-up.html
3. Once another dip and reversal happened and the trade was still in profit, Profit was secured by moving the stop above the entry price - http://tradingfootsteps.blogspot.com/2011/12/trade-triggered-and-up.html
4. Market Signals (Elliot Wave, Fibonacci, Momentum Indicators) are showing signs of peaking and signs of direction change. Stop was then moved to the nearest dip and reversal on the smaller time frame to increase secured profit in case of direction change. - http://tradingfootsteps.blogspot.com/2012/01/audusd-live-trade-update-securing.html
5. Got stopped at that latest profit stop. – 206 points of profit.
I hope everyone was able to ride this trend.
Happy trading everyone and God Bless!

AUDUSD Live Trade Update – Securing Profit Part II

2012-01-03T23:56:00.001+08:00

AUDUSD continue to move up breaking the last high. Using practical Elliot wave analysis, This confirms a wave 2/B has been complete. Even though my target in the higher time frame is still far, the market already reached the minimum wave 3/C target price (Just touched the bottom of the blue box in chart2 below)

I cannot guarantee the market would reach my target perfectly. Momentum indicators are showing signals of a trend peak signaling a possible sideways to down movement if both indicators confirm a cross.

Because of all this signals, I moved my profit stops to the nearest lower time frame reversal to increase my secured profit. I am praying that the market still continues to reach the typical or maximum price target which would be the 162% external retracement (the top of the blue box in chart 2).

Chart 1 - 200+ points worth of profit secured because of profit stop.

Chart 2 – Fibonacci, Momentum and Elliot Wave Signals in Dual Time Frames

This has already been a very good trade. I hope a lot of people also profited with this move. Keep posted and Happy Trading everyone!

AUDUSD Trade Update for Jan. 2 – Securing Profit

2012-01-02T18:16:00.001+08:00

Trade continued to go towards our direction and now would be a good time to secure a good profit position just in case the market decides to go the opposite direction. Instead of just closing the position, We just move our stop loss toward the nearest upward reversal in our 60 min timeframe. This enables us to take advantage just in case the trade still continues to go upward in the next few days.

Market probably headed sideways to down because of overbought momentum signals in both 1D and 1hr timeframes.

I’m very thankful for this very good trade.

I’m also inviting everyone to join my Facebook trading group – Market Matadors. It would be great for people who read this blog join the group so we can share ideas and techniques.

Keep posted!

Trade triggered and up

2011-12-30T11:19:00.001+08:00

The trade initiated during my last post was triggered and now currently up. Placing chart screenshots:

Currently momentum signals is looking good for a continuation probably in the next few trading days. Hourly signals were right in the money when it came to the Fibonacci reversal signal. momentum seems to reach overbought and peaking for a moment.

There would probably be sideways movement to a Up during the next few hours from posting until the end of the trading week. Currently letting it take its course to confirm a wave C or better yet a wave 3 on the daily charts and not get stopped in the process

Keep posted and enjoy the New Year!

Ending the year with a Trade

2011-12-29T15:30:00.001+08:00

I haven’t been trading for awhile. But I decided to get back into the markets via a micro account again this time via proper trading so I could have more flexibility and control exits. I plan to stay here until I grow more confident again with shorter term signals. Posting my current live trade.

AUDUSD Buy stop at 1.0118 because it is from my opinion looking like a corrective move up in the next few days. Fibonacci and Momentum indicators verify this high probability outcome. But then again, I can still be very wrong that’s why the stop is there.

I will post updates on this trade once it goes my way(or gets stopped).

Binary Option Bias for this setup is CALL once short term 1/5 min stochastic momentum indicators are oversold and does a cross within or near the oversold zone.

Wishing everyone a very Happy New Year!!!

Reaping

2011-11-17T11:04:00.001+08:00

It is always good to have emergency money when you need it. I had a good trading run with Binary Options this month. I multiplied my money 700% at its peak but losses rendered me back to 400%. That is all profit. I was planning to still continue but the business has been a little bit slow and I needed extra funds to help me cope.

It was good that the trading profit was there. I withdrew it all. I’m back to zero again but I’m not feeling bad. It profits have really helped.

Once the situation becomes better. I can start investing and trading again.

I hope everyone has a good trading week ahead

Started The Week Good

2011-10-10T23:18:00.001+08:00

Started trading again using the same system but triggered manually. I will work on the automated signals later since it still has some flaws. I am very thankful to have been blessed with a good day :) I hope other Binary Option Traders have many days like this :)

Keep Posted! Cheers and Happy Trading Everyone!

Tried to automate the trading signals…Needs a lot of work.

2011-10-01T16:47:00.001+08:00

After the string of successful of successes in my past few trades, I decided to automate the signals via chart but unfortunately, it did not turn out to be successful…yet. I’m still trying to find a way to at best generate the best signaling process that would almost equal my subjective viewpoint of the charts. Keep posted.

New Refined System – Promising Results

2011-09-27T16:13:00.001+08:00

My trading has taken a dramatic turn of events today. With a little mql4 programming and some basic principles about entry signals and some theories on how a market usually behaves when it reaches a certain point. I decided to create my own signaling service to help me filter out Binary Option trading signals. Yesterday I was struggling with my trading. I had to come up with a solution.

My little toy was born :) I have tested it live and it is looking promising. My wife also is paper trading herself and she does like it a lot. We will be trying it out for the next few weeks. If it is really good, I will offer it out as a monthly service.

Its not perfect, but so far it has delivered a positive net income.

Proof of it is my trading performance Sept 26-27, Notice the Sept. 26 daytime trades and the Sept 26 evening to Sept 27 trades:

I hope this will be a start of better things :) Happy Trading Everyone!

Reached 1/10 Risk Ratio

2011-09-23T22:17:00.001+08:00

Finally managed to reach the 1/10 Risk Ratio. It was seesawing for the past couple of days but with patience and sticking to the plan, I finally made it.

The next goal would be to reach the 1/20 risk ratio for my current positions which is equal to 1/10 Risk ratio for my next level positions in my plan.

Its a good day today to end the trading week. Fresh new start this Monday.

Enjoy your weekend everyone!

Performance for today:

A Barrier to Break

2011-09-22T10:55:00.001+08:00

For the past two days of continuous trading with Binary Options, I have come to a point where there seems to be an amount barrier that has been a challenge to break through, Although there are still more wins than losses (which is already a very good thing), Its still a challenge to break my 1/10th risk ratio barrier.

The 1/10th risk ratio barrier means that the account has reached an amount that it would take 10 consecutive losses to blow it out. I’m currently jumping to and fro 7/10.8/10 and 9/10. I have to constantly remind myself that I started with 2/10 so that I stick to my plan and not do anything crazy or stupid.

I would remember before when my account would double or almost triple, I would suddenly increase my risk ratio because I wanted the big fast wins immediately. This usually ends up in disaster after a couple of losing trades. Money and Risk Management is something I am sticking to this time. I constantly pray for patience to do this, its really hard when emotion starts creep in.

A piece of unsolicited advice, when you encounter a couple of losing trades, stop and take a few hours off to clear your head. You can even take the day off from trading if you like. You will get to live and trade another day :)

Happy trading everyone!

Here’s current performance Sept 21-22, 2011:

Live Trading Again

2011-09-20T16:48:00.001+08:00

After another long haitus. Decided to start trading again. Using lessons learned from the past and stricter rules in entry and timing. Today’s Binary Option trades have been good. A simple adjustment of my momentum indicators gave a more timely signal than before. I hope I have the discipline to properly plan the next moves and stick to my plan.

It would be amazing if everyday was like this :)

I am wishing everyone have the same kind of trading days. Happy Trading Everyone!!!

Quick and Short Realization

2011-08-25T12:54:00.001+08:00

I was looking at my trading histories and my trading attitude and quickly realized one thing. I do have a good trading system. My problem was with my money management. When things are going good, I had a tendency to over commit and increase my positions. I will probably be working on a better money management or risk management plan. Have a great day! :)

Binary Options Blowout – It haunted me again

2011-08-06T21:03:00.001+08:00

I just blew out my account again yesterday. After a string of successful Binary Option trades. The culprit – The urge to jump the gun because I COULD NOT WAIT. I got cocky and I paid for it. I had trouble telling my wife that I blew out another account. I’m glad she took it with stride. My biggest mistake was when the larger tie frame was already in the OS/OB zones, I still was willing to get into a position. OS and OB zones are unpredictable in nature(based on experience). Anther thing is within the larger time frame zones, I jumped the gun in the shorter time frame entry signals, like a reversal while its not yet OS/OB then after the position suddenly goes back to the previous direction(False signal). It got me more than twice. Another big mistake…NOT STOPPING AFTER A COUPLE OF LOSSES. This is a big thing for me. I got to learn to control emotions. I know I have a good system, just the discipline to follow through with it is what I should work on. I hope you guys learn from this post. I will update again once I pick myself up :)

Aug. 5, 2011 – A Good Day

2011-08-05T00:19:00.001+08:00

I almost had a drawdown blowout yesterday and managed to make up for it in today’s trading. I did a little tweaking of my system and followed it to the letter even though I had temptations to jump the gun. So far it has delivered in today’s market conditions.

Here’s to hopefully many more days of this kind of performance. Im also wishing everyone the same! Happy trading everyone! Cheers!

Aug 2 2011 – Struggling day

2011-08-03T08:45:00.002+08:00

I got to admit that was war. I seemed to have made many miscalculations in entry and was trying hard to recover.

Ended up with a net loss. I hope today wouldn’t turn out to be as bad. Have a great day everyone!

Technorati Tags: trading,binary options,forex,currency trading,put,call

August 1, 2011 – A good start for the Week

2011-08-02T00:12:00.001+08:00

Managed to get a good trading surplus for today. Thank you Lord for the good day :)

I hope the trading day for everyone was as good as mine :) Good Night and have a great one!

Technorati Tags: trading,binary options,anyoption,call,put,forex,usd,eur,aud,jpy,options,binary

July 29 – Minor Positive Growth

2011-07-29T18:05:00.001+08:00

Managed to come up with a small positive outcome today. It could have been better but the loss on the last trade cut it short.

Its good to have a positive outcome after the string of losses last time. Happy weekend Everyone :)

What an Awful trading Day

2011-07-28T18:22:00.001+08:00

1 draw and 3 consecutive losses is not a very pleasant experience. I will have to rest for the week and go back to paper trading for the next few days to further check and identify my entries.

I hope everyone does not experience this consistently. Happy trading week everyone!

Technorati Tags: trading,forex,binary options,call,put,currency

Going Live Again with Small Steps

2011-07-27T16:28:00.003+08:00

We have decided to go live again with Binary Options Trading after quite some time. Armed with a system which better reads the Forex market strengths and momentum reversals. We managed to get a small positive outcome from our BO trading activity. We chose the cheapest broker for the meantime since it enables us to trade in minimum of $25 positions. So far so good. $29 net is not substantial but its a good small start.

I will try to continue updating you guys on our trading performance from time to time. I hope you guys keep posted and I would really appreciate comments :) Happy trading everyone!

Technorati Tags: trading,forex,binary,options,call,put,binary options,cocoy,jurado,stocks,currency

2 Positions Won :)

2011-07-22T21:07:00.002+08:00

Here is the result based on my last post here. This was another good Binary Option Paper Trade :)

2 Put Positions placed today

2011-07-22T20:56:00.002+08:00

Trying to practice my Binary Option Sea Legs. Placing a couple of Paper positions that expires shortly….

Will update shortly…

EURUSD Update – From Bulls to Bears

2011-07-20T08:10:00.001+08:00

From my last post, a bull run did appear earlier than expected and it seemed to have halted near a retracement price zone. momentum reversals and fibs are showing the signs. I would now be biased towards bearish swing trading with this chart setup.

Note: If you use the information given for the basis of your trade, you do so at your own risk. Trading is risky and there is also a very good chance my analysis can be wrong.

EURUSD Analysis – July 17, 2011

2011-07-17T20:09:00.001+08:00

Starting to look back at the charts again with the EURUSD. Based on what the chart is saying, I can probably see a possibility of a sideways movement with a bias towards a possible Bull run upward within the week since price behaviors shown are indicative of it. The fib rates are also reaching the typical correction targets for both hourly and daily charts. Well wait and see. You can probably do a swing trade strategy with a bias for buy with this kind of setup.

Note: If you use the information given for the basis of your trade, you do so at your own risk. Trading is risky and there is also a very good chance my analysis can be wrong.

How’s Everyone?

2011-03-27T18:48:00.001+08:00

Wow! its been almost 2 months since my last post. I’ve been quite busy with other stuff to be able to post again. I will start posting analysis again soon. I hope everyone also has a great trading week ahead :) Keep posted. Have a great one!

AUDUSD Update from last post – Reversal signal Verified Entry Signal generated

2011-01-25T17:59:00.001+08:00

4 hour time frame momentum reversal encountered. A high probability signal the market is headed our direction based on the previous analysis. Anything can still happen though.

Currently up about 40 pips! Happy charting everyone!

AUDUSD Analysis January 20, 2011

2011-01-24T18:06:00.001+08:00

After a few months, I’ve finally managed to restart my analysis. Enjoy and hope the market goes our way.

Have a great trading week everyone :)

EURUSD – Analysis for Sept 19, 2010 -Probable Actions for the Week Forex/BetonMarkets/Binary Options

2010-09-19T23:33:00.002+08:00

We just had a significant rally. In my opinion, we just completed a full impulse wave trend. We hope we are in the beginning stages of a correction.

I am hoping the market goes our way :)

Happy Trading Everyone!

EURUSD – September 13, 2010 – Signal Verified :)

2010-09-13T21:45:00.001+08:00

Lates post, Market went our way. also includes other predictions :) Hope markets go again our way.

What happened during the last post and continuing analysis of the EURUSD September 9,2010

2010-09-10T09:29:00.001+08:00

Happy trading everyone and have a great weekend :)

Live Trade further dipped down for a Loss

2010-09-08T05:54:00.000+08:00

It seems the market went down further than the anticipated reversal, my live BOM trade expired at a loss. Well I guess we can't get them all :)

Live BetonMarkets.com Trade and quick analysis for the EURUSD

2010-09-08T01:38:00.005+08:00

Capturing a live BOM trade and a quick analysis to demonstrate the feasibility of my analysis. We will find out after the trade expires.

Taking a Break

2010-09-02T19:12:00.001+08:00

Oh how time flies, its been awhile since my last post and unfortunately my trading activities have not gone very well, I guess I will have to take a break from live trading and go back to paper trading again. System is ok but my discipline in following it needs some work. These losses has taken some toll on my finances and I have to recover back. I hope most of you guys have more success in your trading activities. But I promise I will be going live again :)

Happy Trading :)

Past trade signal was verified but didn’t maximize…Look what it got me into.

2010-08-05T08:22:00.002+08:00

Its funny how things unravel slowly in front of you but still catch you by surprise. I had an imminent long signal post last July 3, [Click here to read it] Which was a long on the EURUSD. Naturally I rode it but went out too early because I was so concerned with the shorter time frames (Darn Impatience!).

After getting out, you know the story from my previous posts ><. My $300 micro account turned to $25. I can now only trade 1 to 2 micro lots. This would be the point a lot of people would swear trading goodbye. I would like to think this as a lesson and a challenge to rise back up, albeit slowly.

In my opinion the daily rally of the EURUSD has reached a point in which it has probably completed a complete impulse trend and is poised to do a correction which usually happens after a full impulse wave. I plan to take advantage of that correction in the next few days. Last night I entered a 1 Micro lot ($.10 per pip) short trade, LOL yeah I know its pitiful but it’s all I can do right now until my account grows again.

Click to see full capture

Currently on the green and 18 pips positive. Based on my humble analysis, I’m looking forward for the market to go the same direction until it reaches the minimum target.
Have a great day and Happy Trading everyone :)

Blow Out Trade - One Unfortunate Incident after Another

2010-07-22T21:58:00.001+08:00

Its times like these when I get lost in the moment and try to react immediately to what the market is giving me. After the recent margin call, i had the unfortunate privilege of having a few more of the same thing to the point that my current trade is only 2 micro lots. Super drawdown would be the word to describe it.

This would be the time where one would be screaming and blaming the market for this predicament. As I sort out my feelings, I realized a lot of the successful traders had to go through this and each big blowout has its own lessons to learn….I will have to look at my specific lesson, and if I find it, will i have the courage to accept it?

The funny thing is, my expectations of the market was actually met but I did not time it right, I know I could have but I didn't, leading to one great loss after the other constantly buying at resistances and selling at supports…pffftt…..

as I said in my last post…lessons…lessons…

Margin Call….

2010-07-20T10:44:00.001+08:00

Half of my mini account was wiped out because of a margin call. pffft… I could have waited for the market to get to the entry target before jumping the gun…Impatience, my current worst enemy. Now starting to grow my account slowly again. Lessons…Lessons…..

EURUSD – Taking Advantage of the Correction

2010-07-12T16:01:00.002+08:00

I just wanted to update on my latest trade from the last post. Waiting for my target line and continuation of the longer term bull trend (I hope..LOL). I have one open mini lot ($1/ pip) and 10 micro lot ($.10 / pip) positions in the meantime to taking advantage of the probable correction being done. Good profit so far, once my target is reached, adjustment of stops will follow to maximize profit potential.

Its a good day :)

EURUSD – Euphoria can Get the Best of You Sometimes.

2010-07-10T11:21:00.003+08:00

Based on the imminent long signal on the daily chart on my last post, I forgot to look at the shorter time frame and do analysis. so I went long because i was euphoric on the analysis……

Only to discover later that the market was doing a correction and I unknowingly placed the order at the exact end of wave. I had quite a loss with that mistake.

But none the matter, made up for it by recomposing and re-analyzing the shorter 1 hour time frame to get more accurate eow targets.

Current trade is a short just right after the latest eow target was realized, less capital exposure and survivability that way :)

I hope it hits target when market opens next week…Click chart to zoom.

Have a great Weekend and Happy Trading!!!

EURUSD – Imminent Go Long Signal Analysis for the Weekend

2010-07-03T11:09:00.003+08:00

I have been observing the EURUSD for the past few weeks and it seems it has reached record lows. Upon Observing the daily chart, It seems it has completed a bearish full 5 wave impulse trend. A possible bullish wave 1 is forming after the wave 5 reversal that is quite near to the November 2005 lows, which in my opinion a very good support.

Not only has a trend confirmed completion but a a simple ABC correction has also been confirmed in the wave 1 or A in the possible upcoming bullish trend.

2005 Support

Impulse Wave Complete

Correction Complete upon weekend Market Close

Its fairly obvious what my action is when the markets open :)

Have a great weekend and Happy trading :)

GBPJPY Daily - Stopped out

2010-06-30T22:03:00.001+08:00

Got Stopped out from my latest trade, Sideways went downward. Market acting this way for the past week. I will have to wait for a new trading signal or place another trade somewhere near perceived support which for me is still far. So i guess its observation time for the next few days…

GBPJPY – Sideways! Sideways! Aaaarrrghh!

2010-06-23T16:12:00.002+08:00

Since my last post, I got stopped out for 200 pips profit. Not Bad :) So I decided to do another buy trade since the market conditions that I perceived were still there (see previous post).

Then….Sideways, Market did not cooperate and went sideways. Almost got stopped out :( Good thing it went back up again. I still would like to wait for price to breakthrough resistance and that verify continuation or correction. I am hoping in the next few days it resumes wherever it is headed.

GBPJPY Update – Correction or Continuation – 230 pips up!

2010-06-14T22:23:00.002+08:00

I had a good call on my last post. currently up 230 pips! Not bad. Its very tempting to close this trade but I wouldn’t want to miss the chance on more profits. Verification is the key. Ill hold out until the trade breaks through the 1 or A level and see in the next few days the market behavior. If the high probability impulse trend is true, I will ride it out and it will be probably be a wave 3.

If it reaches a peak near the breakthrough line and falls below it, Correction is verified. It will be probably a C correction. Moved my stop loss to a positive 200 pips.

200 PIP GUARANTEED PROFIT WITH A CHANCE OF THE TRADE STILL GOING UP :) Its a good day!!!

I moved Take profit to 142.43 according to the 127% Fib Expansion Rate. Attached analysis. Pls compare with my previous post.

Happy Trading everyone!!!

GBPJPY - Reversal From Previous Post and High Probability Early Stage Bull Trend

2010-06-11T11:41:00.002+08:00

From My last post, I forgot to take account the Daily chart so my Bear Forecast was rejected. Looked at the daily chart and saw signs of a high probability imminent reversal from the Daily trend. Immediately closed to prevent further losses and switched to ride the Probable Bull Trend.
All the signs were there and it is currently in the positive…150 pips up :)
Attached a quick analysis, feel free to ride it and give me feedback if this post helped :)

GBPJPY Setup Detected

2010-06-09T13:51:00.002+08:00

I have decided to start shifting from Binary Options to actual trading with a trading platform. Unfortunately, Binary Options, although my analysis was verified, seem to happen almost after expiry, so I usually end up more of the time – OUT OF THE MONEY.
I’m going to leave it for awhile and shift to actual trading. I am using 3 time frames, Daily, 4 hours, 1 hour. Current analysis of GBPJPY-4hr chart, A recent 5 wave trend has finished and there is a big probability that a bearish trend is at its early to mid stages.
I am currently placing a sell order:
Sell 131.68
Stop Loss at 133.72
Take profit at 128.17

Currently 14 pips positive. :) Analysis chart posted. I would appreciate feedback and comments. Happy trading :)

Back to Trading

2010-06-02T12:48:00.001+08:00

It’s been a month since my last post, it was a time of studying and contemplating on all my binary option trading opportunities gained and lost. There were ups and there were downs and I am starting to believe in what every successful trader had to say about their journey, there will always be losing times, I would like to call it learning times. I have been digging around books looking for the Holy Grail or magic formula to catapult me into trading success….

There is none, most great traders had to go from the grind to finding their zone in trading. So i guess i have to accept that I am in that “grind” if you will. looking at the bright side, One thing I have learned in these months of trading is learning how to understand the market. Take note the word understand, not predict. Because no matter how much you try, you can never predict the market. What you got to do is understand what is happening. And that takes learning and experience.

Update and the start of a new project

2010-04-08T23:56:00.001+08:00

Wow! it has been awhile since my last post. I laid low for a little while because of trading losses and continuing study of the market and trading discipline for my next attempts.

I am slowly compiling all the information I gathered and will try to organize it. I have been planning to work on a group project in which I together with a group of like-minded people learn the market together. Somewhat of a study group in which we will collaborate and share our best strategies, experiences and encouragement with regards to Binary Options and trading in particular.

If interested to be part of this group. Please send me a massage. Looking forward to collaborating for profits :)

Intra-hour Timing and getting my Bearings

2010-03-12T01:14:00.002+08:00

After my last post, I was continuing my paper trades and an unfortunate 4 straight loss streak came after. I was asking myself what was wrong. I was reading more or less accurately reading the candlestick signals as it should be(or maybe I was too cocky and actually interpreted it all wrong). I had to look back and see if I was missing anything.
I actually forgot that you had to also see when the signal was generated.

You see, most Binary Option contracts have hourly expiries, so you can only actually look at it within the 5 minute or the 15 minute time frame if you are using MT4 to monitor the markets. For the 5 Minute candle, it takes 12 candles in the 5 minutes and 4 candles in the 15 minute chart. You will basing your entry decisions on those two.

I constantly made the mistake of entering too early because of a perceived signal. I Did a few more trades and corrected my timing. It it went better. It is a good idea although not foolproof to look for entry signals about 30-40 mins within the hour to prevent a whipsaw if any to reach you.

Last Paper Trading Results(Notice the 4 straight losses):

Affirmation: “I am learning and getting more consistent and disciplined day by day”
Happy Trading :)

Candlestick Benefits in Binary Options

2010-03-09T13:25:00.005+08:00

I started to paper trade again to try different strategies and work on my discipline since I was losing money the last month in my Binary Option trading. I decided to learn price action trading via candlesticks. It taught me to read the psychology of the market and understand what a candle actually represented in the overall activity of the market.

To my surprise, It actually helped out a lot by taking out some guesswork on when to place a call/put option. I now have a better understanding of what is going on, if the market is growing tired, confused or if the bulls/bears are in control of a particular set of candles.

It is still no guarantee that just because a signal is generated, it will go that way 100 percent of the time but my batting average has more or less been good armed with this knowledge.

Example:

By learning to read the candle signals, together with other western indicators, I was able to place an Option in the right position.

I will be continuing to paper trade with this method until I have mastered it and I am very consistent with it.

Latest paper trade results using this method(Latest trade was the one cited in the example):

Thanks for visiting. If you are interested in Binary Options. Visit the "What are Binary Options?" section of my blog.

Have a great week :)

What are Binary Options?

2010-03-06T21:58:00.001+08:00

“In finance, a binary option is a type of option where the payoff is either some fixed amount of some asset or nothing at all. The two main types of binary options are the cash-or-nothing binary option and the asset-or-nothing binary option. The cash-or-nothing binary option pays some fixed amount of cash if the option expires in-the-money while the asset-or-nothing pays the value of the underlying security. Thus, the options are binary in nature because there are only two possible outcomes. They are also called all-or-nothing options, digital options (more common in forex/interest rate markets), and Fixed Return Options (FROs) (on the American Stock Exchange).” - Wikipedia

In Simpler Terms:

A Binary Option is a Financial instrument in which you speculate on the price outcome of a certain Stock, Future, Commodity or Forex pair, whether it will be higher or lower than the current price on a future fixed date or time.

Example:

It is currently 3pm in the afternoon and a current stock is trading for $5. You expect the stock price to go down within the hour, so you invested $25 on a Binary Option called a Put option with a 70% ROI upon hourly expiry. When the time reaches 4pm, the put option will expire.

If the price of the stock was $4.95 upon option expiry, your put option was called “in the money” meaning that your speculation was actually correct. Your $25 will become $42.50 because of the 70% ROI.

If the stock was $5.50 upon option expiry, your put option was called “out of the money” meaning your speculation was incorrect. You will lose your $25 or depending upon you options broker, a percentage of that will be returned to you.

If the stock was still $5 upon expiry, your investment will be returned to you.

Types of Binary Option Transactions:

There are only two types of Binary Option Transactions:

CALL – use this if you expect the price to be higher than the current price upon option expiry
PUT – use this if you expect the price to be lower than the current price upon option expiry

Simplicity and Low Capital Start-up

Just Like “Above and Below”, Binary Options simplifies your participation in the Financial Markets. It can be a good way for a beginner speculator to trade the markets without making the significant investments needed to start trading. The initial capital needed to start trading is $100 for most Binary Option Brokers

A WORD OF CAUTION:

BINARY OPTIONS TRADING OR ANY TRADING OF THE FINANCIAL MARKETS MAY IT BE STOCKS, FOREX, FUTURES OR COMMODITIES IS BASICALLY STILL SPECULATIVE IN NATURE AND IS AN ACTIVITY THAT ENTAILS RISK. THERE IS A POSSIBILITY ESPECIALLY IF YOU ARE NOT CAREFUL, THAT YOU CAN LOSE ALL YOUR INVESTMENTS. ALWAYS REMEMBER TO INVEST MONEY THAT YOU CAN AFFORD TO LOSE. DO NOT, I REPEAT, DO NOT INVEST MONEY THAT IF LOST, CAN DRASTICALLY ALTER YOUR LIFESTYLE.

Nth Blowout

2010-03-04T23:26:00.001+08:00

It seems the $83 left could not sustain continued trading activity, Margin left could not compensate for consecutive losses. I guess will be lying low for awhile and paper trade and come up with a better money management routine before I go at it again. I would appreciate any suggestions though on this topic.

I am also looking for people to help me out with regards to reading the 5 or 15 minute charts as well as the hourly charts in creating a collaboration signal system that can be shared within a group of people. I am currently starting a ning network of binary option traders so newcomers and veterans on Binary options can share strategies and earn together.

I am also currently studying candlestick price action to help me understand market psychology and integrate its signals in my plans. I will be posting paper trade results in the next few days to see how my new planned strategies may work.

Till the next update, See you guys…

PS. Is anybody actually viewing my blog? LOL. I would appreciate some responses and comments :)

Veered away from the trading plan, became impatient and now look what I got.

2010-02-24T15:08:00.001+08:00

One thing I learned from the past couple of weeks was wait for the proper confirmation before assuming anything. I knew I had a good system but I guess because I assumed that the system was good, when there is a possible signal, I jump the gun. Basically, I place 2 opposite positions in negatively correlated Forex binary options with the end of day expiry, I base my entry on retracements within a trend on the 1hr timeframe.

My fall was when a retracement was starting, I placed a position too early because I ASSUMED that the market would retrace back towards the intended position sooner at the end of the day. The problem was I did not expect that the retracement was so huge that that it usually became a reversal or when it went back to the trend direction, It was out of the money upon expiry. So I got 9 straight losses in a row. I am now in a drawdown. I guess I am starting again with the sting of this lesson.

WHATEVER SYSTEM YOU ARE USING, BE MECHANICAL, BE PATIENT, ALWAYS PLACE A POSITION ON A CONFIRMED SIGNAL, DO NOT ASSUME CONFIRMATION.

Chalk that one up for one of the lessons learned in this journey. I hope you readers don’t make this mistake continuously and end up like this. I think this is not the first time I made this mistake which makes it even sting more. But one thing I learned from this, accept it and try again :) I know I’m going to succeed soon.

Albeit all this, there is some good news, my micro Forex trading activities are now resulting in minor account growth, from $25 starting amount, I am now $40 equity and current trade is going my direction.
Will update again soon if I can raise my binary options account up again :)

“I have not failed. I've just found 10,000 ways that won't work.”
-Thomas Edison

Last 10 Binary Option positions: $223-$83 (Ouch!)

20 Option Trade Sample Results and My First Broker Trades

2010-02-13T07:01:00.001+08:00

Tried and tested the new method with 20 trades and ended up with a positive balance which is a good sign :) I am going to continue with this method until I reach a 300 trade sample. It is also a way to harness my trading skill. As long as I end up positive every 20 trades and do proper money management practices, there is a good probability of steady account growth. I also simplified my trend detection method which only now uses the Pipholic Support / Resistance detection and some moving averages but with a custom indicator to remind me of the current trend.

I also started trading via Metatrader. I recently signed up for a micro account and my broker gave me a $25 welcome bonus without any deposit :D I’m starting with that money. So far, with everything that I learned from Technical analysis, I managed to grow the $25 to $35 in a few days.
Currently, everything is looking good. Affirmation after all of this: “I am a consistent trader. I plan my trades and I trade my plan.”

20 Trade Result: Started with $100 - $223 Ending balance

My New Metatrader Screenshot:

Wishing everyone great success! Have a great weekend! :)

New System(Again!) Slower Time Frame

2010-02-04T08:28:00.001+08:00

New Update. I managed to blow out one of my accounts in paper trading using the system I previously mentioned. Repainting indicators based on the zigzag indicators can really give you false signals especially on a trending market.

It affected my option trading because it gave me false swing signals in the 5 minute time frame. Just when you thought that the market was about to go another direction and placed a call/put position because of the peak semaphore signal. the market continues toward its direction creating another peak semaphore.
I will have to leave hourly binary option trading for awhile until a new light bulb flashes in my head. I am switching to End of Day binary option trading in smaller amounts using a new system based on the 15/30 minute EMAs and correlated currency pairs. It will be a much slower pace of trading giving me time for other things and I will continue to float small positions and let the account grow until I am confident enough to increase position size.

So far, I am in the 3rd day of implementing the system, no losses yet so far but I guess its still too early to find out. I just mitigate my risk as much as possible.
Will update on the next few days :)

Last 10 Binary Option Positions(Latest six using new system):

Studying and Trying Something New

2010-01-20T14:35:00.001+08:00

I have been laying low from actual trading for awhile due to a near blowout experience but I am starting back again. I am also now doing practice trades with the tradesmarter platform. A good way not to blow out your account and see if your system works.

This time, I am currently trying out a new system which is a mix of semaphores and slope lines. So far, the signals are quite promising and I have had good success in practice trades. I’m moving back to real account trading.

Will keep you guys posted for updates.

Steady as She Goes

2010-01-12T10:55:00.001+08:00

I am currently testing a combination of a Smoothed Heiken Ashi Technical indicator, Dual EMAs, Bollinger Bands, Parabolic SAR and and others. Special mention to Andrew Forex and his System. You can check it out in the Moneytec 2.0 forum:
http://www.moneytec.com/forums/f46/andrew-forex-trading-system-30249/
So far, although not perfect, the combination of the indicators gives me a better picture of price behavior in the 5 minute time frame. Here’s a screenshot of my indicators in action:

So far it has improved my trading, ending up breaking the $200 target mark. So i basically doubled my money already. But I will just continue managing my risk and going steadily as she goes, when I deem it safe enough and there is enough money, I will increase my trades. Here is my last 5 option trades:

January 8, 2009 – To heaven, hell and back again.

2010-01-08T13:56:00.001+08:00

It was a ridiculously crazy four days of binary option trading. I managed to get my account to the $200 level then almost have it wiped out then recovered back to where I started from January 4.
Lessons learned:

It is better to have a small trade position and profit little by little than to blow it out. It’s easier said than done though but I’m still trying my best.
Unlike proper trades when you can get out anytime, Binary option trading has a time expiry. Take time to learn and analyze the market behavior at the time of your trades, understand market indicators and learn as much as possible about day trading.
Always remember that even though you may have all these technical indicators and probability analysis tools, Option trading is still speculative in nature and “ANYTHING CAN HAPPEN”. So prepare yourself for losses because it will happen.
If you have a couple of successful trades ,losses or when you get emotionally excited. Stop yourself and take time off your trading to level yourself again. Nothing is worse than making disastrous trading decisions due to feelings of “trying to get back at the market” or “I am invincible”.
Avoid trading on Fridays if you can. Market is unpredictable.

So far from $157, went up to $217, then went all the way down to $80, then now $158.

Last 10 Trades snapshot:

January 4 Binary Trading Performance

2010-01-05T07:52:00.001+08:00

First day of my return to trading for the year. I managed to to end in profit after 9 intra-day binary option trades.

It would have been better if I avoided the last trade that lost me about $40. Past 12 midnight in Philippines = winding down of the USDCHF power hour. Everything went sideways.
Not Bad for a first day though. $100 to $157.06

Welcome

2010-01-04T19:31:00.001+08:00

Welcome to my trading blog. Here I will journal my daily binary option trading activities. I hope I can come up with a consistent and highly accurate trading system to be able to have great profits :) Keep posted for more updates.