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Quite happy with this week with still a lot of bad news in the market. This week -0.44%. I still can learn a lot this week.

• Setup SL 10 pips from the recent support or resistance
• Open 2 position when enter the market, 1/3 and 2/3. when reaching +10 pips close the 1/3.

In my previous post, I told you guys that I want to quit. But thank God, I didn’t. I’ve updated my strategy, so it will limit my losses.

The idea is still trading with MACD crossover, but when the strategy turns out to be a loss, then you will need to enter again when the MACD reach the other side and have another cross over. So when it give MACD crossover in the lower area and you are buying but then it turns out bad, then you should wait until MACD reach the upper area and have another cross over which is now a sell signal.

I’ve put all my strategies in this page. Overall this week loss is very high 3% and makes this month loss 4%. But I’m very happy with the condition because I made my strategy better (more conservative). I loss in Monday, Tuesday, Wednesday, and Thursday, but gain in Friday. My first gain in this week. I hope next week is better. Remember last month 7.9%, this month -4.1%. If last month is working and this month isn’t working, there must be something wrong with the strategy. DON’T GIVE UP. THE NEXT TIME IT HAPPEN AGAIN, FIND OUT WHAT IS WRONG.

I’m quiting forex today (for now maybe). Although last month was great, this month was terrible. I loss 5% this month. The strategy I use does not work in current condition, a period of uncertainty because of Greece debt. It will often give buy and sell signal but then it goes to the wrong direction. I’m not sure what to do:

1. Don’t trace in these condition.

2. Use another strategy for these condition, but how can I know this condition is coming. I should trade using demo during this condition.

This week is horible. I deposit a lot of money this week, and lost a lot of money, but it’s small in percentage -1.5 %. Basically I went in the wrong direction on my trading this week, because I use Day charting and combine it with 1 hour chart. I should have use the 4 hour chart. The 1 Day chart is still showing buy, so I buy. Price was dropping, and I kept buying. I should have follow the 4 hour chart which already showing sell signal.

NZDUSD drop a lot this week, but using this strategy won’t do much, because the MACD cross over will often show buy and sell signal. The price is already drop a lot, but we are not sure whether it will keep going down or retrace up. GBPUSD and EURUSD also consolidate much, so it is hard to predict the price.

So lesson this week, user 4 hour chart with 1 hour chart. I will need to find indicator of consoolidation and make sure i don’t enter the market when price is consolidating.

This weeks starts good, then in day I loss it all, and Friday I win big. I feel I want to quit on Thursday although I still got small profit. The market on Thursday is unpredictable. But Friday is very predictable. I hope I remember this lesson. TODAY CAN BE VERY BAD, BUT TOMORROW CAN BE SUPER BETTER. This week only won 40 pips, last week 80 pips. If only I can get 30 pips consistantly every week, that is 120 pips per month or 4%. overall this month I win 153 pips with one day to go. Almost done treating forex as business in one month.

Still I have lots of things I can learn this week

1. I won’t trade non USD pair anymore, so no EUR/GBP, AUD/CAD, EUR/AUD . If I don’t play that non USD pair, my profit will be double.
2. Do not trade againts news. I want to try to enter two position big news coming out. So 1 buy and 1 sell. Each has 10 SL and 30TP. That means I will surely get 10pips? Assume 10 pips is slippage.
3. Trade on the two pair that has the biggest MACD divergence
4. Loss will happen. You just need to believe tomorrow will be better. See my own performance as proof. Remember not every month will make profit.
5. Try trade USD/CAD and leave it at night

So I think 4% per month is achievable. so

$1000 = $40

$2000 = $80

$5000 = $200

$10000 = $400

This is the first week I’m using MACD crossover. The result is pretty good. In the middle of the week, I got some bad results:

1. 4/17/2012 GBP/USD 1.5887 sell 1.5917 -30 -9
2. 4/17/2012 EUR/usd 1.3126 sell 1.3154 -28 -5.6
3. 4/19/2012 AUD/USD 1.03801 buy 1.03481 -32 -9.6
4. 4/19/2012 AUD/USD 1.03741 buy 1.03491 -25 -7.5
5. 4/19/2012 GBP/USD 1.6025 sell 1.6037 -12 -3.6

So overal this is is great. 80 pips profit.

This week trading is a roller coaster. I’m down 51 pips. At the start of the week, I have 3 consecutive losses USD/CAD -23 pips, and 2 GBP/USD each -30 pips. So those three already made me loss -83 pips. Winning percentage 56%. This means losses was big but winners are small.

Here’s what I learn this week.

1. I’ve learn from GBP/USD losses. I now implementing cross over of MACD. The mistake from GBP/USD is because I trade against MACD crossover.
2. It’s better to Take Profit than to let the profit run. It’s just like business, If you have a stupid customer who you can charge much. It’s better that you don’t do that. Your customer will eventually knows that you are charging too much and will move away from you. So take profit when your target is reached and you can enter again when it retrace.

If you deal a lot with foreign currency like export or import, you should find the best rate. If your business is big, like over $100,000, 1 point can mean a lot. Take a look at this example. You are based in Australia and want to buy products from US for US$100,000. For example, the current AUD/USD exchange rates is 1.0347. With that rate you will need AUD 103,470. Imagine if the rate is 1.0447, then you will need AUD 104,470 or AUD 1,000 more. If you have better exchange you can save more money. This is only for one transaction, imagine if you have 10 transactions each month and in one year you can save AUD 12,000.

Banks usually have uncompetitive exchange rate, and they charge you commission. So I suggest avoiding banks. Try calculating how much money you can save by using better rate. You can use this currency converter tool and compare it with your bank’s rate. If you feel you can save a lot of money, then it’s time to find companies that specialize in Foreign Exchange. Using the internet you can easily compare companies to find the best company for you. There are three things that you need to know: whether the company is trustworthy, their exchange rate, and their fees.