Millionaire Tradersplanning a trip, for the last five weeks you’ve made money, and
it’s around this resistance level. So you just close the trade, get
on an airplane, and take a week or two off. That’s the great thing
about being a trader. You can do things like that. So that’s how I’ll
manage it.
Q: How about your short-term trades? Are they triggered off of
news events or are they triggered off of technical considerations?
What we mean by that is, you clearly monitor the news. You prob-
ably have a news feed. If news comes out that’s dollar favorable, do
you simply jump on the bandwagon right away and try to see if you
could get a continuation move for 10 to 15 points off of that? Or do
you simply have your own technical triggers—when your moving
averages cross or whatever algorithm you’re using—concur with
your bias and then you take the trade?
A: Yes, I’ll trade off these numbers. For example, I’ll look for
some type of news that adds to dollar strength. I may not trade if
the news is negative for the dollar for example. On the other hand,
if I come into the day and all the numbers have come out at 8:30 in
the morning, and there’s nothing else the rest of the day, you have
to adjust your game. Then I just look for technical areas where the
market kind of bounced back and forth. Then I’ll try and go into
the direction of where I think the market’s going and I’ll just be
patient.
Q: Interesting. So, in an environment where all news is already
been presented and the market retreats into more of technical
trading environment, you will then refocus your energies on tech-
nicals and look for opportune points of entry that are in sync with
your overall fundamental bias. In other words, if market bounces
but then starts to weaken again in a direction of your long-term
bias, that’s when you will use technical algorithms and you’ll come
into the market, right?
A: Yeah, that’s correct. Once the news comes out, everyone
should have adjusted their books to the current news. So new bids