I am sitting here listening to a bit of BBC Radio whilst looking at my charts every now and again, it’s a quiet morning on the Forex Markets front. No high probability trading opportunities for me; yet. Short EURJPY and maybe Cable sometime today could be possible – we’ll see. Calm ship on calm water, I can make sound navigation decisions – after all it’s my boat I’m floating here.
However, I know just by taking a look at Internet sites such as twitter, FX Street, Bloomberg that there are all manner of people that want to tell you what they think will happen, some even tell you when they are going into trades. There’s this rumour, that gossip, this opinion, that report. The noise the noise the noise…..Is it at all helpful to me making a successful trade or a successful trading career – never ! And I’ll tell you why.
1st : Trading is Simple but Not Easy
You need concentration and focus in this game. Unless you are some genius that can listen to Bloomberg, read your dozen or so twitter feeds, keep up to date with the news, read report after report, watch trading video after trading video and then after all that know definitely, without fear, hesitation what you are going to do today and manage that trade, size it and be in time for it – you will fail. Save your learning to the weekends or time you are not trading. When you are trading you are fishing; when the bite happens you need to be ready to strike.
2nd : What’s in it for them ?
We have all been offered tips before in all walks of life. “Don’t trust that guy”, or “buy that stock” or “follow my trades” or “Don’t buy the Jeep auto it stinks” etc etc. Why do people offer advice ? Usually for three reasons – Monetary gain, Ego, Care. Well apart from a few trader folk who I have known for a little while and shared a beer with and I honestly feel that if I asked them an opinion they’d tell me straight as I know they have my interests at heart and nothing else to gain. Everyone else out there falls into the Financial gain or Ego camp. I come back to my point about being “my ship”. My trading account is my responsibility and no-one elses. Unless it is me making the analysis, making the call and pulling the trigger it is not my trade. When it goes wrong; who’s fault is it ? Mine. If I follow tips who’s fault is it – theirs. I repeat – who’s account is it ? Not Long after your account is dust, someone else will be joining the fray and paying for the tips, services or just sucking up to the noise like a comfort blanket.
The worst proponent of the noise culture I have come across is Boris Schlossberg; yak yak yak yak but say something will ya !! In the partnership between him and Kathy Lien it doesn’t take long to work out the brains in the partnership. The reason he’s on the road so much I I imagine it drives Kathy nuts having him in the BKForex Office. A close 2nd would be Todd Gordon, never come across someone that epitomises the fast talking guy from Wall St stereotype as much as Todd. What an ego !
We’ve all been told to choose you friends carefully. In Forex Trading the only friend you have is your capital; listen to this and nothing else. Count anything else as a distraction to your game plan.
So what’s in it for me writing this ? Well to most people reading this I have not shared a beer, so you cannot say I care. This blog is free, so not financial. It’s ego I guess. Sorry 😉
Anyway, in the 30mins it has taken to write this, still nothing really happening and I need a cuppa !