When developing a trading system, people often tend to make it more complicated than it needs to be. And to my regret, I haven’t been any better in former days.
How come that? After a couple of weeks, after I started trading, I began reading books and websites about technical analysis. There were plenty of chart patterns and indicators mentioned, and as indicators were easier for me to use, when it comes to identifying buy and sell signals, I tried many of them in backtests. One after another… RSI, MACD, Stochastics …

Though this month has not yet finished, I am writing my review today, because I won’t trade for the next two days.
The loss of the last month has been fully recovered and has ended with a total profit of 32%. So my current trading balance is $180 now – that’s a total of 80% profit in 3 months of trading. 80% in 3 months equals ~21% per month. Should I be able to keep this quote up the next months, then I would reach the $100,000 in 3 years …

This month has been the first month, that I’ve lost more money than I have earned. A total los of 18% reduces my current trading balance by $30. So my current balance is $136.
I know the mistakes I made. The main reasons for the losses were:

Lack of discipline
Lack of concentration
Testing

This website, as well as trading, is not my main business and I have been busy with other things. That’s why I have only been trading from time to time – which was not a good idea at all. I have …

I have been very busy the last month with other things than trading. That’s why I didn’t trade so much the last weeks, still the monthly return has been 7% and my current balance is updated to $166 now. The january has been a much better month, but at least I ended with a small profit.

In my last article on forex news trading, I mentioned the importance of keeping an eye on economic news and events.
This time, I want to focus more on trading hours and days – when it’s good to trade and when you should better stay away from the market.
As a daytrader, I hold positions for only a few minutes or hours, and only on accasion for more than a day. But what I try to avoid most, is having a position open on the weekend.
Holding positions over the weekend
The reason is …