“It’s not easy dealing with the “Flying Wedge of Death” for most traders!”
It is perhaps the most difficult trading condition you’ll ever face … that low
volume, almost no interest, extremely low range versus the 20 Day Range MA,
and trips back & forth from the high & low multiple times … can’t quite make a
new high, can’t quite make a new low … sits & sits and then explodes the other
direction after retail specs get loaded up the wrong way and the scumbag LP
banks take them collectively out back of the woodshed and shoot them in the
head … and then just keep doing it the whole day … “yes Skippy, it’s the
dreaded “Flying Wedge of Death” [FWD].
Close to Holidays & 3 or 4 day weekends often see it, and of course sometimes
the day before interest rate meetings of central banks [today], and it’s a
prescription for trading disaster if you get caught up in it … cuz you keep buying
up near the high and keep getting short down near the low, cuz the range has to
expand … has to … and then when it doesn’t, everybody and their brother is
caught the wrong way versus the banks, and within 2 - 4 minutes it’s a
bloodbath … rinse, repeat, and it’s account destruction time, especially if you
do “stupid shit” like increasing your trading leverage each time it fails … nothing
wrong with doing that once, but doing it 4, 5, or 6+ times is “crazy pills” time
… and I can tell you flat out, it was these type of days that saw most traders on
the floor go “toes up” than any other type of trading condition you can care to
name.
With about 2 hours to go in the GBPJPY trading day [European session],
Cable/Yen has an approximate 78 PIP range, about 50% lower than this week’s
20 Day Range MA of about 158 PIPS ...been up near the highs 5 or 6 times, and
down near the lows the same … currently about 10 - 15 PIPS off the low, and it’s
been a slow grind down from up near 135.000 - 135.070 … earlier, it had been
grinding lower, and then in a burst of Cable buying, within about 30 - 40 minutes
near 6 AM EST, the market suddenly “V” shaped off a low and screamed higher
all the way up to near the high … and now the grind lower, but as I write, a quick
4 minute mini panic melt up takes us up 30 PIPS, as shorts trapped at near the
low get taken out back and shot … again … and what makes the FWD so painful
for traders, is first the grind and then the mini explosion the other way … it hurts,
and what exactly did you expect from the banks yanking the chain here?
These types of days are like “Christmas morning” for the scumbag LP banks,
cuz reading order flow, they know exactly how to get you to do what they want
… and for the most part, the collective spec community obliges and hands over
money to them hand over fist … “ring the bell, and watch the specs jump”!
… how can you accuse them of manipulation, when 1) you’re clicking the buy/sell
buttons, and 2) they’re on the other side of your panic buys & sells providing
“liquidity” to a market? … “and right there, you have the necessary “plausible
deniability” they use to cover their asses, and it’s the modern manipulation
playbook they use all the time … gone are the days they simply use their money
to shove a market … better to get you to do it for them”!
Are new CHICOM WUHAN KUNG FU FLU cases in Florida & Texas, now the new
“currency of choice” to move markets? … this trading day was a complete joke
up until the reported increases of a few thousand new cases requiring
hospitalization, but I guess it’s the new “Anti China Trade deal” bullshit we can
daily look forward to between 10:15 AM EST - 10:30 AM EST, and watch for the
monkeys to jump … and today they jumped … in a way good for us, cuz it
expanded the GBPJPY range downward, led to a new low for the day, and off that
low we got the only algorithm buy signal for the day.
Without that “flu news”, I doubt anything would have happened the rest of the
European day … not that I expected anything different, cuz yesterday I warned
today had a very high probability of being a shit trading day … didn’t expect this,
though, and USDJPY only sees a 31 PIP range today … I mean that’s seriously
pathetic … Cable only marginally better, only cuz the “Flu news” drove price
lower into sell stops … as it is, the rest of this day into tomorrow morning’s
7 AM EST MPC [Monetary Policy Committee] decisions regarding interest rates
and MOAR! QE, will see trading action get worse and get thinner … of course, no
matter what the BOE does, all hell breaks loose on the announcements as
scumbag banks look to screw those dumb enough to trade news with an
expanded spread and the slippage meter set on “TRIPLE FUCK YOU MAX” … so
until then, don’t expect anything to happen.
With absolutely ZERO happening up until the “Flu news” out of the U.S., GBPJPY
and both individual markets were stuck in the classic FWD scenario … only Yen
sees really a very bad low range for the day … up until that time algorithm
parameters literally sitting on top of each other, and at one point a 3 PIP move
would have set off a “buy signal”, and if it went back 3 PIPS it would have set off
a liquidation sell signal … seriously, in a volatile cross no less, how stupid is this
setup? … all you can do is laugh and leave it alone until action picks up, which
it did.
Only one algorithm buy signal today in GBPJPY … TURNKEY PAMM / MAM UP
SLIGHTLY.
The algo nailed the call … and after I got into the position, here comes the “sit,
sit, and more sit”, and if there’s one thing I hate, this is it … “OK, where’s the
“buy fuel”? … natch, I liquidate and 2 minutes later it takes off to the upside for
the only rally of the day post “Flu news” … but I don’t mind, cuz once I’m out I
don’t care what it does … more than likely if this scenario comes earlier in the
day I would give it “more room”, but heading into the last hour before Europe
closes and I have no patience for waiting and getting stuck.
Tomorrow’s MPC meeting decisions by the BOE comes at 7 AM EST … that still
leaves 5 hours of decent trading once they’re done, so tomorrow should be a
good trading day, unless they do exactly what the market thinks and everybody
shrugs their shoulders and says, “meh” and conditions quiet down quickly
… we’ll see what happens.
One final thing for today, and that’s regarding crypto … absolutely no finer place
to trade Ethereum [ETHUSD] than at COINEXX … I can’t find another house
anyplace that even comes close to the trading conditions for ETH at COINEXX
… ETH trades at about $236 per 1 ETH … margin is 20% or 5X leverage, but that
can be raised when depositing by choosing the “bonus margin deposit”, which
allows you to increase the leverage to 10X … this of course means that to trade
1 ETH at $236, your margin would be $23.60 … yesterday the Mrs. traded ETH
and enjoyed bid/offer spread of between 8 - 15 cents, and the round turn [RT]
commission to trade 1 ETH is ½ of one cent! … the action is somewhat “tamer”
than BTC, but it’s relative … don't be fooled into thinking this is somehow a
“widows & orphans” trade … far from it, this shit moves! … this week’s current
20 Day Range MA is in excess of $12 … pairs trade from Monday - Friday, with
only 5 minute downtime at rollover, which is at 00:00 [5 PM EST] … no trading
over the weekend, which can occasionally be a bummer, but it is what it is … for
you smaller accounts out there, this is like trading Apple stock, only this moves
much more, has lower margins, and the commissions are ridiculously low, and
if you're not trading crypto there’s something wrong with you!
We’re here to make money! … the only reason I’m not trading BTC and/or ETH for
the PAMM / MAM is that Turnkey doesn’t offer crypto [yet], otherwise I’d be trading
that … these 2 are the best markets out there, offering everything people say they
want in a market, and COINEXX by far has the best ETHUSD trading conditions
… it takes less than 2 minutes to sign up with COINEXX through my affiliate link
in the right hand column, and all you need is an email address … download the
MT5 [not the MT4], and crypto is on your screen with a demo account for you to
learn AND SEE how these 2 crypto pairs [ETH & BTC] trade … when you’re ready
to go live open a real account … if you’d take the time to LOOK, you would see
purer moves and better trading action than what you’re accustomed to in FX via
the scumbag LP banks … do yourself a favor and check it out.
… outta here … until tomorrow mi amigos … Onward & Upward!!
Have a great day everybody!
-vegas
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