SPECIAL SUNDAY UPDATE: GBPJPY DATA IS POSTED

“All he wants to do is trade GBPJPY!”

Appendix B: GBPJPY 8 hour & weekly data is now available for viewing and/or download over in the “Download Links” section in the right-hand column, for those interested.

To summarize briefly, the 8-hour data [08:00 – 16:00 server time Turnkey], and the weekly data show the following; Average 8-hour range [1/1/17 – 9/1/17] = 102.9 PIPS; Median 8-hour range = 80.8 PIPS. Remember, for GBPUSD, the Average 8-hour range = 76.2 PIPS; Median 8-hour range for GBPUSD was = 61.3 PIPS. That places GBPJPY approximately 35% more volatile in the Averages, and approximately 32% in the Median.

The weekly data is even more impressive for GBPJPY; data for the approximate 5 ½ years since the start of 2012, shows the weekly Average range = 384 PIPS, and a Median = 288 PIPS. By comparison, GBPUSD Average weekly range = 262.2 PIPS, and the Median = 204.8. Therefore, with the weekly data, that places GBPJPY approximately 47% more volatile than the Averages, and approximately 41% in the Median.

During this 8 hour period, GBPJPY is approximately 1/10^th to 2/10^th’s of a PIP higher in the spread than GBPUSD; any way you want to “slice this up”, what you end up looking at is 1/3^rd [33%+] to almost 50% greater volatility in a market for 1/10^th or 2/10^th’s of a PIP. By not trading Asia, you avoid Yen news, so from a “news cycle” standpoint it’s the same as GBPUSD, simply cuz the data for Japan is already out.

I did some slightly more analysis in the weekly data for GBPJPY; I went back to the start of the “financial crisis” in 2007, which was the week of 7/14/2007. From that point until now, just a few weeks short of 10 ½ years, and approximately 530 weeks. Out of these 530 approximate weeks, 40 had weekly ranges under 200 PIPS; 9 of those occurred in major Holiday weeks, so that leaves 31 weeks out of 530 that had legit ranges under 200 PIPS without an excuse. That comes out to approximately 94.5% of all weeks where volatility is present in the market, and approximately 5.5% of all trading weeks that could be considered “sub-par” … and I didn’t consider Central Bank meetings, elections, and other events that might have contributed to a slightly less volatile week until the information was released.

Now, I fully realize that GBPJPY isn’t a completely non-correlated market; Yen is in the denominator, and it’s about as “correlated” as it gets, so what I give up in terms of “correlation” has to be less than what I’m gaining in terms of volatility and “net” trading costs. And, viewed that way, I think the advantages are definitely with us; remember, the 2 most important elements in trading are, in order of importance, 1) intraday volatility, and 2) low spreads and RT commissions. Well, we have that in “spades”; in fact, I can’t think of any pair on the board that is consistently better. I would also add, that coming in third on the “important elements” list would be liquidity; but make no mistake, if you get caught in a GBPJPY spike the wrong way, it’s just as painful as it is in any other market, so we’re not avoiding that … but on the whole, I haven’t had any “bad” fills in GBPJPY that I would consider outrageous … sure, a tenth or two off the bid or offer occasionally, but that is to be expected … however, I’m consistently getting “hosed” with fills in GBPUSD with “mystery ticks” filling me no matter the market situation. For example, I’m long and the market starts to rally … I go to liquidate on the uptick, and I get filled 1.1 PIPS lower on a “mystery tick” down, that immediately goes higher, and I’m stuck with the low sell fill; nothing infuriates me more than this crap.

In the final analysis, I made the decision on last Wednesday night to go to GBPJPY starting this week; I didn’t expect the Cable LP’s to be such crooks & thieves, but it is what it is. In essence, as the data shows, we’re getting 30% - 50% more market for 1/10^th to 2/10^th’s of a PIP … and that’s the real reason for the switch; we need more volatility, and this market gives it to us.

One more thing before I give up and move on from the scumbag LP’s in Cable; some of you may think I’m “whining” simply about fills that are off a “tad”. Well, I don’t think getting filled 1 PIP or higher off the market is whining, and while I got them “red-handed” giving me a $5 loss, when there is no possible way the computer should have accepted the order, since my “Take Profit” is below my fill … “how the hell does that happen HAL9000”? … I noticed after I got the spreadsheet updated and I was filling it in, that another trade I did my liquidation occurred at that exact minute and second of a new M1; that’s right, the order was liquidated at exactly 13:58:00 and my liquidation fill was 1.32227 … take a look at the GBPUSD M1 on your MT4 with Turnkey, and please notice that the “bid price” open at 13:58:00 is 1.32236 on 11/10/2017 [I guess they didn’t want to go the “full PIP”, instead ripping us off by 0.9 PIPS and hoping nobody notices] … I rest my case, and both orders I have complained vigorously with Turnkey and am waiting a response back from the LP. The order is directly below for you to see.

[Please, click too enlarge]

When I get a response from both, I’ll post the emails so everybody can get a laugh at the twisted pretzel logic the HAL9000 comes up with to defend itself. Don’t for a second think I’m expecting anything other than the usual LP BS about moving markets, and “blah blah, yada yada” bat guano they want everyone to eat; however, you and I both know what’s going on, and all I’m really doing is exposing them for the scumbag thieves they know they are. Enough of this until they answer back.

PAMM spreadsheet directly below. Figured out the problems, and hopefully, they shouldn’t appear again.

Have a great rest of your weekend everybody!

-vegas

OUR TURNKEY FOREX “PAMM/MAM” IS NOW OPEN AND OPERATIONAL; SEE “PAMM/MAM MONEY PROGRAM” IN “DOWNLOAD LINKS” SECTION IN RIGHT HAND COLUMN FOR DETAILS [VIEW ONLINE AND/OR DOWNLOAD] AND START YOUR JOURNEY FROM WHERE YOU ARE AT TO “ESCAPE TO SUCCESS”!