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Tuesday, April 20, 2021

THE MOST IMPORTANT ELEMENT IN TRADING

 

“Proper volatility is the premise for making money from trading!”

If you don’t have proper volatility, it doesn’t matter what your trading model,

system, or algorithm wants to do, you aren’t gonna be making the proper profits

from trading … on the other hand, pandemic trading from March 2020 isn’t what

you want either cuz bid/offer spreads + slippage go off the rails and it’s

impossible to gauge risk … but there is a wide lane here for profits, you simply

just have to seek out those markets and ignore the others … and right now, that

means crypto is the space to be in, and MT4 markets should be ignored

[GBPUSD & gold the only possible exceptions].


Even though the day is about 2 hours from the European close, GBPUSD has

put in a pathetic 60 PIP range today [so far], so what good is it to any trader about

yesterday’s 180+ PIP range? … and it’s what I said yesterday in the blog about

INCONSISTENT VOLATILITY … one day great, then days in a row of pure dog poo

… so how is the trading algorithm [mine or anybody else’s] supposed to know

which days are great? … yea, me neither! … and it’s WHY the scumbag LP banks

do their utmost to “fix VIX” and control it like they do, cuz they know the secret

to making money in trading is UNDERSTANDING VOLATILITY … take that away

from you, and given their penchant for stealing money via mystery ticks / spikes

via slippage, and it becomes a very difficult game indeed. All other things being

equal, though, I give a slight advantage to Cable over gold, cuz its risk profile is

definitely LOWER when things turn to mush.


Gold as well, sitting with a $12 range [so far] … what the hell do you do with

this? … spread + slippage in this range almost guarantees a ride on that flaming

roller coaster from hell … where’s the volatility? … does this crap even “trade”

anymore, or is it simply straight up / straight down, and turn the corner when the

bank says so?… “well, if the market was “honest & fair” [hang on, I’m LMAOROFL

and need to get back up], we could bid the bid and offer the offer on an open

order book, and they wouldn’t be able to skim money from stealing like they do

… can’t have that, cuz where’s the money gonna come from to pay the POLS,

Apparatchiks, & regulators worldwide from any skim? … JPM steals a TRILLION

DOLLARS OVER 10 YEARS, and PAYS $10 BILLION IN FINES … do the math

Skippy, so how else do you explain they’re still in business”?


When VIX gets really “skimpy”, it creates “false positives” in our trading algorithm,

and that simply means losing trades … so, using the algo yesterday in Cable was

great … today, not nearly as good cuz the IVIX [intraday volatility] just isn’t there

…  and if it ain’t there, the trades aren’t going to be there cuz the algorithm won’t

give the proper buy signal, it’s no more complicated than that … ditto with gold,

but only worse cuz it moves faster and the bullion banks are a special breed of

scumbag lowlifes, whose specialty is running stops and handling out horrendous

slippage, for which they are infamously famous … which of course are “off the

market” but who cares? … and what ends up inevitably happening is you get on

that yo-yo “Flying Wedge of Death” [FWD], where it’s a succession of buying near

the high and selling near the low, usually multiple times, cuz you’re looking for

that breakout to expand the range … and it doesn’t come thank you very much

scumbag LP banks … it isn’t vastly volatile days that kill traders, it’s quiet days

getting smacked multiple times, and adding up the damages it becomes a real

shock to the senses at the end of the day … that’s why you gotta understand VIX

and how important it is to your business of trading! … and lately, only crypto fills

the VIX role truly well, and the MT4 markets are dog poo most days … hey, it is

what it is.


No trades today for the TURNKEY PAMM.


And if there ever was a market that had all of the underlying advantages to it, given

that the world is such a mess, it’s gold … and yet, it doesn’t TRADE, it just goes in

one direction, stops, then dies … and specifically in gold, if you get caught the

wrong way on one of those runs out of nowhere, the market isn’t set up to give it

back to you cuz it lacks the “trading action” necessary for that to happen … all of

course, the way the scumbag bullion banks want it, as they simply bleed traders

dry until they flip it around … all the while the dealers computer systems

calculating where the MT4 / MT5 indicators are to “flip” buy signals to the masses

so they can fade them … and when there’s no trading in the market other than the

flow they want, it becomes almost impossible to make money, cuz remember the

spread + slippage is a killer.


Even though the week is only 2 days old, gold keeps looking worse for wear with

each passing day … the risks mount, yet profit potential doesn’t … and it is risk

I’m most worried about with gold … that isn’t to say Cable can’t hurt you, it surely

can, only that trading action in Cable post BREXIT has settled down immensely

… starting tomorrow, while I’ll watch gold to see if its trading action becomes

better, I got no choice but to trade Cable again cuz it’s risk are lower … I’ll just

deal with the bullshit … I’d rather trade gold, but if it doesn’t want to play, and it

sure hasn’t given any indication that it does, all that’s left is CABLE on the MT4,

and hope to see better VIX in the days ahead … if not, how can it be any worse

than gold? … And while the FX space feels & trades like it’s a graveyard, Cable is

still the only major FX pair that has great low cost to trade, and the potential to

move … given 2 dead markets, at least Cable offers somewhat lower risk per

trade … so, let’s see how this goes the rest of the week.


Over the last 8 - 9 hours, TRXUSDT [TRON] has about a 700 tick range … that’s a

falloff from days past, that easily saw 1,000+ tick ranges during the same time

period [European session + some U.S.] … still, the IVIX is very good pretty much

all the time … these alt-coins don’t sit much, they move!, and that’s what the

trading algorithm really needs to be most effective at producing profits.


Multiple algorithm buy signals today in TRXUSDT … “The Syndicate” is UP

APPROXIMATELY 0.17%


Not real happy with my trading today, cuz I felt it could have been better … stayed

too long on a couple of trades and it cost us … still up money, but should have

done a better job on liquidations.


… outta here, until tomorrow … “the future’s so bright I need sunglasses”! 😎

… Onward & Upward!! 


-vegas





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