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Tuesday, 11 February 2014
NOTE TO SELF: DON'T ENTER TRADES JUST BECAUSE THE MARKET IS OPEN
Its a common mistake to want to always be in the market. Unless you are providing liquidity to the market or scalping for a big hedge fund, its best to wait for proper opportunities in the market. Made that mistake yesterday was down 150pips and 24 hrs later is when I am recovering from the losses. There will always be opportunities in the market. As George Soros in his argument against the efficient market theory said, the market is all about formulating a hypothesis and testing it against the market. If it holds you make money, if it doesn't it means you are wrong. If you don't have any strong hypothesis or if your hypothesis gets negated, stay out of the market.
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