Will there be Intervention in the Forex Markets
Rumors abound with the strength of the Japanese Yen if there will be an intervention to stop the trend. Many trend followers are long the Yen from various levels. Depending on their methodology and systems all have different entries however…I would dare to say all trend followers from forex traders to commodity trading advisors are long the Yen. I am long since May 6th.
The fact is I have no idea nor care about any of the politics of a possible intervention on the Yen. All I know is and follow is price action. The trend is up…has been up…and once in a while… and only very rare instances trends extend much more than I would ever expect.
When you trade …do not have opinions… let price action detail your reactions… No one knows any more than you know. Realize trend following in the forex and commodity markets takes patience. The truth of the matter is that for a rolling 25 months most trend following commodity traders as well as myself have not made substantial profits. It is a matter of treading water trying not to lose to much money….until when you least expect it…and those rare cases very quickly you make your years profit. That is why you do not have the luxury of picking trades when trend following. Take all your signals…do not second guess yourself or your methodology. You need to have tested it out…or if you allocate to a commodity trading advisor make sure you understand exactly his style and risk posture.
Have a plan and follow it with the utmost of Discipline.
Futures trading involves risk. People can and do lose money