AUTOREFRESH 
Sell low, buy lower not working out
By Jamie Coleman || July 9, 2009 at 16:36 GMT
|| 8 comments || Add comment
The old Wall Street axiom is “buy low, sell high” . In forex, where lots of traders try and take advantage of momentum , they will sometimes try to sell low and buy lower. Looks like they tried that strategy yesterday but never got the chance to buy ‘em back on the cheap. Now they are being forced to do the dreaded: buy high.
EUR/USD has reached 1.4072. There is not much technically standing in the way between present levels and recent highs at 1.42…We’ve already retraced more than 61.8% of the 1.42/1.3830 decline.
for the love of god someone go wake the SNB up. I really dont understand how this eurchf works. eurusd is up 230 pips or so from the low, and eurchf is sitting right on the low. yet who in their right mind would be shorting it to push it down?!?! and if eurusd and eurjpy is flying, how the hell is eurchf not? gaaaaaaaaaaaaaaaaaaaaah!
@ DC – I guess as it was written in a previous post today, people are unwinding EUR/CHF longs/buying CHF on every uptick…happened so earlier today, when reportedly BIS bought a few pieces more than actually supplied…if this is not blocking too much of your margin, just wait and focus on another pair, that is all you can do I am afraid…
Tomorrow I will work dressed as a clown with a spinny-round bow tie and red nose ‘cos trading has become a circus.
its blocking far too much of my margin at present. i missed the bis earlier or would have closed a bit of it. doing my head in missing these huge gbpjpy moves. i wanted to take long swing trades from 147, now its 500 pips above that!!
Don´t think about what you´ve missed, even if I know exactly what you mean…in this “circus”-markets as Blacky rightfully named ´em I feel better off trading only small positions, but then in several different pairs. Would recommend everyone to do so as risk/margin/flexibility, etc. leaves you better off, and even small amounts do mount up over time ; )
Blacky I will watch out for ya then 2morrow ! Shouldn´t be difficult to spot ya in the city-crowd ; )
Honk Honk!
It’s all fingers and pies though, safe. Far too much to watch over when things get out of hand. Chart-wise, all I have on screen are EUR/USD, USD/CHF, GBP/USD and EURGBP although I can see at a glance quotes from several other pairs simply to monitor cross movements and even then, it’s difficult knowing exactly what’s what. I much prefer to stick to the major majors, erm, if you know what I mean.