AUTOREFRESH 
We could “enjoy” these types of markets for another 12 months
By Sean Lee || March 18, 2010 at 01:38 GMT
|| 6 comments || Add comment
I’m thinking that we may need to adjust our trading styles to these present choppy markets and that we may be in a phase which lasts for 12 months or more. It’s difficult to see any major trend arising in the EUR, GBP, JPY or USD (barring a Greek tragedy) and I think we should be looking to make 400/500 pips maximum in any one market phase, book these profits and then go looking again for the next opportunity. Buy and hold big dips in the AUD/USD and then trade the other majors according to short term sentiment, that’s how I see the next few months evolving.
Did you get stopped out of your EURUSD long too?
Sean, what do you mean by… “should be looking to make 400/500 pips maximum in any one market phase.” Specifically the meaning of “phase”. If you mean 12 months as a phase that seems like a long time to only make 400/500 pips. Something like 30+ – 40+ pips/month.
Edwin, didn’t get stopped out on my EUR Longs… hit my TP
I didn’t explain that very well Rance. For instance in the cable, it has rallied from 149 to 153 so if you were long and bullish, perhaps its the time to book profits and step away. Similarly in EUR/USD, don’t be looking for big one way moves- if the mkt moves 500 pips in one drection then that is probably far enough. The only trend I see is in the AUD which is backed by strong fundamentals, solid demand, and attractive interest rates
Also what time frames are you working with sean?
Normally I expect to hold a particular strategy for 3 or 4 weeks. I’ve been long AUD/USD now for over 2 weeks but haven’t really traded it much. I was long cable but held that for less than a week as it hit my targets. I guess I work more in terms of profit targets rather than time frames. Sometimes I trade intraday as well but I try to do as little of that as possible as it’s very hard work.