Hello community, hoping you are having a great week, I salute you. I want to continue talking about the topic I opened last Monday, when I started sharing some experiences of the past week in my life doing Forex trading, which made me think even more around this issue of emotions in this economic practice, quite risky by the way.
In this opportunity I bring to share two moments that serve as an example of market manipulation, which totally takes you out of the analysis that you had previously done, and goes against, which can make anyone lose control of their emotional stability. Without further ado, let's get started once and for all.
Particularly I do technical analysis, chartist analysis to be more exact, and also, prior to this I review the fundamental news of the day, and this has allowed me to have good results. In addition to this I apply 3 indicators that allow me to finish confirming what I can see on the charts and get an idea of what probably will happen. I do these analyses in the Tradingview platform, which is excellent for this purpose because it has many tools to facilitate the analysis.
I should also note that I have learned this technique from the person who serves as my teacher in this activity. And it works quite well for him, but like everything else, you have to adjust the strategy along the way.
As I mentioned, I bring a couple of examples, which particularly have taken me by surprise, and I am sure that more than one and unquestionably have put me to lose money, let's go with the first example below:
Well, in the image above we can see that in the EUR/JPY currency pair (Euro/Japanese) resistance point, Without a doubt I thought that the price was going to start the decline of the price, and in fact it started, but immediately this happened (Image on the right), which went totally against the expected, clearly a manipulation of the market to make many of us lose money, Who do we complain to in this case?, nobody, that's just the way it is.
This is why it is a very risky commercial activity, because the possibility of this happening continuously is permanent, so in front of this we must have very good risk control strategies, to avoid big losses. In particular, I am adjusting some details in this aspect.
Let's go to a recent example, it happened on Friday the 5th of this month, currency pair GBP/USD (British Pound/US Dollar), before continuing I must say that unlike the previous one, in this one I did not enter, so I did not lose. In the previous one I did.
After a few weeks somewhat disorderly movement of this currency pair, and managed to stabilize within a price range in which it rises and falls, then, waiting for the next support, was something "logical" to then wait for a price increase that would allow me to make a purchase. But, as you can see in the image, this currency pair did not respect the movement it had been making for some time now, and went lower than I thought, so the best thing I could have done was not to enter this trade, to wait before making the decision.
These are common things that can happen in the markets, and as I said, in which we have no control.
Thank you very much for reading me.
Any comments or suggestions, you can leave them in the comment box.
Excellent weekend to all.
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