A couple of days a week it seems like there are low momtenum days in the market. Today appears to be one of those days.
If you’re a swing trader or a long term carry trader, then this would not matter.
However, if you are into short term trades, then you need momentum type moves NOW and not days from now. There’s not one major currency pair up or down even 1% today. So to me, that constitutes a lack of momentum for the day unless that suddenly picks up.
For the short term trader, momentum (strong, quick trending moves) are your friend…and a lack of momentum (creeping trends or dull ranges) can be your enemy.
With that said, EUR/CAD and EUR/USD are the top movers on the day today so far. If EUR/CAD broke 1.6360, then there is a chance that the momentum could increase. If EUR/USD were to break and hold above 1.2820, then the same could happen for it.
However, it’s on days like these when I find that if I “lay low” and don’t trade, that I keep gains from previous days. Then I can look to another, more favorable day that would bring back the high probability trades.
To get started in this market, download a FREE demo trading station from this link: http://www.forextradingblog.com/practice-trading/ or by clicking on the “practice account” tab at the top of this page.
Sean Hyman
www.mywealth.com
www.forextradingblog.com
