Tuesday, May 22, 2012

NICKEL & DIMED


                                 Now This Is Having A Bad Day

This entire day was just ugly; gold, currencies, stocks, take your pick. All night and day I just got nickeled and dimed the whole time. We had the dreaded “Flying Wedge of Death” in gold today, wrapped around $20 down, $18 up, and then $22 down with the obligatory $5 rally into the close to trap some shorts once again. I managed to avoid most of it, and the few bucks we did lose came about via slippage on fills [something that will hopefully end when we leave HotForex].

The money lost today isn’t much in dollar terms; a few large pizzas. What bothers me is the price action; long stretches of nothing and then quick violent bursts. You are either in the train, or you are left standing at the station; nothing in between. Up or down, it didn’t make any difference, as they both came out of nowhere at different times in today’s trading session.

Currency pairs weren’t much better; just ugly action on both sides.

What can I say really; the algorithm gave the signals and we got our trades. When the market turned it went so fast that the small profits we had on the trades were losers within a second. You just hope when you hit the button the dealer isn’t going to take you out back and shoot you.

 Tomorrow’s another day.

Have a good day everyone.

-vegas

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