Just thought I would open up this topic for discussion.
It seems to me that this method of picking trades would be the best way to find a profitable opportunity, for the following reasons -
1. The very principle of making a profit in the forex market is to Buy a strong currency against a weak one, so technically speaking, if the currency you are buying is not stronger than the one it is paired with, you aren't going to make a profit.
2. Observing individual currency strength and weakness allows you to pin point pairs which have the most potential for trending and alerts you to those pairs which will most likely get stuck in a range.
3. This method gives you the ability to clearly identify future opportunities. For example: You observe that the EUR is flat for a day or two, you also observe the USD going long. This tells you to keep your eyes on the EUR for a potential breakdown, which would give you a nice shorting opportunity on the EURUSD pair.
This approached has worked well for me and lends alot of clarity to intraday analysis. Keeps me from getting surprised by a big move, as I will usually be waiting for it.
What do you guys and gals think? Please discuss.
-fighter
It seems to me that this method of picking trades would be the best way to find a profitable opportunity, for the following reasons -
1. The very principle of making a profit in the forex market is to Buy a strong currency against a weak one, so technically speaking, if the currency you are buying is not stronger than the one it is paired with, you aren't going to make a profit.
2. Observing individual currency strength and weakness allows you to pin point pairs which have the most potential for trending and alerts you to those pairs which will most likely get stuck in a range.
3. This method gives you the ability to clearly identify future opportunities. For example: You observe that the EUR is flat for a day or two, you also observe the USD going long. This tells you to keep your eyes on the EUR for a potential breakdown, which would give you a nice shorting opportunity on the EURUSD pair.
This approached has worked well for me and lends alot of clarity to intraday analysis. Keeps me from getting surprised by a big move, as I will usually be waiting for it.
What do you guys and gals think? Please discuss.
-fighter