Posts Tagged ‘GBP/USD’

Hi all,

If you think the trend has changed and the USD is going to be stronger or even if you think the opposite, you want to find the best spread out there.

for daily most of the companies offer 3 points spread but for September or December there is a difference. Again IG Index are not competitive and offer 12 points spread. City Index and Paddy Power trader offer better – only 8 points spread.

You may think that it is not a big difference but you will be surprised how much the spread is eating your profits. So shop around!

After the big fall of the British banks, the oil companies have much more influence on the FTSE 100. This means that the $ against the £ and oil prices set the tone on the index.

Today the oil jumped 9% and the GBP/USD is 1.41 if the oil and the $ can keep this level I would say that the FTSE 100 can go back to 4000 mark very quickly. And in my opinion the oil price on the long run will go up. After all as far as I know it is the most needed commodity and although the green revolution there isn’t any decent substitute to the black oil. So perhaps the FTSE 100 is not all gloom and doom after all.

Hi all,

On Friday I bought shares of Barclays at 48p. Today it turned out to be one of the best buy I ever did. They announced in the morning that they made a profit and they don’t need more money and the share went all the way to 88.70 a 73% gain in one day. Did I took profits? No. No? No. Why? because I think the share has more to gain. I target the 120 price but I know some people who look for the 150-160p.

Again I missed the GBP/USD my order level is still 13520 and it went down all the way to 13550 and then a huge jump to 13967… I don’t have luck with the GBP…

Another thing that I’ve made today was to go short on the Dax at 4332. This was a mistake. First I never followed the German market and I don’t know a thing about it. Second I didn’t have the right frame of mind to follow the trade. And third I didn’t set targets. So why I opened the position? because Paddypower has this nice tool on their homepage where you can see the balance between short and long that people are taking. So around 15:00 98% went long on the Dax. I thought 98% can’t be wrong and the RSI was at 82 level. I opened a position. 10 minutes after I was 40 points down. Now if you bet one or two pounds per point it is not that bad. But I was more than that and my profit from Barclays was at risk.

I’ve almost lost my temper and closed the position at lost. But I hold my nerves left the computer for 10 minutes and by the time I came back I was in the money. I closed the bet because I knew I didn’t have the time to monitor it. 10 points gain. Now I checked the Dax and I could made another 35 points… but lesson learned. Never opened a position on a market that you don’t know. And never use a stop loss on Index. It will cost you a lot!

By the way Paddypower spread on the Dax is just 1 point!

Friday wasn’t that good day for me. At 10:00 I saw the Dow around 7950 2% down even before the start of the trading. But I had to go out and I didn’t want to open a position when I can’t monitor it.

So I called my friend and asked him if he want to join me to put a long bet on the Dow. He said no. He already opened a position on GBP/USD at 13520. It is a good price he said. So I checked and it was 13502. Good I though to myself… but by the time I hung up the phone the price was already 13550 (less than 5 minutes…)

So I put an order to buy at 13520 and left home without open a position on the Dow. That was a mistake and I knew it…

The end? The pound went up and up to 13800 and the Dow jumped to 8100. And I was out… 450 points went a way! The only thing I managed is to catch Barclays at 48p. Now it is 51.2. But I think it has a good chance to bounce back to 80-90. I do hope!