Category: Reader Questions Answered

I get loads of questions about trading and the markets. Those that I think have broad interest to readers I answer here for everyone to read. This is the collection of those questions and answers. If you have a question, use the Contact link at the bottom of the page to submit it.

Technical analysis in manipulated markets

This originally went up on the Currensee blog, but I think it’s something that this audience will …

More practice means faster trader development

There’s a post on the Kirk Report blog in which a new trader asks about how he …

If a system works why share it with the world?

A member of the BabyPips forum asked the other day “If a system works why share it …

Trader looking for angel investors

A recent site visitor sent me a question via the contact form. It brings up something I’m …

Trading currency crosses direct or through the legs

The following question came in from one of my newsletter subscribers the other day. It asks about …

Thin holiday markets and new year volume pick-up

The following two questions came in from one of my newsletter subscribers in regards to comments I …

Forex broker arbitrage

There’s been a new “automatic profits” systems launched recently (and I think you know how I feel …

Picking the right indicator(s)

This question came in the other day from a developing trader on the subject of technical indicators. …

So you want to mirror my trades?

I had the following come through from a reader the other day inquiring about automatically mirroring my …

Reader question on trading opening gaps

A site visitor recently submitted this question: Hi, Can you please tell me if it is possible …

Vague requests for trading advice

Vague requests for trading advice are both useless and indications that the trader is falling short in thinking about his trading.

CANSLIM and market trend

Someone asks whether it’s important to factor current market trend into the CANSLIM stock trading strategy.

Suggestions for one in the early trading stages

The following comment was left on my Amazon review of Essentials of Foreign Exchange Trading. The poster …

Wanted: A very simple basic/layman manual

This question came in from a member of my mailing list. I thought it might be something …

What’s going on with volatility?

Yesterday Michael Covel posted a reader question on his blog: “As i am going through my different …

Using Daily or Weekly Trading Goals

Day traders usually talk about their daily and weekly goals. Someone told me that this is typical …

Investing in forex

I’ve been working on a short article that will likely end up on a Reuters blog at …

Is the Forex Market Too Big to Manipulate?

One of the readers at Forex Live asked the question: “What would you say about the FX market …

Addressing Expo and Trading Education Skepticism

A recent post comment left by a reader on the subject of trading conferences begs to be …

What about the Forex Market?

Frequent emailer Rod is back with another worthwhile question. Hi John, I know you are a position …

Using Other Traders’ Mistakes to Improve Your Trading Performance

During the Swingers, Scalpers, Holders panel discussion I did with Currensee a little while back, fellow panelist …

Subscription Services as Part of Trader Development

During the Swingers, Scalpers, Holders panel discussion I did with Currensee a little while back, a question on …

Working Out Position Size in Forex Trading

I got this (slightly edited) private message inquiry from a Trade2Win member yesterday. It gives me a chance to …

What about all the toxic debt?

I am reading an outlook for the US Economy from a well known forecaster, and he claims …

Resources for Finding a Trading Coach

A question came up during the recent Swingers, Scalpers, Holders panel discussion I did for Currensee which we …

Adding on to The Essentials of Trading

Hi John, I hope this email finds you well. My name is Lee Rush and I’ve just …

Is the Japanese Yen a Safe-Haven Currency?

Frequent trading question-asker Rod is back with another one. He sounds worried that he’s asking a foolish …

Entering Trading Positions Around News

Last week I took part in a Currensee panel discussion titled Scalper, Swinger, or Holder. The main …

Do you know a good end of day strategy?

Here’s a question which came in by email from a trader named Adam. Do you know about …

Answering Trading Questions Taken to the Next Level

If you’ve followed this blog for any length of time you’ll know that I answer a lot …

Forex Rollover and Carry Explained

One of the complexities of trading foreign exchange is the whole rollover and carry interest aspect of …

Is The Essentials Of Trading applicable to trading options?

An emailer by the name of Daniel asked: My question: Is “Essentials Of Trading” applicable to trading …

Find a Trading Mentor

John, I have a question. I am a novice trader who has been trading the emini S&P’s …

On Elliott Wave, Implusive Trading, and Trading Plans

I’ve had a few questions come in over the last several days which don’t really require a …

Is Trading for a Living Worthwhile?

Here is a very good inquiry I received from a trader named Yvan in Bern over the weekend …

Understanding Currency Moves Requires Looking Deeper

Reader Rod is a good one for sending me questions, and generally interesting ones at that. Here’s his …

Taking Your Trading to the Next Level

A really interesting question came in overnight from a trader who is still relatively new to it …

The Cost of Forex Trading

I was asked by frequent emailer Rod to address something he came across regarding the cost of …

The best forex trading technique or trading system

I got the following email over the weekend. Let me know what your immediate response is. I …

Stock Trading is Not Zero Sum

I recently got a zero sum question in regards to the stock market. The one question I …

VectorVest and Trading Forex in IRAs

Back in action after nearly a week off leading up to my 40th birthday! It’s nice to …

Market Makers and Opening Gaps

I received the following email from a trader named Ben. I do have a question regarding the …

Correlation analysis for trading position diversification

I got the following inquiry from the ever-curious Trader Rod. A few questions concerning correlation between two …

How much do traders lose before becoming winners?

The following was posted by a trader on a forum recently. It’s a question which comes up …

I don’t use stops. What do you think?

I got the question in the title of this post from a “fan” of The Essentials of …

System Back-Testing and Indicative Forex Data

Frequent emailer and commenter Rod sent me another good question yesterday, on the subject of trading system …

Avoiding a Covered Call Being Called

A former classmate of mine from my undergraduate days (he and I were officers for the Finance …

Screwed by his forex broker

The following rant was posted in a forum by a clearly frustrated forex trader claiming his broker …