This kind of headlines are screaming at us from every direction. Another ones I liked – “Wall Street nightmare continues” or “Global financial crisis”. FED seems to be bailing out everybody in trouble in order to prevent an all out panic. Instead of complaining, traders should embrace opportunities here. Depending on the market one trades, we might be seeing best moving markets for many years to come. Huge daily fluctuations create fantastic trading environment. To be sure, risks are elevated as well.
What I personally most fascinating here is the collapse of investment banking houses. Now, these are people supposedly best in this business, who have best access to markets, hell, they make the markets. Their stuff comprises of some of the smartest brains on the planet, after the best business schools and most experienced financial decision makers. How can they, collectively, fail so miserably? Just goes to show you how really difficult trading is.
I didn’t post update yesterday, something came up and I was busy. At any rate, since last post I made 2 trades in GBP-JPY, the pair I have been following for some time. One was loosing and the other one was a winner.

Running the risk of redundancy, I have another buy order at 192.10. Tomorrow I’ll post a longer term chart and explain why I’m so hell bent on buying this pair.
I think that we are going to see some renewed strength in Australian dollar. I’ll be testing it to the upside, trying different crosses, pretty much whatever looks best the moment. Currently it is AUD-CAD.

Order was placed to buy on a breakout above 0.8625 with an objective of  100 pips. Of course, I’m not sure if the worst is over for Aussie, but I”m willing to start testing it from now on.
Back to watching TV and reading financial headlines. Who is next to go out of business?

Mike K.