Cognitive Trading Biases: #2 – Minimalisation bias

In a previous article we addressed the concept of cognitive trading biases as a barrier to potential successful implementation of a trading plan in the heat of the action you “press the button” on entry or exit action. In this article we examine another common cognitive trading bias, termed minimalisation bias.   Trading biases revisited People have inbuilt set of belief and value...

Inner Circle Video: Markets in turmoil – Risk and opportunities

At this special Inner Circle session Mike Smith (GO Markets), Cameron Malik and Mark Austin (Magnetic Trading) will be picking apart the events that have led to where we are now and outlining the significant risks and equally opportunities that may exist over the coming days, weeks and months. We looked in detail at Indices, equity markets, commodities and Forex events and make suggestions...

Should current market volatility merit a review of how you are trading?

  Volatility revisited Volatility is a measure of the range of price movement over a defined period on a specific timeframe on which any calculation is performed. It may increase or decrease dependent on market conditions and aims to provide the trader with an indication as to whether the range price movement in subsequent candles/bar is likely to be large or small. Of course as with the...

Revisiting Your Trading Profit Target Strategy

  Using profits targets in trading, irrespective of trading vehicle chosen (e.g. Forex, Index/commodity CFDs, Share CFDs), is commonly discussed as potential exit strategy. The reality however is that these are often executed with a lack of consistency with ambiguity in trading plan statements. This article revisits profit targets and outlines some key issues to consider in your trading...

Video: Inner Circle – Interviews with successful traders – Nigel Hawkes

Please find the recording of the Latest Inner Circle session, the first in our NEW interviews with successful traders series. Nigel Hawkes is the epitome of a lifetime trader, now at 71 he trades for a living. Hear his fascinating trading journey, the foundation principle of “Six ways the market moves” and his 3 golden rules he abides by in his trading on a daily basis. You can...

Managing risk and opportunity when accumulating into a profitable open position

Position accumulation is to increase exposure to a currency pair or CFD, by adding a second (or more) position in the same trading direction. Although on the surface the opportunity to increase potential return is attractive, there are also risks that MUST be at the forefront of your thinking. Are you ready to accumulate? Before considering position accumulation to your trading behaviour, it...