QUICK UPDATE: AUDUSD - Sell Now? Nope! Better Know The Count!

4 thg 1, 2017

Time and time again, I see traders trading not knowing where prices are and what is the probability of success. This is where knowing the wave count is a MUST! Without it, you are only seeing half the picture and basically trading blind! You see, wave counting is like a roadmap to where prices are going. Just like when you are driving, if you don't know where you are going and more importantly how to get there, then you are basically lost! Yes, I know we've got GPS to guide us now! So maybe you can say wave counting is like a trading GPS! Read it properly and it can tell you when to turn and when to go straight! Without it, you are driving blind hoping to bump into road signs that might tell you where to go. How to plan a trade properly without knowing what might to expect?

Here is a case in point. I see some of you trying to SELL now on structure! Ask yourself. Are you selling on structure thinking to gain a few small pips on a rejection? Or are you trying to sell thinking to get in on the main downtrend? What is it doing right now? Is it correcting the main downtrend right now? If so, how long do you expect the correction to last and how far will it correct? You don't have a clue? Then how do you expect to win the trade?

Ok, full disclosure. I AM SHORT on this pair right now since last year! Yes, I have been holding a SHORT trade since Nov. 9th! Almost 2 months now! But currently, my members and I are up almost +400 pips on this trade and I am expecting MUCH MORE to come! So I am NOT against prices resuming the downtrend and falling! I WANT IT TO FALL! But I also know that it isn't going to just keep falling without correcting! Go look at my last post on this pair here:

But anyway, what I am showing you here in my chart is that this is currently in a pullback correction and headed higher probably back into the .73200 level where both a POTENTIAL Bat and a POTENTIAL Crab will have both been filled. This pullback is only PART of the larger wave (3) down so that means that the bigger downtrend is NOT DONE according to wave count and knowing this is only a correction, you should look for a sell BUT NOT RIGHT NOW! Me? I'm holding onto my SHORT position and my members and I will be cashing out hundreds of pips when this downtrend is all said and done!