Trade Against The 90% That Lose Money 4th Nov

Retail traders are notoriously wrong at picking market direction/tops and bottoms. Most retail traders very naturally seem to adopt a counter-trend stance and this offers very accurate signals for individuals looking to trade against this group. This daily report is designed to help traders focus their efforts on higher probability pairs.

So what are the signals?

Strong Short 66% Retail Longs

Short 60% Retail Longs

Long 60% Retail Shorts

Strong Long 66% Retail Shorts

We are looking for 60%+ (Ideally for best opportunities 66%+) of retail traders to be trading either long or short a currency pair, we then look for opportunities to fade (trade against) this group. For example if 72.99% of traders are long the USD/CHF we look for opportunities to short that pair.

The pairs that we feel offer the highest opportunity for success are described in the Strong Short and Strong Long areas.

What’s New Today? The EURUSD, GBPUSD and AUDUSD have slipped back into the neutral zone, after a couple of very strong up days in the Long zone.

Provided by Pivotfarm - The Home of Support and Resistance Trading

Comments

[MarkCaplan]

How does PivotFarm know on a daily basis how the lowly "retail traders" are positioned? The CFTC's Commitment of Traders Report is issued only on Friday's for positions reported in the previous week.

[mmlevine]

I keep chosing to be short and keep losing:

1. I'm fighting the Fed.
2. I'm playing in a rigged market.
3. I take too big risks for my capital (buying deep OTM puts in 100 lots).

Am I the textbook case of a terrible trader?

[Bartanist]

I read your first article then stopped. The 90% who lose, lose not because the gamble on the wrong direction. They lose because "curently" fundamental analysis is a contra-indicator of how the markets really work. Prices are fixed by the banks. There is no free market. If the 90% bet the other way, then the banks that are stealing their money would simply adjust to manipulate prices to maximize profit by manipulating in the other direction.

There are three winning solutions: 1. be the bank. 2. be an agent of the bank doing their bidding. 3. go under the radar with inside knowledge.

I choose none of the above.