Mastering Emotions In Trading - Part I

Expert:  Jay Lakhani, Professional trader author of The way to trade Forex   
   
Topics that will be covered for above session are: 

•    Technique or Psychology
•    Emotion and Mental Fitness
•    Beliefs
•    Trading Plan
•    Trading System & your Rules
•    Information Overload

Though different traders will have a different perspective as far as psychology in trading is concerned. However, in my opinion success in trading is 90% psychology. I could give a perfect trading system to ten people, and all are likely to have a different trading performance. I believe that a trader with a sound mental fitness but a poor methodology will perform better than a person with the best trading system, but poor mental fitness...

Is it the fault of the system? Or is it the psychology which hinders your success?

Who is Jay Lakhani?

Jay Lakani is a professional trader and has been involved with markets since his early twenties. He has extensive experience of both the US and UK stockmarkets - trading in derivatives, forex, index and stock futures, and commodities.

Jay uses Technical Analysis in his trading, and believes that successful trading is based on your strategies and techniques, psychology and having a disciplined money management.

Session Transcript:

FXstreet Moderator (Jun 6, 2006 9:32:54 AM)
Good morning, good afternoon, and good evening to all of you joining us today from different parts of the world. Welcome to today's Live Forex Expert Question and Answers session.

FXstreet Moderator (Jun 6, 2006 9:33:28 AM)
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FXstreet Moderator (Jun 6, 2006 9:43:24 AM)
Welcome to FXstreet.com Q&A Forex Session. Today’s session will start in 10 minutes.

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FXstreet Moderator (Jun 6, 2006 9:56:38 AM)
Our guest host will first start answering a selection of the pre-registered user’s questions, and then he will answer live Questions sent to the FXstreet Moderator during the course of the session. In order to stay tuned and have 100% implication in our brand new Q&A sessions, we strongly encourage you to enter the chat room 10-15 minutes before the session starts, to start the reading of the guest’s speech and prepare any questions you might have on it.

FXstreet Moderator (Jun 6, 2006 9:57:10 AM)
Welcome to the Session. Today I am delighted to welcome our guest speaker Jay Lakhani, Professional trader author of 'The way to trade Forex'.

FXstreet Moderator (Jun 6, 2006 9:57:34 AM)
Let’s begin with our guest expert answering some of the great questions that you all have posted when registering for the session.

Jay Lakhani (Jun 6, 2006 9:58:32 AM)
Hi This is Jay Lakhani - Good morning, afternoon and evening to everyone across the world and thank you for joining us in the showroom

Jay Lakhani (Jun 6, 2006 9:58:47 AM)
Firstly I would like to thank FXSTREET for offering this wonderful format, to discuss about psychology of trading, and how emotions can affect your trading. This session is aimed to assist you in how you can become a better trader, and how you can use your emotions.

Jay Lakhani (Jun 6, 2006 9:59:09 AM)
The Q & A session is split in 2 parts, today we cover part 1. Part 2 will be covered on 14th July. I also intend to cover this topic in one of the FXSTREETS open webinars

Jay Lakhani (Jun 6, 2006 9:59:26 AM)
Part 2 will cover the negative emotions, and how you can overcome this. So what negative emotions affect you? If you want to write to me about this, than feel free to do so, feedback@4x4u.net. Write down at least 4 negative emotions that has hindered your trading, and I shall try to cover this in the July Q & A session

Jay Lakhani (Jun 6, 2006 10:00:02 AM)
I hope that your participation will be enjoyable and educational

Jay Lakhani (Jun 6, 2006 10:00:12 AM)
Please feel free to ask any questions at anytime

Jay Lakhani (Jun 6, 2006 10:00:25 AM)
For the next 7 days, we have a SPECIAL OFFER FOR FXSTREET members.  For more details kindly to go http://www.4xmentor.net/special_offer.php This offer includes, a free Live Forex Webinar, 1 year worth of Video tutorials, follow up service & mentoring for a month, and also assistance is devising a winning trading plan followed by  a free evaluation of your trading plan.

Jay Lakhani (Jun 6, 2006 10:00:45 AM)
I look forward to welcoming you to be part of the successful Bindal FX community of Forex Traders

Jay Lakhani (Jun 6, 2006 10:01:10 AM)
I will now commence with my presentation, thereafter I will take your questions

Jay Lakhani (Jun 6, 2006 10:01:25 AM)
Mastering Emotions In Trading

Jay Lakhani (Jun 6, 2006 10:01:36 AM)
Technique? Or Psychology?

Jay Lakhani (Jun 6, 2006 10:02:02 AM)
Though different traders will have a different perspective as far as psychology  in trading is concerned. However, in my opinion success in trading is 90% psychology

Jay Lakhani (Jun 6, 2006 10:02:26 AM)
I could give a perfect trading system to ten people, and all are likely to have a different trading performance. I believe that a trader with a sound mental fitness but a poor methodology will perform better than a person with the best trading system, but poor mental fitness

Jay Lakhani (Jun 6, 2006 10:02:54 AM)
Is it the fault of the system? Or is it the psychology which hinders your success.

Jay Lakhani (Jun 6, 2006 10:03:07 AM)
What is Emotion? – Your mental fitness.

Jay Lakhani (Jun 6, 2006 10:03:19 AM)
It is a person’s intense mental state that arises subjectively rather than through conscious effort. This results in strong feelings, for example Love, hate, courage, fear, joy, pleasure etc. This feeling can be both painful and pleasing. You can have Positive emotions as well as negative emotions

Jay Lakhani (Jun 6, 2006 10:03:37 AM)
Emotions will interfere with trading, no matter if you are a master trader, or a newbie, and it is how you deal with emotions will determine between success or a failure as a trader.

Jay Lakhani (Jun 6, 2006 10:04:18 AM)
Negative emotions is one of the major factor associated with trading failures. The trader is focused on the negatives – Fear, ego, failure, self sabotage etc.  The result of this negative focus is that it drains away tremendous amount of energies away from the learning process

Jay Lakhani (Jun 6, 2006 10:04:46 AM)
Emotions is not a bad thing, it is how you handle it.  For example a master trader will no doubt be disappointed with a loss but will quickly overcome this failure, pull himself together and move his focus onto to the next trading opportunity. On the other hand a less successful trader will be unable to let go this failure

Jay Lakhani (Jun 6, 2006 10:05:06 AM)
the key is " HOW YOU HANDLE THE EMOTIONS"

Jay Lakhani (Jun 6, 2006 10:05:23 AM)
Beliefs

Jay Lakhani (Jun 6, 2006 10:05:34 AM)
To an extent, your beliefs will determine the state of your mental fitness. Beliefs are your attitude. It is an agreement with a view, you are convinced with that view, whether it is right or wrong. You are placing trust and confidence with that view. So how can you change the belief? You have to examine the basis of your belief system, you have to gather evidence for that belief and ask questions

Jay Lakhani (Jun 6, 2006 10:06:27 AM)
Every mistake is a learning experience, as I have often said you are your biggest mentor. We can learn from the mistakes that we make. So when you have a string of losing trades, instead of feeling frustrated and disappointed, accept that you have made a mistake, ask yourself what happened? What is it? And why did it happen? That is one of the way you can change your present limiting beliefs. Your beliefs will shape your emotions such as fear and greed

Jay Lakhani (Jun 6, 2006 10:07:03 AM)
TRADING PLAN

Jay Lakhani (Jun 6, 2006 10:07:23 AM)
I always tell traders that the trading plan in one of most important aspect of trading. Once you have this plan you must maintain the necessary discipline to follow the plan, this will contribute to your success. The trading plan should fit your personality and beliefs, it is no point having say an EMA xover, if it conflicts with your belief system

Jay Lakhani (Jun 6, 2006 10:08:07 AM)
TRADING SYSTEM AND YOUR RULES

Jay Lakhani (Jun 6, 2006 10:08:18 AM)
A trading system is a group of specific rules or parameters that determines an entry or exit point for a given trade.

Jay Lakhani (Jun 6, 2006 10:08:28 AM)
Your trading system must be simple yet very effective. When you have devised such a system you follow it rigidly. You do not chop and change, but ONLY change it if it does not work

Jay Lakhani (Jun 6, 2006 10:09:05 AM)
When you have a set of rules they must be kept simple and straightforward. If you stay foccussed on your plan you are likely to do well. In simple terms if you do not follow your rules, you are likely to fail. You have a choice to make, either you are going to follow your rules or you are going to walk away from trading

Jay Lakhani (Jun 6, 2006 10:09:29 AM)
INFORMATION OVERLOAD

Jay Lakhani (Jun 6, 2006 10:09:42 AM)
Today we have so much information – data overload. Despite having super computers, multi screen monitors, great charting packages, technical analysis in abundance, lot of opinions from trading analysts and Gurus - traders are still failing.

Jay Lakhani (Jun 6, 2006 10:10:10 AM)
Today traders are studying more and more, they subscribe to so many services – often these services give out contradictory opinions.  They learn new indicators, they buy and read lot of books, They join and listen to virtually all the chat rooms. This results in a total information overload. The trader ends up totally confused.  Information overload will affect your stress levels. Stress will affect your trading decisions.

Jay Lakhani (Jun 6, 2006 10:10:44 AM)
There is absolutely nothing wrong going to all the webinars, joining the chat forums, reading lot of books, What is important is how you use this information

Jay Lakhani (Jun 6, 2006 10:10:59 AM)
ON THE CONTRARY IT IS BRILLIANT WAY TO LEARN.

Jay Lakhani (Jun 6, 2006 10:11:15 AM)
What is important is how you use this information. How you ask questions?

Jay Lakhani (Jun 6, 2006 10:11:28 AM)
A successful trader will digest the most essential information and will choose the relevant information that applies to his trading style and psychology.

Jay Lakhani (Jun 6, 2006 10:11:49 AM)
I will now take questions. So please feel free to ask any questions

Jay Lakhani (Jun 6, 2006 10:11:59 AM)
I will begin by answering the pre-registered user questions

Jay Lakhani (Jun 6, 2006 10:12:19 AM)
how do you deal with several losses in a row even if you are adhearing to your trading strategy? joe77199@

Jay Lakhani (Jun 6, 2006 10:13:28 AM)
Good question Joe.

Jay Lakhani (Jun 6, 2006 10:13:40 AM)
What I strongly sugges t you do is go back to basics and have a look at your trading plan. Are you happy with the methodology? What is the consistency of it working in your favour?

Jay Lakhani (Jun 6, 2006 10:14:16 AM)
Yes indeed you can easily create a system which has a high probability entry. For example for the week ending 26th May, I covered Live analysis of the Euro for my mentoring members, and throughout the week there was only 1 losing trade.

Jay Lakhani (Jun 6, 2006 10:14:35 AM)
The Bindal FX GOLDEN RULE is No Signal - No Trade!

Jay Lakhani (Jun 6, 2006 10:14:58 AM)
Cut the number of trades, and only focus on high probability trades

Jay Lakhani (Jun 6, 2006 10:15:10 AM)
Secondly, review your money management rules, are the trade enough time to work for you or against you? You should review where you place your stops. This is very important.

Jay Lakhani (Jun 6, 2006 10:15:29 AM)
Are your targets realistic? Are you getting in profit before it goes into a loss? I always advocate taking incremental profits.

Jay Lakhani (Jun 6, 2006 10:15:51 AM)
Q.) hii jay, i would like to know... should a person enter a trade, while he is highly emotional or should he keep him out in those moments.thanks sachin.  kevink134@

Jay Lakhani (Jun 6, 2006 10:16:08 AM)
Yes and NO!

Jay Lakhani (Jun 6, 2006 10:16:20 AM)
All traders are different, and it is how you handle this emotions – that is the key

Jay Lakhani (Jun 6, 2006 10:16:36 AM)
I recently mentored one Bindal FX member, who not only went through a bereavement, but was also in the process of a divorce proceedings

Jay Lakhani (Jun 6, 2006 10:16:56 AM)
Does he stop trading?Yes – If he does not have the mental fitness.

Jay Lakhani (Jun 6, 2006 10:17:13 AM)
But if you are able to channel those powerful emotional energies to positive than I see no reason why you cannot trade. But you can only be your own judge.

Jay Lakhani (Jun 6, 2006 10:17:45 AM)
This trader is consistently making profitable pips! How does he do it!

Jay Lakhani (Jun 6, 2006 10:17:53 AM)
Effective use of his emotions

Jay Lakhani (Jun 6, 2006 10:18:17 AM)
Q.) when is hedging more beneficial when trading currencies?  mmaru000@

Jay Lakhani (Jun 6, 2006 10:18:48 AM)
Hedging can be an extremely profitable trading strategy, and there are lots of strategies that one can use, but unfortunately not many traders know exactly how to go about in doing this.

Jay Lakhani (Jun 6, 2006 10:19:29 AM)
You can use options strategies, straddles in the time of volatility – I strategy that I use effectively during big news time. And also looking at the correlation of various currency pairs, and the behavious pattern.

Jay Lakhani (Jun 6, 2006 10:19:59 AM)
Though my favourite strategy has always been options related.

Jay Lakhani (Jun 6, 2006 10:20:36 AM)
Just this morning I entered into an options strategy on EURJPY, a bearish trade,  My breakeven is at 146.60, which is level way above the resistance. So the pair has to move over 200 pips, before I could lose

Jay Lakhani (Jun 6, 2006 10:21:02 AM)
Q.)  How to use Mental Fitenss after big loss? What to you suggest to do to overcome the fear of lose the money? tajuta@volja.

Jay Lakhani (Jun 6, 2006 10:21:28 AM)
Firstly, why should there be a GREAT loss? That is the golden rule – Cut your losses and let the winners run Exercise sound money management

Jay Lakhani (Jun 6, 2006 10:21:47 AM)
Having sustained a loss than go back to basics!

Jay Lakhani (Jun 6, 2006 10:22:23 AM)
review your plans/systems and look to cut down the trade size down to a minimum

Jay Lakhani (Jun 6, 2006 10:22:50 AM)
BUT - DO Not stop Trading! continue to trade, provide you have confidence in your system.

Jay Lakhani (Jun 6, 2006 10:22:58 AM)
else focus on a demo account

Jay Lakhani (Jun 6, 2006 10:23:21 AM)
Q.) brief me some of the technical analysis employed in forex trading and how they are used to address to forex-trader needs?  salaheenhaider@

Jay Lakhani (Jun 6, 2006 10:23:27 AM)
KISS

Jay Lakhani (Jun 6, 2006 10:23:32 AM)
Keep it simple

Jay Lakhani (Jun 6, 2006 10:23:47 AM)
Unfortunately lot of trader tend to complicate matters by over analysing – paralysis Analysis, having so many indicators, which confuses the whole matter.

Jay Lakhani (Jun 6, 2006 10:24:09 AM)
When I am training forex traders, I am looking to teach them a totally simple system, which can do wonders for your trading

Jay Lakhani (Jun 6, 2006 10:24:26 AM)
Though at first I have to focus on their psychology and emotions

Jay Lakhani (Jun 6, 2006 10:24:35 AM)
They have to unlearn, all the wrong systems and methods they were employing all these years

Jay Lakhani (Jun 6, 2006 10:25:05 AM)
Q.) forex_trader@   How does one overcome the negative emotions caused by a string of losses?

Jay Lakhani (Jun 6, 2006 10:25:25 AM)
Great Question!

Jay Lakhani (Jun 6, 2006 10:25:51 AM)
I will focus on this in details, as this can change the way YOU trade!

Jay Lakhani (Jun 6, 2006 10:26:10 AM)
As long as you hold negative emotions about anything, be it trading, relationship, friendship, than you are unlikely to feel good, confident and happy.

Jay Lakhani (Jun 6, 2006 10:26:35 AM)
Negative emotions have a negative impact not only on your body, but also your mind – This in turn will affect your thinking process when you trade. Therefore getting rid of this negative emotions will make you feel more peaceful, and more in control

Jay Lakhani (Jun 6, 2006 10:27:00 AM)
Once you are in a positive frame of mind, this is going to assist in decision making. It will help you analyse the charts, look for correct setups, which are in accordance with your trading plan.

Jay Lakhani (Jun 6, 2006 10:27:19 AM)
You can be more successful once you are guided by your positive emotions.

Jay Lakhani (Jun 6, 2006 10:27:33 AM)
So how can you release your negative emotions? One of the ways you can do this is by ;

Jay Lakhani (Jun 6, 2006 10:28:01 AM)
§ Relax – By continuous relaxation of your mind, this will enable you to divert attention from negative feelings to positive ones. You may wish to consider meditation. I would strongly advise that you learn meditation from a Guru – somebody who know how it can be done.

Jay Lakhani (Jun 6, 2006 10:28:22 AM)
§ Be realistic – For example, when you have losing trades, accept that losses are part of any business. You should use this failure to your advantage, learn from and say to yourself that this mistake will not be repeated

Jay Lakhani (Jun 6, 2006 10:28:43 AM)
§ Exercise – Regular exercise will reduce the stress levels, as a result will enable you to cope better with negative emotions

Jay Lakhani (Jun 6, 2006 10:29:04 AM)
§ Feel Good Music – regularly listen to music, which will lift you up

Jay Lakhani (Jun 6, 2006 10:29:48 AM)
Let go f the past – As Tony Robbins says “ The Past does not equal to your future, unless you live there” You cannot change the past, but you can change the Now and you can change tomorrow.

Jay Lakhani (Jun 6, 2006 10:30:08 AM)
So your focus should be on that area which you can control, ie NOW

Jay Lakhani (Jun 6, 2006 10:30:12 AM)
not yesterday

Jay Lakhani (Jun 6, 2006 10:30:44 AM)
I hope the above points have been useful - basic stuff - no rocket science, that is what i do

Jay Lakhani (Jun 6, 2006 10:30:57 AM)
Q.) Can you give us please some mental or physical or breathing exercises that we can use during stress moments of trading? joejacobhaddad@

Jay Lakhani (Jun 6, 2006 10:31:21 AM)
Great question - this can do wonders for your mental relaxation

Jay Lakhani (Jun 6, 2006 10:31:45 AM)
But i am afraid I cant guide you here, it is not that simple

Jay Lakhani (Jun 6, 2006 10:32:06 AM)
I suggest you learn from an Expert Yoga teacher - get a Guru

Jay Lakhani (Jun 6, 2006 10:32:25 AM)
it will be worth it - not only for your  trading but also for your health.

Jay Lakhani (Jun 6, 2006 10:32:52 AM)
Q.) How do I become emotionless during my trades, and act to what I see on the charts not what I feel?  tonynoori@

Jay Lakhani (Jun 6, 2006 10:33:23 AM)
Simple answer is You cannot. maybe only robots will not have emotions

Jay Lakhani (Jun 6, 2006 10:33:41 AM)
we are humans and we will have emotions, and that is not a bad thing

Jay Lakhani (Jun 6, 2006 10:34:14 AM)
i certainly would like to have emotions when i trade! - the question is how do you channel your emotional energy

Jay Lakhani (Jun 6, 2006 10:35:50 AM)
Q.) What are your techniques for managing fear and greed? What is your money management advice? phfarrow@

Jay Lakhani (Jun 6, 2006 10:35:55 AM)
Easy!

Jay Lakhani (Jun 6, 2006 10:36:13 AM)
Use fear to your advantage!

Jay Lakhani (Jun 6, 2006 10:36:32 AM)
If you have a losing trade, use the fear emotion to get you out of the trade sooner

Jay Lakhani (Jun 6, 2006 10:37:13 AM)
If you do not and let the losses mount, you will not survive to trade the next day! - That is how I would use the fear emotion

Jay Lakhani (Jun 6, 2006 10:38:09 AM)
Also I suggest that you break your position in portions, and take incremental profits, and continuously move your stops to lock in profit

Jay Lakhani (Jun 6, 2006 10:39:00 AM)
As for money management - a full topic on its own, Please visit my website there are some good educational newsletters for free downloads, on the money management

Jay Lakhani (Jun 6, 2006 10:39:47 AM)
Also I am doing a video tutorial, and it will be uploaded by the weekend.

Jay Lakhani (Jun 6, 2006 10:40:04 AM)
Ok thats all for the pre registered questions

Jay Lakhani (Jun 6, 2006 10:40:30 AM)
We have approx 15 minutes, so if you need any questions answered than please feel free to type them now

FXstreet Moderator (Jun 6, 2006 10:40:37 AM)
NOW, the expert will answer all live Questions sent to the FXstreet Moderator during the course of the session.

abc (Jun 6, 2006 10:41:14 AM)
I agree what you say here Jay.  What is your basic trading rule, and hours to trade?  How do you deal with emotions and beliefs?

Jay Lakhani (Jun 6, 2006 10:42:16 AM)
Great Q.

Jay Lakhani (Jun 6, 2006 10:42:55 AM)
Personally I am a position trader, and I can make my pips  trading just a few hours, however I trade GBP intraday

Jay Lakhani (Jun 6, 2006 10:43:18 AM)
I like to be at my trading desk at 06:00 am London Time

Jay Lakhani (Jun 6, 2006 10:43:40 AM)
often there are great opportunities between 06:00 to 08:00 am London time,

Jay Lakhani (Jun 6, 2006 10:44:14 AM)
and once I have traded this, often I can call it a day if i want to

Jay Lakhani (Jun 6, 2006 10:44:34 AM)
but often i tend to take a break between 11.00 and 12.30

Jay Lakhani (Jun 6, 2006 10:44:40 AM)
Next Q

MACD (Jun 6, 2006 10:45:28 AM)
What are the three most important steps a newbie could take to increase his chances of becoming successful trader from the start?

Jay Lakhani (Jun 6, 2006 10:46:01 AM)
Firstly Get a TRADING PLAN, the single most important document in trading, which sadly very few traders have it

Jay Lakhani (Jun 6, 2006 10:46:33 AM)
You can download a free template from my website

Jay Lakhani (Jun 6, 2006 10:46:39 AM)
www.4x4u.net

Jay Lakhani (Jun 6, 2006 10:47:09 AM)
Secondly, get a mentor. There are some great good quality mentors out there in the market

Jay Lakhani (Jun 6, 2006 10:47:45 AM)
If I could turn the clock back, I wish I had a mentor to hold my hand when i started trading 20 years ago

Jay Lakhani (Jun 6, 2006 10:48:16 AM)
Thirdly KEEP IT SIMPLE

Jay Lakhani (Jun 6, 2006 10:48:22 AM)
Next Q>

viral (Jun 6, 2006 10:48:42 AM)
what is incremental profit?

Jay Lakhani (Jun 6, 2006 10:49:39 AM)
Ok what this is you break the position into portions, so lets say that you were to go long GBP at 1.8600 and traded 3 lots, with a stop of say 35 pips

Jay Lakhani (Jun 6, 2006 10:50:41 AM)
so lets say when the position is 30 pips in profit, you close 1 portion, and than moving your stops to breakeven.

Jay Lakhani (Jun 6, 2006 10:51:46 AM)
If the market moves further to say 75 pips profit, you than close the 2nd lot and than let the final lot run for as long as possible. For a big kill! oftem I have had Bindal Fx members get 200+ pips on a trade

Jay Lakhani (Jun 6, 2006 10:52:10 AM)
this take the fear out of the trade!

Jay Lakhani (Jun 6, 2006 10:52:14 AM)
Next Q

lio (Jun 6, 2006 10:52:18 AM)
What do you think of trend following system that give buy and sell signal?

Jay Lakhani (Jun 6, 2006 10:53:04 AM)
That is a great system in my opinion, but many choose to differ

Jay Lakhani (Jun 6, 2006 10:53:46 AM)
Forex trends very well, as you have seen in the recent weeks

Jay Lakhani (Jun 6, 2006 10:54:14 AM)
and a trend following system will greatly assist you.

Jay Lakhani (Jun 6, 2006 10:54:39 AM)
that is one of the system which is covered in Ebook

Jay Lakhani (Jun 6, 2006 10:54:51 AM)
Next Question

DBista (Jun 6, 2006 10:55:00 AM)
Mr Lakhan- i feel a lot of times the inability to get into trade or even after geting into trade and not being able to get out with incremental profits because your brain freezes due to inability to make decision clearly are some problem a lot of traders go through.  How to overcome ?

Jay Lakhani (Jun 6, 2006 10:55:56 AM)
Great great great question! You are not alone, I see this happening all the time when i am mentoring traders.

Jay Lakhani (Jun 6, 2006 10:56:29 AM)
and many suffer from the same dilema.

Jay Lakhani (Jun 6, 2006 10:57:28 AM)
As I say in my ebook success in trading is 90% psychology, I will have a free video tutorial on this topic, which will be uploaded within 2 weeks

Jay Lakhani (Jun 6, 2006 10:57:49 AM)
But you can View a video on Trader Discpline from my website

Jay Lakhani (Jun 6, 2006 10:58:33 AM)
I may suggest seeking the services of a mentor, who can work on your psychology, Trading is easy, but humans make it difficult!

Jay Lakhani (Jun 6, 2006 10:58:43 AM)
Next Question

jolly (Jun 6, 2006 10:59:01 AM)
I live in California and trade Brit. How do you deal with sleep deprivation, as best hours to trade are when I should be sleeping?

Jay Lakhani (Jun 6, 2006 10:59:24 AM)
Absolutely the best hours are when you are sleeping!

Jay Lakhani (Jun 6, 2006 10:59:33 AM)
Emigrate!

Jay Lakhani (Jun 6, 2006 10:59:36 AM)
to london

Jay Lakhani (Jun 6, 2006 10:59:39 AM)
:)

Jay Lakhani (Jun 6, 2006 11:00:28 AM)
Ok but seriously if you can trade just the 2/3 hours in the morning, than you can make your money

Jay Lakhani (Jun 6, 2006 11:00:55 AM)
so you adjust your sleep patterns, OR focus on position trades, mostly this can be done at the US close

Jay Lakhani (Jun 6, 2006 11:00:59 AM)
Next q.

Guest (Jun 6, 2006 11:01:25 AM)
How do you know which market to choose (you said there are great opportunities between 06:00-08:00 London time)?

FXstreet Moderator (Jun 6, 2006 11:01:40 AM)
How do you know which market to choose (you said there are great opportunities between 06:00-08:00 London time)?  -- jacObli

Jay Lakhani (Jun 6, 2006 11:02:14 AM)
This entirely depends on your risk profile and trading system. I personally like volatile markets when there is a movement, I dont care which way. So long as it moves I can make money

Jay Lakhani (Jun 6, 2006 11:02:41 AM)
I focus mainly on the cable, as it moves

Jay Lakhani (Jun 6, 2006 11:03:15 AM)
but if you do not like volatile market than you could consider other pairs such as EURGBP

Jay Lakhani (Jun 6, 2006 11:03:19 AM)
Next Q

Gav (Jun 6, 2006 11:03:44 AM)
Can you give an example of a simple but effective trading plan?

Jay Lakhani (Jun 6, 2006 11:03:57 AM)
I have a free template that you can download from my website, www. 4x4u.net

Jay Lakhani (Jun 6, 2006 11:04:01 AM)
next Q

Jay Lakhani (Jun 6, 2006 11:04:22 AM)
Ok Last 2 questions

win (Jun 6, 2006 11:05:37 AM)
i have a good system but poor mental fitness, what can i do?

Jay Lakhani (Jun 6, 2006 11:06:37 AM)
If you want I can help you you can go to my website under the training mentoring program

Jay Lakhani (Jun 6, 2006 11:06:53 AM)
the website is http://www.4x4u.net/Training.asp

Jay Lakhani (Jun 6, 2006 11:07:26 AM)
you can try the service for a week, if you feel that this is not for you, we offer a money back guarantee

Jay Lakhani (Jun 6, 2006 11:07:30 AM)
last question

lio (Jun 6, 2006 11:07:37 AM)
Do u teach those hedging strategies and options strategies in your course?

Jay Lakhani (Jun 6, 2006 11:08:16 AM)
My ebook does NOT cover Options strategies, buts straight forward futures and spot

Jay Lakhani (Jun 6, 2006 11:08:49 AM)
Basically my strenghts have been options, and that is what i have extended to Forex Trading

Jay Lakhani (Jun 6, 2006 11:09:02 AM)
and I have found that it offers great opportunities

Jay Lakhani (Jun 6, 2006 11:09:28 AM)
I have just recently added this to my mentoring programme, at the request of few of th emembers

Jay Lakhani (Jun 6, 2006 11:09:59 AM)
but obviiously you have to have at least some basic knowledge of the options market

Jay Lakhani (Jun 6, 2006 11:10:47 AM)
I hope that this presentation has been useful

Jay Lakhani (Jun 6, 2006 11:11:11 AM)
feel free to email me at info@4x4u.net

Jay Lakhani (Jun 6, 2006 11:11:36 AM)
I understand there are many questions, but unfortunately we have ran out of time

Jay Lakhani (Jun 6, 2006 11:11:45 AM)
feel free to email me

Jay Lakhani (Jun 6, 2006 11:11:53 AM)
God bless and happy trading

Jay Lakhani (Jun 6, 2006 11:11:59 AM)
Keep it simple

Jay Lakhani (Jun 6, 2006 11:12:17 AM)
and your golden rule should be NO signal - NO trade

Jay Lakhani (Jun 6, 2006 11:12:21 AM)
Bye

FXstreet Moderator (Jun 6, 2006 11:12:31 AM)
That’s all we have time for Today .Thank you very much for that, Jay Lakhani.

FXstreet Moderator (Jun 6, 2006 11:13:06 AM)
If your questions were not answered you can email Jay, or visit the web site: http://www.4x4u.net

FXstreet Moderator (Jun 6, 2006 11:13:32 AM)
And remember that on July the 14th it will take place the second part of this session

FXstreet Moderator (Jun 6, 2006 11:13:55 AM)
You can review The Way To Trade Forex,  Mr. Lakhani’s book, at: http://www.fxstreet.com/nou/content/112990/content.asp?menu=books

FXstreet Moderator (Jun 6, 2006 11:15:10 AM)
Finally, we are proud to say that FXstreet.com is launching a new and great service: ONLINE SEMINARS. Top speakers will guide you through the insights of trading of the most exciting financial market in the world.

FXstreet Moderator (Jun 6, 2006 11:15:19 AM)
The first ONLINE SEMINAR, run from june 21st to 23rd , will have Ed Ponsi, Derek Frey and Tony Juste as the speakers for the event.

FXstreet Moderator (Jun 6, 2006 11:15:28 AM)
Sign up here: http://www.fxstreet.com/nou/content/113550/content.asp?menu=3Day

FXstreet Moderator (Jun 6, 2006 11:16:24 AM)
You can find the transcripts for the sessions at: http://transcripts.fxstreet.com/

FXstreet Moderator (Jun 6, 2006 11:16:31 AM)
Thank you all for your participation. See you soon!