Forex Jpy / Gbp

Every morning on the European open at 0700, the GBP starts to rise against the JPY. On the London open it takes off again, slowly climbing to the New York open at 1300, where anything can happen.

Almost every day we have either straddled 30 pips each way at 0800 or just taken a long trade with a 30-pip stop loss - then follow the price upwards, moving my stop loss in 15-pips behind until I lose my nerve and take the profit!

Spread betting at 50p a point in this way I have been raking the cash in. At the start I turned £27 into £146 in two trading sessions. I know this defies all our sensible money management rules but in the last month I have only suffered three big losses.

Indicators? none - too complicated. I just see how the market has been running, keep an eye on upcoming news (avoid NFP, etc) and wait!

The only useful indicator I use is the parabolic SAR which gives me a good idea when to exit.

It's also a very good idea to study the overall economy, not just the pair you are trading in and learn how prices react to certain events in different parts of the world.

OK this is working NOW, but markets do change so watch out for the bubble burst!

---- by; Paul ------