Here's an example of getting caught up in directional bias. I can see on my daily chart that gold has stopped at the 38.2% (blue Fibonacci) and the hourly 61.8% extension from the prior completed swing down (black Fibonacci) and it's on the hourly RSI support, but I'm so caught up in bear-biased thinking from exposing myself to too many bear-biased analysts that I didn't place the order that my technicals are telling me to make. I can see it hasn't broken daily RSI support plus there was overwhelming bear-biased sentiment when gold broke below the bull support channel, and from a sentiment trading point of view, that's another bull indicator.
I did place a long order at the 23.6%, and now I'm waiting to see if there's any reaction to the FOMC at 12:15 PM EST which may indicate if the drop to $1285 was a false break down or not.
Always trust your own technicals. Always. Always. Always.
However, I keep reminding myself that not making money is better than losing money. There will always be another trade.
I did place a long order at the 23.6%, and now I'm waiting to see if there's any reaction to the FOMC at 12:15 PM EST which may indicate if the drop to $1285 was a false break down or not.
Always trust your own technicals. Always. Always. Always.
However, I keep reminding myself that not making money is better than losing money. There will always be another trade.
You can always make money tomorrow provided you don't lose it today.
