Summer trading is different. As traders are headed to the beach, or elsewhere they choose to disconnect and get some rest, markets slow down, lose volume and become a bit more unpredictable.
That does not mean summer trading is worthless, but as Blake Morrow, founder of ForexAnalytix, says, with “trading ranges shrinking about a 1/3 of what you would normally expect, little spurts of volatility often can catch you off guard chasing a move or breakout, only to watch it fail or reverse”. Morrow proposes trying scalping or practicing “target trading” in smaller amounts as a way to get through the lack of liquidity of markets during these months minimizing the risk of an undesired drawdown.
If you rather have a more laid back time, summers are also good for reading and reflecting on the good, the bad and the ugly. The latter two are what we are focusing on in these series of articles, having put together some interesting tales and lessons learned from our best contributors during their lengthy careers. Nobody can excel at any kind of activity, and less so in the trading world, without first busting a couple of times.
This is what our most dedicated contributors learned in the process:
Trading psychology: Don’t let your emotions dictate your trading - This is a classic topic of trading educational articles. And it’s like that for actual solid reasons. Read how to surf the emotional wave of trading without drowning.
Wrong forex strategies: Don’t average down losing trades - Trying to correct a losing trade by doubling down with a lower entry price is another popular mistake. Everybody knows it but it is hard to avoid going down that way when losing on a trade you judged well.
Follow your forex plan: Don’t engage in reckless trading - Setting up some internal rules for your trading looks like a must first-step before setting up your account and getting into your platform. There are some nasty outcomes for those who ignore their own trading plan.
Day trading mistakes: Tales of how big trades went wrong - One way to learn from your past mistakes is having to go through the painful and challenging experience of explaining them. Another way is to hear from others who might have lived through some disgruntling trades.
Trading psychology: Don’t underestimate the risk - Assessing the risk of a trade is one of the biggest challenges any trader faces when planning the operations. It’s much easier to focus on the potential profits of a big trading opportunity spotted than calculating the potential losses one wrong turn can trigger.
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Editors’ Picks
EUR/USD climbs to fresh daily highs above 1.0700

EUR/USD has regained its traction and climbed to a fresh daily high above 1.0720 in the second half of the day on Thursday. Despite the upbeat ADP employment data, the downward revision to Unit Labor Costs for the first quarter triggered a fresh leg of USD selloff, boosting the pair.
GBP/USD tests 1.2500 as USD continues to weaken

GBP/USD has extended its daily rebound toward 1.2500 in the American session. The US Dollar continues to weaken against its rivals as soft wage inflation data feed into expectations for a pause in Federal Reserve rate hikes at the upcoming policy meeting.
Gold climbs above $1,970 as US yields extend slide

Gold price climbed above $1,970 in the American session on Thursday. Following weak wage inflation data from the US, the benchmark 10-year US Treasury bond yield is down more than 1% on the day below 3.6%, fuelling XAU/USD's daily rally.
XRP unlocks tokens worth $500 million as SEC vs. Ripple verdict looms

Ripple, the cross-border payment remittance giant, has unlocked a total of 1 billion XRP tokens from escrow on Thursday. This unlock is a part of the scheduled monthly distribution strategy of the XRP token.
LCID sheds 13% with $3 billion share sale

Lucid Group (LCID), the maker of the Lucid Air luxury electric sedan, surprised shareholders late Wednesday when it announced that it would raise $3 billion in new common stock.
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