Friday, September 18, 2009

Other trades this week

To be honest, I usually am exhausted by the end of the week. TGIF and all that. I frequently lighten up or go flat. Often I don’t trade at all on Fridays.

But I wanted to touch on the other trades I was in this week.

On Tuesday I went out at 90 pips profit on the Ozzie. That was a mistake since I'd forgotten to move my profit target up as I moved my stop up. That was .8660 and I was looking for a place to go long again. It's high was .8775 for the week so I definitely, stupidly, missed out on more profit but since I would have kept moving my stop and target up, I wouldn't have gotten all of it. So it's not too big a disappointment. I put in two buy orders, one at the top of the range and one at an uptrend line. I also shorted the Ozzie at minor support of .8720 yesterday (gosh, was that only yesterday? It feels like such a long week with the sideways movements on the charts). Since that point it dropped back to the top of its range (As in home on the range? Mama? It’s me, your pogo sticking but not too high, wayward child) and triggered my buy order at .8678. It's ranging around this point so one position is slightly in profit and one is slightly underwater. Back to the charts for that one.

I also shorted the drearily dwindling USD/CHF at 1.0309 on its tiny rally yesterday. One would think there’d be at least a dead cat bounce soon, wouldn’t one? By gosh, the 1-, 5-, 15-, 30-minute and even one hour chart is showing an uptrend. It’s nasty little low yesterday at 1.0275 must have brought out the bottom fishers as well as those that love to buy lows whether or not there is any near term support under them. A quick look at the three-hour chart isn’t all that encouraging. The three white candles could be interpreted as something Steve Nison calls the Three White Soldiers (aka Three Advancing Soldiers). These can indicate more strength is coming if they appear after a period of stable prices or a low price area. (Japanese Candlestick Charting Techniques). Well the prices have been low but they haven’t been lingering there long. The three white candles could also be interpreted as what he calls the Three Methods. This is a long black candle followed by three small, often white real body candles that “hold within the first session’s high-low range.” (Ibid. p. 276) It’s bearish. Thank you, candlesticks, for those two equally interesting interpretations. But I don’t mean to sound sarcastic. I do use candles but as Steve himself would be the first to say, they can’t be used in isolation. Also, to be fair, the third candlestick shows some weakening with its upper shadow. And then there’s that bearish shooting star. This uptick doesn’t look sustainable right now but as I said earlier, there’s a dead cat bounce in here somewhere. My suspicion is it will retest those yesterday lows at least. Here's the three hour chart:

Finally, ta-da, the Euro. It’s currently up 110 pips from last week. Wow! For this we waited? The resistance it’s encountering is real so we’ll just have to wait and see for that one. I’m out of it for now.

None of these are trade recommendations. All trading involves substantial risk.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

Friday thoughts and the Guppy

After struggling a bit with the chart yesterday I decided to stay short the Guppy trade. Mostly the reason was that when I looked at it from different time frames and different perspectives, e.g. changing compression on the charts, I still believed in my reasons for getting into it. The pair managed to overcome its initial shock at touching 149.61 and has gone slumming as low as 148.62 this morning. It’s now over a 100 pips profit. Obviously, I’ve now moved my stop to lock in at least 50 pips. But will I close out? It is Friday, after all, and I often close all positions at the end of the week.

Take a look at the three hour chart now. It’s finding some support at the 148.60 level. There’s also some positive divergence with price and RSI. Of course, divergence is all over many charts right now. It may climb back up a bit. I think there’s more downward potential. But it doesn’t really matter what I think. At this point I need to pull back, look at what has happened this week to date, and make some decisions. In any case, it is what they so quaintly call a “free trade.” I can only make money on it now despite what happens.
To be honest the week has been a little frustrating. This is because of the sideways movements that largely took place in the pairs I traded. You can make some steady profits in this kind of market (and take small losses if you manage your stops). But let’s face it. The really big profits come from trending moves—being in at the right time and staying with it. And not taking small profits. For me this usually means that if I get a free trade going I stay with it if my analysis shows there could be more to come. That doesn’t mean I won’t take partial profits at a point. I did so this morning with the Guppy at 118 pips. That is how I quiet the savage and greedy beast within that shouts, bellows, and roars to take profits, any profits. Three pips? Five? Oh my, it starts to get excited. 15? 20? Now it positively palpitates with anticipation. At 50 it starts the heavy ammo—old messages from the past having to do with each and every one of my many, many failures in trading. When that fails to move me it jumps to parental assaults on my self esteem.

For a couple of years it won. I tried everything—reading, courses, various mind/body techniques. All helped to some degree but what finally did it for me was simple awareness of the feeling. Letting myself feel it and moving on. Without touching the keyboard. Sounds simple but it was devilishly difficult. I’ll write some more about it in an upcoming post this weekend.

Nothing I write here in this blog is a trade recommendation. Do not act on it as though it were. I hope to only share some of my own decision making process and some thoughts on the psychology and philosophy of trading. Especially when it’s so easy to fall into the me David without a sling shot, they Goliath mindset. Well maybe the me David, they Goliath is reality. But there is always a sling shot.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

Thursday, September 17, 2009

Thursday AM - GBP/JPY

Yesterday I placed a sell order for the Guppy which was filled at 150.49. Looking at the 3 hour chart below it still seems reasonable to me but this is one of the more volatile pairs and for sure. I had three reasons for going short at this level (three is usually what I look for), all of which showed up on the three hour chart.

1) That price was at the top of a short term range
2) It was a fib retracement of .618
3) The pair is in an overall downtrend and this would have been a brief rally

The pair went down to 149.61 but that wasn’t my profit target. Had I been awake when it did that perhaps I would have moved my stop to breakeven. I wasn’t.; I didn’t. What I could have done was set a sell order down around that level which would have lightened my short. This isn’t a bad idea if you’re holding overnight and I’ve done it in the past. Not this time, though. Now I’m slightly underwater and I have that sinking feeling…Dum-de-dum-dum.

I could comfort myself by saying “look at the upper shadows. Maybe it’s going to drop again…” Hope springs eternal and all that stuff, LOL. Well there are some upper shadows but look at that long lower shadow on the candle just before the last one. It gingerly dipped down and hastily retreated as though it was repulsed that it found itself at that level. “Hell no, I won’t go,” I think it must have said to itself. I know you shouldn’t anthropomorphize these sorts of things but hey, these are people trading prices up and down so doesn’t it have a human face after all?

Another concern I have at the moment is that Gann wrote that true strength shows when a commodity holds just above a half way point. It means that buying orders were placed at that level. This pair did hold and minor support has been established. Finally, the length of the second drop was less than the length of the first drop—it didn’t lose as much in price and it only took about 64% of the length of time of the first drop. It’s as though it wants to get this pesky downtrend over with.

So now I have three areas of concern.

Why not bail out now? I could. Before I do I will continue to analyze it and keep you posted. As of now, I have an intelligent, albeit slightly wide stop. If it retraces that far it will blow far past the .618 and provide strong evidence the downtrend is losing strength. It will also violate its downtrend line from earlier in the month where it has just made its third touch. But for now it is still in an overall downtrend. Here’s the three hour chart:

None of the above is a trade recommendation of course. This pair is especially volatile and should be avoided by most traders. Remember that trading involves substantial risk.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

Thursday AM - AUDUSD

Yesterday I wrote that I was waiting for a pullback to enter Ozzie. I set up two buy orders (one at .8678 (just above its consolidation range) and the other well back within the range. Neither was hit although it came within a couple of pips of the first one. Had I not been at an appointment yesterday when that happened I might have bought there anyway but there you go. You can’t always be at the monitor. Some trades will get away. There will always be another. You can see this on the three hour chart: below.
I believe it might return to its range, at least the top, but on the 15 minute chat below, I just this minute put on a small long at the minor support of .8720 (filled at .8723). I personally would love to see it return to its uptrend line I wrote about yesterday even though I’d be stopped out. This was the .8587 point yesterday which is now .8621. Here’s the 15 minute chart:

None of the above is a trade recommendation. This blog only reflects my thougts and analysis for myself. Remember that trading involves substantial risk.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

Wednesday, September 16, 2009

Will I get back in AUD/USD?

As I wrote in the last post, my profit target in the Ozzie was hit overnight. This morning the pair reached a high of .8729, a high not seen since the summer of 2008. Now I’m wondering how and when I can get back into the pair. I’ve posted the three hour chart below.

Remember that the consolidation range was.8543 to .8676. I pointed out in my post on Monday that false and premature breakouts are not uncommon with rectangles. One obvious strategy is to wait to see if the price goes back to .8676. I’d then go long with a tight stop. This approach requires watching the price action carefully at the time it approaches that price. Carefully, means I’d look for bullish signs before jumping in. Another entry point, assuming the breakout was premature, is to wait until it reaches the three-hour uptrend line which is also at the point of the 62 EMA. This is at .8587 now but of course that could change a bit by time price gets back to it.

There is bearish divergence between price and RSI right now. I need to watch that, too. Here’s the three hour chart:

As usual, I’ll just have to continue to study price action.

None of the above is a trade recommendation of course. Remember that trading involves substantial risk.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

Be willing to reverse


Yesterday I closed out my short Euro trade that I had entered at 1.4632 for a paltry 18 pips. I then went long at 1.4607. Why? The simple answer was that it was time to do so—the charts, they were a talking. I had to listen. Remember, I already lightened shorts this week because of the overall bullishness around the pair, the slight expansion on the hourly chart, and triple witching (which traditionally has resulted in a positive week for the Euro.)

Look at the candles on the 15 minute chart below. I captured yesterday’s price around the gravestone doji and price/RSI divergence that I’d pointed out. The little blue triangle is my long that I entered.

Things had started changing on the 15 minute chart. For one thing, the only reason I’ve been short at all was weakness on the lower time frame charts. But all of a sudden strength started to appear which was in line with the longer term charts. There were hammers followed by an immediate rally. There was also positive divergence between price and RSI. Finally, the lows of the last two hammers I marked corresponded to support and resistance (polarity) that was on the 3 hour chart from several days ago. So I closed my short.

Then I had a decision to make. Do I go long or do I stay out? I struggled with that a bit. I could have gone long right after the close of the strong 15 minute candle after the last hammer I marked. Instead I waited until another small drop and immediate rally where I saw a higher high and higher low. I set a stop below the 1.4562 low of the last hammer.

I’ll tell you the truth. I had to hold my nose and sit on my hands to keep from closing out as it neared yesterday morning highs, especially after I saw the upper shadows appearing. I didn’t close. OK—time for a moment of truth. The real reason I didn’t close is because I forced myself to get away from the monitor. I was developing a case of “tickitis,” which in me is characterized by starting to watch the 1 minute chart, the 30 second chart, the five second chart. Did I really watch the five second chart? Yes, for a dreadful few seconds I did. I forced myself to leave my desk. Actually I got something to eat (this has to stop, too, but that’s another entry). When I returned, there was that nice strong bar on the 15 minute chart where it broke away from the early morning highs. I’m still in. I moved my stop up to take a 47 pip profit if it drops suddenly. We’ll have to see where it goes. I do expect serious resistance around the December high of 1.4720 and may lighten up considerably there. Or close. By the way there is already negative divergence on the 15 minute chart so I’ll be watching that today, too.

All this switching back and forth between charts—15 minute, 3 hour, etc—during the course of the trading day is tedious, of course. But I don’t know how else to trade. It has taken me a few years to get to the point where I resolutely watch price and act on what I think the price is telling me about supply and demand. When more than one clue starts building—candle behavior, support and resistance, divergences—I normally take the trade. What is technical trading but acting on the preponderance of evidence?

Some day I’ll share one or two of the many times I didn’t.


Yesterday I also wrote that I thought the EUR/GBP looked interesting. It certainly was. Did I get in long? No! Oh well. It’s just one that got away.


I’m also out of the Ozzie. I’m embarrassed to say that I had my profit target at .8660 and forgot to move it up as I moved my stop up yesterday. It hit the profit target overnight. It was 90 pips profit but the oversight cost me more profit, maybe much more. Now I have to wait for a reaction to see if I should or could get back in.

None of the above is a trade recommendation. Trading carries a substantial degree of risk.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

Tuesday, September 15, 2009

Waiting it out

Can the market move any slower? Well, yes, I guess it could. My long that I entered yesterday at .8570 has gone up as much as 70 pips but has now fallen back.

I closed half my position at 50 pips and have moved my stop to breakeven. It’s either going to make it up to the top of the range or it won’t. It’s like watching paint dry. But little has changed since my analysis so there’s no reason to do anything else but wait. This situation won’t last forever.


I was stopped out yesterday on the brief move to 1.4653. After looking at the price action on the 15 minute chart I decided to short again. I entered at 1.4632. What made me do so? Remember, I had lightened up on my short position yesterday because of overall bullish sentiment, a slight expansion on the hourly chart, and the fact of triple witching this week which traditionally has resulted in a positive week for the Euro.

Look at the candles on the 15 minute chart below. The upper shadows were long, suggesting that the higher price was being rejected. A gravestone doji formed. This was bearish. The price had rallied, yes, but was dragged down to the low of the 15 minute session. Steve Nison wrote in his book that “the gravestone doji represents the gravestone of the bulls that have died defending their territory.” (Japanese Candlestick Charting Techniques, 2001). There was also divergence between price and RSI. The small triangle represents my entry.

As with the Ozzie, price will not stay in this narrow range forever. Yesterday afternoon I plotted out my interpretation of the Elliott waves on a daily Euro chart which is below. I don’t consider Elliott Wave Theory (EWT) tradable in and of itself but I do believe one can gain insight into the market by looking at it from this viewpoint. The problem of course is that if you have five EWT analysts in a room you usually have six interpretations. One reason this is true is because of the nature of corrections—it’s often hard to see them until well after the fact.

My interpretation is that we’re in a correction known as a zigzag. This is a three wave correction (ABC). EWT involves rules (which are inviolate) and guidelines. The rules for a zigzag are simple and are found in Frost and Prechter’s book, Elliott Wave Principle. First, it always subdivides into 3 waves. I think wave C is forming now, making it the third wave. Second, wave B always subdivides into a ZZ, flat, triangle, or combination thereof. That’s pretty broad, guys, but what I’m labeling B conforms to this. Third, wave B never moves beyond start of wave A which it did not. Finally, wave C always subdivides into an impulse or diagonal. An impulse is five waves up which I’ve labeled with 1 being in March of this year at 1.3740. So, by this interpretation, we’re in the fifth wave up.

Now the question is where might it end? Ha! That’s always the question.

The guidelines for zigzags say wave C is often about the same length as A and usually ends beyond end of wave A. If this is true then we could expect it to end above 1.4720 which is where wave A ended in December of last year. Another guideline says that a line connecting waves A and C is often parallel to a line connecting the end of wave B and the start of wave A. If that’s true then again we’re looking at about 1.4720.
I could buy all this but I think even if it’s true that there is some serious sideways action going on in the Euro (in most pairs actually) and one can make a few pips while it works itself out.

Frost and Prechter also write about the Golden Section. The golden section has to do with how you divide a total length of something. It’s applied to wave theory in that the distance between the start of wave 1 and the bottom of wave 4 will be either .618 or .382 of the whole. You can decide which one by observing how wave five behaves. You need to know whether wave 5 “extends” or not. This is where EWT makes me grind my teeth and clench my jaw. If I have to wait until the end of wave 5 the first question is how will I know it has ended? But never mind that.

I’m going to make an assumption both ways and see what it gets me. If I decide that the distance from the bottom of wave 1 at 1.2456 to the bottom of wave 4 at about 1.38 is only .382 of the whole length, well you can see that the Euro could go up rather sharply to about 1.73. That would be interesting, for sure. If I make the opposite assumption—that .618 of the entire move had already occurred at around 1.38 then the entire move would end at 1.4663. This to me seems very reasonable especially combined with the wishy-washy way the pair has been behaving.

You could say this entire correction isn’t a zigzag at all but a flat. But I’m not going there. For one thing, I have a life to lead. Also, there are other pairs I want to look at.

Remember where I’m at right now. I entered at the top of this little range with a tight stop so the worst that can happen is that I’ll take a small loss. If I take that loss the market is telling me something important and I’ll have better information to base the next trade upon. I can also move to breakeven as it hits the lower part of the range so I’ll have no loss at all if taken out.


Yesterday I also want long GBP/JPY. I’ve moved my stop to 60 pips profit. This was a straightforward buy at support after a steep fall. It’s as simple as falling off a log, not that I’ve ever actually fallen off a log. It’s my favorite kind of trade—very small risk because you can set a tight stop and good upside potential. To be honest it’s probably time to start looking at shorting it but I’ll keep you posted. Ranging, sideways markets seem to be the rule right now.

Finally, I think the EUR/GBP is interesting. Take a look at my 3 hour, 3 box Point and Figure chart. It consolidated tightly and had a simple quadruple top before breaking out. The many small columns tell me there could be accumulation taking place. It now has drifted back near the breakout point. I’ll study this one further and keep you posted. None of the above is a trade recommendation. All my analysis may well be wrong, wrong, wrong. Trading carries a substantial degree of risk.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

Monday, September 14, 2009


Last Thursday I went long the AUD/USD at .8586. I moved my stop Friday to .8596 and was taken out last night during the Asian session at that price. I just went long again at .8570 so I’m in at a slightly better price than the last trade. Had I not been mucking about with the Euro charts for so long or not gone for a cup of coffee I might have noticed when it hit the near bottom of the range but there you go.

One thing I won’t do in this blog is hypothesize about possible trades. Lots of people put out a lot of analysis that has nothing to do with whether or not they’re really trading. Jessie Livermore tells the story of a guy who was going to fight a dual the next day (Reminiscences of a Stock Operator, page 27).

His second asked him, “Are you a good shot?”
Well, said the dualist, “I can snap the stem of a wineglass at twenty paces,” and he looked modest.
“That’s all very well,” said the unimpressed second. “But can you snap the stem of the wineglass while the wineglass is pointing a loaded pistol straight at your heart?”

Like Jessie, I need to back my opinions with my money.

Looking at the three hour chart, there’s a range of .8543 to .8676. Another thing that struck me on the chart was the beautiful symmetry of the moves back in August. From there it moved out of its triangle and is currently in a consolidation range. It’s showing some symmetry here as well.

Notice that it’s well above the .618 retracement of the July to October ’08 move down. And, as I wrote last week, this .8500 area is significant historically, all the way back to the 1980s. My Gann calculations on different highs and lows also show the significance of this area. It has also cleared the .8524 high from back in September ‘08. Why do I consider that high significant? Because it was the last high before the egregious move down. So if it can get above its current range high of 8676 it might have some significant moves ahead. If it breaks below, it will also be significant.

With a trading range such as this, also known as a rectangle, box, or horizontal channel, the price must touch the support and resistance lines at least twice. Edwards and Magee, in their classic work Technical Analysis of Stock Trends, believed ranges were most often continuation patterns. It’s also worth noting that there are many false and premature breakouts (Encyclopedia of Chart Patterns, Bulkowski, 2000). Regardless, the pair will exit this range eventually. Even if you just trade support and resistance though, it’s a wide enough rectangle that you could pick up 70 to 100 pips with tight stops. However I’m hoping to not have that kind of trade because both the upside and downside on a breakout offers much more potential profit.

Another thing I like about the pair on this chart is that RSI isn’t falling too far on the reactions. That’s a bullish sign. I use RSI primarily for divergences and for such things as this and not usually for buy or sell signals depending on overbought or oversold levels. There is one concern here, though, in that the RSI is showing momentum is falling off so there is some divergence.

As usual, I’ll just have to continue to study price action. And of course I have a tight stop since I entered near the bottom of the range.

None of the above is a trade recommendation of course. Remember that trading involves substantial risk.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

EUR/USD Monday Morning

I'm still short the Euro but I did close out more than half of my position a little while ago. Take a look at the following 3 hour chart. It's still showing the weakness in the shorter time frame that I wrote about last week and some nice selling came in early in the Asian session last night. Then you see the hammer so the behavior of the current candle is going to determine whether the pair will continue to break down or whether it's going to pick up strength. Given the overall bullish sentiment and given the fact of triple witching this week (see my Sunday post), it's time to lighten up shorts for now. My stop is above the high this month of 1.4635 but I closed enough of my position that I will still be at slight profit on the trade as a whole if it takes out my stop.
The hourly chart also supports my decision to lighten up on my short. Although there is still weakness showing--the divergence between RSI and price and the breaking down through the upward trend line for both RSI and price, the market is slightly expanding rather than contracting. It will take a high above 1.4622 to maintain this expansion (and since high from last week is 1.4635 it would ideally close above that to show a continuing pattern of higher highs and higher lows). Why not take the paltry profit and get out completely at this point? Well, we're at a very interesting price level based on my Gann analysis on the numbers of extreme highs and lows and of the fib level 1.4623 from high of 1.6041 to low of 1.2329. So we'll just have to see and the only way to see is to watch the price action.
None of the above is a trade recommendation. It's only my musings. We all know that trading carries a substantial degree of risk.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

Sunday, September 13, 2009

Triple Witching Week

This week is triple witching week which happens once a quarter on the third Friday of March, June, September, and December. For the last five years, pairs such as the Euro, GBP, and AUD have usually ended such weeks up although five years does not a statistical study make. All the expiration activity doesn't seem to predict future prices but of course your limit and stop orders can sometimes be triggered. Just one more variable that can interfere with technical analysis.

Waiting for Entries

What will the Euro do this coming week? It doesn’t take much in the way of technical analysis to see that the pair is in an uptrend. Then there was the strong move up this past week—it started the week at 1.4295 and ended it at 1.4570 (the high for the week was 1.4635). Sentiment is bullish, judging by the news reports (see the word cloud from the last post). Even if you believe that this is a primary wave correction (Elliott wave speak), there’s little doubt, it seems, it could go higher, possibly up to 1.48 or so. But as I said in my last post it’s not moving right now. If you want to go long you’d have to wait for a reasonable entry point. So two questions:

1) If you were going to go long where is a reasonable entry point?
2) What do you do while you wait for it to get to that point? That’s the forbearance part I mentioned last time.

The first question is easy. Depending on your approach you can answer it a number of ways. I could use my 3 hour P&F chart I posted last time and hope for a retracement back to 1.4420/45. The pair closed Friday at 1.4570; its daily average true range (ATR) is 129. So that wouldn’t be such a stretch. Or I could use Fib levels, which would also bring me in at 1.4410/55. Finally, I could wait for something with more upside potential such as letting price come back to an uptrend line drawn from May which also coincides roughly with the 50 EMA on the daily chart. That would mean I’d enter around 1.4225/75. That would probably require waiting a few days at least. (Note that if I did take that approach, I’d want to carefully assess market conditions when it reached that point). Or I could wait for it to break out of some major resistance levels which would involve the highs in late 2008.

Why not just go long now if you think the Euro is bullish? Jessie Livermore answered it best when he wrote, “In a narrow market when prices are not getting anywhere to speak of but move within a narrow range, there is no sense trying to anticipate what the next big movement is going to be—up or down. The thing to do is to watch the market…and make up your mind that you will not take an interest until the price breaks through in either direction.” (Reminiscences of a Stock Operator, 1993)

Regardless of approach, what do you do while you’re waiting for your entry? If you think a market is going up you can fall into being fearful that you’ll lose out. This can make you jump in when the market is at a top. One answer is distraction. This can be as simple as putting on your headphones and listening to some music or doing the analysis on another pair. Or focus on how much you can lose if you’re wrong. Actually write down the numbers or plug them into Excel. Read them out loud to yourself. Traders often trade from the silence of their inner thoughts or with the babble of financial news in the background. Hearing your voice speak the results of an analysis, especially if it involves potential loss, can be effective in combating the urge to just put on a trade.

Relaxation anchoring is another technique. You do this by practicing progressive relaxation and then, when deeply relaxed, breathe in with the phrase, “I am relaxed,” and exhale with the phrase, “I am calm.” Each time you say the word “relaxed” squeeze your right thumb. If you practice this a few times it will only take squeezing your right thumb to bring on a more relaxed state during your normal activities. You can also anchor to a pleasant experience. I’ll include some audio links sometime in the future with both these approaches. Email me at or post a comment with your email if you want to be on a list to receive them.

None of the above is a trade recommendation—in fact I’m short the Euro right now but that’s not a trade recommendation either.

© Dianne Fecteau, 2009. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.