Get Long The GBP

[Zzzz1]

You are comparing apples and oranges here. Property values don't go to zero. Many financial assets do, however. And you can rent out a house even while it's property value is declining. On a stock or other losing trading position you simply sit on a big fat loss, money you could have allocated much more intelligently.

You are essentially saying losing money is OK, the magnitude of draw downs does not matter as long as the position ends up in the money at the end. Well, I and most every hedge fund and money manager would disagree with you here.

Yes you don't. Just like everyone who laughed at me during the housing crisis.

 

[profitlocker]

When has the British Pound gone to zero??

 

[Zzzz1]

You are dancing around semantics. Equities do and several pages ago you mentioned equities. This particular currency trade is several hundred pips in the red and if you took a position then you are losing money right now. You are in a losing position. It is impossible to argue against that fact. My point all along has been that it does not pay in the long term to trade against strong trends unless you have incredibly deep pockets and can hold positions for years such as Warren Buffet can. And he has a dream team of investment professionals surrounding him and gets the inside scoop on the companies he invests in. Certainly not the information you or I get access to. The issue here is that why tying up funding in losing positions when you can do it the other way around and have probabilities favor your positions. That is how smart traders approach trading, at least those who are in it for the long run. Of course you can resort my advice to the one of a street thug, as you have done a few pages ago, but it makes you look slightly clueless to insist trading against strong trends is the way to go.

Your property investing example appears like a lucky trade. Property values could have gone down further and stayed depressed for years and you would have had a big chunk of your investment tied up in a loser. Had you waited until property values stabilized and upside momentum was confirmed then your trade would look way better.

If some of the professional hedge funds pull the plug on portfolio managers who exhibit a draw down of around 10% then there is definitely something wrong with your investment philosophy.

I made all my points, you choose your own path and you can belittle my advice but I believe your approach will not work in the long run.

When has the British Pound gone to zero??

 

[profitlocker]

I made all my points, you choose your own path and you can belittle my advice but I believe your approach will not work in the long run.

Take a hike kid. I've been around a while

 

[Zzzz1]

Well if you could omit the getting personal then maybe your "being around a while" could be taken more seriously. And perhaps you are forgetting that there are many others who may have been around for a lot longer than you and they may have had way more professional experience in this industry than you have gathered (if any). I wish you the best with your approach, I have never seen a counter trend trader that survived over a 10 year time span, so you must be a true outlier. Best of luck to you.

Take a hike kid. I've been around a while

 

[Have a nice day trader]

@Zzzz1 Position trading is not the same as counter trend trading. It's all a question of different goals and time horizons. I don't know about yourself but most of the people criticising the idea of buying into a falling GBP at the moment have no clue what they are talking about and will probably never work it out.

 

[Zzzz1]

as I said, good luck to you, I really mean it. We already agreed to disagree.

@Zzzz1 Position trading is not the same as counter trend trading. It's all a question of different goals and time horizons. I don't know about yourself but most of the people criticising the idea of buying into a falling GBP at the moment have no clue what they are talking about and will probably never work it out.

 

[cresa maugh]

Is gbp/usd basing. Floor? Opinions. Seems like 1.22 holds.

 

[SunTrader]

Is gbp/usd basing. Floor? Opinions. Seems like 1.22 holds.

My opinion, which is just that my opinion, in a holding pattern till the next drop.

Look at other GBP pairs - all very similar with slowing but still negative momentum.

 

[Trading Education Buyer]

1.24

EOM