Well, it has been an exciting week learning about potential profit areas and channel trading.  Today in lesson 25, Sid introduced me to the trading strategy that he will focus on for the remainder of the course.  This method is called correlation trading.  By using this method, the margin of error is greatly reduced as it gives me confirmation that helps me make better trading decisions to minimize risk.  I was reminded that there are no certainties, but using this method of trading is one of the safest.The great thing about correlation is that it can be used in providing confirmation if you choose to trade using potential profit areas or channels, but it can be also be used as a strategic trading method all on its own.  In a nut shell, I will be using three specific currencies to determine if a move will provide an opportunity for snatching a few precious pips.  This is great, because I want all the help I can get.  I don’t want to lose my money, I want to grow it.

The rules of this strategy are simple…if there is no correlation, there is no confirmation; therefore, there is NO trade!  Sid provided me with the best times for trading using this method, but it is nice to know that I can use it anytime.  The beauty of my money management strategy and business plan is that once I meet my weekly target, I stop trading so I can conserve my capital and live to trade another day.

Next week, Sid will focus on setting up my chart for this particular type of trading.  I’m looking forward to it because it means I am near the end and will soon be trading on my own (in demo of course) and that’s when the real excitement (and anxiety) will set in.

Folks, it’s been great sharing with you this week, and I’m so happy to be caught up and not have to worry about it over the weekend.  Have a good one everybody and I’ll catch ya all next week.

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