Should Forex Traders Take The Summer Months Off?
Some Forex traders are under the impression they should take the summer months (July, August), off from Forex trading. The notion is the “Main Players” involved in the Forex market are on vacation, so the trading can either be slower, or more erratic. So, it seems like a good idea to stay out of the market until more “normal” times return.
I, personally, do not agree.
You see, I think this idea of staying out of the market during the summer months comes from Day Traders. These are the traders sitting in front of their charts for long hours looking for trading opportunities on the lower time frames. They usually check market new reports, listen to “talking heads” on TV and take all kinds of measures with the hopes of having an edge in the markets.
Why do they go through all this trouble?
Well, because day trading is really hard. The lower time frames are less reliable and more volatile than higher time frames. So, they try to take everything in account in order to find profitable trade setups. And still, with all that hard work, time and effort… they still find it hard to be consistently profitable!
Having the major players out of the market can make the lower time frames even more volatile and difficult to trade. It is even less likely they will be able to trade profitably. So, it does seem like a good idea to take a few months off and stay away from trading.
Plus, day trading is time consuming and very stressful. It can suck the life right out of you. It does make sense that day traders are going to need a vacation at some point in order to alleviate stress and recharge the batteries for more trading in the future. So, why not take a vacation at the same time as the “big boys”?
I, on the other hand, trade off the Daily charts. I only trade 5-10 minutes a day. I am not stressed out and need to take a break from trading to recharge my batteries. So, I just keep on trading throughout the summer months.
Is summer month trading slower? It can be. It can also lead to some nice profits. And since we like to catch those “Profit Geysers” when they come alone, we need to be in the market.
Imagine how you would feel if a Profit Geyser comes along while you are sitting on the sidelines and taking a vacation. What if you missed that one big trade that can kick your profits up to a new level? This would not only be hard to take emotionally, but could dramatically reduce your profits for the year.
Let’s look at some real performance from Forex Investing Live for 2015…
If you left the signals service and didn’t trade Forex End Of Day Signals in July and August you would have missed out on +1693 pips. That is a lot of missed profits. Plus, when you decide to come back in September… you would have had a losing month of -494 pips! How would that have made you feel?
If you left the signals service and didn’t trade Set & Forget Forex Signals in July and August you would have missed out on +1515 pips. Again, that is a lot of missed profits. (Between the 2 signals packages that is +3208 missed pips for the year).
And just in case you are wondering, both Forex End Of Day Signals and Set & Forget Forex Signals were profitable in July 2016. And so far in August, each signals package has banked over +400 pips a piece. If you left the service for the summer, you would very likely be leaving over +1000 pips profit on the table.
Look, the point is, you cannot tell when the great months are going to come along. If you adhere to some “Golden Rule” established by day traders and avoid trading summer months because they can be slow… you might just find you missed out on a lot of profits. Honestly, it can make a big difference in your overall profitability for the year!
We are not day traders here at Forex Investing Live. We only send 5-10 minutes a day trading. And we are in for the long term… knowing that over time our trading profits can really add up. The last thing we want to do is try to outsmart the market by skipping trades or staying out of the market for months at a time because we “think” it might be slow. (Usually the market will punish us for this hubris).
We have made trading Forex Investing Live Signals so simple and quick there should be no need to take a vacation. (We don’t even plan on retiring from trading because it is so easy and takes so little time). We just get in the habit of spending a few minutes a day checking our charts, taking action when necessary and then getting on with our lives.
Over the long term, this is a more profitable way of trading.
If you are interested in making a commitment to sane, low stress trading, start by taking our FREE Forex Signals Success Course.
Then if you are ready to see if you can trade our signals first hand, take our Free 14 Day Trail. (Yes, even if it is in the summer).