{"id":17014,"date":"2010-12-17T16:32:59","date_gmt":"2010-12-17T21:32:59","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=17014"},"modified":"2012-07-31T21:05:37","modified_gmt":"2012-07-31T21:05:37","slug":"forex-interview-with-technical-strategist-jamie-saettele-from-dailyfx","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/12\/17\/forex-interview-with-technical-strategist-jamie-saettele-from-dailyfx\/","title":{"rendered":"Forex Interview with Technical Strategist Jamie Saettele from DailyFx"},"content":{"rendered":"

By CountingPips.com<\/strong><\/p>\n

Today, we are pleased to bring you a new forex interview<\/a> with forex trader, author and currency analyst Jamie Saettele. Jamie is an active trader, senior technical strategist at Forex Capital Markets LLC in New York, and author of “Sentiment in the Forex Market”. His technical strategy focuses on sentiment indicators and Elliott wave and is published daily at \"\"<\/a>DailyFX.com<\/a>. He has also contributed to Technical Analysis of Stocks and Commodities magazine, SFO magazine, Futures magazine, and Investopedia.com.<\/p>\n

How did you become involved in the forex world? Was there something particularly attractive to you about the forex market?<\/strong><\/p>\n

I was attracted to the big picture macro nature of FX.\u00a0 Also, the size of the FX market hinders manipulation.\u00a0 It is a pure market in my opinion.<\/p>\n

How did you get your \u201cforex\u201d education? Did you learn by demo trading<\/a>, did you have a mentor?
\n<\/strong><\/p>\n

Reading as much as I could and trading.\u00a0 You\u2019ve got to get your feet wet.\u00a0 Demo trading is worthless because trading success or failure is primarily a function of psychology – in other words, how the trader responds to making and losing his or her own money.\u00a0 Money has to be at stake in order for emotions to materialize.\u00a0 The only way to learn how to trade is to risk your own money and trade.<\/p>\n

How often do you trade, are you a full-time trader? Do you trade longer or shorter times?<\/strong><\/p>\n

I’m fairly active.\u00a0 Sometimes I\u2019ll be in and out of the market 20 times a day.<\/p>\n

Do you have any preference on the currency pairs you trade? <\/strong><\/p>\n

I prefer the majors due to the tighter spreads but I tend to trade whatever is showing the clearest patterns.\u00a0 The clearest patterns tend to be the pairs that are most volatile.\u00a0 Right now, the AUDUSD and EURUSD have the highest daily ranges, at about 1.35% a day.\u00a0 This can change of course.\u00a0 For a long time, the GBPUSD was especially active but now it moves less than 1% a day.<\/p>\n

Do you use more technical analysis or fundamental analysis, both? Do you take sentiment analysis into your decision making?<\/strong><\/p>\n

I am technical in nature.\u00a0 Timing is clearly important in trading and I don’t see one can time the market with fundamentals.\u00a0 I monitor sentiment with measures such as COT data, risk reversal rates (options) and volatility.\u00a0 You’ll find that a lot (if not all) of these measures move with rate of change, which is a function of price – which underscores that price pattern is the most important consideration.\u00a0 It is when sentiment measures or rate of change diverge from price that a useful signal is derived.\u00a0 I also scan the WSJ and Bloomberg for headlines that may indicate market extremes.<\/p>\n

Do you have any favorite economic indicators or favorite technical indicators that you feel are most reliable? <\/strong><\/p>\n

I like RSI and certain bar\/candle patterns but my entries are based mostly on the opening ranges of Asia, Europe, and the US combined with support\/resistance and price patterns.<\/p>\n

What markets, outside of currencies, do you keep an eye on?<\/strong><\/p>\n

Equity markets, especially the S&P.\u00a0 Gold, silver, copper, crude, and bonds.<\/p>\n

Going into 2011, what do you see as the major themes for the forex markets? What should traders be watching?<\/strong><\/p>\n

I am keeping a close eye on the Australian and New Zealand dollars.\u00a0 These currencies are trading at levels that I don’t think are warranted.\u00a0 I see the potential for a housing crisis in Australia.\u00a0 The housing market there looks similar to the pre crises US housing market.\u00a0 Also, a setback in China (a question of when not if) would have a negative impact.<\/p>\n

In conclusion, do you have any advice to anyone starting out in forex trading? Is there anything in particular that you wish you had learned when you started out? <\/strong><\/p>\n

Don’t use too much leverage.\u00a0 Don’t use too much leverage.\u00a0 And finally, don’t use too much leverage.<\/p>\n

Thank you to Jaime for taking the time for our forex interview<\/a> and to read Jaime’s latest currency analysis and trading strategies you can visit DailyFx.com<\/span><\/a>.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Jamie is an active trader, senior technical strategist at Forex Capital Markets LLC in New York. His technical strategy focuses on sentiment indicators and Elliott wave…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-17014","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/17014","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=17014"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/17014\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=17014"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=17014"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=17014"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}