The Asian trading session generally shouldn’t be used as a guide as to what may transpire in the European or US trading sessions with regards to price. The volumes traded through the Asian trading session simply don’t match what is traded in London and New York. So how can you use this knowledge to your advantage when your trades may trigger through the Asian trading session?

So how can you use this knowledge to your advantage when your trades may trigger through the Asian trading session?

If a trade triggers in the Asian trading session instead of entering all your volume on the trade you could consider only entering part of your volume. You could then wait until the European trading session is open and add the balance of your volume at a better price. Most times trades move against you before they move in your favour giving you the chance to enter at a better price. If the trade simply moves away in your

If the trade simply moves away in your favour without giving you the chance to enter more then so be it. On the outset, you may think this is an “averaging in” entry system and you would be right. But the volume entered at the first level and then the second level needs to be measured to still only expose you to the risk limit you would normally set when front loading and entering all your volume at once. So you are not increasing your risk limit. Keeping an eye on price action at the opening of the various trading sessions can also be misleading for many traders. An explosive move at the start of a trading session doesn’t necessarily mean the move will continue. It can often be large speculators bidding up the price so see if anyone else wants to join them.

One trade at a time. Go get ’em!

About the Author: Andrew Barnett

Andrew is a professional trader and successful investor who has a strong focus on education. He is a regular Sky News Money Channel Guest and one of Australia’s most awarded and respected financial experts, and is regularly contacted by the Australian Media for the latest on what is happening with the Australian Dollar. Director at LTG GoldRock, Andrew Barnett, guides thousands of traders around the world in the live market on a daily basis, advising them on buy and sell directions, as well as trading his own personal account. Andrew, a regular key-note speaker at trading and wealth-creation events throughout the Asia Pacific region, is an authorized representative registered with the Australian Securities and Investment Commission (ASIC).

If you would like to speak to one of our Senior Client Advisors regarding the relative client opportunities offered at LTG GoldRock and how you can follow along with our Professional traders each day in our live trading room please contact us today or you can register for one of our a live coaching and trading webinars by clicking here.

The post Beware the Asian trading session is not a key driver. appeared first on Ltg Goldrock.