Aussie Dollar Experiment (Update #2)

Our Experiment using this forex trading plan for trading the Aussie dollar has not yielded anything for two weeks. It actually yielded a loss of 87 pips. I’m actually stopping the experiment there after two and a bit weeks in operation. So what conclusions can we draw from this forex experiment? Well, I for one can say that a dumb and blind system like this one is not effective. The system relied solely on the 50/50 odds of a coin as well timing the markets. But hang on, what if I went the opposite side of each trade in the experiment - you could have actually made 87 pips trading forex - which is a modest income by anyone’s standards for two weeks worth of trading. Hey - at least your doing something consistent right? But on the other hand - the system lost 87 pips - which can be a substantial amount of anyone’s trading capital. when I’m feeling up for it, I’ll try out a more intelligent trading system (but simple) a little later on. It’s interesting to see that this system didn’t make much money - and didn’t take advantage of the volatile movements of the Aussie dollar over the past two weeks: hitting 85 cents then retracing back to 84 cents and below then coming back to test 85 cents yesterday night.
Economic data releases in Australia this week:

• July 3 Retail trade (May); Building approvals (May); Reserve Bank Board meeting; International trade (May)

Economic data releases internationally this week:

• July 2 US ISM manufacturing (June)
• July 5 US ISM services (June)
• July 6 US Non-farm payrolls (June)