Why did we have such an active day yesterday and then a sudden lull in volatility today? This is always a good question to ask when the market seems unusually quiet. I was talking with a trading buddy the night before last as I had called him to ask if he saw any big moves coming. The reason I was expecting this was with all the pairs I was following I thought we were at thresholds on many and that a sudden volatile move was about to happen.
Well… here we are again.
As my mother used to say; somebody is waiting for the other shoe to drop. Let’s look at the markets right now.
- Deepening credit crisis in the US
- EUR/USD at all time highs
- EUR/JPY just off 10 year highs
- Financial markets dropping
- OIL looks like it is finally correcting
- Gold on the move again to $1000.
All the above suggests we are just seeing the beginning of some very volatile moves. The best thing to do here is WAIT for your trade to come to you.
'Market and Human' Psychology perspectives with tips on how to avoid common mistakes by 
