Soybeans: Consolidation, Malaise Sets In

And now, a consolidation has set in. After a series of various small, short trades for 3-5 cents each in profits, even the tick chart has now shown signs of consolidation. While 3-5 cents may not sound like much, each trade amounts to about $50 profits for each cent that prices move. A series of 6-8 trades can be highly profitable, if losses are kept small. He who loses least, wins the most (see Phantom's Rules, #1).

I will wait for the next break-out.

In some ways, the slower trading, with lower volume, that has marked today's trading so far is a blessing. It makes executions, and accuracy of trading, easier and more reliable. Instead of being forced to react very rapidly and with poor price executions, traders can be more precise in their trading. This results in less slippage and trading can be more reliable.