Why some Forex pairs are indomitable?
I’m afraid I don’t have the answer to why on some ‘classic’ Forex pairs as EURUSD it is so easy to get new strategies from scratch whereas in others as AUDUSD it is an impossible feat for me.
Even if I try to get an overoptimized strategy, which on EURUSD it is really easy to achive, on some currencies as AUD, NZD, CAD,… I can not step on that ground. I could argue that I invest time and energy on this goal for the need of diversification. Truth is, this apparent barrier makes the endevour more appealing.
I do not deny the possibility of profitable strategies based on these cursed pairs. Sure there are experienced traders making profits on AUD! Simply, with my methodology, filters and rules I can’t find anything worthwhile. I mean, I am live trading pairs as EURUSD and never could put live pairs based on AUD.
Now, let’s be open minded and introduce a shallow analysis. Two assumptions here:
- It is possible to be successful trading AUD pairs. Come on! Shouldn’t be so hard to believe. AUDUSD is one of the majors after all
- My methodology is incompatible with AUD pairs. Which is quite obvious after so much effort put into it
Eureka! So the answer is that I should change methodology to approach to AUD.
Why should I do that and complicate my life with AUD? Aren’t the profits from EUR, USD, JPY as good as the AUD profits? Is smart being so stubborn on AUD?
I am convinced that I should navigate to the AUD waters because of diversification. Not for diversification of instruments or pairs as most people could think, I don’t believe in such diversification – that’s another story – but for diversification of methodology. That could bring my robusness Portfolio to the next level.