|
|
Foreign Exchange Trading Systems - Major Trading Systems
I have been trading Forex for a living for over 7 years now and have come across diverse Forex trading systems and techniques.
Subsequent to many trials and errors I've come to the conclusion that less is more, therefore I have reduced my trading into 3 categories:
1. Forex news trading - this means riding the volatility surrounding economic announcements such as NFP, GDP, CPI and others. For this I employ software that delivers the news in real time and can actually hit the sell or Buy buttons. Occasionally your order will not be executed so it is possible to enter on a retrace, based on the news direction.
2. My own Forex trading methods and strategies, these fundamentally come down to 2 simple techniques:
2.1. Buying support and selling resistance, based on computed pivot points, Fibonacci numbers and trend lines.
2.2. Very fast scalps which involve trading for very small moves and minimizing risk. This requires practice, but once mastered it can be easy to make money .
3. Third party Forex Trading systems - there are various systems for sale and most of them are ineffectual, written by Internet marketers for the sole reason of making money for the system owner. These systems are a complete waste of time but the sales pitch is often good. I have found a few that work well and balance my own trading methods.
Timing and time in Day Trading
It is highly important to understand the time that you choose to deal in and understand what you potentially expect at that time of day. This is different from instrument to instrument, so it is highly important to study market behavior for your particular instruments. I usually trade only 4 instruments; the DAX, Euro, Japanese Yen and the GBP/USD, and I am pretty familiar with their behavioral patterns throughout the trading day.
Other trading vehicles behave differently and I will deal in them (I do infrequently trade WTI, Nat Gas, and other currencies) after I've understood their time related behavior. Most of my trades excepting the DAX and GBP/USD are news related and of course, when figures are released a different volatility exists which is generally out of the regular patterns.
The best time to deal in the DAX (German Index, and moves closely with the DOW chiefly) is soon after the London open at 08:00 (03:00 EST), as the open usually brings a large surge in volume and it's easy to scalp. Occasionally the scalp will turn into a longer term trade, if a trend ensues, however it is often possible to achieve a gain of 20 - 40 points in the first half hour of trading. As my daily target is 30 points and it is often made within 30 minutes, I can then relax and look for very low risk opportunities that will not risk the profit.
A few of my fellow traders will stop then and do something else. It certainly gives one plenty of time, but those 30 minutes require intense focus.
If you need more information please visit my blog by clicking the link.
The blog also contains live trade examples and videos.
Currency Scalping: Can It Be Done Effectively And Is It A Real Option For Newbies?
Fx scalping requires a very cool head and a good deal of experience in trading. There certainly are traders making money with this as their main tactic. But there are probably a lot more who are losing. This is probably because so many beginners are attracted to it.
Spotting Currency Price Trends For Higher Profits: How To Identify Trend Turning Points As Exactly As Possible
It can take time to learn all the details of trading trends, but you do not necessarily need to know everything to get started and be making money. There are many different ways to use technical analysis to spot a trend.
Currency Trading Brokers: What To Check Out When Searching For The One That Fits You Most
Everybody starts out currency trading with hopes of having big returns and some of the publicity that you will see will make this sound almost inevitable. In fact currency trading is of course full of risk and many people get their fingers burnt.
Free Forex Trading Signals: Are They A Good Alternative To Make Money In The Currency Markets?
Forex signals are messages sent to you by a company who specializes in analyzing the foreign exchange markets and sending out alerts to advise you to place or close a trade in the foreign exchange market
Currency Market Analysis: Which Type Is More Helpful, And The Right Way To Apply It In Your Strategy?
There are two types of forex market analysis: fundamental analysis, which considers economic, social and political forces and how they influence the currency markets, and technical analysis which uses charts to identify trends and patterns in the movement of prices.
FX Markets: What You Should Apprehend And How To Start Trading
The price could go against you and then you would end up with less money instead of more. So you will want to gather plenty of information about currency trading before you start.
Currency Exchange Trading Via Internet: What Makes Us Fail And How To Stay Out Of The Most Common Errors
There are many traps that await us when we begin forex online trading. Of course it is true that there are plenty of currency traders making big money from the markets, but at the same time there are many more people who are losing.
|
More Articles
Blogroll
|
