Using Forex Charts To Succeed With Currency Trades
by Charlie Cory
It is important to remember that when reading Forex charts, that there are two basic approaches for online Forex trading. These approaches are known as the fundamental analysis approach and the technical analysis approach. The fundamental analysis approach does not rely on the standard Forex charts that one often sees on Forex Websites. This type of analysis relies on both political and economic factors to help determine which trades to make. Charts used for fundamental analysis are only used as a point of reference, and not a means of making a decision. Technical analysis on the other hand will try to forecast where the prices are going by analysis of historical price activity. In essence, those traders who use technical analysis study the relationship between the price of currency and the time of that price.
The commonest traded pair of currencies are the common European currency, the Euro, and the American dollar. So by way of an example, we will use this pairing to help us illustrate how Forex Traders look at this information. In this example, the dollar is on the right hand side of the chart and the Euro is on the left hand side. The currencies being traded are expressed in relationship to each other in a pairing. Forex charges will always show how much of the currency on the right hand side is necessary to buy a unit of the currency on the left hand side. Looking at the chart you will notice that the number which is highlighted is the last price displayed on a specified date. The time of a change is recorded along the horizontal axis, at the bottom of a chart and the price scale is displayed along the vertical axis along the right hand edge of the chart. The time and the price are often in all caps to help the trader remember that technical analysis is about the relationship between the time and price of the currency at that time.
There are many ways to observe the price and time movement on a Forex chart. Some of these include bars, lines, point and figure, as well as Japanese candle sticks, which is the most popular charting method. With the candle stick method the body of the candle is represented by a fat, red section. Lines project from the top and bottom which are the upper and lower wicks. When you look at all the candles on a chart it is clear that bodies can be different sizes and, occasionally, there is no body at all! The same approach is used with wicks. Candle wicks can be of many different sizes, or there may be no wick at all. The length of the body of the candle and the length of the wick are decided by the price range for the candle. An illustration showing longer candles indicates more price movement during the time that they were open. The pinnacle of a candle wick is the highest price for that currency while the bottom of the wick is the lowest price. A currency (or candle) is bullish when the size of the candle at the close is higher than it was at the open. In plain language this means that there were more buyers than there were sales during the opening time period. On the occasions that candles have no wicks at all, the indication is that the price of the currency opened but then dropped off consistently until it closed.
Forex charts should not be considered a sure fire method for decision making, but they are a tool that can help a trader decide about a trade. Studies reveal that many Forex traders do use charts of some description on a regular basis. Historical trends do have their place in Forex trading as most traders will acknowledge, and using the charts to track historical trends can help a trader in making a decision today.
More often than not, the charts are online rather than on paper. Many companies provide this online service, and by joining a service that provides the charts via the Internet a trader is able to stay very current indeed on currency activity. Charts can be verified on a minute to minute basis. For those who principally do their trading based on historical accuracy this can be a real help. Most Forex traders though use a blend of the two approaches. One could for example, chart historical trends, but also pay close attention to political, cultural and economic events within a nation. You could also use charts or other methods to check and see if a particular political event as a recent historical parallel that can be verified to determine how the currency behaved in past times. Merely following a single system is usually not enough. A trader should also be, to some extent at least, a student of history and of economics. There are numerous tools at your disposal to help you do well with Forex, and using these tools effectively will make you a much better Forex trader.
วันพฤหัสบดีที่ 25 กันยายน พ.ศ. 2551
Forex Trading Software - The Software of Champions or Tragedies
Forex Trading Software - The Software of Champions or Tragedies - It's up to You!
by William R. Alheim
Your sole objective of selecting your Forex (FX) trading software should be to optimize your profits over the long term as opposed to maximize your profits in the short term. The software should function well in all trading environments and be able to produce consistent profits which every way a particular currency happens to be moving at any given moment. There are so many Forex trading systems on the market today that the decision of which one to purchase first can be confusing. Each and every FX trading system is programmed a little differently and offers a distinctive approach to trading.
If you are an experienced trader and are now looking to upgrade from the manual trading process to computer based system then it is imperative that the first step is to examine your on individual method of trading and be honest with yourself. After all, do you want to purchase a trading system based on trends when you a signals trader? Or if you're a long term investor do want a system based on day trading?
Maybe you have not been successful trading to date and are attempting to blame the software. If that is the case then you really should take a long hard look at yourself and determine if it's the software or is it you. If you decide that it might not be the software, but the fact you have not been executing your trades properly then instead of purchasing a new system immediately you should strongly consider an additional online training course.
The vast majority of the top notch FX trading software on the market today has been examined numerous times by both the developers of the software and many independent testing agencies. As long as the software you purchase is a state of the art system is has been proven that it is capable of producing long term profits if utilized properly. Unfortunately, far too many people jump into currency trading which can be a highly lucrative field but is also a very competitive area with little or knowledge of the foreign exchange markets.
If you are a new comer to the FX markets, then please first invest in one of the many excellent online course that will educate on the details of the market before attempting to jump right in with an automated trading system. The cost of these courses is so minimal that they are easily made up with one successful trade that it is just unconscionable that anybody whom has little or no knowledge of the markets would want to start trading without first taking a course.
The software you select can really make you a hero in the eyes of your family if you are educated on the markets sufficiently to understand them and have the software work for you as the tool it was designed to do. When selecting the software there are only a few vital points to consider. The first being to make sure you purchasing a top level program which is updated as required by the market movements. The next and final step is to a pick a software that is based on your personal profile of trading. If you're a newcomer to the markets then make sure you are selecting a proven system and make sure it is a general system as opposed to one that focuses on a specific style of trading. This will give you time to learn the different aspects of trading first and develop your own approach.
by William R. Alheim
Your sole objective of selecting your Forex (FX) trading software should be to optimize your profits over the long term as opposed to maximize your profits in the short term. The software should function well in all trading environments and be able to produce consistent profits which every way a particular currency happens to be moving at any given moment. There are so many Forex trading systems on the market today that the decision of which one to purchase first can be confusing. Each and every FX trading system is programmed a little differently and offers a distinctive approach to trading.
If you are an experienced trader and are now looking to upgrade from the manual trading process to computer based system then it is imperative that the first step is to examine your on individual method of trading and be honest with yourself. After all, do you want to purchase a trading system based on trends when you a signals trader? Or if you're a long term investor do want a system based on day trading?
Maybe you have not been successful trading to date and are attempting to blame the software. If that is the case then you really should take a long hard look at yourself and determine if it's the software or is it you. If you decide that it might not be the software, but the fact you have not been executing your trades properly then instead of purchasing a new system immediately you should strongly consider an additional online training course.
The vast majority of the top notch FX trading software on the market today has been examined numerous times by both the developers of the software and many independent testing agencies. As long as the software you purchase is a state of the art system is has been proven that it is capable of producing long term profits if utilized properly. Unfortunately, far too many people jump into currency trading which can be a highly lucrative field but is also a very competitive area with little or knowledge of the foreign exchange markets.
If you are a new comer to the FX markets, then please first invest in one of the many excellent online course that will educate on the details of the market before attempting to jump right in with an automated trading system. The cost of these courses is so minimal that they are easily made up with one successful trade that it is just unconscionable that anybody whom has little or no knowledge of the markets would want to start trading without first taking a course.
The software you select can really make you a hero in the eyes of your family if you are educated on the markets sufficiently to understand them and have the software work for you as the tool it was designed to do. When selecting the software there are only a few vital points to consider. The first being to make sure you purchasing a top level program which is updated as required by the market movements. The next and final step is to a pick a software that is based on your personal profile of trading. If you're a newcomer to the markets then make sure you are selecting a proven system and make sure it is a general system as opposed to one that focuses on a specific style of trading. This will give you time to learn the different aspects of trading first and develop your own approach.
Getting Started With A Forex Currency System
Getting Started With A Forex Currency System
by Jon Arnold
Have you ever thought about trading in the forex currency system? Then you are going to have to really do your homework as to how to go about trading in it. You are going to have to be familiar with all the types of different currencies such as the yen, U.S. dollar, euro, etc. Unlike the stock market, the forex market is available to trade 24 hours a day.
If you search the Internet, you will find that there are many programs out there that deal with the forex currency system. However, these strategies are rarely sold online. If that would be true, the owner of the system would be using these strategies to make money in trading currencies instead of spending precious time just marketing his product.
One very popular trade in the forex market is the carry trade. This is made possible due to the fact that different countries have different benchmark interest rates. These interest rates fluctuate due to economic conditions. It currently happens that when one benchmark rate is on an upward swing, another country's rate may exhibit a downward trend. Every time that you buy a currency pair having a positive interest rate differential, you will receive a credit every day for that interest rate differential. The reverse is also true.
As far as the forex currency system goes, trend trading systems try to capture certain trends. In the long term, some forex pairs trade extremely well. The trend is your friend in the forex market.
Today, there are many news trading systems in the forex currency system. Many people try to make a trade on the initial news spike after data is released. Prices can move in one direction quite quickly only seconds after a new release. This makes it an excellent opportunity to initiate a trade. If you want to get in on this and trade news spikes, you are going to have to have a very fast news feed.
If you are going to be trading in the forex currency system, you are going to have to have a broker. He or she will be able to initiate a fast execution around the news releases. Not all forex brokers can operate as quickly as you would like or need to in this very fast paced market, so be sure the broker you choose can move quickly before the major opportunity for profit goes away.
The idea of an automatic trading system that will make you gobs of money and will require minimal maintenance on your part is appealing to many people. The reasons appear obvious. Using the platform Metatrader4 is once of the most common form of automated forex trading. Unfortunately, many of these systems are not able to stand the test of time. You can find many of these automated currency systems for sale, but it comes with a high ticket price so buyer beware!
There is so much information you must as well as terms to be memorized such as absolute rate, accumulation/distribution, pip and accreting principal swap and a host of other terms that it will make your head spin.
There are some online programs that will allow you to open a demo account and will give you a demo account to test your knowledge with so you don't have to use any of your own money. When you have mastered the techniques and are in the black when making trades, then it may be time to think about trading with real money. Remember that the forex currency system can be tricky so it would not be wise to jump into this blindly without any instruction.
by Jon Arnold
Have you ever thought about trading in the forex currency system? Then you are going to have to really do your homework as to how to go about trading in it. You are going to have to be familiar with all the types of different currencies such as the yen, U.S. dollar, euro, etc. Unlike the stock market, the forex market is available to trade 24 hours a day.
If you search the Internet, you will find that there are many programs out there that deal with the forex currency system. However, these strategies are rarely sold online. If that would be true, the owner of the system would be using these strategies to make money in trading currencies instead of spending precious time just marketing his product.
One very popular trade in the forex market is the carry trade. This is made possible due to the fact that different countries have different benchmark interest rates. These interest rates fluctuate due to economic conditions. It currently happens that when one benchmark rate is on an upward swing, another country's rate may exhibit a downward trend. Every time that you buy a currency pair having a positive interest rate differential, you will receive a credit every day for that interest rate differential. The reverse is also true.
As far as the forex currency system goes, trend trading systems try to capture certain trends. In the long term, some forex pairs trade extremely well. The trend is your friend in the forex market.
Today, there are many news trading systems in the forex currency system. Many people try to make a trade on the initial news spike after data is released. Prices can move in one direction quite quickly only seconds after a new release. This makes it an excellent opportunity to initiate a trade. If you want to get in on this and trade news spikes, you are going to have to have a very fast news feed.
If you are going to be trading in the forex currency system, you are going to have to have a broker. He or she will be able to initiate a fast execution around the news releases. Not all forex brokers can operate as quickly as you would like or need to in this very fast paced market, so be sure the broker you choose can move quickly before the major opportunity for profit goes away.
The idea of an automatic trading system that will make you gobs of money and will require minimal maintenance on your part is appealing to many people. The reasons appear obvious. Using the platform Metatrader4 is once of the most common form of automated forex trading. Unfortunately, many of these systems are not able to stand the test of time. You can find many of these automated currency systems for sale, but it comes with a high ticket price so buyer beware!
There is so much information you must as well as terms to be memorized such as absolute rate, accumulation/distribution, pip and accreting principal swap and a host of other terms that it will make your head spin.
There are some online programs that will allow you to open a demo account and will give you a demo account to test your knowledge with so you don't have to use any of your own money. When you have mastered the techniques and are in the black when making trades, then it may be time to think about trading with real money. Remember that the forex currency system can be tricky so it would not be wise to jump into this blindly without any instruction.
วันอาทิตย์ที่ 14 กันยายน พ.ศ. 2551
Day Trading Software - A guide
Day Trading Software - A guide
by Frederic Robinson
In todays world, DayTrading Software has turned into a big online industry.
If done correctly, day trading utilizing day trading software can turn a large profit for not just the major organizations but also for the person working from home online with day trading software.
This has to be a plus point of the internet and day trading software as it has levelled the learning curve between big companies and small traders.
As the biggest financial market, the FX (Forex) is the best market to make trades with day trading software. On most days, over two trillion dollars of trade is carried out.
By comparison, the other well known market called the New York Stock Exchange, the amount which is traded on that market is 25 billion dollars on any given day.
This is amazing and mind blowing stuff which brings in some of the worlds biggest businesses and organizations.
Currency is traded on the FX and always involves a a flow of buying and a flow of selling of different currencies. These currencies are dealt with by brokers.
If you get involved in buying currency with your day trading software, what happens is that you actually actually invest the money in that currency.
As an example, if you by US dollars, equates to you investing into the Amercican economy. The current state of that countries economy is what sets the value for the currency and any small changes.
Initially, the idea of being able to trade in the Forex was intended for the bigger companies and banks. The everyday person was not meant to trade in the market with day trading software. You needed many millions to take part and that was beyond the scope of many normal people.
However times have now changed and nowadays, most of us with not much cash can trade through a broker. Day trading software is not too expensive. It all takes place online. All that is needed is that you choose a good trading firm and monitor the market online with your day trading software.
Trading continues non stop through the three big trading centers in the United Kingdom, Japan and USA.
There are a number of benefits when it comes to day trading on the internet and in most cases, it is can be the best way to trade.
By taking the time to prepare yourself with the right research, there is no basis why you can not trade on the foreign exchange with day trading software and trade on the internet.
by Frederic Robinson
In todays world, DayTrading Software has turned into a big online industry.
If done correctly, day trading utilizing day trading software can turn a large profit for not just the major organizations but also for the person working from home online with day trading software.
This has to be a plus point of the internet and day trading software as it has levelled the learning curve between big companies and small traders.
As the biggest financial market, the FX (Forex) is the best market to make trades with day trading software. On most days, over two trillion dollars of trade is carried out.
By comparison, the other well known market called the New York Stock Exchange, the amount which is traded on that market is 25 billion dollars on any given day.
This is amazing and mind blowing stuff which brings in some of the worlds biggest businesses and organizations.
Currency is traded on the FX and always involves a a flow of buying and a flow of selling of different currencies. These currencies are dealt with by brokers.
If you get involved in buying currency with your day trading software, what happens is that you actually actually invest the money in that currency.
As an example, if you by US dollars, equates to you investing into the Amercican economy. The current state of that countries economy is what sets the value for the currency and any small changes.
Initially, the idea of being able to trade in the Forex was intended for the bigger companies and banks. The everyday person was not meant to trade in the market with day trading software. You needed many millions to take part and that was beyond the scope of many normal people.
However times have now changed and nowadays, most of us with not much cash can trade through a broker. Day trading software is not too expensive. It all takes place online. All that is needed is that you choose a good trading firm and monitor the market online with your day trading software.
Trading continues non stop through the three big trading centers in the United Kingdom, Japan and USA.
There are a number of benefits when it comes to day trading on the internet and in most cases, it is can be the best way to trade.
By taking the time to prepare yourself with the right research, there is no basis why you can not trade on the foreign exchange with day trading software and trade on the internet.
Forex Expert Advisors - Should You Consider Them and Which Are Best?
Forex Expert Advisors - Should You Consider Them and Which Are Best?
by kelly Price
Forex expert advisors or all over the net selling robots, signals and recommendations but should you consider them and which are the best? Lets find out...
The first point to make is that most forex expert advisors are not even proven traders, they are marketing companies.
You get a lot of fancy copy and promises - but most deliver nothing, apart from a simulated track record in hindsight, to back up there claims. The problem is of course you don't know the closing prices when you trade, so you can't make up a profitable track record in real time trading!
Before we look at what the good ones provide, here are the type of forex expert advisors to avoid.
1. Forex Robots
Ones who sell forex robots for $100, with a simulated track record and tell you that you're going to get rich, dream on, you will get wiped out. Also if it was that easy to make money, everyone would trade and give up the day job! It's not that easy unfortunately.
2. Day Trading and Scalping Systems
Again lot of hype and no real track record - just a simulation. All volatility is random in short time spans, so you are destined to lose - period.
Avoid these like the simulated forex robots.
3. Trading Signals Services
It's hard to follow a forex signals service unless, you know the logic the system is based upon. You should only do this based upon real time track record and the logic being fully explained so you can trade with confidence.
4. Forums and Members Areas
Lot of hype about sharing your experience with other traders. For "other traders" put losers - What successful trader, goes to a forum to share his advice? None I know - there normally busy making money. Most people in forums are losers and it makes them feel better, to give their great advice, when they can't win themselves - Steer clear!
5. News Wires
Want to trade breaking news? Forget it, its well researched and great information but there opinions and stories that's all. Trade news and you will lose.
The Problem is...
With the rise of the internet you have a lot of people passing themselves off as forex expert advisors and they have nothing to back up their claims. They have never made money and reply and back tests to sell their systems and this won't bring you success.
So where do you get the good expert advice?
Free Sources
Surprisingly, you can get most of what you need for free.
If you are basing your forex trading strategy on forex technical analysis, you can get all the theory and all the background to the indicators free. We have in our other articles explained how to build a system from these free sources so look them up.
Currency Trading Courses
You can get some good currency trading courses you need to check the person giving the advice is a trader though, as most courses are not. Look for something that can help you get a trading edge. There are some great courses that can cut the learning curve; you just need to seek them out.
Advice From the Millionaire Traders
How would you like some of the real millionaire traders to share their views with you?
Well go to your online bookstore and you can pick up some great advice. We wrote a top ten investment book list and it costs about $100 for the lot and that's advice from the super traders.
Always Remember This.
You can learn from others but you are responsible for your profits.
Someone can teach you the tools for currency trading success but it is up to you to apply them. Get your forex education for free and some books from the pros, or maybe a currency trading course, if it's run by traders and learn from it, then apply it with confidence.
There are plenty of forex trading expert advisors and a few can help you - but at the end of the day, your destiny is in your hands. Learn wisely, have confidence and discipline and you will win.
by kelly Price
Forex expert advisors or all over the net selling robots, signals and recommendations but should you consider them and which are the best? Lets find out...
The first point to make is that most forex expert advisors are not even proven traders, they are marketing companies.
You get a lot of fancy copy and promises - but most deliver nothing, apart from a simulated track record in hindsight, to back up there claims. The problem is of course you don't know the closing prices when you trade, so you can't make up a profitable track record in real time trading!
Before we look at what the good ones provide, here are the type of forex expert advisors to avoid.
1. Forex Robots
Ones who sell forex robots for $100, with a simulated track record and tell you that you're going to get rich, dream on, you will get wiped out. Also if it was that easy to make money, everyone would trade and give up the day job! It's not that easy unfortunately.
2. Day Trading and Scalping Systems
Again lot of hype and no real track record - just a simulation. All volatility is random in short time spans, so you are destined to lose - period.
Avoid these like the simulated forex robots.
3. Trading Signals Services
It's hard to follow a forex signals service unless, you know the logic the system is based upon. You should only do this based upon real time track record and the logic being fully explained so you can trade with confidence.
4. Forums and Members Areas
Lot of hype about sharing your experience with other traders. For "other traders" put losers - What successful trader, goes to a forum to share his advice? None I know - there normally busy making money. Most people in forums are losers and it makes them feel better, to give their great advice, when they can't win themselves - Steer clear!
5. News Wires
Want to trade breaking news? Forget it, its well researched and great information but there opinions and stories that's all. Trade news and you will lose.
The Problem is...
With the rise of the internet you have a lot of people passing themselves off as forex expert advisors and they have nothing to back up their claims. They have never made money and reply and back tests to sell their systems and this won't bring you success.
So where do you get the good expert advice?
Free Sources
Surprisingly, you can get most of what you need for free.
If you are basing your forex trading strategy on forex technical analysis, you can get all the theory and all the background to the indicators free. We have in our other articles explained how to build a system from these free sources so look them up.
Currency Trading Courses
You can get some good currency trading courses you need to check the person giving the advice is a trader though, as most courses are not. Look for something that can help you get a trading edge. There are some great courses that can cut the learning curve; you just need to seek them out.
Advice From the Millionaire Traders
How would you like some of the real millionaire traders to share their views with you?
Well go to your online bookstore and you can pick up some great advice. We wrote a top ten investment book list and it costs about $100 for the lot and that's advice from the super traders.
Always Remember This.
You can learn from others but you are responsible for your profits.
Someone can teach you the tools for currency trading success but it is up to you to apply them. Get your forex education for free and some books from the pros, or maybe a currency trading course, if it's run by traders and learn from it, then apply it with confidence.
There are plenty of forex trading expert advisors and a few can help you - but at the end of the day, your destiny is in your hands. Learn wisely, have confidence and discipline and you will win.
Forex Futures Trading Is Attractive To Day Traders
Forex Futures Trading Is Attractive To Day Traders
by Dean Forster
In the world of currency there are two distinct types of Forex trading. The first is the most popular of currency trading known as spot trading. The second way in which to trace currency is Forex Futures trading. There are differences between spot and futures trading to be sure, however the biggest difference and arguably the most important difference between them is the fact that spot trades are handled in what is termed as over the counter. The fact is there is no central location in which a Forex transaction is cleared. Futures trades have the distinction of clearing at the Chicago Mercantile Exchange.
The Chicago Mercantile Exchange, or CMX for short, has been offering Forex Futures trading since 1972. Today, the CMX offers futures on 41 currency pairs, options on 31 currency contracts and it holds over $60 billion in total liquidity. The Chicago Mercantile Exchange also does Futures transactions on their world-renowned Globex platforms. As an added bonus, it also offers feature popular future contracts traded on the e-mini equity indices.
One of the big differences in Forex spot trading as opposed to Forex Futures is that the former works very well for those whose habits tend to lean towards trades that are a shorter term, whereas Forex Futures trading is typically better for larger, long-term trades.
For most investors the biggest most important difference between Forex spot and Futures Trading is not the over the counter trade as opposed to the trade clearing at a central location. The most striking difference in the two is the cost involved in currency trading. Futures has a cost of around $20 or less per round turn. The Forex spot trade will run you anywhere from $30 to $50 and up per round turn. This particular aspect of Forex Futures trading makes it the trade of choice for most currency day traders.
From just a personal perspective, some people have a problem with Forex spot trade simply because in most cases, they have no idea with what company or with whom they may be doing business. It is seldom an issue, but some investors prefer doing business at a central location. With Forex Futures trading, this is not an issue. The Chicago Mercantile Exchange is a market that has a rich and storied tradition. Most people know where it is and they know it is not going anywhere.
by Dean Forster
In the world of currency there are two distinct types of Forex trading. The first is the most popular of currency trading known as spot trading. The second way in which to trace currency is Forex Futures trading. There are differences between spot and futures trading to be sure, however the biggest difference and arguably the most important difference between them is the fact that spot trades are handled in what is termed as over the counter. The fact is there is no central location in which a Forex transaction is cleared. Futures trades have the distinction of clearing at the Chicago Mercantile Exchange.
The Chicago Mercantile Exchange, or CMX for short, has been offering Forex Futures trading since 1972. Today, the CMX offers futures on 41 currency pairs, options on 31 currency contracts and it holds over $60 billion in total liquidity. The Chicago Mercantile Exchange also does Futures transactions on their world-renowned Globex platforms. As an added bonus, it also offers feature popular future contracts traded on the e-mini equity indices.
One of the big differences in Forex spot trading as opposed to Forex Futures is that the former works very well for those whose habits tend to lean towards trades that are a shorter term, whereas Forex Futures trading is typically better for larger, long-term trades.
For most investors the biggest most important difference between Forex spot and Futures Trading is not the over the counter trade as opposed to the trade clearing at a central location. The most striking difference in the two is the cost involved in currency trading. Futures has a cost of around $20 or less per round turn. The Forex spot trade will run you anywhere from $30 to $50 and up per round turn. This particular aspect of Forex Futures trading makes it the trade of choice for most currency day traders.
From just a personal perspective, some people have a problem with Forex spot trade simply because in most cases, they have no idea with what company or with whom they may be doing business. It is seldom an issue, but some investors prefer doing business at a central location. With Forex Futures trading, this is not an issue. The Chicago Mercantile Exchange is a market that has a rich and storied tradition. Most people know where it is and they know it is not going anywhere.
วันพฤหัสบดีที่ 11 กันยายน พ.ศ. 2551
Forex Trading System - This Ones FREE Made Millions and is Enclosed!
Forex Trading System - This Ones FREE Made Millions and is Enclosed!
by kelly Price
Yes, you read correctly, this forex trading system is totally free, simple to understand and apply and has made savvy traders countless millions, over the last 20 years and everything, you need to know about it is enclosed...
The system we are going to look at was devised by legendary trader Richard Donchian and while incredibly simple - it works.
The system is called the 4 Week Rule and the rule of the system is this:
Buy any new 4 week calendar high, then reverse and sell any 4 week calendar low and then reverse again on a 4 Week high. It's a stop and reverse system and you always maintain a position in the market.
You can do it in your head, don't even need a computer and the rule is totally objective you just follow it, no subjective judgement is needed.
Does it make money?
Yes check it out for yourself and the logic it is based on is sound and that is - most new trends start or continue from new market highs and this is based on long term breakout methodology, so it will effectively puts you in on every major trend. As these big trends can last for many weeks, months or even years, it can make a lot of money.
It's Totally Objective and Time Efficient
The other huge advantage is time to apply it, you only need 15 minutes a day or less and on some days you will be so far from a signal you don't even need to look at the market.
The system works well in any trending market and as currencies trend so well, it's an ideal market to apply it on.
A Filter
All systems have a downside and this one will take losses and get chopped around, when the market doesn't trend but you can add a filter and that's to exit on a shorter time scale say, 1 or 2 weeks, then remain flat, until the next 4 week trigger kicks you in again with your trading signal.
Both ways will make money but adding the filter smoothes the downside.
It Beats Sold Robots Easily
Its simple, doesn't have glossy packaging or a catchy name, like many of the numerous forex robots sold by vendors - but they don't have the one important thing this system has - a real track record.
All the forex robots that are sold come with meaningless, back tested simulations and lose. This one comes with a track record of real gains and has been used by savvy traders for years.
Use It and Enjoy Currency Trading Success
If you want profits and you want a simple, easy, to apply system, then the 4 Week Rule is ideal. So before you think of buying a forex trading system, take a closer look at the system enclosed and you maybe glad you did.
by kelly Price
Yes, you read correctly, this forex trading system is totally free, simple to understand and apply and has made savvy traders countless millions, over the last 20 years and everything, you need to know about it is enclosed...
The system we are going to look at was devised by legendary trader Richard Donchian and while incredibly simple - it works.
The system is called the 4 Week Rule and the rule of the system is this:
Buy any new 4 week calendar high, then reverse and sell any 4 week calendar low and then reverse again on a 4 Week high. It's a stop and reverse system and you always maintain a position in the market.
You can do it in your head, don't even need a computer and the rule is totally objective you just follow it, no subjective judgement is needed.
Does it make money?
Yes check it out for yourself and the logic it is based on is sound and that is - most new trends start or continue from new market highs and this is based on long term breakout methodology, so it will effectively puts you in on every major trend. As these big trends can last for many weeks, months or even years, it can make a lot of money.
It's Totally Objective and Time Efficient
The other huge advantage is time to apply it, you only need 15 minutes a day or less and on some days you will be so far from a signal you don't even need to look at the market.
The system works well in any trending market and as currencies trend so well, it's an ideal market to apply it on.
A Filter
All systems have a downside and this one will take losses and get chopped around, when the market doesn't trend but you can add a filter and that's to exit on a shorter time scale say, 1 or 2 weeks, then remain flat, until the next 4 week trigger kicks you in again with your trading signal.
Both ways will make money but adding the filter smoothes the downside.
It Beats Sold Robots Easily
Its simple, doesn't have glossy packaging or a catchy name, like many of the numerous forex robots sold by vendors - but they don't have the one important thing this system has - a real track record.
All the forex robots that are sold come with meaningless, back tested simulations and lose. This one comes with a track record of real gains and has been used by savvy traders for years.
Use It and Enjoy Currency Trading Success
If you want profits and you want a simple, easy, to apply system, then the 4 Week Rule is ideal. So before you think of buying a forex trading system, take a closer look at the system enclosed and you maybe glad you did.
Forex AutoPilot review. Is it possible to make money on autopilot?
Forex AutoPilot review. Is it possible to make money on autopilot?
by Mike Foley
Forex Autopilot software developed by Marcus Leary is commonly used software, which helps in making more money on forex market. It is considered by many as one of the best programs for forex trading on the market today, especially for the home user.
But does Forex Autopilot really work, and if so, how?
For some people Forex AutoPilot works very well. For others it may not work so well, but the reason is not the type of software, but how people handle it. Some people simply go to trade with the software before their number, how they work. If you do, you can make a mistake with thesoftware, which can cost you money.
You want Forex Autopilot to work well as for you. Because it has for other people (8 people actually became millionaires with it), you need to spend some time to learn how to use it. The good news is that Marcus Leary and his support team will provide assistance to customers.
Do not worry, the software is not difficult to grasp, but you will have to spend some time to familiarize yourself with it. Even if the tradeing begins a week or 2 later than it has been planed, mastering the software will be well spent time
When you are adept at running, you can see the results. Software worked for many people and will work for you, if you only to allow it.
What I mean that it is software runs on mathematical models. Do not interfere with what he does. That's why you got it: to work less and let it make money for you. Of course, you should check it once in a while, but the automatic software in such a manner can trade on their own account. Even without you near the PC.
Anyway, Forex Autopilot is highly recommended. You will make a lot of pips and very quick cash. I wish you the best of luck with him.
by Mike Foley
Forex Autopilot software developed by Marcus Leary is commonly used software, which helps in making more money on forex market. It is considered by many as one of the best programs for forex trading on the market today, especially for the home user.
But does Forex Autopilot really work, and if so, how?
For some people Forex AutoPilot works very well. For others it may not work so well, but the reason is not the type of software, but how people handle it. Some people simply go to trade with the software before their number, how they work. If you do, you can make a mistake with thesoftware, which can cost you money.
You want Forex Autopilot to work well as for you. Because it has for other people (8 people actually became millionaires with it), you need to spend some time to learn how to use it. The good news is that Marcus Leary and his support team will provide assistance to customers.
Do not worry, the software is not difficult to grasp, but you will have to spend some time to familiarize yourself with it. Even if the tradeing begins a week or 2 later than it has been planed, mastering the software will be well spent time
When you are adept at running, you can see the results. Software worked for many people and will work for you, if you only to allow it.
What I mean that it is software runs on mathematical models. Do not interfere with what he does. That's why you got it: to work less and let it make money for you. Of course, you should check it once in a while, but the automatic software in such a manner can trade on their own account. Even without you near the PC.
Anyway, Forex Autopilot is highly recommended. You will make a lot of pips and very quick cash. I wish you the best of luck with him.
The Forex Game - Trading Currency With No Risk
The Forex Game - Trading Currency With No Risk
by Jim Nettleto
Currency trading has gained much popularity in recent years. Once thought to be the playground of the rich investor, it has become apparent lately that the currency trading market is accessible by investors of all levels.
Forex has now become an often-used term as opposed to just a few years ago when most people had never heard it. Now, the advantages of Forex trading are readily appreciated as more and more investors devote the major portion of their investing activity to the Forex market. The trading of currency involves simultaneous purchasing of one currency and selling of another.
It is the world's largest market, with trades every day totaling over three trillion dollars, a staggering amount. It's no wonder then that investors have flocked to it given the enormous amount of money changing hands and the opportunities presented by that volume.
One of the best things about this arena is that one can practice at will and play games online to improve skills and knowledge. Pretend, or phantom trading is referred to as 'the game' in the Forex field. This, of course, allows you to risk no funds while you thoroughly learn techniques through constructive practice.
To locate sites that supply practice training simply do a Google search for 'Forex Trading' and many sites will be presented. By the way, the term 'Forex' is derived from the formal name of the trading type, Foreign Exchange. The trading practice is also sometimes referred to as just 'FX'.
For a complete overview of the Forex market, visit my web site through the link in my resource box below.
A major difference in this market, as opposed to the stock market, is that trading is not accomplished through a central point, such as the New York Stock Exchange. Trading in the Forex market is done on a direct basis, that is, between the two parties who are making the trade. Another major difference is that trading takes place twenty-four hours a day, through trading centers all over the world. The market trades continuously from Sunday night at 20:00 GMT to Friday night at 22:00 GMT. That gives investors a chance to make trades based on financial developments in the news without having to wait for a market to open the next day.
Many times, trades are done without commissions coming into play, a distinct advantage over the stock market. Still another advantage is the liquidity of the market, which translates into a constant supply of sellers and buyers, so there's always a trade in the making around the clock. The market is constantly in flux and presents trade opportunities no matter whether a particular currency is moving up or down. The Forex market also offers the investor great leverage. An investor can control a position that is as much as one hundred to one more than his margin deposit. Currency trading is a fascinating field and one that should be looked into if you are searching for an opportunity to invest and a chance to seriously increase your net worth. Check it out carefully and do practice investing before you make the plunge. And, of course, never risk money you can't afford to lose. Visit my site listed below for much more information.
by Jim Nettleto
Currency trading has gained much popularity in recent years. Once thought to be the playground of the rich investor, it has become apparent lately that the currency trading market is accessible by investors of all levels.
Forex has now become an often-used term as opposed to just a few years ago when most people had never heard it. Now, the advantages of Forex trading are readily appreciated as more and more investors devote the major portion of their investing activity to the Forex market. The trading of currency involves simultaneous purchasing of one currency and selling of another.
It is the world's largest market, with trades every day totaling over three trillion dollars, a staggering amount. It's no wonder then that investors have flocked to it given the enormous amount of money changing hands and the opportunities presented by that volume.
One of the best things about this arena is that one can practice at will and play games online to improve skills and knowledge. Pretend, or phantom trading is referred to as 'the game' in the Forex field. This, of course, allows you to risk no funds while you thoroughly learn techniques through constructive practice.
To locate sites that supply practice training simply do a Google search for 'Forex Trading' and many sites will be presented. By the way, the term 'Forex' is derived from the formal name of the trading type, Foreign Exchange. The trading practice is also sometimes referred to as just 'FX'.
For a complete overview of the Forex market, visit my web site through the link in my resource box below.
A major difference in this market, as opposed to the stock market, is that trading is not accomplished through a central point, such as the New York Stock Exchange. Trading in the Forex market is done on a direct basis, that is, between the two parties who are making the trade. Another major difference is that trading takes place twenty-four hours a day, through trading centers all over the world. The market trades continuously from Sunday night at 20:00 GMT to Friday night at 22:00 GMT. That gives investors a chance to make trades based on financial developments in the news without having to wait for a market to open the next day.
Many times, trades are done without commissions coming into play, a distinct advantage over the stock market. Still another advantage is the liquidity of the market, which translates into a constant supply of sellers and buyers, so there's always a trade in the making around the clock. The market is constantly in flux and presents trade opportunities no matter whether a particular currency is moving up or down. The Forex market also offers the investor great leverage. An investor can control a position that is as much as one hundred to one more than his margin deposit. Currency trading is a fascinating field and one that should be looked into if you are searching for an opportunity to invest and a chance to seriously increase your net worth. Check it out carefully and do practice investing before you make the plunge. And, of course, never risk money you can't afford to lose. Visit my site listed below for much more information.
วันพุธที่ 10 กันยายน พ.ศ. 2551
Automated Forex Trading Isnt For Everyone
Automated Forex Trading Isnt For Everyone
by Steve Comet
Most first-time investors fall into the trap of new investments without initially obtaining necessary investment skills, a load of information, and a sound mind for proper decisions. What happens is, aftereffects become like the end of the world for them. This usually happens in forex automated trading investment, where you play with so much gusto at first, then damn the activity when you lose. However, like any investment, forex is a daunting scheme for neophytes in the business without an applied methodical approach, because losing is always around the bend waiting.
Forex automated trading is the business of foreign currency trading via computer program. Some forex players would sit in front of the computer or television to wait for things to happen and have an idea where and how they should timely play the game. Yet, there is more to sitting, waiting, and observing when we talk about an industry as big as forex. Knowledge, Knowledge, Knowledge. Of course, before sailing out to the sea, you should know how to run the ship. Throwing out your best bet in the game is futile if you do not have dependable resources that could attest that you have the efficient methods at hand.
Discipline Combined with Genuine Effort. Trading becomes successful even for a novice if you have discipline in making sensible decisions. Do keep in mind that any effort you make during trades increases your experience, and so you decision making skills.
Technical Analytical Skill and Management Understanding. It is significant for every trader to be technically aware of management techniques and to know how to analyze technical procedures and results.
Sound Decision Requires Sound Mind. Trading is not just about practical skills, but it is also about being psychologically ready to operate the business and accept the consequences of it.
Forex Auto Pilot. forex automated trading is actually a computer program or software used during trading transactions. Forex Auto pilot is one of these programs, wich can be a very efficient personal assistant by handling and manging your buy and sell orders even when you are away. This program helps you to find ideal buy and sell opportunities, wich are based on your analysis. As a trader using this software, you are to teach your computer to look out for signals and evaluate it. when this is the case, it can analyse, run, and trade even when you arent around. What is great is it does not only generate signals based on your custom trading system, it can also automatically carry out orders and other trading activities as long as it recognizes the signals you set. Fortunately, it also allows you create new systems using its intuitive trading system builder. A forex automated trading novice like you can still become like a pro in the business as long as you know how to combine technical skills, sound judgment, intuition, and forex auto pilot in your trading business.
by Steve Comet
Most first-time investors fall into the trap of new investments without initially obtaining necessary investment skills, a load of information, and a sound mind for proper decisions. What happens is, aftereffects become like the end of the world for them. This usually happens in forex automated trading investment, where you play with so much gusto at first, then damn the activity when you lose. However, like any investment, forex is a daunting scheme for neophytes in the business without an applied methodical approach, because losing is always around the bend waiting.
Forex automated trading is the business of foreign currency trading via computer program. Some forex players would sit in front of the computer or television to wait for things to happen and have an idea where and how they should timely play the game. Yet, there is more to sitting, waiting, and observing when we talk about an industry as big as forex. Knowledge, Knowledge, Knowledge. Of course, before sailing out to the sea, you should know how to run the ship. Throwing out your best bet in the game is futile if you do not have dependable resources that could attest that you have the efficient methods at hand.
Discipline Combined with Genuine Effort. Trading becomes successful even for a novice if you have discipline in making sensible decisions. Do keep in mind that any effort you make during trades increases your experience, and so you decision making skills.
Technical Analytical Skill and Management Understanding. It is significant for every trader to be technically aware of management techniques and to know how to analyze technical procedures and results.
Sound Decision Requires Sound Mind. Trading is not just about practical skills, but it is also about being psychologically ready to operate the business and accept the consequences of it.
Forex Auto Pilot. forex automated trading is actually a computer program or software used during trading transactions. Forex Auto pilot is one of these programs, wich can be a very efficient personal assistant by handling and manging your buy and sell orders even when you are away. This program helps you to find ideal buy and sell opportunities, wich are based on your analysis. As a trader using this software, you are to teach your computer to look out for signals and evaluate it. when this is the case, it can analyse, run, and trade even when you arent around. What is great is it does not only generate signals based on your custom trading system, it can also automatically carry out orders and other trading activities as long as it recognizes the signals you set. Fortunately, it also allows you create new systems using its intuitive trading system builder. A forex automated trading novice like you can still become like a pro in the business as long as you know how to combine technical skills, sound judgment, intuition, and forex auto pilot in your trading business.
วันอังคารที่ 9 กันยายน พ.ศ. 2551
Forex Funnel Review
Forex Funnel Review
by John Miller
Have you ever heard of a money making program called forex funnel? I hadn't until a friend introduced me to it. For those of you that have never heard of Forex Funnel, it is essentially a program that trades forex for you automatically. If you have a computer and the internet, you can do this. I am a skeptical person, so understandably I was reluctant to give it a try, but I surprisingly very curious because my pal was someone I trusted, and he had made a lot of profit from it. So I figured what the heck, what do I have to lose. Did I make any money or fail miserably? Read on to find out.
I should tell you that there were lots of things that I liked about forex funnel right away. They can hook you up with a free demo account, which means you can try the system first with imaginary money before actually investing your own money. Even though I trusted my friend, he was only one person. I wanted to to know how others were doing with this program, so I started digging through the popular forex online forums. To my surprise, just about every place I checked I found positive feedback. As you can imagine, I was pretty excited to give this a go for myself.
Forex funnel is based around the usd/jpy pair, and follows the one hour time frame. Focusing on just one pair like this makes this program extremely easy to follow. Installing it was a breeze.
So what's the bottom line here? Well after just using it for 17 days, my profit from forex has literally tripled. Would you believe I am actually making $550 a day!?! So do I recommend forex funnel? What do YOU think! Oh, one other thing for those of you that may be hesitant like I was, they include a full 60 day guarantee. If you don't like it you can get a full refund. What do you have to lose?
by John Miller
Have you ever heard of a money making program called forex funnel? I hadn't until a friend introduced me to it. For those of you that have never heard of Forex Funnel, it is essentially a program that trades forex for you automatically. If you have a computer and the internet, you can do this. I am a skeptical person, so understandably I was reluctant to give it a try, but I surprisingly very curious because my pal was someone I trusted, and he had made a lot of profit from it. So I figured what the heck, what do I have to lose. Did I make any money or fail miserably? Read on to find out.
I should tell you that there were lots of things that I liked about forex funnel right away. They can hook you up with a free demo account, which means you can try the system first with imaginary money before actually investing your own money. Even though I trusted my friend, he was only one person. I wanted to to know how others were doing with this program, so I started digging through the popular forex online forums. To my surprise, just about every place I checked I found positive feedback. As you can imagine, I was pretty excited to give this a go for myself.
Forex funnel is based around the usd/jpy pair, and follows the one hour time frame. Focusing on just one pair like this makes this program extremely easy to follow. Installing it was a breeze.
So what's the bottom line here? Well after just using it for 17 days, my profit from forex has literally tripled. Would you believe I am actually making $550 a day!?! So do I recommend forex funnel? What do YOU think! Oh, one other thing for those of you that may be hesitant like I was, they include a full 60 day guarantee. If you don't like it you can get a full refund. What do you have to lose?
Automated Forex Trading System - Most Forex Robots Suffer Losses Because There Curve Fitted
Automated Forex Trading System - Most Forex Robots Suffer Losses Because There Curve Fitted
by Samuel Leslie Berkovits
Automated forex trading software is big business online and forex robots are the buzz product at present but most will wipe your equity out and do it quickly. Why? The answer lies in curve fitting...
When traders buy automated forex trading systems, they are presented with a track record and they think this track recorded will repeat for them but of course the track record is not real at all - it's a simulation going backwards with all the facts to hand.
Now if anyone knew the price in advance they would be a millionaire many times over but we don't. The vendors who make these robots curve fit the track record and this is why you will lose.
Constructing the Track Record
They get a segment of data and try and get there rules to work and keep bending and tweaking them, until they do. In Conclusion they make the system fit the data, now here comes the problem...
The Problem with Back Testing
Is no two segments of data ever repeat themselves EXACTLY Again and the system cannot be bent in the real world, so you get an equity wipeout. Any system that is bent to the data is likely to suffer this fate.
So that track record of 100k a year you see ( all for just a hundred dollars) has no chance of replicating itself for you.
Getting a Successful System
You can get some that are not curve fitted and normally the vendor will trade it for a while before selling it and show real results.
Some simulations can translate into real profits but there few and far between. Generally, if you are looking for a good one, look at the rules and the list below, will tell you if the system is curve fitted.
Here are indications of a curve fitted system.
- Lots of rules and parameters the more there are the more curve fitted its likely to be
- Different rules for different currencies
- Different rules for different market conditions
- Any subjective judgment you have to make on spotting set ups
A good forex trading system will be simple, robust and trade all markets and all market conditions with the same rules.
Use Common Sense!
Be realistic when choosing an automated trading system.
Don't fall for get rich quick forex robots that are heavily advertised, there normally curve fitted and will see you lose. Common sense says, you don't get an income for life for hundred dollars.
If you want a good system, look for one with a track record of real results or, if you want to try a simulation, keep in mind the checklist (we outlined earlier) when choosing one.
A FREE Forex Robot That Works
If you want a free one which is not curve fitted, we are huge fans of the 4 week rule which beats over 90% of the sold systems easily and its free. Check out our other articles for more information on it.
So if you are choosing an automated forex trading system remember - beware of curve fitting!
by Samuel Leslie Berkovits
Automated forex trading software is big business online and forex robots are the buzz product at present but most will wipe your equity out and do it quickly. Why? The answer lies in curve fitting...
When traders buy automated forex trading systems, they are presented with a track record and they think this track recorded will repeat for them but of course the track record is not real at all - it's a simulation going backwards with all the facts to hand.
Now if anyone knew the price in advance they would be a millionaire many times over but we don't. The vendors who make these robots curve fit the track record and this is why you will lose.
Constructing the Track Record
They get a segment of data and try and get there rules to work and keep bending and tweaking them, until they do. In Conclusion they make the system fit the data, now here comes the problem...
The Problem with Back Testing
Is no two segments of data ever repeat themselves EXACTLY Again and the system cannot be bent in the real world, so you get an equity wipeout. Any system that is bent to the data is likely to suffer this fate.
So that track record of 100k a year you see ( all for just a hundred dollars) has no chance of replicating itself for you.
Getting a Successful System
You can get some that are not curve fitted and normally the vendor will trade it for a while before selling it and show real results.
Some simulations can translate into real profits but there few and far between. Generally, if you are looking for a good one, look at the rules and the list below, will tell you if the system is curve fitted.
Here are indications of a curve fitted system.
- Lots of rules and parameters the more there are the more curve fitted its likely to be
- Different rules for different currencies
- Different rules for different market conditions
- Any subjective judgment you have to make on spotting set ups
A good forex trading system will be simple, robust and trade all markets and all market conditions with the same rules.
Use Common Sense!
Be realistic when choosing an automated trading system.
Don't fall for get rich quick forex robots that are heavily advertised, there normally curve fitted and will see you lose. Common sense says, you don't get an income for life for hundred dollars.
If you want a good system, look for one with a track record of real results or, if you want to try a simulation, keep in mind the checklist (we outlined earlier) when choosing one.
A FREE Forex Robot That Works
If you want a free one which is not curve fitted, we are huge fans of the 4 week rule which beats over 90% of the sold systems easily and its free. Check out our other articles for more information on it.
So if you are choosing an automated forex trading system remember - beware of curve fitting!
How To Learn Swing Trading In Forex
How To Learn Swing Trading In Forex
by Albert S
Many people start trading in Forex using short term trading techniques or even scalping techniques. In my opinion learning such techniques is a much harder task than learning longer term trading techniques like swing trading. That was my experience. It may not be your experience. However I believe that swing trading has a number of advantages over the short period trading systems.
1. Pay less in spreads
Traders don't pay commissions in Forex instead they pay spreads �" the difference between buy and sell prices. So if you execute 10 trades in a short time period with a currency that has 2 pips spread you already short of 20 pips. That's the reason I believe a good trading strategy to start with should have less number of executions in the same day and it should have a higher profit target. Swing trading allows you to do that. A trade last for a few days and take-profit levels are usually well over 100 pips.
2. Better emotional control
Short time trades usually require traders continuously monitor their trades. It can be really stressful for a trader who just starting his career in Forex. You may be already familiar with the emotional roller coaster of observing the price going in favor and against your position. On the other hand longer-term swing trading may require only a small amount of time to monitor the trade. You still need time to study the market and look for the signals of your system. But once you execute the trade, set up the stop-loss and take profit orders then all that left is to come back to you charts once or twice a day to monitor the progress of your trade.
3. Level of noise
When you work with the higher time frame charts for swing trading you can easily spot the price patterns that you need to trade. Quite in contrary shorter timeframe charts have the level of noise pretty high. Look at one-minute charts everything is buried in random noise so it's hard to see any price pattern appropriate for a trade.
4. Part time trading
I already mentioned that the longer the timeframe you trade the less time is involved in monitoring your trade and ultimately less time to spot the right setup to trade. This is a big advantage to those who want to see if trading is a good opportunity for them. Those people can spend only small amount of time trading Forex.
To learn swing trading is easy. In my opinion it's easier than most day trading techniques. It does require patience though. Since a trade can last a few days and also there may be no trade days. So it's a good tool to develop you patience. Pick a swing trading system that has a positive mathematical expectation and execute it at least 100 times on a demo account. Don't worry if it takes a long time. Market is always here. There is always an opportunity to start making profit in Forex. Once you mastered the execution of your trade and developed patience necessary for swing trading then look at the outcome of your system. If it has a positive gain you are ready to trade on a live account.
by Albert S
Many people start trading in Forex using short term trading techniques or even scalping techniques. In my opinion learning such techniques is a much harder task than learning longer term trading techniques like swing trading. That was my experience. It may not be your experience. However I believe that swing trading has a number of advantages over the short period trading systems.
1. Pay less in spreads
Traders don't pay commissions in Forex instead they pay spreads �" the difference between buy and sell prices. So if you execute 10 trades in a short time period with a currency that has 2 pips spread you already short of 20 pips. That's the reason I believe a good trading strategy to start with should have less number of executions in the same day and it should have a higher profit target. Swing trading allows you to do that. A trade last for a few days and take-profit levels are usually well over 100 pips.
2. Better emotional control
Short time trades usually require traders continuously monitor their trades. It can be really stressful for a trader who just starting his career in Forex. You may be already familiar with the emotional roller coaster of observing the price going in favor and against your position. On the other hand longer-term swing trading may require only a small amount of time to monitor the trade. You still need time to study the market and look for the signals of your system. But once you execute the trade, set up the stop-loss and take profit orders then all that left is to come back to you charts once or twice a day to monitor the progress of your trade.
3. Level of noise
When you work with the higher time frame charts for swing trading you can easily spot the price patterns that you need to trade. Quite in contrary shorter timeframe charts have the level of noise pretty high. Look at one-minute charts everything is buried in random noise so it's hard to see any price pattern appropriate for a trade.
4. Part time trading
I already mentioned that the longer the timeframe you trade the less time is involved in monitoring your trade and ultimately less time to spot the right setup to trade. This is a big advantage to those who want to see if trading is a good opportunity for them. Those people can spend only small amount of time trading Forex.
To learn swing trading is easy. In my opinion it's easier than most day trading techniques. It does require patience though. Since a trade can last a few days and also there may be no trade days. So it's a good tool to develop you patience. Pick a swing trading system that has a positive mathematical expectation and execute it at least 100 times on a demo account. Don't worry if it takes a long time. Market is always here. There is always an opportunity to start making profit in Forex. Once you mastered the execution of your trade and developed patience necessary for swing trading then look at the outcome of your system. If it has a positive gain you are ready to trade on a live account.
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