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Forex tips forumForex Trading Tips – 20 things you need to know to be a successful trader. Forex has caused large losses to many inexperienced and undisciplined traders over the years. You need not be one of the losers. Here are twenty forex trading tips that you can use to avoid disasters and maximize your potential in the currency exchange market. 1. Know yourself. Define your risk tolerance carefully. Understand your needs. To profit in trading, you must make recognize the markets. To recognize the markets, you must first know and recognize yourself. The first step of gaining self-awareness is ensuring that your risk tolerance and capital allocation to forex and trading are not excessive or lacking.

This means that you must carefully study and analyze your own financial goals in engaging forex trading. 2. Plan your goals. Stick to your plan. Once you know what you want from trading, you must systematically define a timeframe and a working plan for your trading career. What constitutes failure, what would be defined as success? What is the timeframe for the trial and error process that will inevitably be an important part of your learning? How much time can you devote to trading? Do you aim at financial independence, or merely aim to generate extra income? These and similar questions must be answered before you can gain the clear vision necessary for a persistent and patient approach to trading. Also, having clear goals will make it easier to abandon the endeavor entirely in case that the risksreturn analysis precludes a profitable outcome. 3. Choose your broker carefully. While this point is often neglected by beginners, it is impossible to overemphasise the importance of the choice of broker. That a fake or unreliable broker invalidates all the gains acquired through hard work and study is obvious. But it is equally important that your expertise level, and trading goals match the details of the offer made by the broker.

What kind of client profile does the forex broker aim at reaching? Does the trading software suit your expectations? How efficient is customer service? All these must be carefully scrutinised before even beginning to consider the intricacies of trading itself. Please refer to our forex broker reviews to find a reliable broker that suites your trading style. 4. Pick your account type, and leverage ratio in accordance with your needs and expectations. In continuation of the above item, it is necessary that we choose the account package that is most suited to our expectations and knowledge level. The various types of accounts offered by brokers can be confusing at first, but the general rule is that lower leverage is better. If you have a good understanding of leverage and trading in general, you can be satisfied with a standard account.

If you’re a complete beginner, it is a must that you undergo a period of study and practice by the use of a mini account. In general, the lower your risk, the higher your chances, so make your choices in the most conservative way possible, especially at the beginning of your career. 5. Begin with small sums, increase the size of your account through organic gains, not by greater deposits. One of the best tips for trading forex is to begin with small sums, and low leverage, while adding up to your account as it generates profits. There is no justification to the idea that a larger account will allow greater profits. If you can increase the size of your account through your trading choices, perfect. If not, there’s no point in keeping pumping money to an account that is burning cash like an furnace burns paper. 6. Focus on a single currency pair, expand as you better your skills. The world of currency trading is deep and complicated, due to the chaotic nature of the markets, and the diverse characters and purposes of market participants. It is hard to master all the different kinds of financial activity that goes on in this world, so it is a great idea to restrict our trading activity to a currency pair which we understand, and with which we are familiar. Beginning with the trading of the currency of your nation can be a great idea. If that’s not your choice, sticking to the most liquid, and widely traded pairs can also be an excellent practice for both the beginner and the advanced traders. 7. Do what you understand.

Simple as it is, failure to abide by this principle has been the doom of countless traders. In general, if you’re unsure that you know what you’re doing, and that you can defend your opinion with strength and vigor against critics that you value and trust, do not trade. Do not trade on the basis of hearsay or rumors. And do not act unless you’re confident that you understand both the positive consequences, and the adverse results that may result from opening a position. 8. Do not add to a losing position. While this is just common sense, ignorance of the principle, or carelessness in its employment has caused disasters to many traders in the course of history. Nobody knows where a currency pair will be heading during the next few hours, days, or even weeks. There are lots of educated guesses, but no knowledge of where the price will be a short while later. Thus, the only certain value about trading is now. Nothing much can be said about the future.

Consequently, there can be no point in adding to a losing position, unless you love gambling. A position in the red can be allowed to survive on its own in accordance with the initial plan, but adding to it can never be an advisable practice. 9. Restrain your emotions. Greed, excitement, euphoria, panic or fear should have no place in traders’ calculations. Yet traders are human beings, so it is obvious that we have to find a way of living with these emotions, while at the same time controlling them and minimizing their effect on our lives. That is why traders are always advised to begin with small amounts. By reducing our risk, we can be calm enough to realize our long term goals, reducing the impact of emotions on our trading choices. A logical approach, and less emotional intensity are the best forex trading tips necessary to a successful career. 10. Take notes. Study your success and failure. An analytical approach to trading does not begin at the fundamental and technical analysis of price trends, or the formulation of trading strategies. It begins at the first step taken into the career, with the first dollar placed in an open position, and the first mistakes in calculation and trading methods.

The successful trader will keep a diary, a journal of his trading activity where he carefully scrutinizes his mistakes and successes to find out what works and what does not. This is one of the most importance forex trading tips that you will get from a good mentor. 11. Automate your trading as much as possible. We already noted the importance of emotional control in ensuring a successful and profitable career. In order to minimize the role of emotions, one of the best of courses of action would be the automatization of trading choices and trader behavior. This is not about using forex robots, or buying expensive technical strategies. All that you need to do is to make sure that your responses to similar situations and trading scenarios are themselves similar in nature. In other words, don’t improvise. Let your reactions to market events follow a studied and tested pattern. 12. Do not rely on forex robots, wonder methods, and other snake oil products. Surprisingly, these unproven and untested products are extremely popular these days, generating great profits for their sellers, but little in the way of gains for their excited and hopeful buyers. The logical defense against such magical items is in fact easy.

If the genius creators of these tools are so smart, let them become millionaires with the benefit of their inventions. If they have no interest in doing as much, you should have no interest in their creations either. 13. Keep it simple. Both your trade plans and analysis should be easily understood and explained. Forex trading is not rocket science. There is no expectation that you be a mathematical genius, or an economics professor to acquire wealth in currency trading. Instead, clarity of vision, and well-defined, carefully observed goals and practices offer the surest path to a respectable career in forex. To achieve this, you must resist the temptation to over explain, overanalyze, and most importantly, to rationalize your failures. A failure is a failure regardless of the conditions that led to it. 14. Don’t go against the markets, unless you have enough patience and financial resilience to stick to a long term plan. In general, a beginner is never advised to trade against trends, or to pick tops and bottoms by betting against the main forces of market momentum. Join the trends so that your mind can relax.

Fight the trends, and constant stress and fear will wreck your career. 15. Understand that forex is about probabilities. Forex is all about risk analysis and probability. There is no single method or style that will generate profits all the time. The key to success is positioning ourselves in such a way that the losses are harmless, while the profits are multiplied. Such a positioning is only possible by managing our risk allocations in accordance with an understanding of probability and risk management. 16. Be humble and patient. Do not fight the markets. Recognize your failures, and try to accommodate them if they can’t be eliminated completely. Above all, resist the illusion that you somehow possess the alchemist’s stone of trading. Such an attitude will surely be ruinous on your career eventually. 17. Share your experiences. Follow your own judgment. While it is a great idea to discuss your opinion on the markets with others, you should be the one making the decisions.

Consider the opinions of others, but make your own choices. It is your money after all. 18. Study money management. Once we make profits, it is time to protect them. Money management is about the minimization of losses, and maximization of profits. To ensure that you don’t gamble away your hard-earned profits, to “cut your losses short, and let profits ride”, you should keep the bible of money management as the centerpiece of your trading library at all times. 19. Study the markets, fundamentals, and technical factors leading the price action. That we have placed this so low in the list should not surprise the experienced trader. Faulty analysis is rarely the cause of a wiped-out account. A career that fails to begin is never killed by the consequences of erronerous application or understanding of fundamental or technical studies. Other issues that are related to money management, and emotional control are far more important than analysis for the beginner, but as those issues are overcome, and steady gains are realized, the edge gained by successful analysis of the markets will be invaluable.

Analysis is important, but only after a proper attitude to trading and risk taking is attained. Finally, provided that you risk only what you can afford to lose, persistence, and a determination to succeed are great advantages. It is highly unlikely that you will become a trading genius overnight, so it is only sensible to await the ripening of your skills, and the development of your talents before giving up. As long as the learning process is painless, as long as the amounts that you risk do not derail your plans about the future and your life in general, the pains of the learning process will be harmless. 9 Tricks of the Successful Forex Trader. For all of its numbers, charts and ratios, trading is more art than science. As in artistic endeavors, there is talent involved, but talent will only take you so far. The best traders hone their skills through practice and discipline. They perform self-analysis to see what drives their trades and learn how to keep fear and greed out of the equation. In this article we'll look at nine steps a novice trader can use to perfect his or her craft. For the experts out there, you might just find some tips that will help you make smarter, more profitable trades too. 1. Define Your Goals and Choose a Compatible Trading Style. Before you set out on any journey, it is imperative to have some idea of your destination and how you will get there. Consequently, it is imperative to have clear goals in mind, then ensure your trading method is capable of achieving these goals. Each trading style has a different risk profile, which requires a certain attitude and approach to trade successfully.

For example, if you cannot stomach going to sleep with an open position in the market then you might consider day trading. On the other hand, if you have funds you think will benefit from the appreciation of a trade over a period of some months, you may be more of a position trader. Just be sure your personality fits the style of trading you undertake. A personality mismatch will lead to stress and certain losses. 2. Choose a Broker Who Offers an Appropriate Trading Platform. Choosing a reputable broker is of paramount importance and spending time researching the differences between brokers will be very helpful. You must know each broker's policies and how he or she goes about making a market. For example, trading in the over-the-counter market or spot market is different from trading the exchange-driven markets. Also make sure your broker's trading platform is suitable for the analysis you want to do. For example, if you like to trade off of Fibonacci numbers, be sure the broker's platform can draw Fibonacci lines. A good broker with a poor platform, or a good platform with a poor broker, can be a problem. Make sure you get the best of both.

3. Choose a Methodology and Be Consistent in Its Application. Before you enter any market as a trader, you need to have some idea of how you will make decisions to execute your trades. You must know what information you will need to make the appropriate decision on entering or exiting a trade. Some people choose to look at the underlying fundamentals of the economy as well as a chart to determine the best time to execute the trade. Others use only technical analysis. Whichever methodology you choose, be consistent and be sure your methodology is adaptive. Your system should keep up with the changing dynamics of a market. (For related reading, see: 4 Investment Strategies to Learn Before Trading .) 4. Choose Your Entry and Exit Timeframe Carefully. Many traders get confused by conflicting information that occurs when looking at charts in different timeframes. What shows up as a buying opportunity on a weekly chart could, in fact, show up as a sell signal on an intraday chart. Therefore, if you are taking your basic trading direction from a weekly chart and using a daily chart to time entry, be sure to synchronize the two. In other words, if the weekly chart is giving you a buy signal, wait until the daily chart also confirms a buy signal. Keep your timing in sync.

5. Calculate Your Expectancy. Expectancy is the formula you use to determine how reliable your system is. You should go back in time and measure all your trades that were winners versus losers, then determine how profitable your winning trades were versus how much your losing trades lost. Take a look at your last 10 trades. If you haven't made actual trades yet, go back on your chart to where your system would have indicated that you should enter and exit a trade. Determine if you would have made a profit or a loss. Write these results down. Total all your winning trades and divide the answer by the number of winning trades you made. Here is the formula: W = Average Winning Trade L = Average Losing Trade P = Percentage Win Ratio. Example: If you made 10 trades, six of which were winning trades and four of which were losing trades, your percentage win ratio would be 610 or 60%. If your six trades made $2,400, then your average win would be $2,4006 = $400. If your losses were $1,200, then your average loss would be $1,2004 = $300. Apply these results to the formula and you get E= 1+ (400300) x 0.6 - 1 = 0.40, or 40%. A positive 40% expectancy means your system will return you 40 cents per dollar over the long term. 6. Focus on Your Trades and Learn to Love Small Losses. Once you have funded your account, the most important thing to remember is your money is at risk. Therefore, your money should not be needed for regular living expenses. Think of your trading money like vacation money. Once the vacation is over, your money is spent. Have the same attitude toward trading.

This will psychologically prepare you to accept small losses, which is key to managing your risk. By focusing on your trades and accepting small losses rather than constantly counting your equity, you will be much more successful. (For related reading, see: The Art of Cutting Your Losses .) Secondly, only leverage your trades to a maximum risk of 2% of your total funds. In other words, if you have $10,000 in your trading account, never let any trade lose more than 2% of the account value, or $200. If your stops are further away than 2% of your account, trade shorter timeframes or decrease the leverage. 7. Build Positive Feedback Loops. A positive feedback loop is created as a result of a well-executed trade in accordance with your plan. When you plan a trade and execute it well, you form a positive feedback pattern. Success breeds success, which in turn breeds confidence, especially if the trade is profitable. Even if you take a small loss but do so in accordance with a planned trade, then you will be building a positive feedback loop. 8. Perform Weekend Analysis. On the weekend, when the markets are closed, study weekly charts to look for patterns or news that could affect your trade. Perhaps a pattern is making a double top and the pundits and the news are suggesting a market reversal. This is a kind of reflexivity where the pattern could be prompting the pundits, who then reinforce the pattern. Or the pundits may be telling you the market is about to explode, hoping to lure you into the market so they can sell their positions on increased liquidity.

These are the kinds of actions to look for to help you formulate your upcoming trading week. In the cool light of objectivity, you will make your best plans. Wait for your setups and learn to be patient. 9. Keep a Printed Record. A printed record is a great learning tool. Print out a chart and list all the reasons for the trade, including the fundamentals that sway your decisions. Mark the chart with your entry and your exit points. Make any relevant comments on the chart, including emotional reasons for taking action. Did you panic?

Were you too greedy? Were you full of anxiety? It is only when you can objectify your trades that you will develop the mental control and discipline to execute according to your system instead of your habits or emotions. The steps above will lead you to a structured approach to trading and should help you become a more refined trader. Trading is an art, and the only way to become increasingly proficient is through consistent and disciplined practice. (For related reading, see: Forex Trading: A Beginner's Guide .) Top 10 Forex Trading Tips for Beginners. As a beginning forex trader, you can easily get lost, confused or overwhelmed with all the information you are bombarded with on the internet about trading. The best thing to do is to just take it slow, learn how to trade properly from an experienced professional and don’t rush it. The following 10 forex trading tips are things that I wish someone had told me when I first began trading. So, with that in mind, I am giving you ten of the most important trading tips for a beginning (or any) trader to absorb before getting started in the market. 10. Learn the basics first. Many beginning traders try jumping right into the market with no real background knowledge on the markets they are trading. To build a solid trading foundation, you need to take the time to learn about how the Forex market works (or any market you’re trading) and really get a solid understanding of all the jargon, etc. before you actually dive in and start learning a trading strategy. You can gain this knowledge by taking my free beginners forex trading introduction course. 9. Learn one trading strategy, stick with it. One of the biggest mistakes I see beginning traders make again and again, is changing trading methods too often.

If you are using a logical, common sense trading method like my price action method, you need to really learn it and master it before you do anything else. If you jump from method to method because you think you’ll find some “Holy Grail” trading strategy, you are simply operating on false hope and being illogical, and you will lose money. Also, don’t switch methods just because you had a few losing trades. Any method will have a certain amount of losers over a sample size of trades, this is normal and part of trading. You cannot let losing trades affect you too much; you really do need ice cold discipline to excel at trading. 8. Don’t get overwhelmed. It’s easy to feel overwhelmed with information and trading strategies as a beginning trader, it happens to all of us in the beginning. The best way to limit this or avoid it altogether, is to find a mentor, someone to learn from, and piggy back off their success. I have laid out all my trading strategies for you to learn in my price action trading course and in my opinion, the best thing you can do is block everything else out, forget everything you’ve learned, and start over with my teachings from a clean slate and focus only on that until you really know what you’re doing. 7. Don’t freak out when a trade moves against you. This one is big, because most traders, especially beginners, freak out or over-react at the first sign of a trade moving against them. This is much more of a problem in live trading than demo trading, due to the differences in emotion between them, but it is a problem and it needs to be addressed.

A trade moving against you is NORMAL. I’ve had trades move to within 5 pips of my stop loss and go on to be HUGE winners after that. If I had freaked out and closed them out before they hit my stop loss, I would have not only lost money, but I would have lost a lot of profit too. This is the main reason why you need to let your trades play out and not close them out early ONLY because they’ve moved against you. It’s really pretty simple: Set your stop loss in a logical safe place (more on this later), manage your position size so that your dollar risk is at a level you’re OK with losing, and LET THE TRADE GO. Don’t micro-manage your trades, just let the market do the work and you go play a round of golf, go to the gym or go to sleep…then check on the trade the next day. Doing nothing with your live trade is usually the best (and most lucrative) move, meaning set and forget it. 6. Focus on the price action. There was a time once, believe it or not, when people traded without computers. Hard to believe I know, but it’s true. How do you think they did that? It wasn’t with RSI, MACD’s, Stochastics or some automated trading software obviously…it was with PRICE ACTION. They used to read the tape at the exchanges, or they would have the price movements posted up on big boards to read and interpret. They were interpreting price changes or price action. This method is the only ‘natural’ trading method and it’s been around since the 1700’s when Japanese rice traders invented candlestick charts to predict changes in rice prices. It works, don’t over-complicate it. My unique take on price action trading has worked well for me and if you follow what I say in my course and use extreme discipline and logical thinking along with patience, it can work for you too! No need to clutter up your charts and mind with a bunch of messy and over-complicated indicators or news events.

I don’t do it and neither should you because it’s a waste of time, mental energy and ultimately, your money. Perhaps the hardest but most important thing for a new trader to do, is to be realistic. I’m sorry, but I have to tell you that you aren’t going to be able to quit your job and go work from a beach with a $2,000 trading account. If any other site or person is telling you something like this, you need to RUN from them because they are scammers and have no clue what they’re talking about. Can you make a boat load of money trading the markets? Sure, of course. Perhaps no other profession in the world has as much upside potential as trading. But, that comes at a steep cost; it’s not easy, at least not mentally easy. You are going to encounter all kinds of mental ‘traps’ and self-sabotage mistakes along the way on your trading journey. Being grounded and realistic is what will keep you on the path to trading success. If you start getting dollar signs in your eyes you’re going to over-leverage (risk too much) and over trade your account and lose money instead of make a lot of money. You don’t want that. Slow and steady wins the trading race, it’s cliche I know, but it’s so true. Trading with high frequency opens you up to a world of emotional trading mistakes that will destroy your trading account and your self-esteem. I’ve written many articles on this topic, and I know that for many of you this will unfortunately not register in your mind until it’s too late, but you do not need to trade a lot to make a lot of money.

To understand why more clearly, check out this article on high frequency vs. low frequency trading. 3. Focus on the daily chart. You need to learn how to interpret and trade the price action on the daily chart time frame before you do anything else. I’m not going to get into this too deeply here, because I have several other articles on it which you can check out here: 2. Don’t put stop losses too close. This one is big, and it takes most traders a while and a lot of lost money to figure it out; you have to place your stop losses at a ‘safe’ distance away from your entry price. If you place them too close you will get stopped out for a loss before the market really had a chance to move in your favour. In other words, your trade idea may have been right, but because you placed your stop loss too close, you got stopped out before the move you were anticipating occurred. Here are a couple of articles to help you with stop loss placement: 1. Don’t just jump in with no education. It’s always amazing to me how many people want to risk their money in the market without having obtained any training or trading education. Then later, after they’ve lost a bunch of money, they decide to get some education. This is backwards, it’s like trying to fly an airplane without going to flight school, then you crash the plane and almost die, then after all that you decide to go to flight school…many traders do this exact same thing with their trading accounts, don’t be one of them!

Save your money first for trading education; learn how to trade properly before anything else and the money will then become ‘attracted’ to you. Don’t try flying the plane before flight school! The term "currency trading" can mean different things. If you want to learn about how to save time and money on foreign payments and currency transfers, visit XE Money Transfer. These articles, on the other hand, discuss currency trading as buying and selling currency on the foreign exchange (or "Forex") market with the intent to make money, often called "speculative forex trading". XE does not offer speculative forex trading, nor do we recommend any firms that offer this service. These articles are provided for general information only. The currency exchange rate is the rate at which one currency can be exchanged for another. It is always quoted in pairs like the EURUSD (the Euro and the US Dollar). Exchange rates fluctuate based on economic factors like inflation, industrial production and geopolitical events.

These factors will influence whether you buy or sell a currency pair. Example of a Forex Trade: Why Trade Currencies? Forex is the world's largest market, with about 3.2 trillion US dollars in daily volume and 24-hour market action. Some key differences between Forex and Equities markets are: Many firms don't charge commissions – you pay only the bidask spreads. There's 24 hour trading – you dictate when to trade and how to trade. You can trade on leverage, but this can magnify potential gains and losses. You can focus on picking from a few currencies rather than from 5000 stocks. Forex is accessible – you don’t need a lot of money to get started. Why Currency Trading Is Not For Everyone. Trading foreign exchange on margin carries a high level of risk, and may not be suitable for everyone.

Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. Remember, you could sustain a loss of some or all of your initial investment, which means that you should not invest money that you cannot afford to lose. If you have any doubts, it is advisable to seek advice from an independent financial advisor. This is your go-to site for everything Forex related. Stay up-to-date with economic announcements, live market analysis and connect with traders across the globe in our forums to share trading strategies. EURUSD: This market has been moving steadily in the. Now that the down Daily D Extension has been hit at 1.1417 I am expecting a bullish reaction to roundabout 1.2090 which is the right tip of the Bearish Crown . The #1 Indicator for Trading Bitcoin. Admin | February 15, 2018. Three Steps to a Successful Trade. Investor Inspiration | January 16, 2018. Profiting From the Blockchain. Admin | December 4, 2017. Trading with Price Bars. Investor Inspiration | November 14, 2017. NetoTrade is a broad-based investment company acting as a global Forex brokerage, supplemented by easy access to tradable quotes for commodities or. You can open an account, depending on your choice, for as low as $100. There are three accounts available including Classic, Standard or Premium.

Many Forex brokerage claim to be “customer responsive,” the venus flytrap of all advertisement, but these firms end up professing more than they. Traders across the globe have jumped on board this brand because the management team already earned a reputation for transparency and simplicity. . How to Use Forex Market Indicators. Foreign Exchange indicators and charting software can be a great deal of help for savvy traders who know how to use them when trading the Forex. When. Automated Forex Trading. In the world of trading in the forex market, there are several different strategies you can utilize to maximize your profit potential. One way to. Myths, rumors and legends are everywhere. The Forex market is not immune to them. The new Forex trader is likely to be inundated with a number of. Offsetting Transaction.

A trade that serves to offset the market risk of an open position. To sell an instrument without actually owning it in hopes that the price will decline so it can be bought back in the future at a profit. An acronym for the “London International Financial Futures Exchange,” which consists of the three largest UK futures markets. Analyst Picks. - DailyFX Quarterly Forecasts have been updated for Q3, and are available directly from the following link: DailyFX Trading Guides, Q3 Forecasts . - For trading ideas, please check out our Trading Guides . And if you’re looking for something more interactive in nature, please check out our DailyFX Live webinars . - If you’d like more color around any of the setups below, we discuss these in our live DailyFX webinars each week, set for Tuesday and Thursday at 1PM Eastern Time. You can sign up for each of those session from the below link: Do you want to see how retail traders are currently trading the US Dollar? Check out our IG Client Sentiment Indicator . US Dollar Drops to Decision Point. As we move towards the end of the summer, a number of FX themes remain of interest.

While the Labor Day holiday in the United States, now just a week away, normally marks the end of the summer months across markets, the past few weeks have been abnormally active. There are a series of themes percolating around the world that can serve to keep volatility flowing as we move into the final month of Q3, and below we look into a few of those. A big item of interest right now is the US Dollar as we’re nearing a make-or-break scenario for the bullish up-trend . While the Greenback spent fourteen months in a down-trend from the start of 2017, price action after the month of April has been very bullish. Many attributed this to rate policy, as the Federal Reserve is one of the only major Central Banks actively looking to push tighter policy and higher rates; but that’s been the same since before the beginning of last year. Last year saw the Fed hike three times; and this year has brought another two. This means that the Fed has hiked at six out of seven quarterly FOMC meetings (with a press conference and updated economic projections) since the election of President Donald Trump. Nonetheless, US Dollar strength really didn’t start to show up until April of this year after falling by as much as 15% last year. Support finally came-in at the 50% marker of the 2011-2017 major move, and last week saw resistance build at the 23.6% marker of the same study. With this week’s continued sell-off, we now have an evening star formation on the weekly chart of the US Dollar .

This can be attractive for trading bearish reversals, particularly if the formation built around a key point of resistance on the chart. The complication here would be the fact that short-term support remains around the 95.00 level, and this could be a constraint to bearish USD approaches until that changes. So, at this point, the US Dollar remains bullish ; but that can quickly change should prices break-below support in the early portion of next week. The setups we look at below will reflect that stance; and it should be noted that these setups are designed for next week’s price action, as a weekend gap through support or resistance can vastly alter the nature of the setup. US Dollar Weekly Price Chart: Evening Star at Resistance, but Confluent Support Remains. Chart prepared by James Stanley. Bearish EURUSD Until 1.1750; Bullish Thereafter. Can Euro bulls hold on to the recovery as Turkish markets re-open from a week-long holiday? That is the big question around the currency for next week.

The sell-off in EURUSD was quite visible through the first half of August, driven in large-part by fears of contagion within the European banking sector with exposure to the still developing scenario in Turkey. But Turkish markets were on holiday all week, and this fear appeared to move behind the headlines as EURUSD clawed back prior August losses. At this point, price continues to hold around the ‘r3’ level that we had looked at last week , and this takes place around the confluent resistance in the pair that showed-up just ahead of the earlier-month sell-off . This can help to retain a bearish stance in EURUSD, and we’re also adding one additional resistance zone that runs from 1.1710 up to 1.1750. If prices break above 1.1750, then we’d have fresh monthly highs and the bearish theme should be abandoned. This scenario would likely need to be coupled with a larger breakdown in the US Dollar; but, until then, the potential for EURUSD continuation of the longer-term trend bearish trend remains. EURUSD Four-Hour Price Chart. Chart prepared by James Stanley. Bearish GBPUSD Until 1.2975. Last week we looked at bullish themes in GBPUSD and prices topped out at our second target of resistance. Afterwards, prices sank back down to the first zone of resistance, and we have a bit of digestion showing over the past 12 hours.

As we wrote in this week’s fundamental forecast on the British Pound , there is little to be excited about for the currency at the moment. Inflation remains subdued from earlier-year levels, and the BoE just hiked, so we probably won’t be seeing any rate adjustments anytime soon. We also have the upcoming UK-EU showdown over Brexit negotiations, and this carries an air of vulnerability as well as it appears that a ‘Hard Brexit’ scenario is very much on the table. As a matter of fact, one of the primary reasons for last week’s search of strength in the pair was just how incredibly bearish and oversold the pair had become . This week saw GBPUSD bounce, but the big question is whether that bounce was large enough to bring new fresh sellers into the market in order to push prices down to fresh new lows. So, while the fundamental backdrop is rather unclear here, as indicated by our neutral stance in this week’s forecast, the technical setup is a bit more interesting as it appears as though there is bearish potential. For next week, I’m looking for a bottom-side break of the support trend-line that’s shown in the pair on a way to a re-test of that Fibonacci support at 1.2671. This can allow for stops above the 1.2975 area on the chart to retain a better than one-to-one risk-reward ratio on the initial target; after which bearish breakouts could be sought with the remainder of the lot. GBPUSD Four-Hour Price Chart. Chart prepared by James Stanley. Are you looking for longer-term analysis on the U. S. Dollar?

Our DailyFX Forecasts for Q1 have a section for each major currency, and we also offer a plethora of resources on USD - pairs such as EURUSD , GBPUSD , USDJPY , AUDUSD . Traders can also stay up with near-term positioning via our IG Client Sentiment Indicator . Forex Trading Resources. DailyFX offers a plethora of tools, indicators and resources to help traders. For those looking for trading ideas, our IG Client Sentiment shows the positioning of retail traders with actual live trades and positions. Our trading guides bring our DailyFX Quarterly Forecasts and our Top Trading Opportunities; and our real-time news feed has intra-day interactions from the DailyFX team. And if you’re looking for real-time analysis, our DailyFX Webinars offer numerous sessions each week in which you can see how and why we’re looking at what we’re looking at. If you’re looking for educational information, our New to FX guide is there to help new(er) traders while our Traits of Successful Traders research is built to help sharpen the skill set by focusing on risk and trade management. --- Written by James Stanley , Strategist for DailyFX. com. Contact and follow James on Twitter: @JStanleyFX. Open board to discuss all things Forex.

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This webinar is sponsored by Market Traders Institute. Forex trading involves significant risk of loss and is not suitable for all investors. Copyright © 2018 ForexTips. All rights reserved. about 1 hour ago by Forex Ninja. Heads up, system traders! I’ve rounded up the SEVEN mechanical forex strategies right here to see how they stack up against each other. HLHB Trend-Catcher System Update (Aug 20-24) about 4 hours ago by Hucklekiwi Pip. Another positive week for the HLHB System! Thanks to strong dollar trends, this trend-catcher was able to bag an additional 201 pips. Woot! Woot! Week In Review At The Happy Hunter’s Lodge (August 20 – 24) about 24 hours ago. The Daily Hunt With The Happy Hunter Trading System (Aug. 24) 3 Ways to Help You Take Demo Forex Trading Seriously.

USD Weekly Review (August 20-24) CAD Weekly Review (August 20-24) The Daily Hunt With The Happy Hunter Trading System (Aug. 23) GBP Weekly Review (August 20-24) EUR & CHF Weekly Review (August 20-24) JPY Weekly Review (August 20-24) NZD Weekly Review (August 20-24) AUD Weekly Review (August 20-24) Cryptocurrencies Weekly Digest (August 19-24) Featured Contributors. Forex Trading School. New to trading forex? Learn to trade through our online course. Our Trading Community. Ask questions, share trade ideas, discuss markets, and more! Stay on top of market-moving events and data releases with our news calendar. Partner Center Find a Broker. Recent Forum Activity. Discuss your market views with other traders. 3,337 Views 40 Replies. 16,648 Views 57 Replies. 50 Views 4 Replies.

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Trading Insights & Analysis. HLHB Trend-Catcher System Update (Aug 20-24) about 4 hours ago by Hucklekiwi Pip. Another positive week for the HLHB System! Thanks to strong dollar trends, this trend-catcher was able to bag an additional 201 pips. Woot! Woot! Week In Review At The Happy Hunter’s Lodge (August 20 – 24) about 24 hours ago by Happy Pip. The trading week is done and a new one will soon begin, which means that it’s time to take stock of how the two Variants of the Happy Hunter Price Action Trading System fared this past week. The Daily Hunt With The Happy Hunter Trading System (Aug. 24) Volatility picked up during the later half of the day. And thankfully, both Variants were able to score a couple of wins, allowing both Variants to recover a bit from the heavy losses sustained on August 23. 3 Ways to Help You Take Demo Forex Trading Seriously. Some forex traders tend to take demo trading less seriously since there’s no real money on the line. Here are some exercises to help you stay focused. The Daily Hunt With The Happy Hunter Trading System (Aug. 23) Trading conditions were really bad on August 23, so the hits just kept on coming. The Fixed TP Variant, in particular, is now in danger of entering negative territory. So sad! Chart Art: Long-Term Setups on USDCAD and EURJPY. It’s Friyay, yo! I’ve spotted forex trade opportunities on USDCAD and EURJPY that should set you up over the next couple of days. Check them out while they’re hot! Trade Adjustment: Downtrend Momentum In AUDCAD. Lots of movement in AUDCAD since entering short at market last week, so it’s time to adjust the plan to hopefully maximize my potential gains if downtrend momentum picks up again.

The Daily Hunt With The Happy Hunter Trading System (Aug. 22) Trading conditions deteriorated even further on August 22. And this time, both Variants were forced to return some of their hard-won gains. Boo hoo! Intraday Charts Update: Triangles On CADJPY & NZDJPY. Wassup, dawg! If you’re a breakout chartist and you’re lookin’ for short-term setups on the yen, then I’ve got yo fix ‘coz I’m serving up a couple of triangles in today’s intraday charts update. Short-Term Bollinger Reversion Strategy 2.0 (Aug. 17 – 23) It was another mixed run for this strategy, but it managed to catch a full win on one of the pairs. Check out the latest signals! Trade Closed: NZDCHF Range Support Breakdown. Stopped out on a pullback! But it’s all good as my adjusted stop loss was able to lock in more than a hundred pips with this early exit. Chart Art: Trend and Range Setups on USDCHF and NZDUSD. Whether you like trading trends or ranges, I got yo back with these sweet forex setups on USDCHF and NZDUSD. Check them out, yo! Importance of Flexibility in Forex Trading. A mistake many forex traders make is to forget to assess what type of market they are working with and adjust their approach accordingly. Cowabunga System Daily Update: Keep Losses Small And Your Wins Big! It’s important to minimize your losses and maximize your wins.

Today was a perfect example of that principle. See how it all went down in today’s Cowabunga Surf Report. The Daily Hunt With The Happy Hunter Trading System (Aug. 21) Trading conditions on August 21 were still rather unfavorable. Even so, the Fixed TP Variant recovered from its recent slide and is now up by 4.39% for the month. As for the Trailing Variant, well, it held onto its gains at least. Not everything that can be counted counts, and not everything that counts can be counted. Albert Einstein. BabyPips. com helps individual traders learn how to trade the forex market. We introduce people to the world of currency trading, and provide educational content to help them learn how to become profitable traders.

We're also a community of traders that support each other on our daily trading journey. Forex Trading Tips – 20 things you need to know to be a successful trader. Forex has caused large losses to many inexperienced and undisciplined traders over the years. You need not be one of the losers. Here are twenty forex trading tips that you can use to avoid disasters and maximize your potential in the currency exchange market. 1. Know yourself. Define your risk tolerance carefully. Understand your needs. To profit in trading, you must make recognize the markets. To recognize the markets, you must first know and recognize yourself. The first step of gaining self-awareness is ensuring that your risk tolerance and capital allocation to forex and trading are not excessive or lacking. This means that you must carefully study and analyze your own financial goals in engaging forex trading.

2. Plan your goals. Stick to your plan. Once you know what you want from trading, you must systematically define a timeframe and a working plan for your trading career. What constitutes failure, what would be defined as success? What is the timeframe for the trial and error process that will inevitably be an important part of your learning? How much time can you devote to trading? Do you aim at financial independence, or merely aim to generate extra income? These and similar questions must be answered before you can gain the clear vision necessary for a persistent and patient approach to trading. Also, having clear goals will make it easier to abandon the endeavor entirely in case that the risksreturn analysis precludes a profitable outcome. 3. Choose your broker carefully. While this point is often neglected by beginners, it is impossible to overemphasise the importance of the choice of broker. That a fake or unreliable broker invalidates all the gains acquired through hard work and study is obvious.

But it is equally important that your expertise level, and trading goals match the details of the offer made by the broker. What kind of client profile does the forex broker aim at reaching? Does the trading software suit your expectations? How efficient is customer service? All these must be carefully scrutinised before even beginning to consider the intricacies of trading itself. Please refer to our forex broker reviews to find a reliable broker that suites your trading style. 4. Pick your account type, and leverage ratio in accordance with your needs and expectations. In continuation of the above item, it is necessary that we choose the account package that is most suited to our expectations and knowledge level. The various types of accounts offered by brokers can be confusing at first, but the general rule is that lower leverage is better. If you have a good understanding of leverage and trading in general, you can be satisfied with a standard account. If you’re a complete beginner, it is a must that you undergo a period of study and practice by the use of a mini account.

In general, the lower your risk, the higher your chances, so make your choices in the most conservative way possible, especially at the beginning of your career. 5. Begin with small sums, increase the size of your account through organic gains, not by greater deposits. One of the best tips for trading forex is to begin with small sums, and low leverage, while adding up to your account as it generates profits. There is no justification to the idea that a larger account will allow greater profits. If you can increase the size of your account through your trading choices, perfect. If not, there’s no point in keeping pumping money to an account that is burning cash like an furnace burns paper. 6. Focus on a single currency pair, expand as you better your skills. The world of currency trading is deep and complicated, due to the chaotic nature of the markets, and the diverse characters and purposes of market participants. It is hard to master all the different kinds of financial activity that goes on in this world, so it is a great idea to restrict our trading activity to a currency pair which we understand, and with which we are familiar. Beginning with the trading of the currency of your nation can be a great idea. If that’s not your choice, sticking to the most liquid, and widely traded pairs can also be an excellent practice for both the beginner and the advanced traders. 7. Do what you understand.

Simple as it is, failure to abide by this principle has been the doom of countless traders. In general, if you’re unsure that you know what you’re doing, and that you can defend your opinion with strength and vigor against critics that you value and trust, do not trade. Do not trade on the basis of hearsay or rumors. And do not act unless you’re confident that you understand both the positive consequences, and the adverse results that may result from opening a position. 8. Do not add to a losing position. While this is just common sense, ignorance of the principle, or carelessness in its employment has caused disasters to many traders in the course of history. Nobody knows where a currency pair will be heading during the next few hours, days, or even weeks. There are lots of educated guesses, but no knowledge of where the price will be a short while later. Thus, the only certain value about trading is now. Nothing much can be said about the future. Consequently, there can be no point in adding to a losing position, unless you love gambling. A position in the red can be allowed to survive on its own in accordance with the initial plan, but adding to it can never be an advisable practice. 9. Restrain your emotions.

Greed, excitement, euphoria, panic or fear should have no place in traders’ calculations. Yet traders are human beings, so it is obvious that we have to find a way of living with these emotions, while at the same time controlling them and minimizing their effect on our lives. That is why traders are always advised to begin with small amounts. By reducing our risk, we can be calm enough to realize our long term goals, reducing the impact of emotions on our trading choices. A logical approach, and less emotional intensity are the best forex trading tips necessary to a successful career. 10. Take notes. Study your success and failure. An analytical approach to trading does not begin at the fundamental and technical analysis of price trends, or the formulation of trading strategies. It begins at the first step taken into the career, with the first dollar placed in an open position, and the first mistakes in calculation and trading methods. The successful trader will keep a diary, a journal of his trading activity where he carefully scrutinizes his mistakes and successes to find out what works and what does not. This is one of the most importance forex trading tips that you will get from a good mentor. 11. Automate your trading as much as possible. We already noted the importance of emotional control in ensuring a successful and profitable career. In order to minimize the role of emotions, one of the best of courses of action would be the automatization of trading choices and trader behavior.

This is not about using forex robots, or buying expensive technical strategies. All that you need to do is to make sure that your responses to similar situations and trading scenarios are themselves similar in nature. In other words, don’t improvise. Let your reactions to market events follow a studied and tested pattern. 12. Do not rely on forex robots, wonder methods, and other snake oil products. Surprisingly, these unproven and untested products are extremely popular these days, generating great profits for their sellers, but little in the way of gains for their excited and hopeful buyers. The logical defense against such magical items is in fact easy. If the genius creators of these tools are so smart, let them become millionaires with the benefit of their inventions. If they have no interest in doing as much, you should have no interest in their creations either. 13. Keep it simple. Both your trade plans and analysis should be easily understood and explained. Forex trading is not rocket science. There is no expectation that you be a mathematical genius, or an economics professor to acquire wealth in currency trading. Instead, clarity of vision, and well-defined, carefully observed goals and practices offer the surest path to a respectable career in forex. To achieve this, you must resist the temptation to over explain, overanalyze, and most importantly, to rationalize your failures.

A failure is a failure regardless of the conditions that led to it. 14. Don’t go against the markets, unless you have enough patience and financial resilience to stick to a long term plan. In general, a beginner is never advised to trade against trends, or to pick tops and bottoms by betting against the main forces of market momentum. Join the trends so that your mind can relax. Fight the trends, and constant stress and fear will wreck your career. 15. Understand that forex is about probabilities. Forex is all about risk analysis and probability. There is no single method or style that will generate profits all the time. The key to success is positioning ourselves in such a way that the losses are harmless, while the profits are multiplied. Such a positioning is only possible by managing our risk allocations in accordance with an understanding of probability and risk management. 16. Be humble and patient. Do not fight the markets. Recognize your failures, and try to accommodate them if they can’t be eliminated completely. Above all, resist the illusion that you somehow possess the alchemist’s stone of trading. Such an attitude will surely be ruinous on your career eventually.

17. Share your experiences. Follow your own judgment. While it is a great idea to discuss your opinion on the markets with others, you should be the one making the decisions. Consider the opinions of others, but make your own choices. It is your money after all. 18. Study money management. Once we make profits, it is time to protect them. Money management is about the minimization of losses, and maximization of profits. To ensure that you don’t gamble away your hard-earned profits, to “cut your losses short, and let profits ride”, you should keep the bible of money management as the centerpiece of your trading library at all times. 19. Study the markets, fundamentals, and technical factors leading the price action. That we have placed this so low in the list should not surprise the experienced trader. Faulty analysis is rarely the cause of a wiped-out account. A career that fails to begin is never killed by the consequences of erronerous application or understanding of fundamental or technical studies.

Other issues that are related to money management, and emotional control are far more important than analysis for the beginner, but as those issues are overcome, and steady gains are realized, the edge gained by successful analysis of the markets will be invaluable. Analysis is important, but only after a proper attitude to trading and risk taking is attained. Finally, provided that you risk only what you can afford to lose, persistence, and a determination to succeed are great advantages. It is highly unlikely that you will become a trading genius overnight, so it is only sensible to await the ripening of your skills, and the development of your talents before giving up. As long as the learning process is painless, as long as the amounts that you risk do not derail your plans about the future and your life in general, the pains of the learning process will be harmless.



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