Popular Forex Strategies
In this section you will find the most common forex strategies which are based on fundamental analysis, technical analysis or a mixture of them. We have used the most popular indicators to build these strategies. Since these are the most popular strategies used by the vast majority of traders, they have a high ratio of success. Therefore, we advise that you read them thoroughly so you can learn how to apply them on everyday trading. This will give you the cutting edge when trading forex and will make the difference between winning and losing at the end of the month.
A trading journal highlights all your successes and your failures. By keeping a journal you can avoid repeating mistakes and increase you performance.
We know the importance of the strategy but the implementation is just as important. If you apply your strategy in the right way you will succeed, if not you´re bound to fail.
Some people with obsessive personalities become obsessive traders when they trade. That´s obviously not the right way to trade but there are some techniques and forex strategies to help them overcome this “pathology”.
All financial instruments have certain behaviour during certain months. The USD is usually weak during April months in the past... while the GBP is particularly strong. But will they follow similar patterns this April?
The environment has changed in the last two years and the volatility has increased immensely. So, we must change our forex strategy as well and widen the targets to avoid whipsaws and to give our trades breathing room.
We have heard many times that new forex trader's fail 95% of the time. That’s because many beginners start trading without a clear plan. A premeditated plan is crucial when you trade. It´s like going to war without an attack and a defense plan. Before you go into a battle you assess your capability, your strengths and your weaknesses. The same logic applies to Forex, you prepare a plan that helps you base your trading on your strongest features and avoid the weak ones.
A little while back, I wrote about how to build a trading plan. The trading plan is very important so we thought it would be better if we only published half of it, the first part. It would give you some time to practice the first two steps, your available funds and your available time. This week we are publishing the second part of the trading plan with the two remaining steps.
The trader’s personality is very important. You must discover your trading personality before choosing what trading strategy to use.
In part 1 of this Risk (money) management series, we discuss common sense tactics that each trader should be aware of. These include Leverage, Risk/Reward ratio, exposure to trades, and keeping up-to-date with information, etc.
Impulsive and conservative traders must match their strategy. Scalping and news trading are for the impulsive, while trend trading and hedging are for the conservative type.
Currently the global economy is pretty weak and the safe haven currencies are benefiting. We expect the economy to pick up by mid-year and the risk currencies will start to strengthen.
In this article we will explain the techniques that have been developed by traders, economists and analysts, which can be a bit more complicated, but it is essential to understand and make them part of your trading in order to minimize the risk.