Here is a great article that was published today by Dailyfx.com. Every trader needs to discover and then consistently implement an approach that fits well with their 'trading personality'. Then use a solid money management strategy and that is how you win in the currency exchange markets. One simple approach I have been using for over 2 years now is the FX Loophole strategy. I still recommend it and continue to have my best results with this approach. I think if I hadn't started implementing this particular strategy I probably would have quit forex within a few months of starting. ...
Admin note: I don't really using any scalping strategies anymore for my personal trading. For me, scalping actually takes longer just waiting for a set up and I would prefer to check the charts at the end of the day to see if there is a trade to place for the next day. (One of the main strategies I use that requires checking the charts only once a day after the New York close is the Forex Loophole strategy). But I know many of my readers come here looking for scalping type, intra-day trade strategies. If you are going to ...
Admin note: I've been trading for over 2 years now....and I've finally settled into 3 main strategies. They are all really simple too: Swing trading (when you hold a trade for 1 to 3 days), trading the NY Open when there is momentum, and trading breaks of a Head and Shoulders pattern. Using these three strategies together and trading only when the market is moving with momentum has been incredibly effective. The article below explains about more about the indicators used in Swing Trading. And don't worry -- you don't have to take an expensive class to learn more about ...
[caption id="attachment_4" align="alignleft" width="124" caption="forex rsi indicator"][/caption] Tuesday Oct 6th midnight New York time: Hello Hello! I have had the most crazy of all Septembers with the kids getting back to school. We also had the swine flu sweep through our home shortly after school started (we have all recovered after mild cases) and I recently picked up a part-time educational consulting gig....all of which has taking me away from the trading room for several weeks. I have just come back today and I do have a plan for a breakout EUR/USD trade on the weekly charts. I have an order set to go LONG ...
I ran across this great article today. This is truly an effective and simple strategy. I really like how this trader uses the "doji pattern" to make decisions when trading. If you don't know what a doji is, it is a bar that has an open and close point at nearly the very same spot. It looks like a plus sign on the chart, so it's easy to spot. If you aren't sure what I'm referring to, then do a quick "Google Image" search on "doji candlestick" and you can see what they look like. - Ann P., who has been successfully trading the FX Loophole ...
[caption id="attachment_4" align="alignleft" width="124" caption="forex rsi indicator"][/caption] < . ________________________________________ TOTAL PIPS thus far THIS WEEK = pending TOTAL PIPS OVER LAST 7 WEEKS = + 509 pips =====> Get my preferred strategy : HERE ________________________________________ Sunday Sept 13th 8:30 pm NYC eastern time: I will be going SHORT on EUR/JPY if there is an hourly break and close below 131.44. STOP around 132. Take Profit = open objective. => RESULT = -50 pips Monday/Tuesday 2:00 a.m. EST new york time: I will be going LONG on EUR/USD on a break of 1.4661 with SL around 1.4610 and TP of 1.4721. Wednesday 3:03 pm New York time: It took two days which I didn't expect but ...
________________________________________ TOTAL PIPS thus far THIS WEEK = +80 pips TOTAL PIPS OVER LAST 5 WEEKS = + 543 pips Get my preferred strategy : HERE ________________________________________ Sunday night August 2nd 10:30 pm EST New York time. Right now two currency pairs have set themselves up within my preferred strategy. They are both good high probability low risk trades. One is on the AUD/USD and the other is on the USD/CHF. I have chosen to go with the AUD/USD. I have gone SHORT on AUD/USD at .8361 with SL at .8411 and TP at .8280. ==> RESULT = -50 pips August 3rd 10:00 a.m. EST time: I have ...
My answer to this will be brief, especially since I have a definite favorite source! I think the analysis given at FXCM is some of the best online; and it is also well presented in a way that is easy to understand. Their analysts are also often entertaining as well...which makes it easy and not boring to read or watch. I am always plugged into the Daily FX Stream whenever I am trading, where important analysis and updates are given out in a very timely manner using a Twitter application. Also, Here is an example of todays "Forex Wrapup:" Enjoy! -Ann Pevey - ...
The Head and Shoulders pattern is known as a "trend-reversal pattern." It is also known for being one of the most reliable trend-reversal signals in the market. Basically, the head and shoulders is when the currency pair makes 3 peaks close together in time, with the middle peak higher than the two side-by-side peaks (see video below for visual example and explanation.) Therefore, it looks like an outline of a head with two shoulders, one on each side of the head. When a head and shoulders forms on the chart, there will also be a discernible "neckline" within the pattern. When ...
[caption id="attachment_4" align="alignleft" width="124" caption="forex chart patterns"][/caption] Today I just wanted to draw your attention to a good and simple explanation of how to interpret and place trades using some chart patterns - specifically double tops/double bottoms and triple tops/triple bottoms. I thought this would be a good time to post a link to this, especially since we are sitting just above a double bottom right now on the EUR/USD even as I post this. The full article was just posted at DailyFX. Go Here --> Trading Doubles and Triples
It's a new week - Sunday evening here on May 31, 2009 and Asian forex markets opened about an hour ago. After having fantastic results last week, I am feeling a bit more relaxed this week. I took the weekend off from reading anything about forex or following any financial news.
5-31-2009 I just checked in and realized that there is a clear Method 1 Preferred Set Up on the EUR/USD. If ...More
Earlier I posted an article about trading the forex market using a breakout strategy immediately following the New York opening of the market. Now let's take a look at a similar, very simple strategy that takes advantage of common price action patterns affected by the opening of each market around the world.
This strategy is designed specifically for the GBP/USD (thus why it is referred to as the "Big Ben" strategy). ...More
I have changed this section now. No more posting all my trades (who really cares anyway and how does that help anyone?) as doing so proved to be too difficult for me to dialogue about my trading and still make good decisions. Instead -- I will be looking at the day/week with respect to my favorite proven strategies to review how the strategies performed. The strategies I use are based on very simple price action pattern setups ...More
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I've been referring to RSI in some of my posts and for those of you who may be brand new to forex trading I thought you may appreciate an explanation of what the RSI is. Basically, the RSI is the "Relative Strength Index." The RSI is one of the most used indicators in forex trading. It is best used together with other indicators to enter and exit trades (I use ...More
Many people in their first year or so of trading forex begin searching for tips, strategies, and advice to assist with their trading. Seeking tips and advice is good; however, I have found that the best advice comes from drawing your own conclusions from your own, well-documented forex trading journal. Yes, your insight into your own trading psychology is the best advice - and you can give it to yourself!
Does that ...More
I usually stick to trading just one currency pair, the most popular one, the EUR/USD. Occasionally, if I don't see any high probability trades on the horizon with the EUR/USD, I will then trade the GBP/USD. But I am certainly most comfortable with the good 'ol EUR/USD, and the reason is because I believe it is quite predictable -- for me, that means that the currency pair usually "respects" it's major support and resistance ...More
Here is a simple Forex strategy explained by Cory A. Mitchell. Cory is a trader in Canada. He is a Charted Market Technician and a member of the Market Technicians Association as well as the Canadian Society of Technical Analysts. He is a regular contributor to Investopedia and has several articles published in Stocks and Commodities magazine. I like how Cory communicates trading strategies in "keep it simple" terms and explanations. Technical analysis ...More
News releases and economic data releases occur all day long around the world; and it is well known that certain news releases often precede major moves in the forex markets. For example, the US Non-Farm Payroll release (an indicator of unemployment), interest rate decisions (like the FOMC rate releases), manufacturing data, and consumer confidence reports are known for frequently igniting large and rapid moves in the market.Trading the news releases ...More
The Breakout Strategy is one of the most commonly used by professional and successful traders. Even though it is used by professionals, it is really simple to implement using regularly updated technical charts which are readily available online.
Breakouts in the forex market occur anytime that a price breaks above or below a resistance or support point. These points are determined by technical analysis and anyone can find what the technical points ...More
Even a relatively new and inexperienced trader can easily gain 10 or more pips a day on average -- by observing and taking advantage of a common market behavioral pattern during the daily New York Close, or from 2 p.m to 4 p.m. Eastern time (New York time).
Once a trader has observed the forex market for a length of time, he or she will recognize that the Market does have ...More