Thursday, 8 February 2018

Learn Forex Trading - Professional Forex Training - What's the Buzz About?

So what is the buzz about trading Forex?
Well, I love what I am doing... I love it so much that I decided to demonstrate the Forex buzz with you. And if you give me ten minutes of your time, you too will understand why...
Forex is a potential solution for every single person looking to make more money; earn persistent income and take back control of their lives.
That is a huge statement, I know! But in these times of job loss, economic uncertainty and less money to make ends meet, there has to be a better solution than getting yet another job, or working twice as hard or downsizing your lifestyle.
Forex is a perfect solution! (I will explain why in a minute)
First, indulge me and take a look at your personal situation right now...
Take a minute and think about your lifestyle; your income; and how good (or challenging) life has been. Now, think about an additional monthly income that would financially take you to the next level... from getting ahead financially to being able to upgrade on whatever lifestyle choice you desire next. What is the income number you just thought of? Is it a modest $500 per month? Is it $5000 per month? Is it $20,000 per month? Now write out this statement:
(Don't be shy... be bold!) I would like to earn $_______________ more each month.
Now take a minute and think about your current job(s); current lifestyle; current free time... what options are available for you to increase your income by this amount? Do you see yourself achieving the additional income amount your just wrote down if you continue doing what you have been doing?
Will you need to (or can you) work harder? Can you ask for raise or get another job? Do you have the time (and tuition) to learn an entirely new profession?
If you are at all like me, the answers to the last three questions were no, no, and no!
So how do you get to this next level of income? For me, Professional Forex Trading has been the answer... and I think it can work for you too! I want to demonstrate how and why it has worked because I believe Professional Forex Trading is a real option for anyone interested in trading to earn additional, persistent income.
Hold on just a minute though. Before continuing, I want to make a distinction between trading and Professional Trading; and specifically how this applies in the Forex Market. There really is a huge difference! There are many people who trade, either actively or passively. But the vast majority trade without any trading education or a structured approach to the market. And their results are average at best.
Trading in general (which is non-professional trading) typically consists of:
• Acquiring as many trading tools, indicators, news and information as possible to make buying decisions (usually not selling decisions)
• Attempting to trade, but experiencing average or worse-than-average results
• Inconsistent execution leading to larger, uncontrolled losses and minimal gains
• Inconsistent risk management leading to the depletion of trading capital over time
• Years of frustration and mixed results that rarely ever achieve professional status
Perhaps that sounds familiar to you. It did for me.
Professional Trading (the kind I am now doing) consists of these keys:
1. Mastering statistically proven trading systems
2. Incorporating rigid risk management rules
3. A Business Plan optimized for the temperament and lifestyle of the trader
4. Proper Training by other Professional Trader(s)
And actually, these keys to Professional Trading, (professional meaning trading as part of your profession), are a formula that applies to every profession in the world! Consider a doctor (or lawyer, or accountant, etc...): if I gave you all of the tools, medical books and state of the art equipment doctors use today, could you walk in and perform surgery? Even if you were allowed to try, you would NOT be very good at it. Why not? What do aspiring doctors obtain before they have the confidence to perform surgery on their own? Well, you probably already know the answer. The aspiring doctor practices alongside other Professional Doctors until he builds the knowledge and skill set to take the next step and perform surgery on their own. They NEVER EVER are allowed to just 'try it themselves'. And thankfully, the medical community is structured to prevent anyone from just 'trying it on their own'.
It's a different story in the trading world, unfortunately. You can pretty much do what you want; all you need is some capital and any firm will open your account and let you begin to self-destruct!
Today, however, there are real solutions available!
If you want to create the persistent results of a Professional Trader, you MUST acquire the tools and practice alongside other Professional Traders already creating persistent results. PERIOD!
Then, only after you have the tools; have learned alongside other Professional Traders; and have practiced enough to build your own business plan, you can expect to go forward and create a persistent income stream for yourself. Without the Professional Trader by your side, you are just using your own capital to reinvent a very expensive wheel.
Great! So what does it take to learn Professional Forex Trading? (Glad you asked!)
The answer is easier than you may think... at least it is today! And that's where the buzz of Forex is building.
There are many firms touting Forex, but a relatively few firms popping up that are addressing the aspects of Learning Professional Forex Trading. One company in particular has developed an individualized structure far beyond what I have seen anywhere else. And, their approach is dedicated to applying the four keys to Professional Forex Trading mentioned above and applying them in the Forex market. Here they are again:
Professional Forex Trading consists of:
1. Mastering statistically proven Forex trading systems
2. Incorporating rigid risk management rules to preserve your capital
3. Creating a Business Plan optimized for your temperament and lifestyle
4. Proper Training from another Professional Forex Trader
Sounds nice, and if you are anything like me, the next question is, how can I possibly learn how to do this? My life is hectic as it is! (At least that is what I said.)
But you know what... there is a very real solution that has been structured to adapt to your schedule and provide you with live, professional guidance literally on-demand! (I will share where to find this environment in a moment.)
First, I want to demonstrate why Forex is the place to learn (vs. all of the other markets) and why this market is the best I have seen to learn to Professionally Trade Forex:
Forex is the easiest and most accurate market to trade.
The Forex market is the most liquid market in the world (and it continues to grow), meaning there are more people trading Forex than any other market! This makes it the easiest market for every single trader to get in and out of trades both easily and accurately.
Forex enables you to trade only when it's convenient for you!
Forex is available virtually on-demand. Forex is open for trading 24 hours a day for 5 days each week; making it available for every single trader to participate on-demand, on their schedule (and not during specific market times). This is the perfect opportunity to trade only when it's convenient for you!
Forex enables you to control 50 times your investment capital.
Forex offers traders considerable leverage for their investment; enabling traders to control 10-50 times their own trading capital. For example, a $1000 investment would control $50,000 worth of currency; compared to a $1000 investment in stock being able to control just $1000 worth of stock.
Professional Forex Trading is now available to individual traders in the convenience of their own office (or home) and at the times that most suits their schedule.
So, you may be asking 'where do I go?'...well, there lots of Forex trading firms and Forex trading systems available. Just do a search for Forex and you will have plenty to sift through. However, there is a short list of Forex environments that enable you to truly learn how to trade professionally from Professional Traders. So wherever you look, be sure to check for the four keys that must be included. Ask these questions:
- Do you provide statistically proven trading systems?
- What are your money management and risk parameters?
- What is the business trading plan that you will teach me to create?
- Who are the professional traders that will mentor me to success?
- Is there a live trading environment where the mentors are available 24 hours each day while the market is open?
Once you are trading professionally, you can take you business anywhere, but until you are a professional, if the firm or individual cannot provide good answers to all of your questions, consider going somewhere else to learn Professional Forex Trading.
There is one firm in particular that answers all four points and answers them so well, I ultimately signed up with their program. They have a live Forex trading environment open 24 hours a day and you are guided by their professional traders ever step of the way.
Remember, wherever you ultimately jump on the buzz of the Forex market, select a program most suited to your lifestyle and goals. Forex is the quickly becoming the part-time business of choice that is supplanting peoples 'day job' salaries.
Happy Trading!

Thursday, 25 January 2018

Forex Trading Philosophy

Forex Trading Philosophy
What is forex trading philosophy?
Forex trading philosophy is how a trader view the forex market to make his/her trading decisions. It is how a trader investigate the forex market in order to discover the truths and principles behind the price movement.
Forex trading philosophy is critical to trading success as it forms the picture for how a forex trader view the action on a chart. It has to do with how a trader view information, what types of information and how to implement that information.
Forex trading philosophy can be include or summarized as follows:
i.                   Newbie forex trading philosophy
ii.                 Forex philosophy of money management
iii.              Technical indicator philosophy
iv.              Chart and price pattern philosophy
v.                 Forex robot philosophy
vi.              Order flow philosophy
vii.            Philosophy of successful traders

1.     Newbie forex trading philosophy
The newbie forex trader is excited to start a forex trading career; he/she is attracted allure of making easy money. As most of the forex site offer “risk free” trading with high returns at low investment. It looks really astonishing but in reality it’s not a cup of tea. As any thing with life, this market also does the same ie. What you put will decide what you get. The two most common mistakes beginner make in forex are let the emotion rule their trades and trade without proper strategy. As soon as we get the life account we attempt to dive straight away in the ocean of forex. Watching the currency movement may make you feel like that you are missing an opportunity if you not enter the market. You place your order and the market turns against you. It makes you panic and sell with loss in hand. This approach will not take you anywhere except losses. Traders need to have rational strategies and don’t allow your emotions to rule your decisions. Keep all the emotions out of your trading and see results. To make sound decision trader must be well educated with market fluctuations. He must be able to use fundamental and technical tricks to enter and skit the positions. He must know the advantage of various order types so that he can maximize the gains and minimize the risks. The first thing you need to understand to be successful forex trader is to understand the movements in market and force behind those movements. This wil give a brief idea about identifying various techniques and use them in your own trading strategy. So guidelines and rule wins in the long run. You need to check yourself by yourself, if you must succeed here you must play smartly. So it is important to learn all the techniques and strategies before starting a forex trading.
2.     Forex Philosophy of Money Management
Managing your money is an important part of your forex trading strategy. Other than knowing currencies to trade and recognizing exit and entry signal therefore trader has to integrate money management in his plan. Margin, losses and profits size of the position should be considered before entering the market. There are many strategies that approach money management and most of them rely on care equity calculation. Core equity is initial balance minus the account of money used in open position.
3.     Technical Indicator Philosophy
An example of this is a forex trader that has a trading philosophy that revolves around technical indicators will view the market in a certain way.
When he sees price movement on a chart, those trader will automatically go and see if their technical indicators forex off a signal. They are attempting to explain price movements through the moving averages, MACD, stochastic etc they tend to assign certain meaning to the market movements. So when a technical indicator trader sees a huge market move, they will tend to say well the market moved because the moving averages crossed higher, there was divergence on this indicator, or this indicator was overbought/oversold or the market collapsed because a death cross formed.
4.     Chart and Price Pattern Philosophy
This is a situation whereby traders believe in technical analysis the believe in studying price data, but many of them choose to “trade naked” or to use very limited technical indicators. They believe that the actual chart and price patterns are the truest senses of what the market has done and what it can do in the future. In this case, the noise of technical indicator are avoided, or can be used in a limited number.
This kind of philosophy forms a mental model inside the traders mind. When they see price move they assign meaning to it. They may say price dropped because the market formed a head and shoulders pattern. They may say price broke a trend line, reseated it and then moved. They may say the price retraced to a Fibonacci level and there was a nice engulfing bar that signaled a trade.
The use of trade setups, triggers and tools are part of their mental model. These traders love to use some sorts of Mize of support and resistance, tread lines, chart patterns, price patterns, Fibonacci levels, “key moving averages”, psychological numbers”, and the use of multiple time frame analysis, etc.
5.     Forex Robot Philosophy
The forex robot traders have their own Philosophy and mental model as well. They believe that the forex market can have some mathematical code to them and they can be searching for the Holy Grail (system).
They believe it exits and if they just get the right indicator settings, and program it, and back test it, that they will be able to find a profitable system.
They like the concept of automation. They like to have a system that automatically generates buy/sell signals and place, the trades for them.
If the market makes a big move, they will tend to see if their system generated a signal. If it did them they captured the movement and explain the price movement through their forex expert advisor.
Thus, they view the market through mathematics, programming, automation etc. that is part of their Philosophy and mental model.
6.     Order flow Philosophy
These traders view the market through the concept of order flow and liquidity. They view the market through what will compel traders to take action and generate order flow.
They like to use concepts such as stops, option barriers, news, market sentiments market expectations, market positing, stop cascades global macro, market sensitivity. All these concepts and principles form part of their mental model and Philosophy about the markets.
They do not use indicators or charts rather they explain big market moves either presently or in the future using order flow Philosophy, they love the truth.
They tend to have a more grip of the major market participants and their behaviour, they study market breakouts, what the global market is doing.
7.     Philosophy of Successful Traders
Your trading Philosophy must include emulation of successful traders. Success leaves clues. That is, the successful day traders seems to all be doing same thing while the unsuccessful day traders are also doing the same thing-which is the opposite of what the successful traders do.
The successful traders have discipline and a solid set of day trading rules, and they have enough capitalization so that fear does not rule their trading. They know all about risk management and follow excellent risk management procedures.
To be sure you have a successful trading philosophy; you need the determination and principle to:
a.     Learn what the winners are actually doing, so you can emulate them.
b.     Get very clear on what your plan is, how you will trade, what you risk management strategy is.
c.      Follow your plan to the letter.
v They know that a perfect forex trading system does not exist
v They follow real life examples etc.

Monday, 10 July 2017

Forex Trading Strategies and the Trader's Fallacy

Forex Trading Strategies and the Trader's Fallacy

The Trader's Fallacy

The Trader's Fallacy is one of the most familiar yet treacherous ways a Forex traders can go wrong. This is a huge pitfall when using any manual Forex trading system. Commonly called the "gambler's fallacy" or "Monte Carlo fallacy" from gaming theory and also called the "maturity of chances fallacy".

The Trader's Fallacy is a powerful temptation that takes many different forms for the Forex trader. Any experienced gambler or Forex trader will recognize this feeling. It is that absolute conviction that because the roulette table has just had 5 red wins in a row that the next spin is more likely to come up black. The way trader's fallacy really sucks in a trader or gambler is when the trader starts believing that because the "table is ripe" for a black, the trader then also raises his bet to take advantage of the "increased odds" of success. This is a leap into the black hole of "negative expectancy" and a step down the road to "Trader's Ruin".

"Expectancy" is a technical statistics term for a relatively simple concept. For Forex traders it is basically whether or not any given trade or series of trades is likely to make a profit. Positive expectancy defined in its most simple form for Forex traders, is that on the average, over time and many trades, for any give Forex trading system there is a probability that you will make more money than you will lose.

"Traders Ruin" is the statistical certainty in gambling or the Forex market that the player with the larger bankroll is more likely to end up with ALL the money! Since the Forex market has a functionally infinite bankroll the mathematical certainty is that over time the Trader will inevitably lose all his money to the market, EVEN IF THE ODDS ARE IN THE TRADERS FAVOR! Luckily there are steps the Forex trader can take to prevent this! You can read my other articles on Positive Expectancy and Trader's Ruin to get more information on these concepts.

Back To The Trader's Fallacy

If some random or chaotic process, like a roll of dice, the flip of a coin, or the Forex market appears to depart from normal random behavior over a series of normal cycles -- for example if a coin flip comes up 7 heads in a row - the gambler's fallacy is that irresistible feeling that the next flip has a higher chance of coming up tails. In a truly random process, like a coin flip, the odds are always the same. In the case of the coin flip, even after 7 heads in a row, the chances that the next flip will come up heads again are still 50%. The gambler might win the next toss or he might lose, but the odds are still only 50-50.

What often happens is the gambler will compound his error by raising his bet in the expectation that there is a better chance that the next flip will be tails. HE IS WRONG. If a gambler bets consistently like this over time, the statistical probability that he will lose all his money is near certain.The only thing that can save this turkey is an even less probable run of incredible luck.

The Forex market is not really random, but it is chaotic and there are so many variables in the market that true prediction is beyond current technology. What traders can do is stick to the probabilities of known situations. This is where technical analysis of charts and patterns in the market come into play along with studies of other factors that affect the market. Many traders spend thousands of hours and thousands of dollars studying market patterns and charts trying to predict market movements.

Most traders know of the various patterns that are used to help predict Forex market moves. These chart patterns or formations come with often colorful descriptive names like "head and shoulders," "flag," "gap," and other patterns associated with candlestick charts like "engulfing," or "hanging man" formations. Keeping track of these patterns over long periods of time may result in being able to predict a "probable" direction and sometimes even a value that the market will move. A Forex trading system can be devised to take advantage of this situation.

The trick is to use these patterns with strict mathematical discipline, something few traders can do on their own.

A greatly simplified example; after watching the market and it's chart patterns for a long period of time, a trader might figure out that a "bull flag" pattern will end with an upward move in the market 7 out of 10 times (these are "made up numbers" just for this example). So the trader knows that over many trades, he can expect a trade to be profitable 70% of the time if he goes long on a bull flag. This is his Forex trading signal. If he then calculates his expectancy, he can establish an account size, a trade size, and stop loss value that will ensure positive expectancy for this trade.If the trader starts trading this system and follows the rules, over time he will make a profit.

Winning 70% of the time does not mean the trader will win 7 out of every 10 trades. It may happen that the trader gets 10 or more consecutive losses. This where the Forex trader can really get into trouble -- when the system seems to stop working. It doesn't take too many losses to induce frustration or even a little desperation in the average small trader; after all, we are only human and taking losses hurts! Especially if we follow our rules and get stopped out of trades that later would have been profitable.

If the Forex trading signal shows again after a series of losses, a trader can react one of several ways. Bad ways to react: The trader can think that the win is "due" because of the repeated failure and make a larger trade than normal hoping to recover losses from the losing trades on the feeling that his luck is "due for a change." The trader can place the trade and then hold onto the trade even if it moves against him, taking on larger losses hoping that the situation will turn around. These are just two ways of falling for the Trader's Fallacy and they will most likely result in the trader losing money.

There are two correct ways to respond, and both require that "iron willed discipline" that is so rare in traders. One correct response is to "trust the numbers" and merely place the trade on the signal as normal and if it turns against the trader, once again immediately quit the trade and take another small loss, or the trader can merely decided not to trade this pattern and watch the pattern long enough to ensure that with statistical certainty that the pattern has changed probability. These last two Forex trading strategies are the only moves that will over time fill the traders account with winnings.

Forex Trading Robots - A Way To Beat Trader's Fallacy

The Forex market is chaotic and influenced by many factors that also affect the trader's feelings and decisions. One of the easiest ways to avoid the temptation and aggravation of trying to integrate the thousands of variable factors in Forex trading is to adopt a mechanical Forex trading system. Forex trading software systems based on Forex trading signals and currency trading systems with carefully researched automated FX trading rules can take much of the frustration and guesswork out of Forex trading. These automatic Forex trading programs introduce the "discipline" necessary to actually achieve positive expectancy and avoid the pitfalls of Trader's Ruin and the temptations of Trader's Fallacy.

Automated Forex trading systems and mechanical trading software enforce trading discipline. This keeps losses small, and lets winning positions run with built in positive expectancy. It is Forex made easy. There are many excellent Online Forex Reviews of automated Forex trading systems that can do simulated Forex trading online, using Forex demo accounts, where the average trader can test them for up to 60 days without risk. The best of these programs also have 100% money back guarantees. Many will help the trader pick the best Forex broker compatible with their online Forex trading platform. Most offer full support setting up Forex demo accounts. Both beginning and experienced traders, can learn a tremendous amount just from the running the automated Forex trading software on the demo accounts. This experience will help you decide which is the best Forex system trading software for your goals. Let the experts develop winning systems while you just test their work for profitable results. Then relax and watch the Forex autotrading robots make money while you rake in the profits.

Saturday, 24 June 2017

Forex Trading Psychology

When it comes to forex trading business online, trading psychology is an important discipline that needs to be studied and understood by anyone who aimed towards long-term success in the forex market. Self-mastery and emotional control are key to achieving consistency when trading forex greed, fear, euphoria and panic are powerful enemies to rational decision-making that should be guiding our forex trading choices.
The four psychological effects that a forex trader needs to consider when trading forex online are as follows:
1.     Greed
2.     Fear
3.     Euphoria
4.     Panic

1.     Greed: In forex trading, if you only buy (long) you will make money or if you only sell (short), you will certainly make money in your forex trading but if you are a greedy pig that both buy and sell in the market, you will certainly lose your money.
Traders are greedy when they don’t take profit because they think a trade is going to go forever in their favour. Another thing that a greedy forex trader do is add to a position simply because the market his moved in their favour, you can add to your forex trades if you do so for logical price action based reason, but doing so only because the market has moved I your favour a little bit, is usually an action born out of greed. Obviously, risking too much on trade from a very start is greedy thing to do too. The point here is that you need to be very careful of greed, because it sneak up on you and quickly destroy your forex trading account.
2.     Fear: In forex trading, fear has the opposite role of greed in our forex trading decisions. Instead of inspiring us to trade like a machine gun, opening and closing portion with the speed of lightening, fear convinces us that nothing that we do will be profitable in the long term, regardless of the power of our analysis, and the amount of study and consideration gone into perfecting our method in this case, a fearful forex trader will be unable to wait for the realization of a profitable position, and he will be unwilling to act on the basis of rational expectations. in addition, the fearful trader will be unable to realize losses that result from mistaken assumptions, and the red link in his account will keep spreading everywhere as a result. The result is usually ruined as fear leads to more and more irrational decisions, and few treads and profitable, a few long-hold losing trades will eventually wipe on the account.
3.     Euphoria: While feeling euphoric is usually a good thing. It can actually do a lot of damage to a trades forex account after he or she hits a big winner or a large string of winners. Traders can become overly- confident after winning a few forex trades in the market, for this reason most forex traders experience their biggest losing periods right after they hit a bunch of winners in the market. It is extremely tempting to jump right back in the market after a “perfect” trade setup after you hit 5 winning trade in a row …… there’s a fine line between keeping your feet grounded in reality and thinking that everything you do in the forex market will turn to gold.
Many forex trades enter into a tailspin of emotional trading and losing money after they hit a string of winners. This is because they feel confident and euphoric and forget the real danger of the market and that any trade can lose. Finally, you never know which forex trade will be loser or winner.
4.     Panic: In a panicky situation, the forex trade sees nothing but losses in the forex market, with no possibility of concluding a profitable trade. This is an exceptionally strange way of thinking in the forex market, since by definition, the loss of someone must be another person’s gain. When a forex trader is losing large sums of a long currency trade, another trader is possibly making large profits on a short trade on the same pair.
This fact by itself should have helped forex traders to be more realistic in response to bouts of panic in the forex market, but experience shows that this is not the case.
Panic can be caused by volatility, price fluctuations, loss of confidence etc.
Finally, dealing with the problem associated with forex trading psychology, we must minimize the role of emotion in our trading decision.

Monday, 12 June 2017

Forex Signals - How to Instantly Trade Like You Have Decades of Forex Trading Experience

Forex Signals - How to Instantly Trade Like You Have Decades of Forex Trading Experience

Seriously consider forex signals if you are not yet trading profitably, have limited experience, or just don't have much time to devote to your forex trading.

From the simple one email a day variety to the forex mentor who sits with you all day holding your hand as you trade, a portfolio of forex trade alerts can be virtually free and can transform you into a profitable trader instantly.

If like us you've ever analysed a chart and placed your own trades, you will almost certainly have also sat in front of your screen wondering if you were doing the right thing.

Questions like "have I entered this trade too late ?" and "am I trading in the right direction (long when I should be short)" will certainly have entered your mind.

How many times have you wished you had an expert trader with decades of experience guiding your trades, keeping you out of dangerous trades, and pointing you towards trades with a higher probability of success ?

We were certainly in that position many times in the early days, but always imagined the cost of having an expert on hand would far outweigh any extra profits we might make. It turns out we were quite wrong.

There are numerous services available, known variously as forex signals, forex alerts, or forex tips.

Trading signals come in a variety of formats, suited to how much of your day you can devote to trading. And yes beware, there are loads of scams out there too, but we'll show you how to avoid them, and we'll direct you towards the better ones.

Forex Trading Signals - many varieties

The main characteristics of forex trading signals to be aware of are as follows;

    Cost: Free OR monthly subscription
    Complexity: Simple "one email a day" OR Full-Service
    Control: You keep full control OR the signal provider trades your a/c for you
    Trading style: e.g. frequent scalper OR low volume swing trader

A free forex signal may at first seem like a fabulous idea, but as we will reveal here, you may very well prefer to pay for a free subscription service (yes, we know that doesn't make sense - but read on)

Most forex trade signals charge a very modest subscription fee, usually in the region of USD $80 - $400 per month (although happily most are at the lower end of this range), while there are also websites which provide forex signals for no charge.

In their simplest form a forex trading signal will send you a forex alert email once a day listing trade set ups for the next 24 hours.

Some of these are purely computer generated, some are computer generated and then audited by a human expert, and some are completely researched and generated exclusively by a human expert trader who may add some market commentary to their forex forecast.

Some forex trading signals are high volume scalpers, calling many trades in a day aiming to profit a handful of pips on each. Others only call a few trades a day, aiming to profit 20 - 80 pips on each single trade.

At the more full-service end of the market is the type of forex signal service which provides you with an almost 24 hour a day live online broadcast calling forex trading tips as they occur, explaining the logic of the proposed trade and backing it up with an email or even a video clip.

Some forex trading signals will even trade their signals in your own account for you, leaving you to just sit back and watch.
This is similar to what a robot does by using forex signal software, but with the added reassurance that it's being done by an experienced intelligent human trader rather than a dumb machine following an algorithm.

Think of full-service forex trading signals like a forex TV station, which you have running in the background on your pc or internet connected laptop throughout your day. The broadcast remains quiet when there is nothing to do, freeing your time for the other priorities in your day, then calls for your attention when there is a trade to place or manage.

You may be surprised, as we were, to discover that the prices charged by full-service providers are usually very similar to those charged by the one email a day providers.

This type of service usually also includes an interactive facility, enabling you to send a message to your forex mentor if you have a question.

Many forex signal services have very loyal memberships, and some even limit the number of members they will accept.

Free forex signals (virtually)

On the basis that time is money, in our opinion the amount of time we can now devote to other activities by not slaving over our charts for hours searching for the perfect trade set up, not to mention the improvement in our trading results, has more than paid for the very modest cost of the forex signal subscriptions.

Indeed if you apply this logic, subscription based services can effectively be free when you take into account the improvement in your trading profits, and the freeing of your time for other profitable activities.

If you think about it, a subscription based forex signal service has a built-in incentive to call profitable forex trading tips, as its subscriber base would soon evaporate if it failed to provide profitable currency trading tips. "Free" non subscription signals do not have this incentive.

Manage your risk

In any aspect of forex trading your primary goal is to manage your risk. Choosing, and trading a forex trade alert should be no different.

Even the best most experienced provider of forex signals will regularly have losing trades. However taken with all of their winning currency trade signals the overall result should still be profitable, but not all systems work all of the time. Some forex alerts may even have a completely losing week or month.

However, we have found through our own experience that the best way of making consistent profits with forex signals is to subscribe to several different currency trading signals and trade all of their signals. If one of them is having a particularly bad week, the others should compensate and still net you a profitable week, or break even at worst.

Always do your due diligence before trading a provider's forex alerts. Good forex signal services will publish their last 6 - 12 months results on their website. Some will even show you details of the actual trades they took. Expect to see losses as well as winners - that's just the nature of trading. Indeed, if the results show only winners, or the provider is unwilling to show you any results, or to provide contact details of some of their clients willing to give a reference be on your guard.

Most will offer you some sort of free trial or discounted special offer. Make sure that you clearly understand the terms of this offer and know the deadline by which you need to give notice to terminate if you're not happy with the service provided.

If you compare the last 6 month's results of all the forex signal service providers you intend to use, you should find that taken as a whole they delivered a profit.

Past performance is no guarantee of future results, but we have found that if you have a good combination of trading styles in your trading signals portfolio you are in with a fighting chance of consistent profits whatever the market conditions.

Again, think about the cashflow logic of what you will be doing here - the subscription costs of each forex signals service are already very modest, and by combining them you are increasing your probability of consistent profits. They can't all get it wrong all of the time, and remember they are all incentivised by their membership to get it right as often as possible.

Even with experienced traders calling your trades, it's prudent risk management to never ever risk more than 3% of your initial capital on any one trade, preferably only 1%. So, if for example your initial capital, (or to put it another way, the maximum you can afford to lose) is let's say 5,000, the position size you take on each trade should be such that if the trade hit your stop loss, your maximum loss would be no more than 1% x 5,000 = 50.

Using forex signals as trade ideas

Even if you prefer not to follow forex tips to the letter, you can still profit from their trade idea.

For example, if you receive a forex tip trading the GBP/USD long with a 40 pip stop loss, but on analysing the charts (following your attendance on a forex training course) you feel more comfortable placing the stop loss let's say 63 pips below entry, giving the stop protection below a visible area of recent and prior support, which happens also to be below the weekly pivot point, and in doing so are happy to have a longer range target - then go right ahead and do so.

We were surprised to find that when we did exactly this with one of our forex signals' tips our trades actually performed better than theirs did. Two heads better than one maybe.

The point is though, that without the forex market forecast drawing our attention to that particular chart at that particular time we would never have seen that trade idea.

This also makes the point that while it may at first seem temping to let a signal provider trade your account for you, if you have the time you may actually prefer to control it yourself.

If you have been through a good forex training course and understand the concepts of support, resistance, pivot points, trends etc you should always use this knowledge to perform your own due diligence on forex alerts. You may well find as we did that you can enhance the overall performance of your portfolio of forex trade recommendations.

Free forex signals

This section would not be complete without mention of forex signals providers who don't charge any subscription fee.

As we mentioned above even subscription charging services should be effectively free to you by virtue of calling enough profitable trades to more than cover the subscription cost.

In addition we prefer to use subscription based forex signals as they have an incentive to consistently call profitable trades, in that their subscribers won't stay with them for very long if they don't.

Free signals by comparison have no such incentive, so be warned and trade them at your own risk.

Thursday, 13 April 2017

Ten Effective Forex Trading Strategies

Ten Effective Forex Trading Strategies
If you have been busy searching the internet for the best forex trading strategy, be happy now because your search is over, today I am going to share with you the ten effective forex trading strategies free.
When it comes to selecting forex trading strategies, traders have many choices to make. They can either search the internet for free strategies or buy books on forex strategies. The strategies covered here are tested and trusted by successful forex traders and they can b used in a consistent profitable trade.
Note: there are many strategies sin the forex market and not all of the following strategies are squall in all markets some perform better than others, and each individual trader will find some strategies more suitable for them to trade.
The following ten forex trading strategies are effective;
           i.       The Bollinger bounce (Bollinger Band)
            ii.       Daily Fibonacci pivot trade
           iii.       Forex dual stochastic trade
           iv.        The bladerunner trade
           v.         Forex overlapping Fibonacci trade
          vi.         London Hammer trade
         vii.        The bladerunner reversal
         viii.        The drop ‘n’ stop trade
        ix.          The forex fractal
        x.           The Pop ‘n’ stop trade
1.     The Bollinger bounce (Bollinger bend)
The Bollinger bands are used to measure markets volatility, whereas in Bollinger bounce the price tends to return in the middle of the bands.
The bolly band bounce trade is perfect in a ranging market. Many traders use it in a combination with confirming signals, to great effect. If bollinger band appeal to you. This one is well worth a look.
2.     Daily Fibonacci Pivot Trade
Fibonacci pivot trade combine Fibonacci retracements and extensions with daily, weekly and even yearly pivots. The emphasis in the discussion here is on using these combinations with daily pivots only, but the idea can easily be extended to longer timeframes incorporating any combination of pivots
3.     Forex Dual Stochastic Trade
The dual stochastic trade uses two stochastic –one slow and one fast in combination to pick areas where price is treading but over extended in a short term retracements and about to snap back into a continuation of the tread.  
4.     The Bladerunner Trade
The bladerunner is an exceptionally good EMA Crossover strategy, suitable across all time frames and currency pairs. It is a treading strategy that tries to pick breakout from a continuation and trade the retest.
5.     Forex overlapping Fibonacci Trade.
Over lapping Fibonacci trades are the favourites of some traders. If used on their own, their reliability can be a little lower than some of the other strategies, but if you use them in conjunction will appropriate confirming signals, they can be extremely accurate.
6.     London Hammer Trade.
The extra volatility you get when London opens presents some unique opportunities. The London Hammer Trade is my take on an attempt to capitalize on these opportunities. Especially effective during the London session, it can be used at any time when price is likely to be taking off stroppy in one direct and possibly reversing from an area of support/resistance just as strongly.
7.     The Bladerunner Reversal
As mentioned above, the bladerunner is a trend following strategy. The bladerunner reversal just as effectively picks entries from situations where the trend reverses and prices begins to trade on the other side of EMA’s
8.     The Pop ‘n’ Stop Trade
If you have ever tried to close price when it bounds away to the upside, only to suffer the inevitable loss when it jus as quickly reverses, you will want the secret of the pop and stop trade in your traders’ arsenal.
9.     The Drop ‘n’ Stop Trade
The flip side of the pop and stop, this strategy trades savage breakouts to the downside.
10.                        Trading the Forex Fractal
The forex fractal is not just a strategy but a concept of market fundamentals that you really need to know in order to understand what price is doing, why it is doing it, and who is making it move.
(These information are worth thousands of dollars)