Posts Tagged ‘Trade’
Tuesday, May 10th, 2011
One of the most difficult things in Forex Trading is stop loss management. A stop loss order is an order that stops you out of the market with the intention of minimizing your losses when the Forex market is moving against your position.
There is no golden rule to where a SL (stop loss) order should be set, it all depends on your trading strategy.
If your trading strategy is based more on day-trading, your could set your stop loss just below or above the daily high or lows. Therefore if the market moves out of the trend that you are trading and moves a lot in the opposite direction, your account is protected because your trade/trades are closed.
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Tags: Foreign Exchange, Forex, Forex Articles, Forex Market, Forex Tutorial, FX, Losses, Orders, Trade
Posted in Miscellaneous Forex |
Friday, May 6th, 2011
In Forex trading there are some things that you must acknowledged. Bellow are some things that you must never do in Forex trading, things you must avoid while you trade in the Forex market and a few tips for a more profitable Forex experience.
In Forex Never:
- Never overtrade
- Never risk more then 10% of your capital in one single trade
- Never trade without a stop loss order
- Never delete the stop loss order after you opened a Forex trade
- Never open a trade just to get a lower loss average
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Tags: Foreign Exchange, Forex, Forex Articles, Forex Market, Forex Tutorial, FX, Trade, Trader
Posted in Miscellaneous Forex |
Saturday, April 30th, 2011
Risk Management can make the difference between your survival and your “death” in Forex trading. You can have the best trading system in the world and still lose money without a proper risk management. The risk management is a combination of several ideas so that you can control the risk of your trades. It can limit your trading volume, can force you to make headging, can force you to trade only during some specific hours of a trading day, etc. And most important to know when to accept the losses.
Why is Risk Management Important?
Risk management is one of the key concept of Forex trading. It is a very simple concept to understand by traders, but is extremely difficult to apply. Forex brokers love to talk about the benefits of the leverage, and forget to talk about the down sides. This is making traders believe that they need to take big risks and target huge profits. It seems very easy for thous who have done it on a demo account, but once real money are at stake emotions comes in to play and things change totally. This is the part where a good risk management is very important.
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Tags: Foreign Exchange, Forex, Forex Articles, Forex Market, Forex Tutorial, FX, Losses, Risk Management, Strategies, Trade, Trader
Posted in Risk Management |
Tuesday, April 26th, 2011
Technical analysis is truly unique. In less then 1 second the trader can see a very significant quantity of information related to price movement of one currency. The lines of moving average can show you the trend. Candlesticks show you the correlation between the opening price and the closing price. Bollinger bands gives you price target and shows you the volatility level of a currency pair. Oscillators like MACD offer entry point signals and exit point signlas. All this informations are provided instantly, but technical analysis is not necessarily the best invention ever.
Bellow are shown 5 ways in which technical analysis shows it’s imperfection. This unpredictable events can cause currency pairs to move unpredictable for a couple of hours or a couple of days, in some cases even for a few months.
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Tags: Foreign Exchange, Forex, Forex Articles, Forex Market, Forex Tutorial, FX, Technical Analysis, Trade, Trader
Posted in Technical Analysis |
Wednesday, April 20th, 2011
Understanding Trend Analysis
Bellow are a few methods that you can use to analyse the trends and how you can use them on charts.
~What are trends and different types of trends
~Who to draw a trend line
~Trend movements and trend channels
~Support and resistance levels of trends and how to identify them
1. Trends
The trends are use to determine the relative direction of a price in the market. There are 3 types of trends: bullish trends (upward trend), bearish trend (downward trend), sideways trend (neutral trend). Without a trend the prices stay flat and unchanged. For the trades to be profitable there must be a movement in price value, or there must be a trend. The forex market, a market with a lot of trends, has a lot of explosive price movement in a short period of time, which can create significant income opportunity. There is a saying: “The trend is your friend“, never forget this when you are tranding.
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Tags: Foreign Exchange, Forex, Forex Articles, Forex Market, Forex Tutorial, FX, Indicators, Resistance Levels, Support Levels, Technical Analysis, Trade, Trader, Trend
Posted in Technical Analysis |
Friday, March 5th, 2010
Forex brokers earn from the spread, the difference between the buying and the selling price of a currency pair at one moment. They are happy to offer leverage because the higher the volume of a trade is the valuable are the pips in the spread.
For example: (more…)
Tags: Foreign Exchange, Forex, Forex Articles, Forex Market, Forex Tutorial, FX, Leverage, Trade, Trader
Posted in Did you know? |
Thursday, March 4th, 2010
Before you start trading the forex market, there are a couple of questions that need to be answered. How to chose a boker? Should I use a demo account? What do I need to know before I make my first trade? Let’s talk about this things.
1. Choosing a broker
This is a personal decision for every trader. Some forex brokers offer different options and different benefits that can be very attractive for some traders while at the same time other traders may consider them useless. It is very important that you compare and analyze carefully every forex brokers options and to chose the one that you feel comfortable with.
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Tags: Beginners, Foreign Exchange, Forex, Forex Articles, Forex Market, Forex Tutorial, FX, Leverage, Trade, Trader
Posted in General Things About Forex |