7 Tips for Trading Foreign Currency

June 10, 2013 by  
Filed under Forex Trading

Both experienced and newbie forex traders are always looking for trading tips. If you’re looking for tips like the ones on a horse race, I can’t help you! I can’t predict which horse will win the first race, and I can’t predict exactly which of your forex trade will be winners. You’ll find lots more great information about forex trading at ForexInfoPlace.com

What I can do, however, is provide you with some basic forex trading tips to help keep you on track to make money trading foreign currencies.

1. Trade, don’t gamble. Trading is based on research and knowledge, whether yours or a trusted advisor’s. If you risk trading foreign currencies on hunches or without proper knowledge and research, you are not trading, but just gambling. Save your gambling for the horses or the gaming tables, not your forex trading.

2. Use a demo account to practice trading before using real money. To do this, use your broker’s “demo account” facilities. With a demo account you can trade as if it were real, making and losing money just as in the real forex world. No money actually enters into the picture, which means you can make all the mistakes you need to in order to learn. My advice to newbies: trade on a demo account for at least three months before you go live with real money. Not only that, but analyze your demo wins and losses carefully, learn from your mistakes so that you won’t repeat them with real cash.

3. Trade in the time frame that suitsĀ  your style. Short time frames like 15 minutes makes for a lot of excitement and many traders love that. I do strongly advise new traders to look for longer trading timeframes though, as that gives you more time to think before you react.

4. As a beginner, go with the trend. With experience, you might want to experiment by bucking the trend, and you might be successful. But don’t take any chances this way until you are really experienced — and maybe not even then. Learn more about trends here.

5. Study the charts of periods longer than your chosen trading time frame. This gives you a bigger picture and gives you a better chance to see and accurately identify trends. For example, if you are trading in an hourly time frame, you want to look at daily and weekly price movements for a more realistic picture. The forex market is subject to occasional blips that can trip you up if you’re not ready for them. Watching how things are unfolding in longer time frames will help you see these glitches coming and take appropriate action.

6. Manage your money conservatively. That generally means risking only about 2 – 3% of your total trading account on one trade. Understand that you WILL lose on many trades, that’s just the nature of forex trading. Each time you lose, you need to make twice that much on the next trade just to stay even! Keep your risk low so that a few losses in a row won’t wipe out your account.

7. Ignore your emotions when it comes to forex trading. Many new forex traders, and even more experienced ones, have been wiped out because they let their emotions influence their trades. Make your trades based on analysis, both technical and fundamental, not on panic or elation. Never trade on a hunch (see tip #1).

The world of forex is exciting, but it’s also a dangerous space. I recommend ongoing education in all aspects for as long as you are trading forex. One great place to start is with this free 7-part mini-course

 

The Best Strategy for FOREX | Forex Review

August 31, 2011 by  
Filed under Forex review, Forex Trading


www.guideverygood.com

The Best Strategy for FOREX

1. Temperament and Time Frame A key factor in matching your personality with a trading strategy is the main time frame used by a strategy. If you usually seek activities that provide immediate gratification, a strategy based mostly on a four-hour chart will not work for you–even if you see others making money with it. You will be more comfortable trading a strategy that is built around a lower time frame–15, 5 or 1 minute. These time frames demand your constant attention and participation.

2. Skill Level and Discretion Another factor to consider in strategy shopping is your current skill level. New traders will likely not be successful with highly discretionary strategies.

3. Trade Rooms and Signal Services Another way for beginning traders to find winning strategies is to join a trade room or signal service.

4. Creativity The best trading strategy if you have a creative streak is to “roll your own.” Learn about the fundamental tools of technical analysis and, especially, how price action seems to respond to them. Paper and demo trade your strategy for at least 2 months before taking it live,…… By Darrin Koltow to learn more about Forex please visit www.guideverygood.com

Shocking Truths About Forex Trading Systems Revealed!

March 15, 2011 by  
Filed under Books

Product Description
7 Things You Must Know Before You Spend Another Dime On Forex Trading Courses & Forex Trading Systems.
FACT: This year 90% of all new traders will fail!
Read our free report to find out why this happens and what you can do to guarantee your success before you spend any money on a forex trading eduction or forex trading system.
Learn the truths about trading Forex online and how to guarantee your success at currency trading.
Day trading is the investment… More >>

Shocking Truths About Forex Trading Systems Revealed!

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