Selasa, 30 Mei 2017

Forex Trading Strategies Which One to Use?

There are hundreds and hundreds of forex trading strategies out there, published for free or sold for a fee. There are even automated systems of forex trading or even bots that are advertised as profit Mills forex. There is simply too much hype about these trading strategies, so that most are too good to be true.

In short, no such thing as a successful strategy for the foreign currency exchange which guarantees profits to 100%. Most of what you read is just hype and often adulterated result of tests. If you are looking for the forex trading strategies right ones and profitable, unfortunately, there is none. Most of that, if not all those who wrote about them and sell their profitable strategies, may have lost alleged and surely a very significant sum when trading currencies. They may have resorted to

writing and selling strategies designed to win back their losses.
The volume of the foreign currency market is so big that even the combined volume of all stock markets in the world is tiny in comparison. You have to understand the nature of this market to realize where the opportunities for profit. This market is very volatile and totally unpredictable for those who have very little understanding of it. They always end up being a fat cow of established brokers and wealthy and of large investment funds that have natural interest on currency movements, because of the considerable capital they have saved somewhere. Even central banks that work together with each other have failed miserably in the past on several occasions, trying to influence prices in their favor. They ended up losing large in all failed attempts they have obtained.

So does this mean that the small fry of the industry, individual speculators, have no chance against the well-heeled group with billions of dollars in assets? The answer is no! Final. They can make money trading in currencies, provided they do not reverse the trend. This means that they have to stop dreaming about forex trading strategies that will automatically make profits for themselves and start doing what is right. And it is right to negotiate the same as the well-heeled group negotiates. They define the trend. They have their own convictions and its huge trading volume sets the direction of the market. Finally, they will negotiate in this direction by conviction, even if the current fundamentals or technical indicators portray a different scenario. Negotiate against them is useless and will only result in losses. So the best strategy is to follow them and also follow the flow of massive money.

But not buck the trend and follow the money may seem to be easier said than done. No specific steps to follow, it can actually be difficult to accomplish. So, how can you know which direction is that the wealthy group is negotiating?

Basically, what you need, then, it is something that you indicate what the underlying feelings of those who are currently negotiating and pushing the price in both directions. And nothing is better than forex trading strategies that incorporate Japanese Candlestick, because they can reflect clearly what traders behind a significant price stirred feel.
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