best forex trading strategy?
Friday, April 11, 2014
, Posted by Ryanita at 6:57 AM
maytham
what is the best forex trading strategies?
Answer
You mean, like, the Holy Grail of financial strategies, the pot at the end of the rainbow, the road to easy street, in one simple Answer? Like fortune telling?
Doesn't exist any more than the Easter Bunny, even though the rumors persist.
If someone had The Answer, why would they give it away?
You realize, the more popular a strategy or indicator or trading system becomes, the more it comes under attack and may stop working altogether. The ones that work "best" for you are the ones that match your trading style, time frame, account balance, stress level, availability, etc.
The strategies that work best are good money management, good risk control, and an iron discipline to the strategies that make up your Trading Plan.
You mean, like, the Holy Grail of financial strategies, the pot at the end of the rainbow, the road to easy street, in one simple Answer? Like fortune telling?
Doesn't exist any more than the Easter Bunny, even though the rumors persist.
If someone had The Answer, why would they give it away?
You realize, the more popular a strategy or indicator or trading system becomes, the more it comes under attack and may stop working altogether. The ones that work "best" for you are the ones that match your trading style, time frame, account balance, stress level, availability, etc.
The strategies that work best are good money management, good risk control, and an iron discipline to the strategies that make up your Trading Plan.
What is the best profitable forex trading strategy?
pauedd
Answer
1. Traders often look for an edge in the financial markets so they can consistently earn profits through buying and selling of financial instruments.
2. In the case of the foreign exchange market, or forex, these instruments are foreign currencies. In forex, you speculate on fluctuating exchange rates. The market is particularly fast and volatile, and any trading strategy requires much discipline. One profitable forex trading strategy involves trend analysis to maximize rewards while minimizing risks.
3. Trend Identification
Before you can trade a trend, you must first be able to identify one.
4. Entry
Trend trading means you trade in the direction of the trend.
5.Exit for Profit
When the strategy works, you can exit the trade in many ways. Some traders take an immediate profit and sell the entire position before volatility moves against them. Others wait for the prices to take out the previous high, in the case of an up trend, or the previous low, in the case of a down trend. Others "scale out" by selling part of the position immediately, then holding onto the rest and gradually liquidating the position as it becomes more and more profitable.
7. Risk Management
One of the significant advantages of the trend-line trading strategy is the clarity it affords you when considering the risks. If prices retreat to the trend line and do not bounce off it, and instead push through the trend line, then the trend may no longer be intact. If you wait to enter the trend at the trend line, then your risk is minimal and you exit for a small loss as soon as prices move past this point. Since your rewards are much greater than your losses in this strategy, you have a good chance of being profitable over time.
8. Please Read more: http://www.ehow.com/info_8126558_profitable-forex-trading-strategy.html#ixzz2ZbJsdPTx
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1. Traders often look for an edge in the financial markets so they can consistently earn profits through buying and selling of financial instruments.
2. In the case of the foreign exchange market, or forex, these instruments are foreign currencies. In forex, you speculate on fluctuating exchange rates. The market is particularly fast and volatile, and any trading strategy requires much discipline. One profitable forex trading strategy involves trend analysis to maximize rewards while minimizing risks.
3. Trend Identification
Before you can trade a trend, you must first be able to identify one.
4. Entry
Trend trading means you trade in the direction of the trend.
5.Exit for Profit
When the strategy works, you can exit the trade in many ways. Some traders take an immediate profit and sell the entire position before volatility moves against them. Others wait for the prices to take out the previous high, in the case of an up trend, or the previous low, in the case of a down trend. Others "scale out" by selling part of the position immediately, then holding onto the rest and gradually liquidating the position as it becomes more and more profitable.
7. Risk Management
One of the significant advantages of the trend-line trading strategy is the clarity it affords you when considering the risks. If prices retreat to the trend line and do not bounce off it, and instead push through the trend line, then the trend may no longer be intact. If you wait to enter the trend at the trend line, then your risk is minimal and you exit for a small loss as soon as prices move past this point. Since your rewards are much greater than your losses in this strategy, you have a good chance of being profitable over time.
8. Please Read more: http://www.ehow.com/info_8126558_profitable-forex-trading-strategy.html#ixzz2ZbJsdPTx
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