Tag: forex trading strategies

A simple Fibonacci Swing trading strategy

A simple Fibonacci Swing trading strategy

Trading Strategies
Some of the most profitable and consistent trading strategies are often those that are simple. The simplicity of the trading system is what puts off many traders. But of course this is a general tendency where traders think that the more complicated a trading system is, the better it performs. The Fibonacci swing trading strategy is perhaps the most simplest of trading strategies that uses the most minimal of indicators (2 Moving averages) and the Fibonacci retracement tool. The strategy works best on the 4-hour timeframe and is ideal for swing trading with an average trading hold period lasting for atleast a week. Fibonacci Swing Trading - Chart Set Up For the chart set up, we make use of the H4 time frame with two moving averages plotted. 100 MA (which replicates a 20 period weekly...

Trend Following

Trading Strategies
In my opinion, the best trading strategy for trading the Forex market is probably trend following. Different markets behave in different ways and the Foreign Exchange market is one of the few markets left that still tends to experience long and fairly clean trends. Trend following has slowly lost it's effectiveness as a trading strategy on most markets in the last few decades as markets generally only tend to trend well when they are being driven by real economic fundamentals and not by speculation. And as speculators have gained access to ever increasing amounts of capital over the last 20 or 30 years as more and more wealth is poured into hedge funds and the likes the influence of speculators has increased. But speculation still doesn't rule the Foreign Exchange market in the way t...
Forex hedging tips explained

Forex hedging tips explained

Trading Articles
Hedging is nothing but a fancy term for insurance, often used in the financial markets despite most traders misreading this term as trying to make a profit from both rising and falling markets. The reason behind this gross misunderstanding of the term has largely to do with the term hedge funds. As one might already know, hedge funds are expected to perform regardless of the market direction; ie. Rising or falling markets. Therefore it is easy to see where this concept of hedging which is primarily all about minimizing losses by way of insurance had transformed itself into a misunderstood concept of making a profit irrespective of the market rising or falling. So what exactly is insurance? It is those small monthly premiums you pay towards either protecting your home against any theft o...

How to consistently profit from forex trading

Trading Articles
If you wonder if it's possible to generate a mammoth wealth from Forex trading through investment trading practices, you might be in for a surprise. Most investment ideas skip teaching the right way to become directional traders! This implies you won't be able to learn the way to make the perfect guess about the direction in which the market will move. And this is the most significant step in Forex trading that has the possibility of turning the wheel of fortune in your favor. Instead, the trading strategies provide endless access to training webinars and web based software. They'll tell you how to operate the program and put your trades in front of different brokers. You'll also learn how to establish your account where you can build your own portfolio. Forex trading investment strate...