Forex Articles - By Forex Traders.For Forex Traders

Mixing Fundamental & Technical Trading Techniques By Greg

forexarticles — Sat, 27 Jan 2007 20:14:08 +0000

After communicating with many news traders I found that all had a solid entry-buying at the moment of announcement, yet barley any had a solid or sensible exit strategy. So I propose a “new” theory, use technical analysis (specifically fibonacci levels) to exit fundamental trades. Here’s some charts to follow…

By: Greg

Getting Over the Demo Money Habbit By Paul Zozem

forexarticles — Tue, 24 Oct 2006 22:47:54 +0000

Drawing trend lines, and following waves patterns by drawing trend channels is more an art than a science.

Drawing trend channels or indicators on multiple charts, and trying to anticipate how all the many channels will interact with each other, is like watching, a constantly moving game of billiards. That’ll can make you dizzy. A computer can do that. The art form is much more enjoyable when you study the charts and ask yourself, which wave patterns are others seeing, and… with what they’re seeing, what are they most likely to do? That’s when the games gets interesting. When you start seeing the other players.

I’ve been staring at these live charts for so long– now– when I look at any chart, the dominant channels just jump out at me. But… I’m still a lousy trader. While I faithfully update the lines on dozens of charts every day, I rarely take a position. AND sometimes I STILL make mistakes due to some emotional gut reaction. That’s very amateurish.

The part I’m having trouble with is the actual trading. That’s the time after you’ve discovered a predictable situation, where you have to attentively watch and wait for an entry position. Once you know what to look that part can be easy.

I had a friend a few years back. He knew nothing about trading. He didn’t even have a computer. I lent him a computer, and showed him how to buy and sell along trend channels. He easily understood these concepts when I spoke to him, and once I got him set up, we’d only spoke once a week or so. Well… dang. His first year he made 40K. And I lost a 2K. That was embarrassing.

So… This year I’ve made some money. Not much. But way better than last year.That’s my saving grace: day after day, week in and week out, the more I watch these charts, the more I learn, the better I get. It’s like a never ending football game. Until you’re making money, all you can do, is just make sure you learn something new each day. THEN once you are making money, you work just at at becoming a better trader, each and every day… and the process continues.

My point is this. You need two skills to make money. 1- You need an analysis ability to understand what’s going on. 2- And you also need to be focused, to take advantage of unfolding situations. Then finally, you need to be able to do them together, as situations change, often rapidly.

Save yourself the mistake I made. Don’t get too comfortable with demo money. It’s taken me about a year to break all the bad habits I developed using demo money. It’s tempting, I know. Sure. Using demo money while learning, saved me tons of cash. It’s a great realization– that you can trade every day, continue to learn, all without loosing any real money. Be careful though.

When you’re learning and trading with demo trading, it’s good that you can trade often, experimenting and seeing results quickly, so you can learn quickly. But if you do that too long, you get lax about jumping in and out of the market, over trading, and worst of all, not caring about looses. That’s the worst habit you can develop.

My advise to you is to use the demo money while you’re learning, BUT make believe it is real money. Every day you trade, print out a statement. Better yet, print out the charts on each of your trades. Draw in, where you entered, where you exited, and why. And most importantly print out your monthly statement, and hang on to them to monitor your progress.

A Trend Channel VIDEO Article Submitted By Paul

forexarticles — Mon, 23 Oct 2006 18:50:59 +0000

Submitted By: Paul Zozem

Paul is an experienced trader who uses trend channel analysis and actually moderates the Forex Group on Myspace. Here he shows us in a video how to create and use trend channels.

Trading “distance NOT displacement” By Greg D

forexarticles — Mon, 23 Oct 2006 01:00:16 +0000

Many traders will tell you that only the larger time frames hold true profit, while this is true you are missing ALOT of market movement using indicators and price indications during these time frames. Here is an example of a small downtrend in the dailies…

As you can tell the overall projection of the trend is down, yet it his many whipsaws during this movement. The question to ask is “How can we profit off each “up and down” the market throws at us?” The anwer is using the larger time frame to trade the smaller. For example..suppose we have the movement shown above in the dailies, what you would do is examine the trend channel/wave count of the larger time frame, and once you have a clear picure of where the market is going, examine the closest smaller time frame’s trend channel’s/wave count and gain profit off every movement the market makes. “Micromanage” your trade.

By: Greg D 10/22/06

Introduction…

forexarticles — Mon, 23 Oct 2006 00:41:13 +0000

Hi, my name is Greg and i’m a currency trader, the currency market is possibly the riskiest yet most profitable market in the world, but you all most likely know the facts. This is place to share information so hopefully everyone can become better traders. I have added links in the “blogroll” section to different areas of information (babypips-the basics. forexfactory-news calander/forums. forex traders on myspace-great group of forex traders eager to help out.)

The Dilemma…There is tons of great forex traders out there who are active in forums and other places across the web with tons of great information to share. Yet often to find the best information you must search through endless post and personal websites to access this valuable information. One may say “buy this book on trading” yet in most circumstances the person selling the book is either trying to sell you a system or does not have the “holy grail” as many claim, hence why they are SELLING the information!

The Solution…A place where Forex traders can come to share their information in a filtered and regulated envirornment (no more spammers or endless repetetive questions!)..A place to get credit where it is due, and recieve feedback on your ideas..Forex Articles will tap into the most valuable source of information, the Forex Traders themselves.

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