Learn forex trading - Technical Analysis - What is it?

Learn Online Forex Trading - This edition presents details about technical indicators.Please remember that these concepts about technical indicators is very important and you better learn technical analysis concepts very carefully. So here we go -The technical analysis is about reading the charts that demonstrate how the market has behaved in the past. What was the price fluctuation in a

Learn Online Forex Trading - Popular Technical Indicators

Learn online forex trading on this website - Free..:-)There are lots of indicators in the market. And here is another amazing statistic. Every person who you speak to, everyone mentions of a new indicator they use. However as with everything, there are few famous ones - 1. Moving Averages2. Relative Strength Index (RSI)3. Stochastic Indicator4. Support and resistance lines5. Parabolic SAR6.

The Black Box

No, I am not blogging about an aviation accident investigation.

I got a call from a friend of mine the other day and he asked me if I was still trading Forex?

Uh, yah!!!

After catching up for a little bit he came to the real reason for his call. He had gone to a free seminar in town last weekend about a company touting their automated forex trading platform. He described the event and I vaguely remember getting something in the mail about it. It ended up in the shredder with the rest of my junk mail.

He described how cool it was to see the green lights to trade and red lights to exit and that it was much easier than looking at charts and studying the market.

He asked me for my opinion and I gave it to him and now I am about to give it to you!

I am not a big fan of those ‘black box’ trading systems. Quite honestly I have never traded with them, but have spoken to plenty of people who have. I am not here to discourage anyone from using them in their investment plans; I just want to explain why I prefer discretionary trading systems.

From what I found out the big disadvantage to those black box systems is that you can experience large draw downs in your account balances. If I am going to take a draw down (and we all will at some point) I want to understand why and implement corrective actions!

So much for compounding!

I am sure these systems work and fit into someone’s investment plan. Just not mine!

Maybe it is my upbringing, but I like to be in a little more control than that! I want to make the decisions and understand why things worked and why they don’t. That way next time I can make a better decision.

Donald Trump lost billions of dollars only to have it all back and more just a few years later. Why? Because his ‘block box’ investment system was between his ears.

Education is King!!

Let’s stop looking for the easy way and focus! You will get through the learning curve and never look back.

But my most compelling reason to stay with the discretionary trading systems is that the market is controlled by humans and human emotions still rule. To round out your trading tool bag study Fibonacci and Elliott Wave trading techniques, and utilize these strategies and others in your discretionary trading systems which are based on naturally occurring instances in nature. The same process that controls human emotion.


Happy Trading!

Visit FX Trade Central’s Forex Courses for beginners and advanced course reviews including recommendations and more information on Fibonacci and Elliott Wave.

Online Forex Trading - Learn Forex trading and how to analyze market to place trade

During yesterday's session to learn forex trading, we went throgh 2 terms -1. Fundamental Analysis2. Technical analysisFundamental analysis in the world of online forex trading refers to government and world happennings like banking policy, government decisions, Non farm payrolls etc. For. e.g. if US government decides that they will import more oil from Canada, the value of USD will decrease and

New Forex Lenses

Hi Forex Nation!!

On my last posting I mentioned that I was working on setting up a series of Lenses.

What is a Lens?

Well, I have recently come across the concept of a Lens provided by Squidoo. The idea behind it is great as it is like a one stop shop for something that you are passionate about (Forex!!) giving useful information and links. Some examples of a lens could include:

Your hobby

Your business / industry

Favorite celebrity

Favorite recipes

I am a huge Sopranos fan and there was even a Lens dedicated to the show!
Back to business…

The list really is endless, you talk about what you want to and it is opportunity to educate people! And you know I am all about education! Well I have created two Forex related Lenses. The links are provided below (just clock on the icons) and on the sidebar of this blog. I also have two icons on the side bar and they are linked to the two different FX Lenses.

Forex Journey – The Lens

Success in FX

You can help my ranking by visiting my Lenses and giving them a 5-star ranking!! You have to register, but it is FREE! (Thanks in advance!!)

Keep this in your back pocket, because soon you will be hearing about this concept all over the Internet!!

Happy Trading!

Online Forex Trading - My trades for 15 & 16 May

Before I go into details about my online forex trading, I need to tell you few more things about placing orders in the online forex tradeing -1. The trades need to be placed with careful analysis. As much as can you gain with a carefully thought trades, there is equal chance that you may loose money with a rash trade without any analysis.2. The analysis is recommended to be done in 2 forms -

Back to the Basics

Hello Forex Nation!!

Time to get back to basics!

One of the things I like to do on a weekly basis is review my notes when I first started trading the forex market. It serves to reinforce the foundation of my technical analysis, as well as ground me in the very basics of currency trading, no different than bridge builder anchoring their support structures in bedrock!

There is nothing stronger in technical analysis than support and resistance!

FX Traders have at their disposal a number of different technical indicators, but at the end of the day chart support and resistance it the biggest tell-tale sign of what price action truly means.

In Trading 101 we were all taught the virtues of plotting support and resistance. No matter what strategy I am evaluating (swing, intraday) my first actions is to plot support and resistance in the applicable time frames. I use Fibonacci lines confirm my analysis.

Another anchor point I use is trendlines.

Here are some general guidelines you may want to follow. First, look at the general trend of the market. The trend is your friend. For instance if the trend is down this means you have more down days than up -- and usually more pronounced movement to the downside on those down days. Same observations can be made for an uptrend.

I know traders that won’t even trade if the general and daily trends are not in synch.
Once these support and resistance lines are broken then price tend to move rapidly to the next area of support/resistance and the previous break becomes the new floor/ceiling.

Bottom line is to continually build your technical acumen by staying firmly planted in the basic principals of technical analysis.

You can find more FX education and course infromation of FX Trade Central!!

Happy Trading!

Side Notes:

- In addition to trading (always #1) I about working on a Lens. What is a Lens? Stay tuned for my next posting an I will explain.

Online Forex Trading - Which currencies to trade?

Online Forex trading is done using pair of currencies. You make money when the value of one currency changes in respect to the other. There are lots of currencies which are traded -EUR IEuro), USD (Dollar), GBP (British Pound), CHF (Swiss Franc), CAD (Canadian Dollar), JPY (Japenese Yen), NZD (NewZealand Dollar), AUD (Aussie Dollar) etc.These are traded in pairs. The prominant pairs are the ones

Online Forex Trading - When to trade?

The online forex trading market is open 24 hrs a day starting at 2 PM EST on Sunday till 5 PM on Friday. How is this? This is because Forex trading market is inter-country market and is traded across multiple countries. However the most prominent are - UK, USA, Japan, Australia and France.So as you see, in the morning the US market is trading it. As soon as the USA session is about to get over,

Online Forex Trading - What is it?

Welcome to another day in world of Online Forex Trading - Your plateform to learn forex trading and to trade withe meSo what is Online Forex trading - Its just like trading stocks, only you do this trading against Forex (Foreign Exchange) or currency. These are traded in pairs such as GBP/USD, EUR/USD etc. You buy one anticipating that its value is going to rise e.g. the other and when it does,