A common condition that impacts most novice traders, is the destructive habit of holding onto losers too long and cutting our winners too early. The reasons for this intervention in our trades are many and complex. However, the overriding motivation for this behavior is: a lack of emotional control, failing to adhere to our well-crafted […]
Without a doubt, learning how to draw effective trend lines on our charts is essential. Trend lines provide one of the most highly visible and simple methods for identifying potential trends, which may be emerging in our market place. However, it’s important that we learn how to identify trends and draw the lines correctly, as
How to correctly draw trend lines on a chart when Trading Forex Read More »
As we’ve discussed many times, none of us like to lose. As forex traders we’re both curious and competitive, we’re also natural experimenters. If we were extremely cautious, only liked waging on what we think are “sure things”, then we’d never contemplate trading as a hobby, or career. Instead we’d simply leave our spare funds,
How our fear of losing can be a dangerous issue when trading Forex Read More »
The Commodity Channel Index (CCI) is an oscillator indicator which was developed and created by an analyst called Donald Lambert in the 1980’s. The CCI is featured in his respected technical trading book; “Commodities Channel Index, Tools for Trading Cyclical Trends”. Despite part of the title referring to commodities, the indicator has also proved to
Commodity channel index, what it represents and how to use it when trading Forex Read More »
Your trading plan is a highly personal document, it’s not for the author of this article, or any other supposed experts, to tell you that it’s “right”, or “wrong”. Whilst some of us will contend that there’s only one way of trading, in order to consistently take money out of our markets, that’s an incorrect
When is it a good time to reconsider changing your Trading Plan Read More »
A trading ‘curse’ that many of us will suffer from early on in our fledgling trading careers is overtrading. Overtrading can be defined as trying too hard, trying to do too much, too soon; we chase the market to try and force profit out of the market, generally from a relatively small account. It’s an
The importance of learning one method of trading and perform it until it becomes habit Read More »
A common mistake novice traders make is what’s referred to as; “chasing the market”. The phenomenon takes place due to a combination of factors, such as: impatience, emotions, inexperience and ultimately trying to force profit out of the market, generally from an account which is poorly capitalized. Chasing the market is a habit performed by
Don’t chase the market, let the Forex market come to you Read More »
The ongoing question of ‘why investors/traders lose?’ tends to linger in the Forex market. It can’t be that the retail trading markets are like a bent poker game; rigged against the player, as that’s impossible in such a transparent business and marketplace. So does the problem lie with us? “Yes”, is the simple answer and
How to avoid pitfalls in Forex Trading Read More »
If you’re an enthusiastic reader of trading news you may have noticed that the word “volatility”, or “VIX” and the phrase “volatility index” has been repeatedly used over recent days and weeks. We’ve heard and read through various news channels, that the VIX (often referred to as the “fear index”) had been unusually low over
The average true range indicator, the volatility indicator for Trading Forex Read More »
We all decide to enter the world of forex trading with a goal in mind. That goal might be to boost the insufficient returns we receive from a basic savings, deposit account. Or we may view the industry as an opportunity to change careers; firstly by trading part time, with the ambition and vision to
The importance of creating your Trading goals to reach your vision of success Read More »
