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Tag Archives: successful

Learning How To trade Forex Using Price Action.

Learning How To trade Forex Using Price ActionI cannot stress enough the importance of learning how to trade Forex using price action. The majority of Forex traders are using indicators to give them trading signals which i believe is the wrong way to trade Forex. Its not only me that thinks this way, the statistics speak for themselves, and 95% of Forex traders do lose money over the longer term.

I get a lot of comments from people who cannot get their head around the fact that i have so many winning trades. Its not hard to get the same results as i am getting if you trade as i do. My trading style relies on the fact that i wait until the odds are in my favor before i trade. I class myself as a high probability trader. I take 2 to 3 high probability trades per day, and more often than not i am successful. I could easily take 20 or 30 trades a day, but i would not be getting the results that i am currently getting.

To be successful in Forex trading you have to have a complete understanding of the charts. You have to be able to look at a chart and know exactly what is happening and why. Only when you have this understanding can you be consistently profitable. Please don’t kid yourself into thinking that you know what is happening on the chart when you don’t. This is a fundamental mistake that a lot of Forex traders make. They cannot admit to themselves that they do not fully understand the chart. If you are failing to make money, week in week out, its not a bad run, or bad luck, or any other excuse you can find, its because you are not completely understanding Forex trading, and you are entering your trades at the wrong time. When you can to admit to yourself that you have a problem with your trading, you can then start to do something about it. Some traders will go on for years and years losing money, but not admitting to themselves that they do not know how to trade consistently.

Learning how to trade Forex using price action is all about the chart. I am not talking about stochastics or macd or trend trading or moving average crossovers, or momentum etc etc. I am talking about price action, and spotting the moves in the market before they happen. If you understand the price action as i do, you can take advantage of these moves by getting into your trades before they happen. This is what high probability trading is all about. Entering the market at the correct time before the move. This is the only way to make money from trading Forex. Forex trading is pretty much black and white, as far as i am concerned, you either know what is happening or you don’t. There are very few grey areas in how i trade.

So if you are reading this and thinking yes you are right, i am struggling with my trading and i need help, then you are on the road to becoming a successful Forex trader. If you cannot admit that you need help, then you will continue to lose your money.

If you are ready to admit that you need help with your trading, and you wish to take the next step to becoming a profitable trader, then please feel free to contact me. I offer Forex training to traders from all over the world. You can contact me on UK 07939 427000. Or drop me an email and i will call you back if you are in the UK. Have a great trading day. 🙂

What Is The Best Forex Trading System

Good question.

First of all you must define the word system. Does system mean an automated trading program? Or does system mean a manual method that produces consistently high results?

I am not a big fan of automated trading programs, trading software, expert advisors, or whatever else you want to call them. They are very good at emptying your trading account, and the brokers love them, as they put a lot of money into their pockets.

Having said that, a good proportion of Forex trading is done by automated trading robots, but the banks that use them spend millions of pounds developing them, and they are constructed by the best trading brains around, and use complicated algorithms that trade by the millisecond. They work very well but you are not going to see those automated trading programs selling on the internet for a few 100 dollars im afraid.

So what are your options if you are looking for the best Forex trading strategies. The only real option that works consistently well for the retail trader is a manual trading system. I use a manual trading system. I like to call it a method rather than a system. I think the word system sounds a bit like trying to beat the house at roulette, which is not what i do. I do the exact opposite actually. I don’t try and beat the house, as you will never beat the house, the house always wins. What i do is trade with the house. The house makes money, i make money.

So how do you devise a trading method that will produce consistently high results? Well first off you need to know what you are up against. When you trade Forex you are trading against other retail traders, banks, hedge funds, brokers, market makers etc. Now statistically 95% of retail traders lose money trading, so you need to be in the 5% of traders that make money. To be in the 5% you need to know exactly how the markets work. When you have that knowledge you can work on your trading method.

A lot of traders say that to be successful you have to have patience and discipline. I will agree with that. But think of it like this. Trading Forex is like crossing the road. When you were little you did not know how to cross safely, you had to be taught. When you had learned how to cross the road you could cross even the busiest road safely, because you knew when to cross and when to wait. You don’t have to practice that much patience and discipline when you cross the road, you just wait until its safe to cross. Trading is very similar. When you have learned how to trade correctly you just have to wait until its safe to trade. Patience and discipline is a lot easier to manage if you are educated. Why would you want to enter a trade if you run the risk of getting hit by a 30 ton truck? You can see how important education is in any walk of life, and Forex trading is just the same.

When you have the education and you know how the Forex markets work, you no longer have to look for the best Forex trading system, as you already have it. The best Forex trading system is knowledge, and always will be.

If you want to educate yourself and learn how to trade like a professional Forex trader, please consider my Forex training and mentoring program here.

The Importance Of Forex Trading Strategies

To be successful in Forex trading you have to have a strategy. There is no point jumping in and out of trades on a whim. You look at the chart, and you think its going up so you go long, it then reverses on you and goes down, so you close your long position and go short. This type of trading is financial suicide in my opinion. You will never make money from Forex trading long term with a strategy like that.

You have to be cool calm and collected. You have to look at the market and read what its telling you. You have to plan your trades and have a valid reason for entering and exiting those trades. Only when you do this will you begin to learn how to trade correctly. If you know why you are entering and exiting trades, you can then analyze those trades and see why they succeeded or failed. By analyzing your trades you can learn to trade correctly.

There are many different strategies that you can use to trade Forex, some are good, some are not so good, and some are really good. Those are the ones i use. 🙂 I have been trading Forex for 8 years and i have tried and tested many Forex trading strategies. I currently have an arsenal of around 10 really good strategies and set ups that i look for on a daily basis. These strategies and set ups present themselves many times throughout the day, but i don’t trade them every time they present. I only trade them when the probability of them succeeding is very high. This is the key to my trading success, i use a strategy that trades on high probability set ups. I only trade when the odds are in my favor, and the chances of success are very high.

I used to take 20 or 30 trades a day when i first started to trade, now i may take 3 or 4 quality trades per day. Some days i don’t take a trade at all. I have not taken a trade today for example. If the set up is there i take the trade, if the set up is not there i don’t take it. I don’t force myself to trade, i am not in any hurry to give my money back to my broker thank you very much. Trading should be an enjoyable and rewarding job. If you are stressed out and frustrated with your trading then you are not trading correctly, and your strategy may be letting you down, and you need to find another one, and quickly.

However you decide to trade, and whatever strategy you are using, you have to realize the importance of it. Having a bad strategy is not going to be good for your trading, but its better than not having a strategy at all. If you can get into the habit of using a strategy then you can improve it, or change it.

If you are struggling to find a strategy that works for you, please consider my Forex training and mentoring program. I will teach you all my great strategies and help you implement them in live market conditions one to one.

Trading Forex Alone Or Trading Forex As Part Of A Group

Are you trading Forex alone, or are you trading Forex as part of a group of traders?

Trading Forex as part of a group has many benefits, but ultimately you are the one that pulls the trigger and makes the decision to enter and exit a trade, so you have to prepare yourself for times when the group are not available and you have to trade alone.

Some traders prefer to trade alone, as they feel a group trading environment could distract them from taking a trade. For example, if you see what you think is a great set up, and you share the set up with the group, if the majority of the traders in the group think its not so great, the chances are you will go with the majority and not take the trade, which is perfectly normal behavior, but you may end up missing a great trade. I have done this myself, so i know it happens.

Group trading is a great platform for new traders to learn from more experienced traders. Its very hard when you are first starting out in Forex trading as you do not know where to start. What strategies do you learn, and what do you ignore? What works, and what does not work? There is no point in spending months learning a new strategy if its a bad strategy, but if you are a new trader you will not know its a bad strategy until you have learned it, and proved in the markets that its not reliable. You have to learn the best and most profitable strategies from other successful traders, or you will be wasting a lot of time, and picking up a lot of bad habits along the way.

If you are considering joining a trading group you need to join a good one. Free trading groups are generally a bad idea in my opinion as they are full of noise. By noise i mean lots of traders with differing views and various get rich quick systems. You don’t know who to listen to and who to ignore. This can be really detrimental to your learning process. To be successful you need to seek out the top traders, and learn from them. 95% of Forex traders lose money, and 95% of them are in free trading groups and free trading forums. To be the best, you have to learn from the best.

So my conclusion is, trading as part of a group of proven top traders, or joining a live trading room is a great idea when you are first starting out, but to be successful long term in Forex trading you have to be master of your own destiny, and take ownership of your trading, win or lose. At the end of the day to be a successful trader you have to be able to trade alone.