“How To” Start Trading The Forex Market? (Part 8)

HOW TO predict the Future ?

by studying the Past (Technical Analysis):

1) The best traders don't discount one or the other but understand that having an understanding how the fundamentals influence market sentiment gives him/her an edge over those traders who don't.

2) In my opinion, TECHNICAL analysis is the easiest and most accurate way of trading the FOREX market.

3) "The number's don't lie" - all available information and its impact on the market, are already reflected in a currency's price.

4) Prices move in trends - the foreign exchange market is mostly composed of trends and therefore a place where technical analysis can be very effective.

5) History repeats itself - over time, certain chart patterns become consistent, predictable and very reliable. The question is SEEING them.

PRICES MOVE IN TRENDS

The traders who don't believe this obviously have no need to implement a trading methodology on technical analysis. But, research has shown that those who trade "with the trend", greatly improve their changes of making a profitable trade.

Finding the prevailing trend will help you become aware of the overall market direction and offer you better visibility,especially when shorter-term movements tend to clutter the picture.

HOW does technical analysis help to determine what the trend is and HOW to trade with then trend versus against it?

Even though, you learn you how to use and read various technical indicators to identify a long- term trend, spot predictable chart patters and use certain rules to enter and exit a high-probability trade, and even though a ll this involves sound logic, parameters, methods, formulas, data, and research, these technical indicators, by themselves, are not the Holy Grail of FOREX trading.

It takes discipline and emotional control to stick with trading following through the inevitable market ups and downs. Keep in mind, good technical traders expect ups and downs.

Which technical indicators are the BEST?

NONE - technical indicators should simply be components of your overall customized, personalized trading system, and not a stand alone system.
The objectives as a FOREX Technical Trader are:

1) To figure out the price action of the currency pair. Price is the main concern. If the EUR/USD is at 1.2224 and goes to 1.2020, 1.1980, 1.1940- the market is in a down trend.

Despite what every technical indicator might predict, if the trend is down, stay with the trend. Indicators showing where price will go next or what it should be doing are useless.

A trader should only be concerned with what the market is doing, not what the market might do. The price tells you what the market is doing.

2) Always remember that technical indicators are only giving you confirmations based on what the market is telling you. So listen to the market and let it tell you which method, strategy or techniques you should use.

$300 + 10 Minutes a Day = $30,000?!?

We all know the saying, “work smarter, not harder”, but could it actually be possible to work THAT much smarter? Working only minutes a day and replacing, Exceeding your current Income? Don't worry, Its perfectly legal and people are doing it right this very second around the world!

Its FOREX Trading, and what you don't know, could be costing thousands of dollars.

Forex stands for Foreign Currency Exchange Market, commonly referred to as FOREX, FX, and 4X. You may be familiar with the stock market, but there are a few reasons Currency Trading can blow Stock Trading right out of the water!

There are 3 Major reasons why Currency Trading can out preform the stock market any day!

There Is a Very low Investment of only $300 dollars needed to start.  This is a lower investment when compared to the investment you would make with stocks, futures, or day trading. Of course you can start with something more than $300, but just start where you are, whatever that is and it will grow.

Forex is the most liquid market in the world so it offers a leverage of up to 100:1. The Stock Market offers 1:1 and and Futures 15:1. This gives your money awesome room to grow and gain even more leverage!

The Forex Market Open 24 hours a day and has a trading volume of almost 2 Trillion dollars a day. This makes the market trend well and technical analysis works pretty well too. You can focus your attention and analysis on one or two pairs of currency instead of the 40,000+ stocks in the Stock Market.


The Forex market is open 24 hours, can be accessed anywhere in the world with an internet connection, and can be the ultimate tool for building wealth. Make money working 10 minutes a day, or a few hours a day. Work day or night, and make money while the market is up or down. The Forex is flexible and can fit around anyones schedule!

Not sure you want to risk that $300?  Gain the experience you need by playing around with a free demo account, then when you feel ready open your first account and start building your wealth! What do you have to lose ? 

Best Wishes

Maranda Mann