It ‘s essential that a trader has confidence in his trading system. Why? If confidence were to be lost, traders could no longer follow its trading system, strategy, blasting everything that worked. The process of back testing, in this sense, is designed to give greater confidence to the trader, in addition to helping the traders to familiarize themselves with the inevitable fluctuations of capital that you encounter when you open a position.
How does the back-testing of a strategy forex ?Starting from a back-test is able to offer a large amount of feedback and statistics relating to a trading foreign currencies, it can be run on a mechanical or discretionary. There is a greater absolute validity of one of two approaches, because the choice depends on the system that you intend to try. One advantage of the discretionary approach is that you will be familiar with the approach of using the trading strategy.
Continue reading How can you do the back testing a strategy?
Most traders Forex are looking for ways to improve their trading. There are some traders who spend their time looking for the perfect trading system, indicator, or the perfect trading system that is able to provide configuration and information which could have a success rate of 100%.
Many of them prove to us for years, have tested a number of successful systems but no system is ever perfect for everyone, as no system will ever have a success rate of 100%. The key fundamental to success in testing a trading system is that it is also a sufficient skill to be able to practice properly. Many systems are good but, if put into practice the wrong way, do nothing but lose money.
Continue reading Look for the perfect trading system
As you increase your trading experience, we understand how the key to longevity in this industry is to understand the challenges the market presents to you, sometimes in unexpected ways. Knowing the market and understand deeply the main variables involved allows a trader to have all the tools you need to have consistent results and a viable business career.
There are 4 key aspects to determine how to do this, let’s see in detail.
1. Understanding the market behavior. Having a solid understanding of what motivates the market to move in a certain way will help you master the position and protect your investment. Keep abreast of market activities, paying attention not only financial but also reading the news bulletins of the government and central banks is a very important thing to do.
Continue reading The 4 secrets of traders
We started in the last article to talk about Metatrader Expert Advisor, trying to understand what is and how you can use in their favor.
And ‘know that the foreign exchange market is very dynamic and volatile, so Metatrader Expert Advisor can be used to practice negotiation. This automated trading system is able to recognize the conditions of the market and adapt to the changes accordingly.
Where can I get a Metatrader Expert Advisor? There are several systems forex internet that allow you to take advantage of the MetaTrader Expert Advisor able to recognize the market conditions, as a tendency, range, volatility, volume and many other factors, to analyze the changes and adapt to them.
Continue reading Metatrader Expert Advisor, the benefits
EUR / USD
Exchange ratio for this choice of position may be made in case of failure to raise the share 1.4020, then we open a long position with a goal to exceed 1.4050 and 1.4080. If instead the report should break downward the value of 1.3980, then we can opt for a short position until reaching to a height of 1.3960 or 1.3940.
EUR / GBP
The indications for this meeting as this cross currency may be opening a short position in a downward break of 0.8750, with the first goal and second goal 0.8740 0.8730. On the contrary, we see the opening of a long position in break upwards by 0.8830, and 0.8850 with first target second target 0.8880.
Continue reading Analysis of the Currency 13 July 2011
Trade in a range for all currency pairs remain in force. You have lost nothing, if still in the early summer did not try to catch a lot of traffic. Time has not come, but now that I think we came as close to a reversal of the dollar against major currency basket.
If the triangle is resolved up, it will be a signal to buy the dollar for most currency pairs.
EURUSD – Mostly decline, however, do not forget that we are still in wide outset of which has not yet reached
GBPUSD – Uncertainty prevails, if the new week, the pound can not be fixed above the key level of 1.6, then the option of forming a downtrend is possible
Continue reading Forex forecast for the week. July 11 – July 15
EUR / USD:
After approval of the plan of austerity on the part of Greece, our currency has risen for the day today we might think of opening a new long position if the price were to break the rising share of 1.4510, with the primary objective of achieving 1.4530 share and how to achieve the second objective of 1.4550 share. If the price exceeds the share of 1.4460 to the bottom, then we could open a new short position with the first goal at a height of 1.4450 and 1.4440 share for the second goal.
EUR / GBP:
For today’s the day we might consider opening a long position if the price of this exchange ratio should break to the upside 0.9020 share, setting a first target share and 0.9040 share of 0.9050 as the second goal. Should the price down rather than 0.8980 share, then we could open a short position as the first goal setting and how to share 0.8970 0.8960 share of the second goal.
Continue reading Daily analysis of the Currency June 30, 2011
We see in this article how you can learn to become a successful trader, having already begun to study and see some important points in recent articles. To do this you need to start thinking like a trader, which means that traders know what they look when evaluating markets, economics, current events and more.
You can follow the best online newspapers like the Wall Street, the Financial Times and The Economist, as well as Il Sole 24 Ore, you can follow the financial blogs. You basically sifting through the news and current events.
If you’re starting to trade, remember to keep things simple. You should be able to learn to identify the various moments of the markets and ways to determine when the markets are likely to remain bound in a sideways motion, or move quickly and trend. In order to practice the ability of markets to better learn how to set the points and levels of their targets based on repeated patterns.
Continue reading You can learn to trade? Part 3
And ‘the trader can learn to do? Improve their performance as a trader is something that involves the development of skills for this purpose. Since it is difficult to know where to start, without a good help, let’s go and see if and how you can learn to be traders and how we can improve.
Learn how to make trading the foreign exchange market is not a matter of finding the ideal indicator. The negotiation is done rather than relying on a series of performance, not unlike the game of chess or football. This means that the exchange is made up of skills that must be practiced and refined over time. No psychological self-help seminar and no trading can replace the experience that builds up spending hours in front of the screen to look at charts, and groped to understand in which way the trend is moving.
Continue reading You can learn to trade
Assuming that you can not do business for a whole hour or on a regular basis during the day, it is always possible to trade the forex market. Because you can not keep an eye on the market during the day, there are strategies that can be performed in order to be successful in forex, even in a part-time.
After studying the market and choosing a particular currency pair, you can open positions and keep them for a longer period of time. It ‘important to understand the movements of the currency pair chosen. Another wise strategy is to put the stop-loss orders to all transactions, in order to limit losses if the market were to move against you.
Instead of looking at charts or even hours to four hours, you should also look at trends for a day or a week. This will allow you to trade even looking at the computer only once a day. Set limits, the stop-loss orders, or entry or exit, so do not miss the opportunity to enter or exit the positions.
Continue reading Trading strategy for those who work part-time – part 4