Posts Tagged ‘forex’

Forex Strategy – what is it?

Trading on the forex market in order to profit on an ongoing basis, is impossible without the systematization of trade, ie without following strict rules and laws governing the use of the market.
Forex Strategy-as just such a set of rules, including a description of the following items:
1) The currency pair for which there is a trade
2) The interval at which there is a trade in the forex strategy considered
3) Set forex indicators describing the parameters if the strategy forex indicator
4) The rules for entry into the market
5) Terms of the release of their market
6) Examples of trading forex strategy, better with pictures and explanations
7) forex strategy video version *
8) template for easy installation MT4 Forex indicators for consideration forex strategy *
9) Test forex strategy with a detailed report for the period from 1 year and up *
10) Advisor to the forex forex strategy for self-test, or optimizing trade forex strategy *
11) Additional terms of trade, if there *
12) The rules of money management and money management forex *
* Items 7-12 are not mandatory!
Forex trading system, forex trading strategy, trading strategy, forex system, forex trading system – all synonyms of the same concepts and phrases – Forex Strategy (ie a set of rules and tools for trade under certain conditions)!
At its core, Forex Strategy is like a “recipe for cooking meals in the kitchen” – you have “ingredients” and their correct application or “mixing” and gives ready “dish” in the form of profit or the minimum possible loss on forex, in order to preserve total deposit.
Of course does not happen very breakeven forex strategies, all of them losses of course there are, but the fewer the better, and certainly more stable strategy!
Forex Strategy – what is it?
On this website you can find a very large number of strategies, forex, at this moment there are more than 220: indicator, graphics, without indicator, scalping, scalping, simple and including my author Aleksey Loboda forex strategy, described in detail in my video course “Safe forex”.
Just keep in mind that not all of them will work and make profit consistently since the forex market is constantly changing and the smaller range for trade, the less stable strategy. Than the interval the higher the resistance to higher market volatility. In this and choose to trade, it is desirable precisely those strategies or forex trading systems, which are recommended at intervals of H4-D1.

Testing strategies forex

Any forex strategy, published on this site or you invented before using it on a live account, you must first be tested on historical data and it is desirable for the demo and cent accounts, so we are today and discuss the issue of testing forex strategies. The more that I often novice traders forex asked this question: “What do you think has a right to life, my invented forex trading system …”
there are several
methods for testing trading strategies:

1) Visual method:
1 You set the schedule on your chosen currency pair all the necessary forex indicators with the necessary parameters, do the construction (if they are needed, and this strategy is based on graphical analysis of forex) or install a template MetaTrader 4 already prescribed parameters of indicators, and so.
2 Then simply flip through your chart to the left – on the history and begin to find the signals received by the rules of your forex strategy test. Thus you notice where and on what sites your strategy made ​​it possible to earn and what number of points, and gave only where losses.

3 Looking at the history so you can identify patterns of the forex market and in particular the consideration of the currency pair, adjust and make changes to the forex indicators and thus achieve better results when trading forex strategy.
4. visual testing strategy, you need to at least browse through the history of price movements for 6 months, and preferably 1-2 years!
Of course this is a very complicated process, but nonetheless spent a few hours on the calculation of profitability and optimization of forex strategy, you will save money on their real future trade.
I personally tested this way almost every strategy of this site (although I do not deny that at this point many of them have lost their relevance, but at the time of publication, they all make a profit), and the same method found a pattern strategy “Flag + ABC” and my own strategy.
2) Testing using forex advisors:
This is certainly the most simple method of testing strategies: you or your programmer creates Advisor (although this service is also very often paid), you run the advisor selling you on the trading system devised in the Strategy Tester of MetaTrader 4, select the desired time period in history, prescribe necessary parameters indicators forex advisor and he is testing you to strategy for the selected period.

If the results are not very good, then you change the settings, or pick up a forex indicators and ensure the profitability of your devised strategies. There is also an automatic process and the selection of the parameters, it is called optimization. That is, you specify the permissible scope “and from” everyone interested you start setting indicator and adviser on optimization. Strategy Tester independently pick the most profitable result and after a long process of optimization gives you its settings (although you can pick up the results of optimization and independently from the mass of the tested variants).
So you can most accurately test and optimize your strategy.
Recommended interval testing and optimization – from 6 months (at least!) To 2-3 years (desirable).
Now a few words about the testing and optimization in Metatrader 4:
1 Advisor to be placed in the folder “C: \ Program Files \ <name Forex Broker> \ experts \”, where the name – for example Forex4you or Metatrader 4 – <name of the broker>
2 Pre-and all the forex indicators that are used in the test strategy as well be placed in the folder “C: \ Program Files \ <name Forex Broker> \ experts \ indicators \”
More information about the testing of experts, see the video:

3 Note that if “modeling quality” after the test is not equal to 90% and the number of errors “Mismatched charts” is not equal to zero, then the test conducted is not entirely true! And the reason for such testing may not be a complete archive of quotations (with gaps in the history). In order to make it more complete, we must finish loading these quotes and carry out the test from the beginning!

I recommend to test all advisers, and therefore the forex strategy in the Alpari since this broker’s most comprehensive archive of quotations, today.
4 If desired, you can put a bird “Visualization” and you will observe how and when the deal happens, closing, and so.
5 Also desirable would be for testing using the “forward test” – a test that is conducted for the period for which you have not optimized Advisor! That is, if the optimization and expert testing conducted for the period up to the present day, and a few months earlier (eg 1.01.2012 to 1.09.2012 – the so-called back-test), then on the period from 09/01/2012 till today’s date – 16.12.2012 advisor should give the same profit with those obtained by optimizing the parameters advisor!
There are certainly a lack in this test method:
No opportunity to test graphics forex strategy, as advisers writing on them rather difficult task, as I understood from communication with programmers …
3) Testing on a demo account or a Cent account:
This method of testing is recommended to carry out after the 1st or 2nd method described above! This will allow you not to lose time (as forex signals may have to wait a very long time) and save albeit small, but still the money if you’re trading in the forex cent accounts.
If the strategy and post-test on the 3rd method gives positive results for 1-2 months and you follow the rules of money management, as well as the rules of money management, you can safely move to trade on the larger trade accounts and deposits.

Education Forex individual

Education Forex individual today is one of the most preferred forms of the study of the functioning of the market, which allows beginners as deep and comprehensive study of the main aspects of trade, having both theoretical and practical training. Such training is the best for beginners, who will learn a lot.
Individual training forex usually involves assistance coach, who will serve as a mentor. Forex mentor will be able to answer all the questions that appear at the student in the process of assimilating information, view the video lessons, perform various operations in the trading process.
Trader will learn on their own to perform various types of analysis (technical and fundamental), to create adequate forex forecasts. Learning by doing is much more effective than just reading a huge amount of literature on the topic of materials, specialized forums. If traders do not understand something, he can count on the advice forex mentor assistance.
Education Forex individual
Education Forex individually involves independent planning trader the whole educational process, the schedule of classes. It can be engaged at any time, from anywhere in the world, for which he just needed a mentor provided training materials and access to the Internet to be able to immediately work out on a cent account, ask a teacher questions, to consult on a particular topic.
It is also important that traders can choose their own exercise intensity. Someone quickly and the first time acquires information has the ability to devote the whole day learning Forex. In others the learning process can move much more slowly, especially if you do not have time to sit at a computer monitor a lot of time.
Individual training can be designed for beginners or to assume that the need for the student’s specific knowledge and practice in the field of trader. So often and experienced masters becomes relevant learning specific techniques and methods of trade. Often those who earns well, there is a need for additional materials and information – so very popular course Safe Forex 2.
Education Forex individual
Before viewing the curriculum materials, the trader can make a demo or a cent account to immediately use theoretical knowledge in practice. Cent account is preferable, as it gives the opportunity to participate in real trading, but with a minimum amount immediately face challenges and confusing situations, or to achieve success using the knowledge obtained from the coach.
Education Forex individual is able to give the trader the most versatile understanding of the foreign exchange market and the laws by which it operates, to learn to perform fundamental and graphical analysis of forex, build schedules, make predictions, and perform many other actions that are required for successful trading.

How to start trading in Forex ?

Every newbie asks how to start trading in Forex and make it the most successful professionally, using all available means and constantly increasing its deposit. In order to create a profitable business in the foreign exchange market, you must first understand how it works, what affects the changes in exchange rates, how to use these or other technical means to carry out analysis and forecasts, to conclude the transaction.
Forex training is one of the basic conditions for successful trading. Do not learn all and relying on the fact that in the course of trade, all will become clear, traders lose all their money. It is because of frivolous attitude to the need to learn and to give full attention to trading, more than 90% of new traders in the first deals made lose all your deposit and stop career, so its not starting, actually.
Experienced traders recommend Forex beginners do not neglect any theoretical or practical training. Before you begin to trade on Forex, it is advisable to take a course, whether it is a class in a classroom or independently video. Information must be filed systematically and clearly, be accurate, concise and truly relevant for the novice trader. Today, many brokerage companies, private traders offer courses for beginners and free Forex desirable to use this opportunity to learn a lot.
How to start trading in Forex
A trader should pay attention to every aspect of the trade. Can not do without the study of terms and concepts, without acquaintance with the history of the forex market. We’ll have to look for information about the functioning of the economy and finance, about the factors affecting the changes in the value of currencies. Trader in the learning process should learn how to perform the technical and fundamental analysis to make predictions, create a trading plan. Forex trading requires discipline and knowledge, ability to cope with emotions and calculate all their actions in advance.
Theoretical training can be immediately combined with practice – to open a cent or a demo account, learn from it to enter into transactions, to perform analysis and make predictions. Practice will make it possible to try to trade, learn a lot from that, what will not tell any one lesson, make up your own trading system, learn not to be afraid of any big gains or big losses.
Useful novice trader can become owner of Forex training. Most traders learn individually, experienced traders to provide invaluable experience and advice from a professional, avoid many of the mistakes beginners as efficiently as possible to spend time and effort on training.
Before you begin to trade on the Forex trader needs to learn a lot, but in the process he constantly have to improve their own skills, to seek new ways of working to adapt to the constantly changing market requirements.

Is it possible to earn on Forex?

Maybe Forex – is a pyramid scheme or just something not attainable? and etc. …
To this question I have already answered a huge number of times, both individually and in the comments of the site, personal questions by e-mail.
So I have even formed a ready answer:
Earn possible and necessary, if you have this desire, and you will be able to cope with their fears and greed. And even more so if you understand that, in any case just need to train and practice and you are willing to spend their time, and perhaps some small savings.
Is it possible to make money on forex trading and how much?
BUT, if you want a freebie – it is better not come on the market!
In any case, the situation will be worse if you do not try your hand at forex trading and will reproach myself all my life, or simply join a number of speakers about forex – “This is a scam, my friend lost a lot of money here … Its all been deceived” (and he of course “holy” and nothing much to do to somehow stay here …)
Of course the word “try your hand” should be seen not so much that now borrow 10 000 dollars, and I would venture – no! Need a systematic approach, namely the risk clearly do not just worth more than 50-100 dollars (the money is enough to teach !!!) and understanding what is forex and how to sell it and make a profit and the risk.
One of your reports I’ve shown here it again:
Report on the trade of the course “Safe forex”
Is not this proof that Forex can earn !?
But the thing is not even that you can earn 1-2 times and provide for themselves for life (this will likely never will be), but rather, that you brought your income by forex on a constant level. Here you should work on and something to strive for.
And now the 2nd passing question:
Is it possible to earn on Forex permanently?

The word “always” of course has no boundaries and nothing is eternal in this world, but if you have in mind for at least the next few years, the answer is: YOU CAN!
You can make a profit on forex on a regular basis, if you will:
Study (as it is not bonalno sounds), taught by experienced traders practitioners rather than from freeloaders and traders who know nothing about the forex market.
Closely follow their forex strategy
Disciplined trader and realize that money management and capital management – Safety Fundamentals Forex (security of your deposit)
Continuing to practice and not to be lazy and rely on “maybe”.
That is, in principle, all the components of a profitable forex trading and only doing them, you can learn to consistently make the forex market!
How much can you earn on Forex?

The next question is even more interesting, but no less popular and the answer I have ready for him:
And you can earn $ 1 and $ 100 million and a billion – no restrictions!
But if you are a novice trader, then your income depends on:
Experience (training, practice)
Capital (the higher the capital, the greater the volume, you can open the transaction and, accordingly, to make a profit, but the risks are growing – do not forget about it)
Psychological stability, in other words, psychology (pernicious: fear and greed)
Your strategy (the more accurate you will find entry and exit points, the higher the chance to close the deal with a profit)
Your risks, you take on himself (the higher the risk, the higher the chance to earn a lot at once or lose a lot at once, because the risks are not recommended more than 2-5% of the depot on the deal!)
Of course you waited number, rather than these items, because that’s the number:
Professional trader in the forex earning on average 20% per month of the amount of capital!
That is, if you have $ 100, then your limit is around 20 dollars a month, if you have $ 1,000, then $ 200 per month. Again, this is a risk of 2-5% and proven forex strategy you personally. As an example, here are some of them:
Forex Strategy “Flag + ABC”
Strategy graphical analysis: The course “Fundamentals of graphic constructions forex” (I recommend everyone !!!)
The strategy of the course “Safe forex 2” – it is also a strategy of betting site based on graphical analysis of forex.
An experienced trader (trained and constantly working on yourself, on your strategy) receives an average of 10% profit per month!
ie $ 10 to $ 100 on deposit in a month and 100 of the $ 1,000 and so on. Not only such profits are many traders who have completed the “Safe forex 2”, here are their reviews about the course == >>>
Novice trader, but gets some experience, perhaps trading on the news, and sometimes gets up to 50-100% per month
But not always, and at one point may drain (yes, there is, very often, or even in 90-95% of cases) merges the deposit or its remnants. And well if he rented profits periodically, and if not, alas situation is bad …
The second group of traders beginners just constantly drained their deposits and it does not teach them anything, but the problem is that they do not want to learn (to learn) forex trading and all waiting for freebies or some luck, some luck or just play .
I think the answer to the basic questions and you decide to give it is certainly worth the forex or not, but I made ​​my choice and have been trading on it since 2006 and make a profit on an ongoing basis.
P.S. In one of the following articles in this section we will look at ways to earn money on Forex! – Do not Miss