Have you ever noticed how often you bargain for things you want to buy while travelling abroad, even if the price is already far less than what you would expect to pay in your own country? Because you’re just trying to get the price you think is best for what you’re purchasing! Well, in trading you should be thinking similarly – just because you regularly make money from your established take-profit level, are you extracting the maximum amount from every trade? Is my stop-loss too close to my entry point? How is my take-profit in regards to my stop-loss? Let’s discuss about how to set your take-profit.
The timeframes offered by various FOREX trading platforms are essential elements to your trading plan and investment strategy. One of the most common questions from traders is “What time frame works best?” There are a few different time frames you can work with, so let’s see how you can use them to identify FOREX market phases.
(more…)
If you want to become an active trader, there are basically 2 options: become a day trader, or a swing trader. Both are seeking to take advantage of short-term movements. You can also turn to scalping, which is the most aggressive type of trading. Let’s focus here on Day Trading: its pros and cons and if it’s the trading style that fits you best.
Even though each broker provides a record of your trades with some associated statistics, such as max drawdown, number of winning/loosing trades, leverage effect, profit factor and others, it is still very useful to have your own trading journal. Why is it so important, what should it include, how do you create the most effective one possible? Read on to find out.
The Non-Farm Payroll (NFP) Report is the main report that describes the strength (or weakness) of the employment situation in the United States every month. This report is one of the most important statistics for the American Central Bank, also known as the FED. What is the NFP Report? Why is it important for the FOREX trader? What does it mean for the FED?
Stress is a major obstacle that every trader must learn to manage in order for his/her performance to be constant. Stress pushes a trader to react irrationally – rarely to his advantage, and strongly influences his emotional state, concentration and motivation. Let’s see how we can better control this trading stress to earn more money.
A Central Bank is considered to be the supreme monetary authority of a country – or group of countries as in the case of the Euro Zone – and plays a vital role in the economic health of any country. Its different actions affect every asset class, including the FOREX market. What are the main functions and objectives of a Central Bank? What tools are used to reach its goals? What are the effects on the FOREX market?
The evolution of commodity prices is generally opposite to the American dollar (USD). Let’s see the reasons behind this relationship and what the main movers for the USD are.
When you decide to invest your money on the markets, you need to choose a broker and try its trading platform to determine if it suits you, if it’s user-friendly, whether the proposed products are the ones you want to invest in, etc. So you will first open a demo account before opening a live account and deposit funds.
Whether being a trader is your full-time job or you wish to get an additional return on your savings, investing on the FOREX market involves carefully thinking about which trading strategy you will implement based on your capital, your time horizon, your risk aversion, your money management, your psychology etc.
(more…)
