Learn Forex Trading Online

Forex Trading Signals

noreply@blogger.com (Caroline Mbi Ayuk) — Sun, 13 Feb 2011 20:29:00 +0000

Forex Trading Signals

Forex trading signals like the one by Omniforex is good for anyone especially if you are new to forex. OmniForex is one of the best reliable forex signal services you can work with. Try it out for 3 days to proof it to yourself. I promise, you will be hooked after those 3 days and you will be glad you did.
Try OmniForex Signals Here Almost Free For 3 Days

Using FOREX trading signals is very common at the moment. There are many traders who do not have the time to spend analyzing the market for themselves. So these category of traders look to trade using forex trading signal service. I personally prefer to trade and look out for my trading signals. Using signal providers can simplify things for anyone.

The reason to trade with a signal service as mentioned before is to leverage the knowledge of another trader. The important thing is to chose a forex trading signals provider with a good track record. If you do not know much about the forex market and still want to make a substantial amount of money trading the forex, just use a forex signal provider like Try OmniForex Signals Here Almost Free For 3 Days

Related Searches

Forex Trading

Forex Trading System

Forex Trading Software

Forex Trading Strategies

Online Forex Trading

Online Forex Trading

noreply@blogger.com (Caroline Mbi Ayuk) — Sat, 12 Feb 2011 10:58:00 +0000

Online Forex Trading

Online forex trading is booming as a business today. Before you take steps into these forex, please do yourself a favor and do some really good research. Online forex trading is very lucrative. And because it is a very lucrative, there are many scammers out there with all kinds of wild claims regarding forex trading.

If you really want to learn how to trade online forex profitably, you can do it. Below are the simple steps you can take, especially to avoid all the scams out there.

1. Find a really good forex book and read it first. Read it again and again until you get it. If you do so, you will not be overwhelmed with the share size of information on online forex trading. Focus on this one book in the beginning.
Bird Watching In Lion Country is one of the best online forex ebook you can begin with as you research the forex market. Stop here, bookmark this page and go on with your research. It might take you a while to finish the book, it will save you time and money.Download Bird Watching In Lion Country Here

2. Once you are done with the book and you are ready to start testing the waters, you can go ahead and open a demo account here with a forex broker. I like this broker demo account because it is simple and you can trade for as long as you want. So you can take a six months period and test every forex trading strategy.

3. Forex Mentors in a Live Forex Trading Room is a what you need to make it as a forex trader. Especially if you are new to online forex trading business. This will help you to see how expert forex traders work on their trading setups. It will help you to learn patience as they discuss new trading setups. You will cut your trading education curve by more than half by chosing a mentor in a Live Forex Trading Room like LiveConnect

These 3 steps are all you need to become a successful forex trader. My hope is to tell it as it is to help you with your online forex trading business.

Tip:: Keep away from Forex online trading robots.

Related Searches

Forex Trading

Forex Trading System

Forex Trading Software

Forex Trading Strategies

Forex Trading Strategies

noreply@blogger.com (Caroline Mbi Ayuk) — Fri, 11 Feb 2011 07:54:00 +0000

Forex Trading Strategies
There are many forex trading strategies that have been very successful. Anyone can come up with a forex trading strategy that is 80% accurate. However, the question and the difference between successful and unsuccessful forex traders has to do with the implementation of the various strategies.

That is the reason why you really need a forex trading mentor

Related Searches

Forex Trading

Forex Trading System

Forex Trading Software

Forex Trading Software

noreply@blogger.com (Caroline Mbi Ayuk) — Fri, 11 Feb 2011 07:35:00 +0000

Forex Trading Software

Forex trading software is the forex trading platform that you receive from your broker. Once you signup for a demo account, you will download your own copy of the forex trading software unto your computer. From this software you will place your trades.

Download your free forex trading software here This broker has the perfect forex trading software for beginners and savvy traders alike. Try it for free today and start learning for free.

Some forex brokers expect you to practice for 30 days and your practice account is closed. But this forex broker gives you an unlimited time to trade your demo account.

This forex trading software interface is pretty simple to you.

Related Searches
Forex Trading

Forex Trading System

Forex Trading System

noreply@blogger.com (Caroline Mbi Ayuk) — Thu, 10 Feb 2011 22:40:00 +0000

Forex Trading System There are many forex trading systems out there in the market place. The trading system without a good psychological and intellectual preparation for the ups and downs in forex will do you no good.

Tips: Before you start focusing on any forex trading system, please make sure you know how to handle losses. There is no holy grail forex trading system out there in the market place. However, once you can determine your risk level and how you can handle losses psychologically, then you can start looking at various forex trading systems to see which one fit your personality type.

I used this free forex trading system to trade a micro account from $502 to $12,666 within 2 months. So use it, tweak it to fit your personality. It works, if your are ready to work with this forex trading system as explained.

Forex Trading

Forex Trading

noreply@blogger.com (Caroline Mbi Ayuk) — Thu, 10 Feb 2011 22:34:00 +0000

Forex Trading is very lucrative. Learn how to trade the forex right and you will never lack money again. The globalization of the economies is here to stay.

Forex trading is the key to your financial future. Ready to learn how to trade, then open a virtual account today and start learning from the right people at:

Best forex trading center

Online forex trading made easy

noreply@blogger.com (Caroline Mbi Ayuk) — Tue, 23 Feb 2010 20:12:00 +0000

What do you need to trade forex online?

To trade forex online, the first thing you need to do is to educate yourself. Education is the key to success in forex trading. To make money in the long run with forex is tough. Let no one tell you it is simple, because it is not. You will sweat and you might loose all your capital from the beginning, but if you don't give up, you will eventually succeed.

Before you ever put your money into to start trading forex, please do yourself a favor and trade the demo account. Open a forex demo account from eToro. This is a great broker. There are many other forex brokers out there like FXCM. I have traded with a few of these to test which one I am more comfortable with. So starting with eToro is great for a new beginner.

Be sure you trade with the forex demo account, until you are comfortable with how the forex market works, then you can venture into forex trading with real money. Forex trading is like arriving in the war zone. You don't want to get into it with just a knive. You want to educate yourself with the best forex education there is. You can find the best forex trading resources from best forex trading center. This center has the best of forex brokers, the best forex charts, the best forex training and forex information that will help you get started with your forex business on the right track.

You can read our profitable forex trading systems on the blog as well. What ever you do, do not trade with real money, if you have not been equip with the right tools.
Come back often, I will be posting my swing trading signals on this blog for free.

Combining Chart Pattern Recognition & Pivot Point Analysis

noreply@blogger.com (Caroline Mbi Ayuk) — Sat, 22 Nov 2008 15:10:00 +0000

Recognition and Pivot Point Analysis

This Forex Video trading course shows how to combine chart pattern recognition with Pivot Point analysis to produce
extremely profitable results. Here is an overview:

I personally like to focus on a small number of the more consistent, reliable and re-occurring formations. The ones
I am particularly interested in are the powerful reversal formations at tops and bottoms of price ranges.
When chart pattern recognition skills are applied with the use of the Pivots Program, benefits accrue. The targeted support and
resistance numbers are like an early warning system. Being aware of an important price target level, accompanied by a pattern, you
can then anticipate your move.

Specifically, the pivot point calculations give an early warning signal, and chart formations confirm potential
buying or selling opportunities. Formations like triangles and wedges are instrumental in helping you take action.
Having access to support and resistance numbers, plus combining the bullish or bearish patterns, facilitates identifying
bankable trades.

For example, even if you were not convinced that a downtrend would hold, then at least the "breakout" from a symmetrical triangle
pattern in a downtrend would have enabled you to capture a portion of the ensuing decline.
Bullish and bearish pattern recognition helps you get in at bottom and top price reversals.

Armed with these indications, combined with pivot points, this will provide a wealth of signals in order to develop a proper
game plan. At the very least, it will keep you from buying the high or selling the low.

Ready to trade like the big dogs Click Here

Highly Effective Forex Trading System

noreply@blogger.com (Caroline Mbi Ayuk) — Sat, 22 Nov 2008 14:13:00 +0000

A brief preview of an Extremely Effective and Simple
Forex Trading System

The full video course describes the system in detail.

WHAT YOU NEED TO GET STARTED

1. A computer, Internet connection,
2. A system to trade with such as my Pivot trading system.
3. A funded account at a forex market maker broker

You only need a few tools to locate profitable set-ups:

- Price
- Price Bars,
- MACD Divergence
- Pivot Point
- Breakout/test/violations
- Trendline breakout

That and of course your passion to succeed
is all it takes in this wonderful business
of Forex trading.

No other bells and whistles or toys are
required - contrary to what you may have
learned before.

The hardest part for you will be to
"unlearn" all the nonsense you've been
fed about trading prior to coming here.
(Just give your head a good shake;
maybe it will go away).

CHARTS

I use mainly daily, hourly, 15 minute,
and five minute charts. The daily chart
will help you define the overall trend
from a position trading point-of-view,
and the hourly chart will give you a
feel for the intraday trend.

The 15 minute chart is used for entry
and exit - with assistance from the five
minute chart, where price is moving
quickly, and you need to be closer to
the action. Please note that the five
minute is not to be used for scalping,
as there is a lot of noise there,
and you could easily get whipsawed.

Make sure you are using charts that
are generated from the same data source
that feeds the dealing engine, as is
the case with both platforms mentioned
above. That way, what you see is what
you get when you buy or sell. Some
charting packages do not accurately
reflect where price is at any given
moment in time.

PIVOT POINTS

My trading system is based on pivots.
Pivot points are targets, or mile markers,
used for assessing price movement and
determining direction.

If you're unfamiliar with pivot points
and how I use them, below is an overview.

Used by professional floor traders, pivot
trading is one of the oldest and most amazing
technical trading methods available.

Professional traders calculate pivot points
in preparation for each trading sessions.
The pivot lines system is an indispensable
guide for making profitable decisions.

For an active trader, the pivots can mean the
difference between winning and losing.

The Pivot techniques work well in markets with
a wide daily trading range, such as the Forex.
Pivot lines steers traders away from "no man's
land" and identifies "high activity" areas in
which the equity has a high probability of
reversal. These areas are important trading zone
watched daily by floor traders and computer
trading systems.

The levels for the trading ranges and pivots
are the support and resistance levels of the
market in the next time interval.

It is important to note that the predicted
levels only give the range in the next time
interval. They do not indicate when the levels
will be reached by the currency price action.

The pivot is a level at which the underlying
asset can be expected to change direction
and/or move rapidly away from.

My pivots program provides not only Pivot,
R1, R2, S1, and S2, but also the M1, M2, M3,
and M4 points as well. It is common to find
many traders calculating only the Pivot, R1,
R2, S1, and S2 levels. In the Forex market,
however, you will find my additional points
of support and resistance to be very significant
indeed.

The Forexmentor video course shows you how
to calculate the Pivot points using our
proprietary Pivot Calculator.

After you have calculated the pivot numbers
for the day, place horizontal lines on
your 15 minute and 1 hour charts at the
pivot numbers for the day, or at least as
many lines as your chart has room for.

These pivot points will guide your trading
throughout the day.

INDICATORS

I really only espouse one - MACD
(for divergence only).

MACD Divergence is covered extensively
in my course and my trading examples

MACD is my favorite indicator, and that
would be my choice. The nine and 18
exponential moving averages are okay
too to give you some sense of price
direction, but I am not a believer in
using moving averages for this market
- so am not too thrilled about their
application and use.

Go ahead and plot MACD on the charts
you are working with.

For Complete Mentorship

The currency (foreign exchange) market is the largest and oldest financial market in the world

noreply@blogger.com (Caroline Mbi Ayuk) — Sat, 22 Nov 2008 14:06:00 +0000

The currency (foreign exchange) market
is the largest and oldest financial market
in the world. It is also called the foreign
exchange market, or "FOREX" or "FX" market
for short.

It is the biggest and most liquid market
in the world, and it is traded 24 hours-a-day .

The forex market is a cash (or "spot")
inter-bank market. By comparison, the
currency futures market is only one per
cent as big.

Foreign Exchange simply means the buying
of one currency and selling another at the
same time. That's it!

In other words, the currency of one country
is exchanged for those of another. The
currencies of the world are on a floating
exchange rate, and are always traded in
pairs - Euro/US Dollar, US Dollar/Yen, etc.

In excess of 85 percent of all daily
transactions involve trading of the major
currencies:

- US Dollar,
- Euro
- Australian Dollar,
- British Pound,
- Canadian Dollar
- Japanese Yen,
- Swiss Franc

Unlike the futures and stock markets,
trading of currencies is not centralized
on an exchange.

Forex literally follows the sun around
the world. Trading moves from major banking
centres of the U.S. to Australia and
New Zealand, to the Far East, to Europe
and finally back to the U.S.

In the past, the forex inter-bank market
was not available to small speculators
due to the large minimum transaction
sizes and often-stringent financial
requirements. Banks, major currency
dealers and the occasional huge
speculator used to be the principal
dealers. Only they were able to take
advantage of the currency market's
fantastic liquidity and strong trending
nature of many of the world's primary
currency exchange rates.

Today, foreign exchange market maker
brokers are able to break down the larger
sized inter-bank units, and offer small
traders the opportunity to buy or sell
any number of these smaller units (lots)
form their PC's

These brokers give virtually any size
trader, including individual speculators
or smaller companies, the option to trade
the same rates and price movements as the
large players who once dominated the market.

Market makers quote buying and selling rates
for currencies, and they profit on the
difference between their buying and
selling rates.

===How the Retail Spot Forex Works===

When you use retail spot Forex software,
it only requires an internet connection to
trade real-time. No extra data-feed is required.

All online Forex brokers' software is real-time,
rather than delayed. If you download a free
30-day demo of the software, you can "practice
trade" in real-time with the exact same quotes
as a live account. The software is exactly the
same, and you receive virtual money for the
account.

You are then able to enter trades in real time,
and monitor them just as though it were a
real account.

You will experience no difference between the demo
account and a live account. When you log onto your
trading platform, you see your price quotes, and you
simply click on the price to sell or buy. It will ask you
how many lots or contracts you want, and then you
click ok, and you are in.

You can also use the charts they provide with the
trading platform; they will reflect the movement of
the real-time price of their trading platform.
With those charts, you usually have the ability to
place horizontal lines where you choose (pivot numbers).

Each currency is quoted with a "pip spread". This is
how the dealer makes his money. With most online
retail brokers, there are no commissions. For example,
I want to buy the Swiss Franc, and the current quote is
1.7205/1.7210. The dealer will give me the 1.7210 price,
and I would start the trade -5 points which equals $30.00
(for a stand lot).

In my trade window, I would see my money change as the
market price moves back and forth. As it moves in my
favor, my negative position is removed as soon as the
market is trading 1.7210/1.7215, or higher.

In the spot forex market, it is common for currencies
to move 100 to 300 pips/points in a 24-hour session.

If you like volatility, there is no currency more volatile
than the Franc.

If it's action you're looking for, like Mr. Magoo driving
a sports car, then the forex is the place to be.

Forex Trading Mentorship To Success

You Can Trade The Forex Like the Pro, without really loosing your money like most new traders would.

noreply@blogger.com (Caroline Mbi Ayuk) — Sat, 22 Nov 2008 13:47:00 +0000

I'll show you how you can get your share of this
US$1.7 trillion-a-day forex market. You'll think you've
died and gone to Heaven when you find out how easy it is
to mimic the pros. Click here to trade like the big dogs.

Every day, 1.7 trillion dollars float through the hands
of people who aren't any smarter than you or I are.
It doesn't make any difference if you're an accountant,
baker, butcher, retired sea captain, homemaker,
airline pilot, surgeon - or cop on the beat.

If you're willing to take some direction, you deserve a
nice piece of the action. You'll never have to learn zip
about currencies. You will learn the techniques and
strategies to go out and claim what is rightfully yours.
Play right along with the giants of world commerce. You
won't be on the outside looking in; you'll be enjoying the
thrill of a lifetime, riding on their king-size coattails.

TRADING THE FOREX DESERVES YOUR SERIOUS CONSIDERATION

Forex trading has enjoyed exponential growth and
widespread popularity over the past few years. It is only
now that online foreign exchange trading is starting to
get noticed.

Until recently, large international banks were the big
dogs in the foreign exchange (FX or forex for short)
market, selectively allowing access via telephone
trading to Fortune 1000 companies, large funds,
high-net worth individuals, etc..

But now, there are online trading firms that provide
individual traders like you and I with direct access to
the largest, most liquid financial market in the
world - the forex. A lot of traders seem oblivious to
this market. This unfamiliarity is the root cause of
misconceptions about this exciting market.

Spot foreign exchange is the ideal market for active
trading - more leverage than equities/futures/options.
The market is highly volatile, has a tendency to trend
strongly, and actively trades 24 hours per day. There are
no limitations on when one can short a currency.
Currency traders can make money when a currency is
becoming stronger or weaker.

That's it for now, Caroline. Tomorrow I will give you
the "skinny" on how the Forex works and how you can
profit from it big time.Trading Forex is much more fun when you know how.

Learning Forex Trading -Part 5 - More Technical Tools

noreply@blogger.com (Caroline Mbi Ayuk) — Tue, 23 Sep 2008 12:31:00 +0000

TECHNICAL INDICATORS - MACD

There are many other tools used in technical analysis. As you learn forex trading my advice is to focus on a just and master them really well. You will do just find with your trading. However, it is wise to have an idea of what all the other tools are about. In my case, I learnt them just for the sake of knowledge.

In learning currency trading, I have thought myself how to fish dollars whenever I want to. So as you learn forex trading, give it your all, do everything you can to master just moving averages and Parabolic SAR and come up with your own rules and you will do just fine.

What other technical indicators do others use out of there? If you search google you will find many. I am going to touch on a few more indicators, those I feel can help you and then you are done with technical indicators.

1. MACD - Moving Average Convegence Divergence

MACD is an acronym for Moving Average Convergence Divergence. MACD is a sort of oscillator that can measure momentum and as well as follow or indicate a trend.

When Gerald Appel developed MACD, he did so to trade a 26 and 12-week cycles in the stock market. However, I have discovered a setup that works best for me. So on your charts the default setup parameter is usually 12,26,9. You really don't need details of what these numbers are. All you have to do is set it up on you chart as you can see from this one below. And you are ready to go. My setup is usually 21,55,8. For some reason these parameters work well for me. Check the chart below:

How do I use MACD in my trading?

Some people trade entirely using MACD to generate both sell and buy signals. I use MACD to confirm my trades. On the chart you see a plot of Simple Moving Average 14 and Weighted Moving Average 14 and Parabolic Sar. Below the chart you will find MACD.

In my chart my MACD is represented by the white histogram. When the white histogram moves above the signal red line I wait for the Parabolic Sar to cross over for a buy trade setup. Once that happens, then I am pretty confident in my trade.

I am still learning forex trading. As you learn forex trading, you will realized that the mastery of a few trading tools is all that's necessary to become a highly successful forex trader. If you can focus on Simple Moving Average 14 and Weighted Linear Moving Average 14 (SMA 14 and WLMA 14) and the Parabolic SAR with the MACD to confirm your trading you will do just fine.

That is my way of trading using only 3 technical indicators. I don't need any thing else to make money.

If you are one of those who want to use just MACD to trade, here is what happens.

There are three main ways to use MACD

1. Buy and Sell Signal

This chart above is an hourly chart. See how I labeled the buy and sell signals on the chart. Do you see when the buy and sell signals occur from the MACD? Looking at the charts, you can see that your buy signal occur, when MACD crosses over the signal red line and a sell signal occur when MACD crosses below the signal line. So if you are only going to use MACD that is how you trade.

Look at the chart itself. The Buy and Sell Signals labeled on the charts are those following my Parabolic SAR trading system. Do you see that my signals occur about 5 hours before the MACD signals. So in my case, when I trade using my Parabolic SAR signals, at the time the signals are confirmed by MACD, I add to my trade. So you can see that trading the Parabolic SAR system gives you an edge in the market.

Hope you will take some time to learn forex trading using this simple system.

2. MACD can also be used to indicate trend direction.

MACD will indicate when a trend is up and when the trend is down. When MACD crosses the zero line and becomes positive then there is uptrend and if MACD crosses below the zero line, then the currency pair is in a downtrend. See Chart.

3. Third use of MACD is too indicate when a trend is about to reverse.

When a divergence occur between MACD and Price (see chart), that means the current trend is weakening. There are two kinds of divergences - the bearish and the bullish divergence

- Bearish Divergence - A bearish divergence will occur when prices are making higher highs, but MACD is making lower highs. This is sign that an up trend is weakening. So you can be sure to watch for a sell signal. Once a sell signal occur after a bearish divergence, then you have got a real winning trade.

-Bullish Divergence - A bullish divergence occurs when prices are making lower lows but MACD is making higher lows. This is an indication that the down trend is weakening. You can watch your chart for a buy signal. Once a buy signal occurs after a bullish divergence, you can be sure of a winning trade.

In my opinion Moving Averages, Parabolic Sar and MACD are the only indicators you need to focus on as you learn forex trading. There are many other indicators. If you still want to explore these as you learn forex trading, then check out the next lesson. I will list a number of these indicators. I don't need them and I believe you don't need them either.

Learn Forex Trading - Part 4 - Technical Indicators cont.

noreply@blogger.com (Caroline Mbi Ayuk) — Tue, 23 Sep 2008 00:45:00 +0000

More Technical Indicators - Parabolic Sar

In my last post Learn Forex Trading Part 3, I mentioned that I only use 2 techinical indicators on my charts. The Moving Averages (Simple and Weighted), The Parabolic Sar And sometimes MACD (Moving Average Convegence Divergence). See diagram below

In my opinion, using the hourly chart, Parabolic SAR (Stop and Reverse) is very good for pin-pointing a new trend pretty early. So it does offer an excellent buy and sell signal. If your mind is strong enough to just do what the chart is telling you with this indicator you will do just fine. Like I said, in part 3. My stop loss is usually placed just about 5 pips above the Parabolic SAR value at the close of the candle.

Parabolic SAR is an outstanding indicator. It works beautifully well in a trending marketing and can keep you long enough in a market to ride out the trend. However, the Parabolic SAR is very unreliable during a sideways trending market, just as the Moving Average. So most of the time, I stay out of a sideways market. If you can stay away from the market, what I suggest you do is drop down your time frame. In my case, since I am mostly trading from an hourly chart, I would drop the time frame to 5 minutes or 1 minute and the parabolic SAR would work just fine in a sideways market.

As you can see from the chart, the points are pretty clear. If you have taken a short position, the SAR pointts will be above the prices, and the signal to go long will be when prices cross the current SAR point from below. (See chart). Once you have entered a position long or short and your stop loss 5pips below or above SAR value, you will notice that the SAR points will be far enough away from price to even permit some counter trend movement without closing you out. Once the currency pair begins to really trend and move in your favor, SAR points will move with prices. When you notice a that price begins to tighten with the SAR points, then get ready to close your position. Sometimes the trend will continue, sometimes it will reverse and hit your stop loss.

What are the main uses of Parabolic SAR

SAR means Stop and Reverse

As you can see from the chart below:

The sell and buy signal were a perfect example of stop and reverse application. In this case. In both cases, you would have earned a nice profit just by obeying the rules. Close your sell position, when the parabolic SAR went below price and enter a buy trade. As I write, that particular buy trade on the chart moved from 1.4262 to 1.4816, before a reverse SAR signal was indicated. That is a whooping 554 pips in less than 4 days. Your only job would have been to check your charts and adjust your stop loss, until the parabolic SAR changed position in relation to price.

Using Parabolic SAR in conjunction with MACD also helps me to ignore false reversal signals in a trending market. Sometimes, a move will stall in such a way as to cause the SAR point to change position. For example if MACD is indicating a strong downtrend move, you would take only short trades and ignore all long signals. But if MACD is showing a strong uptrend, then, you can take only long trades. So in this case you are able to filter all false reversal signals.

Another use for me as mentioned before is to chose my stop loss. After my trade has been taken, I use the Parabolic SAR value to trail my position. Every hour, I adjust my stop loss, 5 pips below or above the parabolic value.

As you learn forex trading using technical indicators, please make sure you keep it simple. Don't crowd your charts with many indicators. As you can see, my chart is clean and clear. I have just 2 moving averages, the Parabolic SAR and MACD.

I hope this lesson on Parabolic SAR will help you achieve your dreams of becoming a master currency trader.

Learn Forex Trading Part 1-Basic Forex
Learn Forex Trading Part 2 - Technical
Analysis
Learn Forex Trading Part 3 - Technical Indicators

Learn Forex Trading Part 3 -Technical Indicators

noreply@blogger.com (Caroline Mbi Ayuk) — Sat, 20 Sep 2008 00:18:00 +0000

Learning Forex trading online will greatly improve your odds for success. So I congratulate you for continuing your forex education.

Technical Indicators:

In my last post :Learn Forex Trading part 2 I gave you a simple system that I use to trade everyday, mentioning just two technical indicators that I use on my charts. Moving Average and Parabolic Sar. Sometimes I add MACD. You will soon see what these means.

I have a chart here to show you how my setup works. Try in on a demo account, stick the rules and you will do just fine.

Do you see where the sell and buy signals appear? The chart is a 1 hour chart of EUR/USD. This is simple if you keep it simple. You can see my moving averages and my parabolic sar on the chart. I entered the trade when price candle moved below the moving averages and the parabolic sar. My stop loss is always placed about 5 pips above the parabolic sar value. Set this up on your chart and back test it. After entering the trade, profit target was hit about 15 hours later. So with this I don't have to be glued to my computers for hours watching the trade unfold. You can do the same.

So what is a Moving Average in relation to technical analysis

Moving Averages (MA) are the most superior trend-following tools available to a market technician. There is no need to go into details on how the moving averages are calculated. Most if not all chart packages comes with this indicators. All you have to do is open your chart and insert this indicators. There are different versions of moving averages. On my chart I make use of two versions, because I have tested them and I feel comfortable with Simple Moving Average 14 and Linear Weighted Moving Average 14. Test different combinations for yourself and find a comfortable pair for yourself. I use this setting on all my charts. It works for me well. Majority of futures traders use exponential moving averages. I tried and tested it, but I was not comfortable with my settings.

There are 5 predominant Simple Moving Averages (SMA)

1. 10 SMA. is mostly used in up and down trends. Sometimes I use it especially in shorter time frames.

2. 20 SMA. is usually the dominant chart, you can use on all time frames. It is also good. But when I tested the 14MA, I loved what I saw. It is between 10 and 20 so it made sense to me and it is working really well. So for me, in place of 20 being the dominant MA on my chart, MA14 is the dominant moving average on my charts.

3. 50 SMA. Institutional traders pay close attention to this Moving Averages. So should refer to it once in a while. However, in my own test, it does no good for me.

4. 100 SMA. I look at this once in a while on a 4 hour chart, when I am planning a swing trade, that is long term trade. But still I did not find it to be of any important use to my trading style.

5. 200 SMA. I can say more than 90% of traders rely on this long term MA. It is very reliable. You can use it on daily charts and your intraday charts to note profit targets, because price almost always bounces off the 200 SMA.

The Currency Markets trend up or down and then sometimes move sideways. As you can see on my chart. When there is a trend the moving average is the most reliable tool you can have on your chart. It keeps you in the trade and helps you maximize your profit in a good trending market like what you see on my chart.

However, when it comes to sideways movement in the market, Moving Averages are useless. As you learn forex trading, here is what you should note about moving averages. When a currency pair in a strong down trend rallies back to retest a declining MA, you can go ahead and sell, provided the price does not cause the parabolic sar to move below price. Again if the pair is in a strong up trend, pull backs to retest the rising MA, without causing the parabolic sar to move above price, then you can confidently buy at that point.

Learning forex trading will take a while, but if you start practicing so far with a demo account, with what i have shared with you does far, you should be making progress already.

Linear Weighted Moving Averages

This is one of the other MA that I have on my chart. Like I said, when I tested various combinations, I found the combination of this MA and the Simple Moving Averages to be just perfect for my system. While the Simple Moving Average gives equal weight to all the values in a particular period, the Linear Weighted Moving Average assigns greater weight to the most recent data.

Continue learning forex trading and you will see your results improve as you practice and practice. You may have a good system, but if you don't learn to stick to the rules, you will become a failure statistics. If you learn your forex trading and come up with your own trading system and you are able to stick to the rules, you will do just fine.

Hope you fine this lessons helps to shorten your forex trading learning curve.
If you got to this page without first reading the first part -learn forex trading basics then go there now. Learn Forex Trading Part 1 Basics

Learn Forex Trading - Part 2 - Technical Analysis

noreply@blogger.com (Caroline Mbi Ayuk) — Thu, 18 Sep 2008 16:33:00 +0000

Forex trading education - Technical Analysis

As you learn forex trading, you will soon realize that there are two kinds of traders out there, may be three. There are those traders who learn forex trading focusing mainly on technical analysis, I am one of those. I will explain why shortly. And there are those who learn forex trading focusing mainly on fundamental analysis. And there are those who learn forex trading combining both technical analysis and fundamental analysis. If you came to this lesson directly, then you may want to check Learn Forex Trading Part 1

My market activity is based on technical analysis. In my opinion, technical analysis provides the short-term trader, a solid basis for making intelligent buy and sell decisions. While learning forex trading, I quickly realized that the effect of fundamentals are all reflected on my chart. In my opinion, fundamentals while useful at times, posseses therir greatest value when one is considering investment into forex over a long term basis. Even so, I would rather look at a weekly or monthly chart if I had to trade on a long term basis. But I am fully technical.

Technical analysis reveals proven price patterns, support and resistance, break-outs and break-downs, etc. These are proven tools for a short term trader like myself. Inspite of these, technical setups and charts are just there to give you a general view of the market and to help you assess the odds of a particular trade. Nothing is certain. Charting don't work all the time. At times they fail, even when this happen, it still reveals valuable information to the trader who learn forex trading by listening to what the chart is saying. What I have noticed while learning forex trading is that the charts don't lie.

Before I delve into some of the technical tools you will learn in your forex education, I will like to give you a practical assignment. There are many brokers out there. Open a demo account, so that you can follow me and do what I explain and you will see it all come to play and why you can become a discipline and successful trader in one of the most difficult profession in the world. Don't be scared though.

So go get a demo account. By the way, my broker is FXCM. I like FXCM. Get a demo from them. It takes just about 1 minute to signup for a demo account.

OK, did you get your demo account setup? Great. You are learning forex trading practically now. The technical tools, I will be explaining shortly are those I use on my charts. I am a short term trader, which means I trade intraday. 5 and 15 minute charts. Sometimes, I glance through the hourly chart to see the bigger picture for the day.

On my chart, I have just 3 technical tools:

1: Linear Weighted Moving Average 14

2: Simple Moving Average 14

3: Parabolic Sar

I will be explaining all these and other technical indicators later.

For now login into your demo account. That is your fxcm trading platform.

Step 1: Click on the menu charts - open charts - chose the time frame 5 minutes.

Step 2: Click on the insert and then Add Indicators. A list of indicators will show up.

The first indicator on the list is Simple moving average. Click on parameters and just change the number 10 to 14 and click OK.

Step 3: Repeat Step 2, but this time using Linear Weighted Moving Average.

Step 4: Add the indicator "SAR" Just scroll down the list you will find it. Click on it and click OK.

You are ready to place your first trade. Just watch what is happening with those three indicators on the chart. When price is below all three, you only have to sell. If price is above all three its time to buy.

Practice, watch the demo tutorial. There is alot to learn, but basically, I just gave you my daily trade setup. You will learn forex trading by practicing over and over again on a demo account for at least 3 months, before you venture to trade with your hard earn cash. This setup will not always work, but it does 90% of the time.

So technically what are those indicators and there others? Yes, there are many indicators, but you don't need to know them all, but it pays to at least have some knowledge of these indicators of these technical indicators.

If you completed your practical assignment, it is now clear that technical analysis based on 3 basic principles

1: Price accounts for everything. Price falls and price rises. The reasons for these back and forth movement is not important.

2: Price move in trend

3: History will repeat itself ( Recognizable chart patterns repeat itself)

So as you continue to learn forex trading, note that price movement is the most important element of your technical analysis.

In part 3 of Learn Forex Trading, you will learn more about the technical indicators.

Learn forex trading - Part 1 -Basic forex

noreply@blogger.com (Caroline Mbi Ayuk) — Tue, 16 Sep 2008 21:03:00 +0000

To learn forex trading and become a profitable forex trader, you need to master just a few trading tools. I believe that learning forex trading by mastering a few trading tools is all that's necessary to become a highly successful trader. The best forex traders are simple. They learn forex trading by finding tow or three techniques that work consistently. Once they have this forex trading tactics under their belt, they simply implement them over and over again. Repetition in forex trading has value keep this is mind.

What is forex? Why do you want to learn forex trading?

Forex stands for foreign exchange; also known as "fx". Foreign Exchange market is the largest financial market in the world, with a daily volume of over $4 trillion. This is far bigger than the New York Stock Exchange, Nasdaq and futures combined. In a forex trading, you buy one currency while simultaneously selling another.

When you start trading, you will noticed that currencies trade in pairs, like the Euro-US Dollar (EUR/USD) or Pound / US Dollar (GBP/USD). In forex trading there is no centralized exchange . The Forex market is considered an Over-the-Counter (OTC) or 'Interbank' market. All transactions happen via phone or electronic network of banks 24 hours a day starting Sunday A 5 PM ET to Friday 5 PM ET, forex trading begins in Sydney, and moves around the globe as the business day begins, first to Tokyo, London, and New York.

To start trading in forex, all you need is a computer and a high-speed Internet connection and the tools we discuss and share with you on this blog. The cost to trade is now minimal. My broker, offers a micro account you can open starting with $25. This is good because you can use it to test all your skills as you learn forex trading from this site. You can go for a mini account with a minimal start up amount of $300 or a standard account with a minimum of $2000 startup. There are many different brokers out there on the. While you can open these accounts with the minimum required, we advice you to start a micro-account with at least $1000 or a mini account with at least $10,000. That will give you room for testing your tactics as you learn forex trading.

In this first part of learn forex trading, you have learnt a general idea of what forex is. So now that you have chosen to learn forex trading, why do you want to do it? You want to learn forex trading for one reason and one reason only, you want to make money trading. So the question now is how do you make money trading forex?

Here is how you make money trading forex

Trading forex with margin has enabled the little guys like you and me to participate in this huge financial market. Margin trading is a term used for trading with borrowed capital. I will use the example from my broker. Let's say I open a mini account for $300 my require require a margin of $50 to trade with borrowed capital of $10,000. So with $50 I am able to trade as if I got $10,000. So with small amount of capital you can conduct a relatively large transaction quickly and cheaply.

So if I place a trade using just $50 of my initial deposit, this will be known in margin trading as 1lot. If I trade with $100,it will be 2 lots. If I trade with $150 it will be 3 lots. You get the picture.For now, just think of the term "lot" as the minimum amount of currency you have to buy.

Here is an example of what you can make trading forex

Your chart setup is indicating that the British Pound will go up against the US Dollar. You open 1 lot ($10,000) for buying the Pound with a 1% margin at the price of 1.5000 and wait for the exchange rate to climb. This means you now control $10,000 worth of British Pound with $50. Your predictions come true and you decide to sell.
You close the position at 1.5070. You earn 70 pips or about $70. (A pip is the smallest price movement available in a currency). So for an initial capital investment of $50, you have made 120% return. Return equals your $70 profit divided by your $50 you risked to trade.

Learn forex trading, and you could be one of the 10% who trade for a living. If you don't invest time enough to learn forex trading, you will loose your hard earned cash. So take the time to learn forex trading and you will become a master trader.

Open a demo account and trade this account for at least 3 months, before opening a live account.

Learn how to trade forex online

noreply@blogger.com (Caroline Mbi Ayuk) — Mon, 15 Sep 2008 10:42:00 +0000

Forex trading online, is a very lucrative way to make money. Tough as the financial markets may be, forex trading can make an ordinary person become financial free. While there is this possibility to make money with forex trading, there is also a substantial risk of loss.

What can you do, to limit your losses while maximizing your profit with forex trading? Learn how to trade forex yourself. There are signal companies out there and there are software for automated trading. In my experience in the last 5 years, only when you learn how to trade forex for yourself then, can you become extremely successful.

As you learn how to trade forex, you are going to determine whether to trade based on technical analysis or fundamental analysis. If you want to become extremely successful in my opinion, focus your learning on technical analysis. Whatever happens fundamentally, will always reflect on the charts.

As you learn how to trade forex online, note simple strategies that you can test and tweak to make your own. Until you make a forex trading strategy your own, it will be difficult to become successful. You can go ahead and open a demo account and start testing various forex trading strategies as you continue your forex trading education.

Read the next post to learn the basics of forex trading.

Forex trading system

noreply@blogger.com (Caroline Mbi Ayuk) — Tue, 08 Jan 2008 09:52:00 +0000

What is forex trading system? How many systems are there? Which forex trading system is good for you and can you combine forex trading systems to trade profitably? This article will give you some light to this questions.

In my research and study of forex trading, I have come across so many trading systems. The truth is the best forex trading system, will be the forex trading system you design for yourself. I have read and studied so many trading systems and tried to trade with them, none of them worked as specified. Why? If these forex trading systems were not profitable trading systems, people will not be using them to trade but they do. So why were these forex trading systems not working for me? The trading system most of the time is not the problem. The problem was myself, my mental state at the time the signal occured. Sticking to the rules of a forex trading system is the problem for forex traders. Unfortunately, that is the only way you will be able to make real money from trading the forex market.

I will be explaining a number of forex trading systems on this blog. Why don't you explore the Forex trading systems label for information on diverse forex trading systems. The forex trading system that enabled me to grow my account from $50,000 to $160,000 within 2 months is Forex Cash Cow Strategy. I added just two different moving averages to this system to make it my profitable trading system. It is pretty simple and straight forward.

Education is the key to successful Forex Trading

noreply@blogger.com (Caroline Mbi Ayuk) — Fri, 04 Jan 2008 01:50:00 +0000

Since I came in contact with Forex Trading back in 2002, I have learnt quite a lot. If you are new to forex trading, the information you will receive online will be overwhelming sometimes. My first contact with Forex Trading was through "HYIP" -High Yield Investment Programs. I invested with these people, but lost my money. So your first lesson, is beware of Forex scams. The marketing information can be so thorough, you can hardly figure out if it is a scam. Sometimes, you see even infomercials. Please be careful when to react to these products regarding Forex trading.

Education is the key to become a profitable forex trader. I studied and implemented many strategies. Majority of these left me with a $0 demo account from $50,000. This was pretty shocking to me. I lost many demo accounts. Its not pretty even though its a demo account. I still trade a demo account today to test new forex trading strategies.

My first advice is beware of FOREX TRADING Scams- there are many out there.
My second advice is trade a demo accounts until you become profitable. If you are still loosing trading a demo account and you start with a real live account, the same failures will reflect on your real account. You might become frustrated and prematurly abandoned an otherwise lucrative opportunity. Whatever happens, don't give up. This has been my forex trading experience.

Continue to educate yourself on the forex trading. There is alot to learn but don't be afraid and don't give up. The main thing to master in forex trading after your basic education on trading the forex, is your emotions. It played a huge part in my failures and then now my quiet success. Again if you are new to forex trading, take your time and get yourself educated. It will payoff big time in the long run.

There are many high priced courses out there on forex trading. After purchasing quite a few pricy forex trading courses for my forex trading education, I started experimenting with my own forex trading system. In a nutshell, to be successful in forex trading, you will have to design your own trading system by testing many strategies and coming out with forex trading rules that you can master and implement. If you keep your forex trading system simple, you will become successful. If you make it complicated, you will find difficulties.

Forex trading is very lucrative, so get educated, demo trade your own strategies, become successful with your demo account. Start small with a live account, continue testing your strategies and you will eventually come up with a forex trading system that suits your personality.

I will be sharing with you in the near future my simple forex trading strategy. Test it, use it and you will become successful. My system works.