Forex Trading by FX Operator

A new FX Operator website is on the horizon!

Thu, 02 Jul 2009 15:43:37 +0000

Hello everyone,

I would like to inform you that a totally new FX Operator is on the horizon. Some of you may notice I have been blogging lesser. Yes, a new FX Operator is coming and is bigger than just a blog. The new services that FX Operator are providing is definitely going to excite you.

A glimpse at the new FX Operator logo

FXOperator.com is taking the next steps in the Forex evolution. Next month (yes in August!) you will see a newly designed site with entirely new services that will assist you in your trading needs. These future changes are a direct result of feedback from traders like you. Having established many contacts around the world, FX Operator endeavors to bring Forex trading closer to you.

Stay tuned on the future of FX Operator!

Trading with or without indicators

Wed, 04 Mar 2009 13:49:59 +0000

I know that new traders usually ponder at the question of whether they should trade with or without indicators. From what I can see, some traders glorified the trading style of "trading naked" which means no indicators needed and brushing aside those traders who rely on indicators to make trade decisions. I remember few years ago I went into spread betting and trade the Forex market without indicators, I made and lost some money but over all I am profitable. In my opinion, using indicators (my system now relies on few indicators) definitely nothing wrong with it if you know how to use them correctly. Combining momentum indicator such as Stochastic with trend indicator like ADX can prove useful when determining on how you should make your next move.

In a trendy market, traders look for retracement to re-enter a position and using momentum indicator as a 'guide', follow by looking for 'critical' support or resistance level, one can minimize their risk. By looking at trend indicator, for example on a uptrend, you will look for a price dip to buy again (selling is out on an uptrend). Price action such as candlestick formation, or using Fibonacci to determine support and resistance levels are also useful to increase your probability.

Interestingly, all these are based on personal belief on how the market works. It doesn't matter if you are trading naked or with clothes (pun intended), there is no right or wrong way, for as long as the system works, continue to use and trade with confidence. With or without indicators, you must be comfortable with your trading system.

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Automated Forex Trading in the Currency Market

Tue, 09 Dec 2008 23:58:49 +0000

Since the start of this website, one topic that has eluded from FX Operator is automated Forex trading. I have been a discretionary trader for few years now, and I did not miss any of the expert advisors or automated trading systems. It is more of a personal preference, but if you do not have the time or patience to look at the charts, then an automated Forex trading robot could be an alternative to consider. However, please do not assume that automated trading is the ATM to the Forex market.

Most of the retail traders use automated trading systems that operate on what is known as an Expert Advisor, or EA. One of the popular platforms for automated trading is MetaTrader from Metaquotes. Brief explanation of an Expert Advisor is that it has certain parameters and automatically places a trade based on the algorithm it was programmed to rely on.

Are you building a pipeline or hauling buckets?

Thu, 06 Nov 2008 08:26:56 +0000

Forex trading gives you financial independence but not financial freedom. To achieve financial freedom, then you should use the profits made through currency trading and use it to build pipelines. However, please note that trading forex is still possible to experience losses as well as gains. I believe some of you have read the article below, nonetheless, I want to share it with you.

There was a village along the coast in Mexico for thousand of years the villagers had to hike up a mountain side with buckets to get there fresh water.

One day the mayor of the village, got with the community and told them of a great vision he had during the night as to how the villagers could get there water down the mountain with out having to haul it them selves. They would hire some one to do it for them!

There were two cousins named Paublo and Diablo that knew that they wanted something more out of life than being an employee for the rest of there lives. When they heard that this opportunity was available they got really excited! Hear was there dream to be self employed. The next morning they got up and started hauling buckets of water they had big smiles and were really excited thinking that they had found there dream for financial freedom.

How to Draw Ascending and Descending Trend Lines Accurately

Mon, 29 Sep 2008 16:00:00 +0000

One of the technical analysis tools that has tremendously helped in my Forex trading is Demark TD-lines. Before knowing Demark, we can roughly decide how to draw the trend lines from the obvious support and resistance levels. However, with Demark's mechanical approach on how to determine and correctly draw the sensitive trend lines, it actually reduce any confusion and increases the probability of the set ups providing very good entry point. Below is a brief explanation on how to draw these lines accurately. To know more about the author and how to use the trend lines to enter and exit the market, I recommend you purchase his book "The New Science of Technical Analysis" which can be found on Amazon.com.

The meaning of a Trend Line can be subjective and although there are many interpretations on how to draw a trend line, but there is a standard way to validate an ascending or descending trend line break. The person who is very much involved in changing the way we see trend line is Thomas Demark, who developed a method of how to objectively select two points to form a TD, which is the abbreviation of the author's name Thomas and surname Demark). The method makes trend line technical analysis more objective and easier to identify, thus turnining it into a mechanical yet powerful procedure.