Category: Forex Trading

Risk on and Risk Off Situations – Things to Know About the Currency Market

There are times of uncertainty, they come around every now and then. Just recently, there was this whole situation with Ukraine and Russia that captured the eyes of the world. When market switches from risk on and risk off sentiment takes over investors usually back away from risky investments and prefer buying safe haven currencies such as the Japanese yen and Swiss...

Identifying Candlestick Patterns – Know Your Candles – Part 1

In real, candles are a source of light so that you may see in the dark . What’s the use of candlesticks here in Forex? Traders use candles to find reversals and trend changes as well as determine entries and exits. Some candlesticks or candlestick patterns are used by traders to predict what the market could do in the near future....

Possibilities for the ECB Monetary Policy

Almost a few hours to the very expected and long awaited ECB Monetary policy event. Here are a few possibilities that you should be aware of: 1. The ECB could cut the refinance rate, which is already priced in. If this happens, we could see a little rise in the EURO short term, as there will be a lot of...

How to Trade News

Fundamentals, always a tricky part to trade with, because you don’t know what surprises you can get. Economic data is an important catalyst in the Forex market that tends to capture the attention of every trader.  Trading Forex news releases News releases and events, if important can create massive short-term  and long-term movements in the Forex market resulting in significant...

How to Draw and Use Fibonacci Retracement Levels

I am mostly just going to go through how to identify the Fibonacci retracements over charts in Forex, how to use them to your advantage and how it makes it easy to define some support and resistance levels in the market. Fibonacci tools are widely used, even by the best traders out there. The important Fib levels for me are 38.2% and 61.8%...

Secret Recipe for A Successful Forex Trader

Want to become a successful Forex trader? Want to Flourish and thrive in flying colors? If yes, then you are in the right place 😉 How to be a successful Forex trader There are five ingredients that can make you a perfect trader and helps you to survive in the long run. 1. Patience 2. Time management 3. Self assessment 4. Discussion...

Being Too Aggressive While Entering A Forex Trade

Aggressive trading in Forex Sometimes the price action seems so good to the eye that you cannot control yourself to enter the trade and that is the biggest mistake you make. You get yourself into a trap which is called aggressive trading in Forex. Ever saw the price going up really fast? You’d think oh man lets buy this its going...

Forex range example

Choosing Your Stop Losses and Stopping Out

How to place stop losses in Forex Have you been having losses? Are you taking them at the right places? One of the worst things a trader faces in day to day trades is taking losses, it is an important part of any Forex traders strategy. It sucks, but its always a good idea to choose your exits in Forex....

Forex Trading Strategies

Every Forex trader trades with a unique style using tools and analysis that suits them best. Choosing Forex trading strategies before trading is very important as it will likely to have an impact on your future trading decisions and will help you build your distinctive trading personality, there may be some styles that may suit you and some that may...

Leverage and How to Be In Control

Leverage is basically a facility which is offered by your broker to trade a larger amount despite of having a smaller account balance. Say your broker is giving you a leverage of 500:1 you can then trade worth 500 times in your account. Although, you can, being a smart trader you should never do so. Controlling leverage As mentioned in...