05/10/2019
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3 forex strategy plan for today
Have you ever felt STUCK attempting to figure which forex trading strategies you should use?
For example:
Would it be a good idea for you to be a day trader, swing trader, position trader, news trader, scalper, or a mix of various forex trading strategies?
It can be disappointed, M i right?
Just Because you’ve seen traders make money with various forex trading strategies.
In any case…
When you try it, it fails you.
Now, no need to get stressed.
Because in the present post, I’ll share with you 5 kinds of Forex trading strategies that work and how to locate the best one that suits you.
Sounds good?
Then let’s begin…
Nu. 1 Powerful Forex trading strategies that work — Position trading
In position trading, Position traders will enter and exit trades based on their expectations of future prices and factual events that suggest they sell. This means they will mostly use fundamental analysis to plan their buying and selling activity, as well as build their strategies.
Knowledge and experience are required to be successful in position trading and to ensure a long-term strategy can be executed properly. which should reflect their budget and ensure their gains and losses can be kept under control.
Position traders need to be confident about the upwards trends that will make a good profit when placing a trade. They base their predictions on economic and political events in the countries they are trading in. For example, they will follow the UK Parliament if they have chosen the GBP/USD currency pair, as well as the US Parliament. Once a trade is placed, they will then hold their position whilst it’s working in their favour.
These types of forex traders also need to determine the best time to make an exit. When a trade is initially placed, most position traders will use a stop loss to cap the amount that is lost if and when it moves in an undesirable direction. However, if their predictions are correct and they make an exit at a good time, they will gain a decent profit.
Nu. 2 Powerful Forex trading strategies that work — Swing trading
Swing trading - where you can hold trades for days or even weeks.
The time allotments you'll trade on are usually the 1-hour or 3-hour.
As a swing trader, your concern is to catch "a solitary move" in the market (generally called a swing).
So you’ll likely:
Buy Support
Sell Resistance
Trade breakouts
Trade pullbacks
Trade the bounce of the moving average
Thus, it’s important to learn technical concepts like Support & Resistance, candlestick patterns, and moving average.
Here’s an example of swing trading on USD/JPY:
Now, if you want to learn more about swing trading, then The Complete Guide to Finding High Probability Trading Strategy will help immensely.
Let’s move on…
Nu. 3 Powerful Forex trading strategies that work — Transition trading
You've likely never known about this since I thought of it.
Here’s how…
Back while I was in restrictive exchanging, one of the "intriguing" things I learned was transition trading.
You're most likely pondering:
“What is progress trading?”
All things considered,, the idea is to enter a trade on the lower time frame, and if the market moves in your favor, you can increase your target profit or trail your stop loss on the higher time frame.
for example:
Let’s say you traded the breakout on GBP/JPY 1-hour time frame and the price quickly went in your favor.
Now…
You noticed the 4-hour time frame respecting the 20MA.
So instead of taking profits, you trail your stop loss using the 20MA hoping to ride a bigger move.
What's more, in case you're off-base, you'll leave your exchange when the value closes underneath the 20MA.
Presently, there are varieties of transition trading.
But the fundamental idea is this:
Discover an entry on the lower time frame
If the price moves in your favor, consider planning your exits on the higher time frame
Can lower your risk as your entry is on the lower time frame
