Are you looking for a consistent technical indicator? You may want to consider using the Average Daily Range also known as ADR. When I used to do manual Forex trading analysis, I found this to be quite useful. Although with my new software, indicators like this are no longer needed.
ADR will provide you with an idea of how far a currency pair price is expected to move over a certain period of time. I found this helpful when trying to determine my exit points. You never want to leave a trade too early if it's trending well as you may miss out on a lot of Pips.
Like all Forex trading analysis indicators, this one is not perfect. It should only be used as a guideline. And, it must be used in conjunction with other technical analysis tools such as trend lines, MACD, chart patterns etc.
It's smart to stay conservative with trading. Before I started using automatic trading software, I would always stay a certain percentage away from where an indicator was telling me to exit a trade. With ADR, I would exit a trade a few Pips behind the anticipated end of a range that ADR indicated.
The best time to use ADR is at the beginning of your trading day. I used it about 20 minutes before the London open to see how far the currency pair may trend for that session. If you are familiar with trading, you'll know that the London session consistently moves 70 to 150 Pips every day.
As mentioned, this is one of many manual trading tools that you could use. There is an endless combination of indicators and oscillators you could use to create trade entry and exit set ups. To me, this is an archaic way to trade.
Using powerful software to do all of the Forex trading analysis for you is the only smart way to go. There's no gray areas of interpretation with software. It tells you to take a trade. That's it. You just do what it says instead of trying to interpret all of these old school trading Forex trading analysis indicators.
So there you have it. ADR is a decent way to help predict the price range for a particular trading session. However, you are far better off getting current and allowing a software system do the Forex trading analysis for you.
Faulty analysis is rarely the cause of a wiped-out account. A career that fails to begin is never killed by the consequences of erroneous application or understanding of fundamental or technical studies. Other issues that are related to money management, and emotional control are far more important than analysis for the beginner, but as those issues are overcome, and steady gains are realized, the edge gained by successful analysis of the markets will be invaluable. Analysis is important, but only after a proper attitude to trading and risk taking is attained.
BalasHapusBosun
FxGlory remains my best broker since 2014.
Simple as it is, failure to abide by this principle has been the doom of countless traders. In general, if you’re unsure that you know what you’re doing, and that you can defend your opinion with strength and vigor against critics that you value and trust, do not trade. Do not trade on the basis of hearsay or rumors. And do not act unless you’re confident that you understand both the positive consequences, and the adverse results that may result from opening a position.
BalasHapusBosun
FxGlory remains my best broker since 2014.
Once we make profits, it is time to protect them. Money management is about the minimization of losses, and maximization of profits. To ensure that you don’t gamble away your hard-earned profits, to “cut your losses short, and let profits ride”, you should keep the bible of money management as the centerpiece of your trading library at all times.
BalasHapusBosun
FxGlory remains my best broker since 2014.
The great difference between amateur traders and the professionals is that the Amateurs manage money by taking RISK while the PROFESSIONALS manage RISK by taking money.Are you an amateur or professional?
BalasHapusBosun
FxGlory is the best broker with excellent customer service.Thy are good broker for both investors with small or large deposits.
Why do forex brokers hand out deposit bonuses?
BalasHapusPersonally I disagree that any broker that offers bonuses is bad.Giving out bonuses to traders is just another way of advertising or attracting traders.Every broker advertises.Some even sponsor football clubs in Europe for that matter. You can imagine the cash involved in doing promotions.I think where problems come up is when traders are carried away by the huge magnitude of the bonus and ignored the strong terms and strict conditions that apply.
Always read and understand the terms and conditions, and if you think that you are not comfortable with the conditions then ignore the bonus immediately. I found that it is easier to ignore a bonus than to opt out.
Why some brokers do not promote any kind of bonuses, there are tons of good brokers that promote fabulous bonuses.Therefore, I think the argument that bad brokers are the ones that offer bonuses cannot be generalised.
Bosun
FxGlory is the best broker with excellent customer service and processes withdrawal requests fast.