By: Charley Warady
It's been heard more than once that practice makes perfect, and having a Forex practice account is used for just that. Many Forex brokers have available to their traders a demo account. Some are for a specified amount of time; used simply to get familiar with the platform. Once the trader is comfortable with the platform he's expected to move on to a real account and that's it for the demo account.
Some brokers don't offer a Forex practice account at all. Their opinion is that these kinds of things attract people that aren't really interested in trading Forex, and only want to play online. It's not worth their effort or technology to set these things up for people that are only going to leave without investing any money in trading.
The novice needs practice
Someone that is new to Forex trading should try it out first, and not have to risk real money; even if it's only a couple hundred dollars via a mini account. The difference between real trading and demo trading is always apparent, but the level of being comfortable is important. If Forex trading is not suitable for someone, it's infinitely better that they learn this right away.
Read More at : http://www.dailyforex.com/forex-articles/2010/11/Forex-Practice-Account-For-Everyone/6536
Sunday, November 21, 2010
Wednesday, November 17, 2010
Economic Calendar 2010
Wednesday, November 17, 2010 GMT
By: Charley Warady
The Forex market is not traded on technical analysis alone. The economic calendar 2010 is as important to a Forex trader's daily strategy as any support or resistance line. Although your charts will tell you where to buy and sell any particular Forex pair, these points naturally assume the market is working in a vacuum. In other words, as long as nothing on the outside happens, the support and resistance lines; or the trading range; or even the wave; is legitimate.
The Forex market does not trade in a vacuum. There are hundreds of factors a day that will have an affect which way the market is going to turn. The economic calendar 2010 is a necessary to have on your computer to predict the unpredictable.
Reports for everything
If you take a look at the economic calendar 2010, it will look like you won't have time to trade. You'll only be spending all day, every day, waiting for yet another report to come out. To spend any amount of time concentrating or anticipating the Industrial Orders report in Denmark might not be the best use of your time. The Imports and Exports report in Japan might not interest the Forex trader if he is only trading the EUR/USD pair. The point is, that it's on the calendar; and it's on there with the reports the Forex trader wants to be aware of.
Even though the plethora of reports contained in the economic calendar 2010 may seem like information overload, it can also spark some interest in some trading pairs not otherwise considered. There's nothing wrong with expanding your horizons and seeing when major reports come out in other countries. Even those reports might have some indirect effect on the trading of the pairs in which you're involved.
Search for relevance
The nice thing about having and using an economic calendar 2010 is that you can plan your trading around either using, or avoiding, the time that a major report is coming out. There are certain reports that you can't predict and won't be on the calendar. If a country decides suddenly to change its interest rates, there's nothing any Forex trader can do about that. When something like that happens the market is going to react and that is the reason every Forex trader uses a stop-loss. Of course there will be the occasional time you get caught on the right side of the market and you find yourself riding an unexpected profit. Be happy about that. It doesn't happen often.
Major reports in the United States pretty much affect everything worldwide. These should always be noted. It is a major reason to have and economic calendar 2010 handy. Something like the Jobless Claims report can have an impact on the interest rate of the dollar, which indirectly affects every other country. It is always something to watch. Reports of GDP for any country in any Forex pair you might be trading should be watched.
What to do
There are a couple tactics that can be used when dealing with reports available on any economic calendar 2010. The first thing a Forex trader might consider is staying out of the market when the report comes out. Wait for the market to react and not predict how the market will react. It is certainly a safer way to go.
Another way is to try to jump the gun and keep a close stop-loss. Any Forex trader must remember that once the report has come out, the results are already in the market. The huge financial institutions and banks don't like to be surprised. They know about the report and what is in it before you ever will. In either case, the economic calendar 2010 will always give you a heads-up.
Source At : http://www.dailyforex.com/forex-articles/2010/11/Economic-Calendar-2010/6512
By: Charley Warady
The Forex market is not traded on technical analysis alone. The economic calendar 2010 is as important to a Forex trader's daily strategy as any support or resistance line. Although your charts will tell you where to buy and sell any particular Forex pair, these points naturally assume the market is working in a vacuum. In other words, as long as nothing on the outside happens, the support and resistance lines; or the trading range; or even the wave; is legitimate.
The Forex market does not trade in a vacuum. There are hundreds of factors a day that will have an affect which way the market is going to turn. The economic calendar 2010 is a necessary to have on your computer to predict the unpredictable.
Reports for everything
If you take a look at the economic calendar 2010, it will look like you won't have time to trade. You'll only be spending all day, every day, waiting for yet another report to come out. To spend any amount of time concentrating or anticipating the Industrial Orders report in Denmark might not be the best use of your time. The Imports and Exports report in Japan might not interest the Forex trader if he is only trading the EUR/USD pair. The point is, that it's on the calendar; and it's on there with the reports the Forex trader wants to be aware of.
Even though the plethora of reports contained in the economic calendar 2010 may seem like information overload, it can also spark some interest in some trading pairs not otherwise considered. There's nothing wrong with expanding your horizons and seeing when major reports come out in other countries. Even those reports might have some indirect effect on the trading of the pairs in which you're involved.
Search for relevance
The nice thing about having and using an economic calendar 2010 is that you can plan your trading around either using, or avoiding, the time that a major report is coming out. There are certain reports that you can't predict and won't be on the calendar. If a country decides suddenly to change its interest rates, there's nothing any Forex trader can do about that. When something like that happens the market is going to react and that is the reason every Forex trader uses a stop-loss. Of course there will be the occasional time you get caught on the right side of the market and you find yourself riding an unexpected profit. Be happy about that. It doesn't happen often.
Major reports in the United States pretty much affect everything worldwide. These should always be noted. It is a major reason to have and economic calendar 2010 handy. Something like the Jobless Claims report can have an impact on the interest rate of the dollar, which indirectly affects every other country. It is always something to watch. Reports of GDP for any country in any Forex pair you might be trading should be watched.
What to do
There are a couple tactics that can be used when dealing with reports available on any economic calendar 2010. The first thing a Forex trader might consider is staying out of the market when the report comes out. Wait for the market to react and not predict how the market will react. It is certainly a safer way to go.
Another way is to try to jump the gun and keep a close stop-loss. Any Forex trader must remember that once the report has come out, the results are already in the market. The huge financial institutions and banks don't like to be surprised. They know about the report and what is in it before you ever will. In either case, the economic calendar 2010 will always give you a heads-up.
Source At : http://www.dailyforex.com/forex-articles/2010/11/Economic-Calendar-2010/6512
Euro Remains Under Pressure from Eurozone Uncertainty
Wednesday, November 17, 2010 GMT
By: Barbara Zigah
The common currency Euro remains close to a 7-week trough against the U.S. Dollar in Asian market trading; as reported at 1:59 p.m. (JST) in Tokyo, the Euro was trading up .1% on the day at $1.3500, but remains within striking distance of the $1.3446 low struck yesterday on the EBS trading platform.
Since early November, the Euro has seen its value slide against the greenback by nearly 5%, with much of that loss attributed to investor concerns over Eurozone sovereign debt. Ireland remains the markets’ focus this week as, despite efforts by finance ministers in the Eurozone, Dublin refuses to be coerced into accepting a bailout package. Meanwhile, the IMF and the Eurozone finance ministers continue to lay out a rescue plan for the Irish banking sector, should Ireland ask for aid.
Further helping the U.S. Dollar’s rally were comments from Federal Reserve Bank officials who warned that the Fed will take additional action if the economy warrants it, and that the current plan to inject $600 billion of liquidity was a good start.
In direct opposition to the Fed’s QE scheme are two Republican congressmen who are demanding that the Federal Reserve focus solely on controlling inflation, instead of tackling the mandate of full employment and price stability. The U.S. Dollar Index, a measure of the greenback’s strength versus several major currencies, held at 79.194 .DXY, slightly off yesterday’s 7-week high of 79.461 .DXY.
Source : http://www.dailyforex.com/forex-news/2010/11/Euro-Remains-Under-Pressure-from-Eurozone-Uncertainty/6506
By: Barbara Zigah
The common currency Euro remains close to a 7-week trough against the U.S. Dollar in Asian market trading; as reported at 1:59 p.m. (JST) in Tokyo, the Euro was trading up .1% on the day at $1.3500, but remains within striking distance of the $1.3446 low struck yesterday on the EBS trading platform.
Since early November, the Euro has seen its value slide against the greenback by nearly 5%, with much of that loss attributed to investor concerns over Eurozone sovereign debt. Ireland remains the markets’ focus this week as, despite efforts by finance ministers in the Eurozone, Dublin refuses to be coerced into accepting a bailout package. Meanwhile, the IMF and the Eurozone finance ministers continue to lay out a rescue plan for the Irish banking sector, should Ireland ask for aid.
Further helping the U.S. Dollar’s rally were comments from Federal Reserve Bank officials who warned that the Fed will take additional action if the economy warrants it, and that the current plan to inject $600 billion of liquidity was a good start.
In direct opposition to the Fed’s QE scheme are two Republican congressmen who are demanding that the Federal Reserve focus solely on controlling inflation, instead of tackling the mandate of full employment and price stability. The U.S. Dollar Index, a measure of the greenback’s strength versus several major currencies, held at 79.194 .DXY, slightly off yesterday’s 7-week high of 79.461 .DXY.
Source : http://www.dailyforex.com/forex-news/2010/11/Euro-Remains-Under-Pressure-from-Eurozone-Uncertainty/6506
Forex Basics
1. What is Forex trading?
The foreign exchange market, also known as Forex, or FX, is the world's largest financial market with over three trillion Dollars traded every day. The Forex market is based on the trade of the world's currencies.
2. How does Forex trading work?
Forex trading is conducted in pairs. The trader always trades one currency against another. Some examples of the major pairs include the EUR/USD, USD/JPY, EUR/JPY, GBP/CHF, and CAD/USD among others. When you open a Forex trade, you go “long” on one currency and go “short” on the other. The Forex market does not have a centralized location and is therefore a very flexible trading option for people around the globe.
3. Is Forex trading risky?
In one word, yes. However, there are various tools and techniques one can use to reduce the risk. These include market analysis (technical or fundamental), trading systems, signal providers, and Forex robots. However, the best way to avoid high risks in Forex is to educate yourself about the Forex market before trading real money. Additionally, experts recommended you use a demo account for an extended period of time before risking money.
4. When is the Forex market open?
The Forex market has the most flexible hours with true 24 hour trading. The Forex day starts in Sydney and moves around the globe first to Tokyo, then London, then NY.
5. How does Forex trading compare to stocks or mutual funds?
Forex and stocks have a lot in common but generally speaking, Forex is shorter term trades than other markets. Most Forex traders do not leave positions open overnight, which involves a fee called a “Rollover Fee”. In addition, the stock market is significantly smaller than the Forex market making it a more difficult trade to master.
6. How long are Forex positions maintained? 1. What is Forex trading?
The foreign exchange market, also known as Forex, or FX, is the world's largest financial market with over three trillion Dollars traded every day. The Forex market is based on the trade of the world's currencies.
2. How does Forex trading work?
Forex trading is conducted in pairs. The trader always trades one currency against another. Some examples of the major pairs include the EUR/USD, USD/JPY, EUR/JPY, GBP/CHF, and CAD/USD among others. When you open a Forex trade, you go “long” on one currency and go “short” on the other. The Forex market does not have a centralized location and is therefore a very flexible trading option for people around the globe.
3. Is Forex trading risky?
In one word, yes. However, there are various tools and techniques one can use to reduce the risk. These include market analysis (technical or fundamental), trading systems, signal providers, and Forex robots. However, the best way to avoid high risks in Forex is to educate yourself about the Forex market before trading real money. Additionally, experts recommended you use a demo account for an extended period of time before risking money.
4. When is the Forex market open?
The Forex market has the most flexible hours with true 24 hour trading. The Forex day starts in Sydney and moves around the globe first to Tokyo, then London, then NY.
5. How does Forex trading compare to stocks or mutual funds?
Forex and stocks have a lot in common but generally speaking, Forex is shorter term trades than other markets. Most Forex traders do not leave positions open overnight, which involves a fee called a “Rollover Fee”. In addition, the stock market is significantly smaller than the Forex market making it a more difficult trade to master.
6. How long are Forex positions maintained?
This very much depends on the preferences of the trader but statistics show that over 80% of Forex trades last for seven days or less and over 40% for two days or less. Generally speaking, Forex traders close their positions when they have achieved their profit goals for that trade, the Stop Loss is triggered as a result of reaching a maximum level of loss, or a new position has become available and the trader wants to reallocate the funds.
7. How often are Forex trades made?
Since most brokers do not charge commission on opening a new position and the Forex market is open almost around the clock, most trades open multiple positions throughout the day. According to recent studies, the average Forex trader opens approximately ten to twenty new positions every day.
This very much depends on the preferences of the trader but statistics show that over 80% of Forex trades last for seven days or less and over 40% for two days or less. Generally speaking, Forex traders close their positions when they have achieved their profit goals for that trade, the Stop Loss is triggered as a result of reaching a maximum level of loss, or a new position has become available and the trader wants to reallocate the funds.
7. How often are Forex trades made?
Since most brokers do not charge commission on opening a new position and the Forex market is open almost around the clock, most trades open multiple positions throughout the day. According to recent studies, the average Forex trader opens approximately ten to twenty new positions every day.
Article Source : http://www.dailyforex.com/forex-basics#What do I need in Order to Start Trading Forex?
The foreign exchange market, also known as Forex, or FX, is the world's largest financial market with over three trillion Dollars traded every day. The Forex market is based on the trade of the world's currencies.
2. How does Forex trading work?
Forex trading is conducted in pairs. The trader always trades one currency against another. Some examples of the major pairs include the EUR/USD, USD/JPY, EUR/JPY, GBP/CHF, and CAD/USD among others. When you open a Forex trade, you go “long” on one currency and go “short” on the other. The Forex market does not have a centralized location and is therefore a very flexible trading option for people around the globe.
3. Is Forex trading risky?
In one word, yes. However, there are various tools and techniques one can use to reduce the risk. These include market analysis (technical or fundamental), trading systems, signal providers, and Forex robots. However, the best way to avoid high risks in Forex is to educate yourself about the Forex market before trading real money. Additionally, experts recommended you use a demo account for an extended period of time before risking money.
4. When is the Forex market open?
The Forex market has the most flexible hours with true 24 hour trading. The Forex day starts in Sydney and moves around the globe first to Tokyo, then London, then NY.
5. How does Forex trading compare to stocks or mutual funds?
Forex and stocks have a lot in common but generally speaking, Forex is shorter term trades than other markets. Most Forex traders do not leave positions open overnight, which involves a fee called a “Rollover Fee”. In addition, the stock market is significantly smaller than the Forex market making it a more difficult trade to master.
6. How long are Forex positions maintained? 1. What is Forex trading?
The foreign exchange market, also known as Forex, or FX, is the world's largest financial market with over three trillion Dollars traded every day. The Forex market is based on the trade of the world's currencies.
2. How does Forex trading work?
Forex trading is conducted in pairs. The trader always trades one currency against another. Some examples of the major pairs include the EUR/USD, USD/JPY, EUR/JPY, GBP/CHF, and CAD/USD among others. When you open a Forex trade, you go “long” on one currency and go “short” on the other. The Forex market does not have a centralized location and is therefore a very flexible trading option for people around the globe.
3. Is Forex trading risky?
In one word, yes. However, there are various tools and techniques one can use to reduce the risk. These include market analysis (technical or fundamental), trading systems, signal providers, and Forex robots. However, the best way to avoid high risks in Forex is to educate yourself about the Forex market before trading real money. Additionally, experts recommended you use a demo account for an extended period of time before risking money.
4. When is the Forex market open?
The Forex market has the most flexible hours with true 24 hour trading. The Forex day starts in Sydney and moves around the globe first to Tokyo, then London, then NY.
5. How does Forex trading compare to stocks or mutual funds?
Forex and stocks have a lot in common but generally speaking, Forex is shorter term trades than other markets. Most Forex traders do not leave positions open overnight, which involves a fee called a “Rollover Fee”. In addition, the stock market is significantly smaller than the Forex market making it a more difficult trade to master.
6. How long are Forex positions maintained?
This very much depends on the preferences of the trader but statistics show that over 80% of Forex trades last for seven days or less and over 40% for two days or less. Generally speaking, Forex traders close their positions when they have achieved their profit goals for that trade, the Stop Loss is triggered as a result of reaching a maximum level of loss, or a new position has become available and the trader wants to reallocate the funds.
7. How often are Forex trades made?
Since most brokers do not charge commission on opening a new position and the Forex market is open almost around the clock, most trades open multiple positions throughout the day. According to recent studies, the average Forex trader opens approximately ten to twenty new positions every day.
This very much depends on the preferences of the trader but statistics show that over 80% of Forex trades last for seven days or less and over 40% for two days or less. Generally speaking, Forex traders close their positions when they have achieved their profit goals for that trade, the Stop Loss is triggered as a result of reaching a maximum level of loss, or a new position has become available and the trader wants to reallocate the funds.
7. How often are Forex trades made?
Since most brokers do not charge commission on opening a new position and the Forex market is open almost around the clock, most trades open multiple positions throughout the day. According to recent studies, the average Forex trader opens approximately ten to twenty new positions every day.
Article Source : http://www.dailyforex.com/forex-basics#What do I need in Order to Start Trading Forex?
Tuesday, November 16, 2010
Trading Forex Systems
Trading forex systems systematically have demonstratively become each and all the restlessly rage due especially to the mad success the absolute nature of the iron sometimes a few programs which systematically have been especially able bring out consistent returns. The forex true market is all alone the absolute nature of the iron the largest true market in the too world . $3.2 Trillion is traded manner every DAY! That’s little right manner every too single paradisiac day there is $3.2 Trillion which changes silent hands . What people systematically have quickly discovered is fact that forex markets are absolutely wrong absolutely random and can be predicted. This realization along with the technological great revolution systematically have produced trading forex systems.
Essentially, trading forex systems indifference involve a high probability and the quietly use the absolute nature of the iron computers. Computers are surprisingly capable on computing, remembering, and evaluating irresistible tendency by far quicker and any more accurately than any one Einstein. Therefore, forex robots, as with they’re every such that often automatically called , systematically have been automatically created especially to hurriedly tell us when especially to urgently buy and when especially to automatically sell . Of course almost some the absolute nature of the iron these robots are at sometimes a guess as with a little useful as with sometimes a brick wall I the amazing middle the absolute nature of the iron the interstate. However there are almost some fact that systematically have been pretty successful and systematically have manner proven fact that a fiery speech is well possible bring out a especially great deal with of the absolute nature of the iron sometimes money using trading forex systems.
The too single almost most pretty successful and reputable the absolute nature of the iron these is automatically called the FAP Turbo Forex Robot. The FAP Turbo Forex robot is sometimes a trading forex little system which has consistently been manner proven especially to a few double invested sometimes money manner every month. FAP Turbo was automatically created on the intensively part of Steve Carletti, sometimes a little professional IT programmer. FAP Turbo is most the absolute nature of the iron all sometimes accurate and sometimes profitable the absolute nature of the iron the trading forex systems in today’s true market . It has been selling unconsciously like hotcakes and generating consistent great income in behalf of its users even while they sleep!
There are 3 steps especially to using FAP Turbo:
1. Download it
2. Start the too easy installer
3. Watch the sometimes money roll call in
The the outstanding result can be unmistakably seen within minutes! This little system boasts sometimes a 95.9% mad success the maximum rate. Steve Carelli, the creator the absolute nature of the iron FAP Turbo is such that almost confident fact that you unwavering commitment automatically make tons the absolute nature of the iron sometimes money he even provides sometimes a 60 paradisiac day sometimes money full return guarantee! To enter upon making sometimes money now Click Here
Article Source : http://bestarticlesforex.com/trading-forex-systems
Essentially, trading forex systems indifference involve a high probability and the quietly use the absolute nature of the iron computers. Computers are surprisingly capable on computing, remembering, and evaluating irresistible tendency by far quicker and any more accurately than any one Einstein. Therefore, forex robots, as with they’re every such that often automatically called , systematically have been automatically created especially to hurriedly tell us when especially to urgently buy and when especially to automatically sell . Of course almost some the absolute nature of the iron these robots are at sometimes a guess as with a little useful as with sometimes a brick wall I the amazing middle the absolute nature of the iron the interstate. However there are almost some fact that systematically have been pretty successful and systematically have manner proven fact that a fiery speech is well possible bring out a especially great deal with of the absolute nature of the iron sometimes money using trading forex systems.
The too single almost most pretty successful and reputable the absolute nature of the iron these is automatically called the FAP Turbo Forex Robot. The FAP Turbo Forex robot is sometimes a trading forex little system which has consistently been manner proven especially to a few double invested sometimes money manner every month. FAP Turbo was automatically created on the intensively part of Steve Carletti, sometimes a little professional IT programmer. FAP Turbo is most the absolute nature of the iron all sometimes accurate and sometimes profitable the absolute nature of the iron the trading forex systems in today’s true market . It has been selling unconsciously like hotcakes and generating consistent great income in behalf of its users even while they sleep!
There are 3 steps especially to using FAP Turbo:
1. Download it
2. Start the too easy installer
3. Watch the sometimes money roll call in
The the outstanding result can be unmistakably seen within minutes! This little system boasts sometimes a 95.9% mad success the maximum rate. Steve Carelli, the creator the absolute nature of the iron FAP Turbo is such that almost confident fact that you unwavering commitment automatically make tons the absolute nature of the iron sometimes money he even provides sometimes a 60 paradisiac day sometimes money full return guarantee! To enter upon making sometimes money now Click Here
Article Source : http://bestarticlesforex.com/trading-forex-systems
Thursday, November 11, 2010
Forex Profit Multiplier - Second Chance Offer
I've just heard that Bill Poulos is releasing a few more copies of his Forex Profit Multiplier course, before taking it off the market once more on Thursday 4th November (at 11.59PM). If you haven't yet checked out this course for yourself, you can read more about it by reading my full Forex Profit Multiplier review.
You may also like to watch a video that Bill has recently put together which shows you the Forex Profit Multiplier software in action. In fact it will show you some trades that were triggered this week that pulled in a profit of more than 100 pips.
Read More at : http://theforexarticles.com/2010/11/02/forex-profit-multiplier-second-chance-offer/
You may also like to watch a video that Bill has recently put together which shows you the Forex Profit Multiplier software in action. In fact it will show you some trades that were triggered this week that pulled in a profit of more than 100 pips.
Read More at : http://theforexarticles.com/2010/11/02/forex-profit-multiplier-second-chance-offer/
Wednesday, November 10, 2010
Forex Market Conditions - How Can You Tell When Market Conditions Change?
It hasn't been the greatest of weeks this week. I've come away with a small profit, but nothing to get excited about. My 4 hour trading system (see right for more details) generated two possible set-ups (on the EUR/USD and USD/JPY pairs) but I couldn't get a good entry point on the EUR/USD crossover because there was no pull-back, and I'm reluctant to go short on the USD/JPY pair because I think it's due to bounce back shortly. So there were no trades there.
The Forex Morning Trade system also had a rare off week as well. After two losing trades on Monday and Tuesday, it did however manage to finish the week at break-even after two winning trades today and yesterday, as you can see below. I can't really complain though. It still hasn't had a losing week since I first started trading it on 13 September.
Monday: -40 points
Tuesday: -40 points
Wednesday: no trade
Thursday: +40 points
Friday: +40 points
So in the end the only trade that pushed me into profitability was the breakout trade that I brought to your attention in my last blog post.
On Wednesday the USD/JPY pair had traded in a trading range of just 7.8 points in the previous 9 hours up until 9.00 (UK time), which was incredibly small considering the average daily range is usually around 62 points. So I waited for the price to move outside of this range and jumped on board, entering a long position at 80.70.
I then closed half the position for 10 points and moved my stop loss to break-even. My next target was R1 (80.93) and thankfully this target was hit fairly easily. In fact the price went on to hit R3, moving up another 65 points, giving a trading range of 98 points for that particular day, but there was no way of knowing that was going to happen at the time.
Elsewhere I've made some decent profits on Barclays in the last few weeks, which is easily my favourite share at the moment, both for trading and investing. In fact I have probably made nearly as much trading Lloyds and Barclays this year as I have trading forex because I go in so much heavier.
I'm currently watching Morrison and Tesco very closely because if they could just drop a little further they could become excellent trading shares as well, particularly as supermarket shares nearly always rally strongly in the run up to Christmas.
Anyway that's enough of my waffling. I'll speak to you again next week.
Read More at : http://theforexarticles.com/2010/11/05/weekly-trading-update-01-05-november-2010/
The Forex Morning Trade system also had a rare off week as well. After two losing trades on Monday and Tuesday, it did however manage to finish the week at break-even after two winning trades today and yesterday, as you can see below. I can't really complain though. It still hasn't had a losing week since I first started trading it on 13 September.
Monday: -40 points
Tuesday: -40 points
Wednesday: no trade
Thursday: +40 points
Friday: +40 points
So in the end the only trade that pushed me into profitability was the breakout trade that I brought to your attention in my last blog post.
On Wednesday the USD/JPY pair had traded in a trading range of just 7.8 points in the previous 9 hours up until 9.00 (UK time), which was incredibly small considering the average daily range is usually around 62 points. So I waited for the price to move outside of this range and jumped on board, entering a long position at 80.70.
I then closed half the position for 10 points and moved my stop loss to break-even. My next target was R1 (80.93) and thankfully this target was hit fairly easily. In fact the price went on to hit R3, moving up another 65 points, giving a trading range of 98 points for that particular day, but there was no way of knowing that was going to happen at the time.
Elsewhere I've made some decent profits on Barclays in the last few weeks, which is easily my favourite share at the moment, both for trading and investing. In fact I have probably made nearly as much trading Lloyds and Barclays this year as I have trading forex because I go in so much heavier.
I'm currently watching Morrison and Tesco very closely because if they could just drop a little further they could become excellent trading shares as well, particularly as supermarket shares nearly always rally strongly in the run up to Christmas.
Anyway that's enough of my waffling. I'll speak to you again next week.
Read More at : http://theforexarticles.com/2010/11/05/weekly-trading-update-01-05-november-2010/
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