Forex trading strategies in place, you're ready to take on the
currency markets. Your charts are set up, your indicators and
oscillators are pulsating and your trend lines have clearly marked the
way price will go. You enter your trade confident of carving up 20 pips
or more before lunch.
Life is good.
Next thing you know, price has shot off in the opposite direction and soon your stop loss is taken out for a hefty loss. You sit there stunned and ask yourself, "What just happened?".
The answer is that the market obviously got some new information to revise its expectations. That news could have come from many sources - a government economic report, the veiled utterance of a central banker at a press conference, some new statistics on a country's exports...
Factors such as these have a direct influence on the sentiment on market players. These players are the big guns of the foreign exchange markets - the banks and trading companies who routinely trade billions of dollars daily.
If you want to trade on the side of these players (and be aware that the opposite side is known as the 'dumb money'), you need to keep up with the same news releases as they do. So when the big boys move, you're ready to go with them.
But how do you do this without being an economics graduate with a dedicated financial news feed?
You'll be glad to know it's far simpler than you might think.
The first thing you need to know which among the myriad news items released weekly will significantly move the forex markets. Many free forex calendar websites offer this kind of information.
Then you have to know when to place your trade. Sometimes it's best to take your position ahead of the announcement. Sometimes it's better to wait for the announcement to move the market and then enter with a trade when the market has settled down into a trend.
The trick is to know which news releases to apply which strategy to. But this is far from being rocket science. In fact it's something you can master in a matter of hours and which can boost your forex trading results immeasurably.
Forex Trading Strategies are many and varied. So if you've found fx trading difficult, look into incorporating trading the news into your system. It might be just the key you've been looking for.
Life is good.
Next thing you know, price has shot off in the opposite direction and soon your stop loss is taken out for a hefty loss. You sit there stunned and ask yourself, "What just happened?".
The answer is that the market obviously got some new information to revise its expectations. That news could have come from many sources - a government economic report, the veiled utterance of a central banker at a press conference, some new statistics on a country's exports...
Factors such as these have a direct influence on the sentiment on market players. These players are the big guns of the foreign exchange markets - the banks and trading companies who routinely trade billions of dollars daily.
If you want to trade on the side of these players (and be aware that the opposite side is known as the 'dumb money'), you need to keep up with the same news releases as they do. So when the big boys move, you're ready to go with them.
But how do you do this without being an economics graduate with a dedicated financial news feed?
You'll be glad to know it's far simpler than you might think.
The first thing you need to know which among the myriad news items released weekly will significantly move the forex markets. Many free forex calendar websites offer this kind of information.
Then you have to know when to place your trade. Sometimes it's best to take your position ahead of the announcement. Sometimes it's better to wait for the announcement to move the market and then enter with a trade when the market has settled down into a trend.
The trick is to know which news releases to apply which strategy to. But this is far from being rocket science. In fact it's something you can master in a matter of hours and which can boost your forex trading results immeasurably.
Forex Trading Strategies are many and varied. So if you've found fx trading difficult, look into incorporating trading the news into your system. It might be just the key you've been looking for.
The journey to forex success and financial freedom doesn't have
to be difficult if you know how to trade the news. All you need is News
Profiteer
[http://www.fxsystemreport.com/News_Profiteer_-_A_Review.html], a
complete system to help you master forex news trading as quickly and
effectively as possible. Visit [http://www.fxsystemreport.com] for the
best fx system reviews.
Article Source:
http://EzineArticles.com/expert/Andrew_G._Bond/251855
11:40:00 PM
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