1) Knowledge – As we all know that knowledge is power without knowledge is like working without getting paid. Get your FREE FX Power Trading Course @ of $ 500! This ebook alone teach you how to become a successful forex trader! Http://www.eforex22.com/
2) technical and fundamental analysis – be prepared to trade and analyze the table and look at the annnouncement news. Never try to identify tops and bottoms certainly go wrong as the market is not predictable. No one can point the tops and bottoms perfectly consistent, even for very good you are. Trade news and reports calendar, that is, jobless claims, (un) employment data from the balance of trade, budget deficits, productivity, Univ. Michigan Sentiment, PPI, CPI, FOMC, interest rates, Greenspan's comments, consumer confidence, leading indicators, GDP, inflation money supply, government intervention, the IMF and / or assistance from the World Bank. News & Reports Tools: Shirmeyer economic calendar, Bloomberg TV and web site, Reuters.
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3) learn to manage risk – to stop the losses quickly let profits run. Limit your losss to only 15 – 30 points and make sure to mount your salary at least three fold loss of its boundary points. For example, if you were your risk of loss of 15 pips sure to mount your profits by at least 45 pips if you are risking 30 pips to make sure you mount your profits up 90 pips. If you apply this method, you can be sure of only 50% of the time but still make money in the long run run!
4) follows the trend – remember always trend is your friend and trade only when the market begins to trend does not go against it.
5) Deadline – look at the larger picture time and trade the 1 minute chart. Price indications are very, very clear when you use this method, for example, if you were to trade daily chart to look at the shortest span of time as the graph 1 minute or 15 minute chart. There are 60 bars of 1 minute chart and bar graph 4 of 15 minutes contained in the bar chart 1 hour and there are 24 bars of 1 hour bar chart of the daily bar chart. Upon discovering that your're shortest time certainly in the right direction to predict the future market.
6) The best time of negotiation —
a) London opens at 8 am GMT or 3 EST. Closes at 4 pm GMT or 11 EST. The most active pairs during this session are EURUSD with 39% of trading volume, GBPUSD with 23%, USDJPY, with 17%, 6% USDCHF and USDCAD with 5%.
b) Europe opens in 7 GMT or EST 2, closed at 3 pm GMT or 10 sessions EST.The European session more volatile most of the time.
c) New York opens in 8 or 1 GST EST.Closes at 8 GMT or EST 3. New York is the place of the second largest foreign exchange market. The busiest time is 8 to noon EST. Releases can result in a volatile market. Trading activity usually winds down after the period of the late U.S. trading.
d) The Tokyo session opens in Move 1 GMT or 8 Estand closes at 8 or 3 GMT volatility EST.Sometimes is low and sometimes good place. The USDJPY pair is the most active with 78% of the volume followed EURUSD with 15% EURJPY and 5%. UK is the British Summer Time, which is one hour before the GMT.UK, Europe and USA are in the summer Summer Time, until Sunday, 29 October 2006.
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7) know the indicators: All these indicators moving average convergence divergence (MACD), retracement levels Fibonacci, moving averages, ATR, RSI, momentum is absolutely important, without it your chances of winning the market are quite slim is like traveling without a map.
About the Author:
Brian Aulay is a professional and an experienced day trader in forex market and has been trading for more than 9 years
and keep profiting consisistently up till now. For more details go to http://www.eforex22.com/ and get your Free FX Power
Trading Course value @ $500! This ebook alone would teach you how to become a successful forex trader!
Article Source: ArticlesBase.com – The 7 Key Which is Extremely Crucial to Succceed in the Forex Market
