There are several ways to reach your goal, however, one way to help is to always stick to one main strategy that works best for you. If it is followed with discipline, it will definitely lead you to get better results. By trading confidently, you can easily achieve more as this will make it easier for you and you will be able to trade stress-free.
Forex traders tend to think that it is only about a specific way to trade but this is actually only part of the trading plan. A consistent forex trading can provide real results, keeping into consideration the volume size and the risks involved in the forex market. However, the foundation of it all is to know what is forex trading.
Each trader is different, while one strategy works for you, this may prove futile to another. As such, you need to find the appropriate one for you and this can be done only by doing experimentation; remember actions speak louder than words! Experiment, learn from your mistakes and act wisely when you trade.
Finarix has come across some top trading strategies that might interest you as these have been widely practised by traders across the globe and still remain the most recommended ones that we have curated for you.
If you are still a complete beginner in trading, then the forex scalping strategy might works for you. Scalping refers to making a large number of trades that can produce small profits individually, these are very short-lived trades.
In other words, the main objective of this strategy is to make profit by buying and selling currencies by holding a positive for a short period of time and as such, closing it for a small profit only.
However, to decide whether the forex scalping strategy will be suitable for you will depend only if you can afford to spend enough time in trading. Scalping requires constant analysis of the forex market and technical graphs which can be found on the trading platform itself.
If you really wish to succeed, you need to quickly predict whether the market will go up or down and then open and close positions within few seconds or minutes.
Now, let’s have a look at the pros and cons of using this forex strategy:
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Intraday trading is a set of Forex day trading strategies that demand opening and closing trades on the same day. If you are someone who can concentrate well on any asset, you can opt for forex intraday strategy as you only need to focus on the charts or assets all day long that you will be trading. This method requires focus and patience, hence you need to be totally determined to achieve your goals.
Intraday trading does not restrict you to only one trade, you can open several positions at the same time and close them after one hour or few hours, whichever you prefer. If you have a good eye for analysing charts and markets, then you can easily up your game using this forex strategy; however, if markets go against your prediction, you will suffer severe consequences.
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With swing forex trading strategy, you will be able to enter trades and take advantage of the upswings and the downswings. All your trades will either last for one day up to several days and even weeks if you do not stop or close the trade.
Swing traders tend to trade the daily charts but some even get down to shorter time frames. Some traders like to explore much larger time frames to see what the long term swing is and if there is possibility of an upswing or downswing happening.
This forex trading strategy is ideal for those who have a busy schedule going on in their life such as full-time jobs. As such, these traders do not need to sit in front of their devices, but rather can check their trades once in a while to analyse the progress of charts or assets they placed a trade. The Bollinger Bands Indicator can be used while using swing forex trading strategy.
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Well, as we define all these interesting strategies for you, we are aware of the fact that these could still be difficult for some, especially if you don’t possess a trader’s background. Here’s the good news for you, you can actually come up with your own strategy that you can adapt as you trade on our user-friendly platform.
Once you have logged in to your account and directed on our trading platform, you will have a “news feature” and “economic events” feature where you will have access to daily news and events that might impact certain assets. As such, you can still get an overview of what direction to take, whether to opt for BUY or SELL for that particular asset.
Below are some examples of major events that might have a huge impact on the market and change the trends of assets:
Once you have logged in to your account and directed on our trading platform, you will have a “news feature” and “economic events” feature where you will have access to daily news and events that might impact certain assets. As such, you can still get an overview of what direction to take, whether to opt for BUY or SELL for that particular asset.
A trader can still make maximum use of daily news which can help him analyse the market and place trades accordingly. For example, if you wish to trade on the stocks of a company, let’s say Netflix has just released its quarterly earnings report. Here, you need to see if there is an improvement in this quarter, if its shares have jumped or slowed, if there is a surge in Netflix’s subscribers. Only then, you may consider that its stock could rise on the market and opt for BUY or place a CALL option.
But still if you are having difficulty no need to worry because we got you covered, you can check our Daily Forex Market where we have already analysed the assets for you and you can follow the tips provided before placing your trades.