Forex Trading Strategies

Every successful currency trader has several forex trading strategies up their sleeves. Once those are proven to be profitable, the trader follows them closely each and every time they are trading.

It usually depends on the personality of the trader, as some strategies fit some better than others, but some basics moves are generally used by each and every experienced trader.

The psychology of trading:

• always start your day of trading with an uplifting session (be it yoga, a song, a run, a quoate, etc.)
• make sure you know you trust yourself
• keep your emotions out of any trade
• after you are done with one trade, you move to the other – emotionally and mentality
• never trade when you can’t focus 100% on the trade in front of you
• learn from each trade and move on

These rules are followed religiously and when you are a knowledgeable currency trader you understand that you learn more from a bad day of trading then from a good one. That does not mean you can’t learn from good trading days as well, as long as you keep your emotions at bay.

Your System:

Once you get a Profit Protection System from the Forex Trading class you have enrolled or from a forex successful trader that you trust from a currency community, use it and always use it in every trade. You need to trust your system because it will work for you as it has for the experienced traders that exposed you to it.

Currency Pairs:

Choose to trade currency pairs that you have an affinity for. You probably couldn’t care less about the South African Rand, when you have little to no data on it on a daily basis like you have for the main currencies that are traded in Forex. Stick to the currencies you have easy access to information and news about them.

Main currencies:

• USD – US Dollar
• JPY – Japanese Yen
• GBP – British Pound
• EUR – Euro
• AUD – Australian Dollar
• NZD – New Zealand Dollar
• CHF – Swiss Franc
• CAD – Canadian Dollar

Profits on a trade

The golden rule is to Plan Your Trade and trade Your Plan. Never deviate from this rule. It’s part of every successful system. Once you make the number of pips that you have targeted prior to entering the position, you close your position no matter what. Make sure you don’t get greedy when planning a trade either.

Make sure you have a really good stop-loss discipline before you start trading live or else you might just end up within the 97% of the traders who fail on the Forex market. Put together your strategies and always follow them closely. It will pay off!

Tagged with: forex strategies • Forex Trading Strategies • psychology of trading

Filed under: Foreign Exchange Workshop

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