Trend Trading Strategies - The Right Side of The Market

How to use my free Trend Line indicator for trade in forex market

How to use my free Trend Line indicator for trade in forex market submitted by KOALA-FXMASTER to u/KOALA-FXMASTER [link] [comments]

You know that Forex is the only trading that can withstand the biggest crisis periods on global markets. But the latest trends seem to show there could be potential risks, which is however temporary. Get the latest updates on Forex Game Changers at http://dominion24.esy.es/register-for-webinar/.

You know that Forex is the only trading that can withstand the biggest crisis periods on global markets. But the latest trends seem to show there could be potential risks, which is however temporary. Get the latest updates on Forex Game Changers at http://dominion24.esy.es/register-for-webina. submitted by edithadhanushya to u/edithadhanushya [link] [comments]

Can you afford the time required to keep running after your Forex Trading agent to keep track of the market trends? Do you prefer to invest once, while the trader manages everything? Do you wish to get Risk free returns on investments? Find out from http://dominion24.esy.es/register-for-webinar/

Can you afford the time required to keep running after your Forex Trading agent to keep track of the market trends? Do you prefer to invest once, while the trader manages everything? Do you wish to get Risk free returns on investments? Find out from http://dominion24.esy.es/register-for-webina submitted by edithadhanushya to u/edithadhanushya [link] [comments]

Lucky Trend Alert -Trading indicator for all markets (stocks, futures, index, crypto, CFD’s & forex markets)

Lucky Trend Alert -Trading indicator for all markets (stocks, futures, index, crypto, CFD’s & forex markets) submitted by ceocodes to u/ceocodes [link] [comments]

Trend Line-Trading indicator for stocks, futures, index, crypto, CFD’s & forex markets.

Trend indicator reads live market price and put a colour changing trend line on the chart.
The trend line adjusts to any chart times.
The chart candle bars are coloured to assist with entry and exit points.
Trend indicator is best used as trend confirmation or combination with further technical analysis .
submitted by ceocodes to u/ceocodes [link] [comments]

Trend Anomaly Alert-Trading indicator for stocks, futures, index, crypto, CFD’s & forex markets.

Anomaly alert automatically derives Support & Resistance Price Levels from historical data & shows a directional signal on the bottom of the chart. This aert is good for confirming reversals and identifying anomalies in the trend.
A directional long/short alert can then be set from the indicator to give a live notification of changing market conditions.
These Support & Resistance levels are derived from historical data which allows the code to not repaint.
Anomoly alert can be used alone for long/short signals or used as a visual aid to assist in identifying levels on the chart.
submitted by ceocodes to u/ceocodes [link] [comments]

Tips to Predict the Forex Trading Market Trends ahead of others

Tips to Predict the Forex Trading Market Trends ahead of others
Learning the ways to predict the forex trading trends helps you to make reliable strategies to win the trade ahead of others. Forex brokers like WesternFx helps you to learn these things at its best. Also, read tips to predict the Forex market trends at its best here.
Forex Trading Market Prediction Skills
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ETH/USD Market News on 31 August 2018: Down Trend The ETH/USD currecypair is currently trading around 279.09. It has bearish outlook. The rate has neutral trend. Keep for updates! #marketscube #forex #currencypair #eth #usd #ethusd #fx #forextrading #trading #news

ETH/USD Market News on 31 August 2018: Down Trend The ETH/USD currecypair is currently trading around 279.09. It has bearish outlook. The rate has neutral trend. Keep for updates! #marketscube #forex #currencypair #eth #usd #ethusd #fx #forextrading #trading #news submitted by Markets-Cube to u/Markets-Cube [link] [comments]

AUD/USD Market News on 21 August 2018: Down Trend The AUD/USD currecypair is currently trading around 0.73506. It has bearish outlook. The rate has down trend. Keep for updates! #marketscube #forex #currencypair #aud #usd #audusd #fx #forextrading #trading #news

AUD/USD Market News on 21 August 2018: Down Trend The AUD/USD currecypair is currently trading around 0.73506. It has bearish outlook. The rate has down trend. Keep for updates! #marketscube #forex #currencypair #aud #usd #audusd #fx #forextrading #trading #news submitted by Markets-Cube to u/Markets-Cube [link] [comments]

AUD/USD Market News on 17 August 2018: Down Trend. The AUD/USD currecypair is currently trading around 0.72765. It has bearish outlook. The rate has down trend. Keep for updates! #marketscube #forex #currencypair #aud #usd #audusd #fx #forextrading #trading #news

AUD/USD Market News on 17 August 2018: Down Trend. The AUD/USD currecypair is currently trading around 0.72765. It has bearish outlook. The rate has down trend. Keep for updates! #marketscube #forex #currencypair #aud #usd #audusd #fx #forextrading #trading #news submitted by Markets-Cube to u/Markets-Cube [link] [comments]

AUD/JPY Market News on 7 August 2018: Down Trend The AUD/JPY currecypair is currently trading around 82.551. It has bearish outlook. The rate has down trend. Keep for updates! #marketscube #forex #currencypair #aud #jpy #audjpy #fx #forextrading #trading #news

AUD/JPY Market News on 7 August 2018: Down Trend The AUD/JPY currecypair is currently trading around 82.551. It has bearish outlook. The rate has down trend. Keep for updates! #marketscube #forex #currencypair #aud #jpy #audjpy #fx #forextrading #trading #news submitted by Markets-Cube to u/Markets-Cube [link] [comments]

Why trade Forex? World’s largest and most liquid financial market Markets open 24 hours a day Markets are low cost Market transparency offers an even playing field Utilise the power of leverage Cycles and trends in the market are easier to predict than the share market

Why trade Forex? World’s largest and most liquid financial market Markets open 24 hours a day Markets are low cost Market transparency offers an even playing field Utilise the power of leverage Cycles and trends in the market are easier to predict than the share market submitted by Binarypro2020 to u/Binarypro2020 [link] [comments]

GBP/USD seems to be in a trendline dating back to 2006. Would the market follow a trendline for this long?

GBP/USD seems to be in a trendline dating back to 2006. Would the market follow a trendline for this long? submitted by howlingpanda123_ to Forex [link] [comments]

Forex Patterns & Probabilities: Trading Strategies for Trending & Range-Bound Markets (Wiley Trading)

submitted by harleydavidson789 to easymoneyforteens [link] [comments]

help me read comment

help me read comment submitted by BamboInvestor to Forex [link] [comments]

Does forex trade like stocks?

I’m thinking about trying out forex but does it more or so form actual trends based off technical analysis or is it just a bunch of choppy randomness?
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Price Action...

Ok so I'll admit, I was not a fan of price action until recently. I was watching NNFX and I thought it was useless, part of the problem was that I was too lazy to bother trying it. But the more I browse this sub, the more interested I am. However, I am not completely cutting out my indicators and I'm gonna try both. But I have some questions:
  1. Can you trade using price action on longer timeframes? (1h and up, I can't watch the charts for that long. Preferably, I would do full on swing trading using price action.)
  2. How would you backtest a strategy using price action? I feel like this would be difficult for 2 reasons:
    1. It is pretty subjective, so the rules aren't as strict (you might miss a trade opportunity while backtesting).
    2. I can't backtest on tradingview using intraday charts, do you have a way to get around this? I tried drawing a black rectangle using the drawing tools but if you hover over it with your mouse, you can see price again.
  3. I am going to read naked forex soon, would you recommend any other resources or should I stick with that for now and learn the basics first? (I'm not sure if I can even call it the "basics")
  4. I also did the babypips course so I'm not completely clueless, but I skipped the parts about price patterns, harmonic patterns, and elliot wave (and fundamentals analysis but I'm not gonna bother with fundamentals because I only care about the news so I can avoid it, more than that is too much to keep track of IMO). I think the price patterns section might be important but the elliott wave and harmonic price patterns don't seem too important to me. Should I go back and learn these?
Thank you.
submitted by CD_GG_FX to Forex [link] [comments]

Why is Forex so hard to trade with standard strategies?

Hi,
I ran backtests for these markets:
  1. Forex, EURUSD and USDCAD
  2. Metals - Gold, silver
  3. Crypto - BTCUSD, ETHUSD
  4. SP500
It almost poked into my eye that forex seems to change its behaviour randomly sometimes and became unsuitable for standard strategies - e.g. MA crossover, Keltner, BB after idk maybe mid 2019?
It has the tighest spreads & smallest commissions,swaps etc. but is not very consistent anymore, e.g. with crypto or SP500 I strategies work well in backtest and make a small profit in forward test but for forex, e.g. EURUSD you are in for major drawdowns and low winrates?
Where is all this losses money going, to ML? Are market makers just randomly pushing prices to collect commissions?
submitted by dodsen92 to algotrading [link] [comments]

I have an 89% win rate over 18 trades, with a 27% profit. How many trades should I do before going live?

So I've been doing some scalping on pairs with high spreads in cryptocurrencies previously with great success, but I finally figured I'd give forex a real shot (was into it a few years ago, but didn't go live). Last time I scalped in crypto, I had 14 out of 14 successful trades, but only about a 10% profit. I haven't heard about anyone scalping the way I do in crypto, but I find my method extremely reliable when I just find the right pair to trade. This is just to say I have some experience with trading, but I'm by no means an expert.
Now, I've been scalping the past few days with a paper trading account on TradingView. I've mostly been trading the US Currency Index, S&P 500 and some crypto pairs thus far. I'm scalping on the 1m time frame using bollinger bands and looking at trends, price action and stoch RSI for confirmation on my entries. I started out with 100k a few days ago and first doubled my account to around 200k and then did a 1,3 mill trade, but I was running like 500-1000 USD per pip, so if the market turned against me, I'd be liquidated real quick. While the trades were good, I figured I was disconnected from the risk I was taking because it isn't real money, and I wanted to try doing more conservative and realistic trades, so I reset the account yesterday.
Edit (more trades done): Since the account was reset, I've done 45 trades where I've lost on two of them. If my math serves me right, that's about an 95.5% win rate. I'm up around 77.5% currently. I did lose 1500 on one trade, but that's because I by mistake placed a sell order when I was supposed to add another buy order double down on my long position, so I'm not counting that one in (but I'm not counting the 1500 I lost as profit either). I have a very strict strategy I'm sticking to when doing these scalps. I realize 45 trades is not a huge sample size, but that is kinda why I'm asking:
How many trades should I do on the paper trading account before I should run it live with confidence?
For anyone who might be interested, here's my account history: https://imgur.com/a/zuRSWwd
Edit: here's 6 trades more: https://imgur.com/a/CmbyU6n
Edit2: some more trades: https://imgur.com/a/q9xqVyq
Edit3: I think we're up to 45 trades now: https://imgur.com/a/CsWZEN7
submitted by imawfullyaverage to Forex [link] [comments]

What are the strategies to forex trading that are the most effective?

submitted by joeyhart871 to Forex [link] [comments]

New to Trading? Here's some tips

So there seems to be a lot of new people on this sub. And makes sense if you have questions a lot of time you'll turn to reddit for the answers (I know I do). Well here are some tips that I think would benefit new traders.
  1. Don't trade ANY Euro pairs. Look I know it's the most traded pair it goes up and down really fast and there's so much potential for you to make money. Turns out there's even more for you to lose money. It's way too volatile specially if you don't know what you're doing. EUUSD is the worst offender.
  2. Trade the Daily. Might think you're cool looking at charts every x amount of times during the day. You get to tell your friends and family that you trade all day and they might be impressed at what you're doing but unless you have some years under you stick to the daily. There's less noise. You can see clearer trends and when you don't stare at the screen all day you're less emotional therefore a more effective trader. I only look at the chart 15 minutes a day to either enter close or manage my trades. Whatever happens when I'm gone is what happens.
  3. There is no holy grail indicator Look for it all you want. It doesn't exist. There are good indicators. There are bad indicators. There are some indicators that are so broken if you do the opposite of what they're intended for you'll actually make a profit. But the fact remains that there's no perfect one. Stop looking. What you should be looking for is an indicator that fits with your strategy.
  4. What currencies to pick. I actually never see this brought up. The notion in forex is that all pairs can be traded equally. To a certain extent that's not false. But until you get the hang of it stick to a strict trading diet. Look for pairs that trend a lot. Duh look for the trend I can hear you say. When I say trend I don't mean a couple of days or weeks. I mean a couple of months. Half a year. Pairs that do that have a higher tendency to stick with one direction for a while. That's where you make your money. An easy way to identify those pairs as well is putting together a volatile currency (USD) with a less volatile one(JPY).
  5. USE YOUR SL Trust me even if not putting a SL has netted you all kinds of gains eventually the market will turn around and bite you. With no safety net you'll lose most if not all your profit. The best offense is a good defense.
  6. How to pick your TP and SL level. Most new traders care so much about that. I put it near the bottom because in my opinion you should know everything listed first. This is my opinion and I use it for my strategy I use the ATR(average true range) indicator. It's a really helpful tool that helps you identify the range at which the candles will either rise or fall. Obviously you want to set your TP inside of that range and your SL slightly outside of it.
  7. Lot sizes. Everyone has a different story about how they pick their lot size. The general consensus is don't risk over 2% of your account. But I'm a simple man and I can't be bothered to figure out what my risk is every single time. So what I do is I put $0.10 for every $100 I have on the account. I then assign $300(minimum) to each pair. That's $0.30 per pair. It's easy to remember. 10 cent for every $100. If you're able to blow $100 with $0.10 then you probably shouldn't trade.
  8. How to avoid reversals. Tbh you can't. There's no way to predict the future so eventually you'll get hit by one. What you can do however is minimize the blow. How I do it is for every pair I take two trades. If you remember in the previous tip is said I do about$0.30 per pair well I divide it 2:1. I take one trade with a TP(2) and one without (1). If my TP is hit I pocket that amount and if the trend keeps going in my direction I make even more. If the trend decides to end or reverses my losses are minimal because at least I kept half.
  9. There is NO right way to trade. Stop listening to people telling the best way to trade is fundamentals or naked charts of to use some specific indicator. There are no right way to do this. It's as flexible and unlimited as your imagination. I personally use indicators but if that's not your thing do YOU! Just remember to manage your trades properly and be level headed when trading. Hell if your trading strategy is flipping a coin with proper trade management you'd probably make some money (don't quote me on that).
  10. Trade money you're willing to lose Don't trade your rent money.
That's all I have for now. If anyone sees this and wants to add more feel free. Hope this helps someone.
submitted by MannyTrade to Forex [link] [comments]

Former investment bank FX trader: some thoughts

Former investment bank FX trader: some thoughts
Hi guys,
I have been using reddit for years in my personal life (not trading!) and wanted to give something back in an area where i am an expert.
I worked at an investment bank for seven years and joined them as a graduate FX trader so have lots of professional experience, by which i mean I was trained and paid by a big institution to trade on their behalf. This is very different to being a full-time home trader, although that is not to discredit those guys, who can accumulate a good amount of experience/wisdom through self learning.
When I get time I'm going to write a mid-length posts on each topic for you guys along the lines of how i was trained. I guess there would be 15-20 topics in total so about 50-60 posts. Feel free to comment or ask questions.
The first topic is Risk Management and we'll cover it in three parts
Part I
  • Why it matters
  • Position sizing
  • Kelly
  • Using stops sensibly
  • Picking a clear level

Why it matters

The first rule of making money through trading is to ensure you do not lose money. Look at any serious hedge fund’s website and they’ll talk about their first priority being “preservation of investor capital.”
You have to keep it before you grow it.
Strangely, if you look at retail trading websites, for every one article on risk management there are probably fifty on trade selection. This is completely the wrong way around.
The great news is that this stuff is pretty simple and process-driven. Anyone can learn and follow best practices.
Seriously, avoiding mistakes is one of the most important things: there's not some holy grail system for finding winning trades, rather a routine and fairly boring set of processes that ensure that you are profitable, despite having plenty of losing trades alongside the winners.

Capital and position sizing

The first thing you have to know is how much capital you are working with. Let’s say you have $100,000 deposited. This is your maximum trading capital. Your trading capital is not the leveraged amount. It is the amount of money you have deposited and can withdraw or lose.
Position sizing is what ensures that a losing streak does not take you out of the market.
A rule of thumb is that one should risk no more than 2% of one’s account balance on an individual trade and no more than 8% of one’s account balance on a specific theme. We’ll look at why that’s a rule of thumb later. For now let’s just accept those numbers and look at examples.
So we have $100,000 in our account. And we wish to buy EURUSD. We should therefore not be risking more than 2% which $2,000.
We look at a technical chart and decide to leave a stop below the monthly low, which is 55 pips below market. We’ll come back to this in a bit. So what should our position size be?
We go to the calculator page, select Position Size and enter our details. There are many such calculators online - just google "Pip calculator".

https://preview.redd.it/y38zb666e5h51.jpg?width=1200&format=pjpg&auto=webp&s=26e4fe569dc5c1f43ce4c746230c49b138691d14
So the appropriate size is a buy position of 363,636 EURUSD. If it reaches our stop level we know we’ll lose precisely $2,000 or 2% of our capital.
You should be using this calculator (or something similar) on every single trade so that you know your risk.
Now imagine that we have similar bets on EURJPY and EURGBP, which have also broken above moving averages. Clearly this EUR-momentum is a theme. If it works all three bets are likely to pay off. But if it goes wrong we are likely to lose on all three at once. We are going to look at this concept of correlation in more detail later.
The total amount of risk in our portfolio - if all of the trades on this EUR-momentum theme were to hit their stops - should not exceed $8,000 or 8% of total capital. This allows us to go big on themes we like without going bust when the theme does not work.
As we’ll see later, many traders only win on 40-60% of trades. So you have to accept losing trades will be common and ensure you size trades so they cannot ruin you.
Similarly, like poker players, we should risk more on trades we feel confident about and less on trades that seem less compelling. However, this should always be subject to overall position sizing constraints.
For example before you put on each trade you might rate the strength of your conviction in the trade and allocate a position size accordingly:

https://preview.redd.it/q2ea6rgae5h51.png?width=1200&format=png&auto=webp&s=4332cb8d0bbbc3d8db972c1f28e8189105393e5b
To keep yourself disciplined you should try to ensure that no more than one in twenty trades are graded exceptional and allocated 5% of account balance risk. It really should be a rare moment when all the stars align for you.
Notice that the nice thing about dealing in percentages is that it scales. Say you start out with $100,000 but end the year up 50% at $150,000. Now a 1% bet will risk $1,500 rather than $1,000. That makes sense as your capital has grown.
It is extremely common for retail accounts to blow-up by making only 4-5 losing trades because they are leveraged at 50:1 and have taken on far too large a position, relative to their account balance.
Consider that GBPUSD tends to move 1% each day. If you have an account balance of $10k then it would be crazy to take a position of $500k (50:1 leveraged). A 1% move on $500k is $5k.
Two perfectly regular down days in a row — or a single day’s move of 2% — and you will receive a margin call from the broker, have the account closed out, and have lost all your money.
Do not let this happen to you. Use position sizing discipline to protect yourself.

Kelly Criterion

If you’re wondering - why “about 2%” per trade? - that’s a fair question. Why not 0.5% or 10% or any other number?
The Kelly Criterion is a formula that was adapted for use in casinos. If you know the odds of winning and the expected pay-off, it tells you how much you should bet in each round.
This is harder than it sounds. Let’s say you could bet on a weighted coin flip, where it lands on heads 60% of the time and tails 40% of the time. The payout is $2 per $1 bet.
Well, absolutely you should bet. The odds are in your favour. But if you have, say, $100 it is less obvious how much you should bet to avoid ruin.
Say you bet $50, the odds that it could land on tails twice in a row are 16%. You could easily be out after the first two flips.
Equally, betting $1 is not going to maximise your advantage. The odds are 60/40 in your favour so only betting $1 is likely too conservative. The Kelly Criterion is a formula that produces the long-run optimal bet size, given the odds.
Applying the formula to forex trading looks like this:
Position size % = Winning trade % - ( (1- Winning trade %) / Risk-reward ratio
If you have recorded hundreds of trades in your journal - see next chapter - you can calculate what this outputs for you specifically.
If you don't have hundreds of trades then let’s assume some realistic defaults of Winning trade % being 30% and Risk-reward ratio being 3. The 3 implies your TP is 3x the distance of your stop from entry e.g. 300 pips take profit and 100 pips stop loss.
So that’s 0.3 - (1 - 0.3) / 3 = 6.6%.
Hold on a second. 6.6% of your account probably feels like a LOT to risk per trade.This is the main observation people have on Kelly: whilst it may optimise the long-run results it doesn’t take into account the pain of drawdowns. It is better thought of as the rational maximum limit. You needn’t go right up to the limit!
With a 30% winning trade ratio, the odds of you losing on four trades in a row is nearly one in four. That would result in a drawdown of nearly a quarter of your starting account balance. Could you really stomach that and put on the fifth trade, cool as ice? Most of us could not.
Accordingly people tend to reduce the bet size. For example, let’s say you know you would feel emotionally affected by losing 25% of your account.
Well, the simplest way is to divide the Kelly output by four. You have effectively hidden 75% of your account balance from Kelly and it is now optimised to avoid a total wipeout of just the 25% it can see.
This gives 6.6% / 4 = 1.65%. Of course different trading approaches and different risk appetites will provide different optimal bet sizes but as a rule of thumb something between 1-2% is appropriate for the style and risk appetite of most retail traders.
Incidentally be very wary of systems or traders who claim high winning trade % like 80%. Invariably these don’t pass a basic sense-check:
  • How many live trades have you done? Often they’ll have done only a handful of real trades and the rest are simulated backtests, which are overfitted. The model will soon die.
  • What is your risk-reward ratio on each trade? If you have a take profit $3 away and a stop loss $100 away, of course most trades will be winners. You will not be making money, however! In general most traders should trade smaller position sizes and less frequently than they do. If you are going to bias one way or the other, far better to start off too small.

How to use stop losses sensibly

Stop losses have a bad reputation amongst the retail community but are absolutely essential to risk management. No serious discretionary trader can operate without them.
A stop loss is a resting order, left with the broker, to automatically close your position if it reaches a certain price. For a recap on the various order types visit this chapter.
The valid concern with stop losses is that disreputable brokers look for a concentration of stops and then, when the market is close, whipsaw the price through the stop levels so that the clients ‘stop out’ and sell to the broker at a low rate before the market naturally comes back higher. This is referred to as ‘stop hunting’.
This would be extremely immoral behaviour and the way to guard against it is to use a highly reputable top-tier broker in a well regulated region such as the UK.
Why are stop losses so important? Well, there is no other way to manage risk with certainty.
You should always have a pre-determined stop loss before you put on a trade. Not having one is a recipe for disaster: you will find yourself emotionally attached to the trade as it goes against you and it will be extremely hard to cut the loss. This is a well known behavioural bias that we’ll explore in a later chapter.
Learning to take a loss and move on rationally is a key lesson for new traders.
A common mistake is to think of the market as a personal nemesis. The market, of course, is totally impersonal; it doesn’t care whether you make money or not.
Bruce Kovner, founder of the hedge fund Caxton Associates
There is an old saying amongst bank traders which is “losers average losers”.
It is tempting, having bought EURUSD and seeing it go lower, to buy more. Your average price will improve if you keep buying as it goes lower. If it was cheap before it must be a bargain now, right? Wrong.
Where does that end? Always have a pre-determined cut-off point which limits your risk. A level where you know the reason for the trade was proved ‘wrong’ ... and stick to it strictly. If you trade using discretion, use stops.

Picking a clear level

Where you leave your stop loss is key.
Typically traders will leave them at big technical levels such as recent highs or lows. For example if EURUSD is trading at 1.1250 and the recent month’s low is 1.1205 then leaving it just below at 1.1200 seems sensible.

If you were going long, just below the double bottom support zone seems like a sensible area to leave a stop
You want to give it a bit of breathing room as we know support zones often get challenged before the price rallies. This is because lots of traders identify the same zones. You won’t be the only one selling around 1.1200.
The “weak hands” who leave their sell stop order at exactly the level are likely to get taken out as the market tests the support. Those who leave it ten or fifteen pips below the level have more breathing room and will survive a quick test of the level before a resumed run-up.
Your timeframe and trading style clearly play a part. Here’s a candlestick chart (one candle is one day) for GBPUSD.

https://preview.redd.it/moyngdy4f5h51.png?width=1200&format=png&auto=webp&s=91af88da00dd3a09e202880d8029b0ddf04fb802
If you are putting on a trend-following trade you expect to hold for weeks then you need to have a stop loss that can withstand the daily noise. Look at the downtrend on the chart. There were plenty of days in which the price rallied 60 pips or more during the wider downtrend.
So having a really tight stop of, say, 25 pips that gets chopped up in noisy short-term moves is not going to work for this kind of trade. You need to use a wider stop and take a smaller position size, determined by the stop level.
There are several tools you can use to help you estimate what is a safe distance and we’ll look at those in the next section.
There are of course exceptions. For example, if you are doing range-break style trading you might have a really tight stop, set just below the previous range high.

https://preview.redd.it/ygy0tko7f5h51.png?width=1200&format=png&auto=webp&s=34af49da61c911befdc0db26af66f6c313556c81
Clearly then where you set stops will depend on your trading style as well as your holding horizons and the volatility of each instrument.
Here are some guidelines that can help:
  1. Use technical analysis to pick important levels (support, resistance, previous high/lows, moving averages etc.) as these provide clear exit and entry points on a trade.
  2. Ensure that the stop gives your trade enough room to breathe and reflects your timeframe and typical volatility of each pair. See next section.
  3. Always pick your stop level first. Then use a calculator to determine the appropriate lot size for the position, based on the % of your account balance you wish to risk on the trade.
So far we have talked about price-based stops. There is another sort which is more of a fundamental stop, used alongside - not instead of - price stops. If either breaks you’re out.
For example if you stop understanding why a product is going up or down and your fundamental thesis has been confirmed wrong, get out. For example, if you are long because you think the central bank is turning hawkish and AUDUSD is going to play catch up with rates … then you hear dovish noises from the central bank and the bond yields retrace lower and back in line with the currency - close your AUDUSD position. You already know your thesis was wrong. No need to give away more money to the market.

Coming up in part II

EDIT: part II here
Letting stops breathe
When to change a stop
Entering and exiting winning positions
Risk:reward ratios
Risk-adjusted returns

Coming up in part III

Squeezes and other risks
Market positioning
Bet correlation
Crap trades, timeouts and monthly limits

***
Disclaimer:This content is not investment advice and you should not place any reliance on it. The views expressed are the author's own and should not be attributed to any other person, including their employer.
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Trend Trading vs Counter Trend: Trading Against Trend On ... Forex Trend Trading Strategy - Part 1 - YouTube Trend Trading Strategies [2020] - Works on ALL Markets ✅ How to Trade Trends in forex ( a simple trend trading ... Trend Trading Futures - Nailing HUGE Reversal! SIMPLE & PROFITABLE Trend-following Forex Trading Strategy ...

Forex trend is an important term of technical analysis which gives information about the overall market direction. A trend can be either long-term or short-term, based on fundamental economic, sentimental and other influences. Trading through the trend is one of the best trading methods and a perfect forex strategy to maximize income. The ... At its height his trading firm managed 2.6 billion for clients all over the world, to be honest I think this is all the evidence we need in regards to the question “does trend trading work” if someone is able to buy an entire football club from the profits made from trend trading then I’m sure the answer is a definite yes. This is the basics of trend trading. Now, let’s see the importance of trading with the trend: Why use Trend Trading? If you want to learn how to invest in stocks, or how to trade Forex, you need to have these skills to detect the trend direction.It doesn’t really matter if you’re a swing trader, or a scalper, or a day trader. Trend trading can make you lots of money in the forex market if you can:. correctly identify trends; get into a trade at the right time; and ride out the trend; So here are 12 Trend Trading Rules every forex trader needs to know and follow: #1: Trade What You See, Not What You Think Understanding Trend Direction Market Structure: Once you fully understand the trend direction market structure, your next goal is to use this knowledge to find excellent trading entries. Accurate analysis of forex trend direction will give you an edge in your trading. It will also help you to avoid the traps that plague so many traders. Forex Market Open Trend is a trend-following scalping system used to generate trading signals base on both market momentums and price action changes. It uses four different technical tools to identify the market trend as correctly as possible with a combination of current swing or support/resistance levels and momentum indicators. Forex Market Open Trend can be applied to trade all kinds of ... Forex Trend Trading is always giving green pips. So, before you enter the trade you must identify the trend. The system has main two indicators. The arrow indicator is an entry signal. The other indicator is Trend confirmation. Most Traders like to Trend Trading. Becaus ...

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Trend Trading vs Counter Trend: Trading Against Trend On ...

In this video you’ll discover: • what is trading against the trend and how counter-trend works in Forex and stock market • is trading against the trend profi... Learn my other profitable strategies: https://bit.ly/2xpgWqMIn this video, I will walk you through a simple forex trend-following strategy that I've been tradin... Trend Trading is the only proven method that works on all Markets. Forex, Futures, and Stocks. Watch professional trading software that consistently prints the best signals. Forex, Futures, and ... 🚨🚨Trading Performance 🚨🚨 Improve Your Trading Performance at our Fundamental Trading Academy https://www.toptradersfx.com/academy (Our Academy is 1v1 ... Markets huge trend trading day!! ***FREE DEMO Click below - Watch this Video to learn the #1 method on trend trading. Works on all Markets. Forex, Futures, and Stocks. Watch professional trend ... MORE Forex Bank Trading Strategies - https://www.DayTradingForexLive.com This forex training video walks through our forex trend trading strategy. Is the "tr...

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