I decided to open a little practice account,so I can learn the layout of forex-town. Started my awesome journey with a cool $100,000.00. Compliments of practice accounts R Us. Now get this, I was treating it like this was my hard earned cash, so I only used 1000.00 of it.
Now, I know the trading times that are not recommended to trade, but I wanted to get the feel of forex-town, so I purchased the following pairs :-take a look below-
I am not going to make it a practice to trade at those days or hours, because as our pips education dictates, it is tremendously slow. I plead guilty of being eager, a no-no. Now with that being said. I choose those 3 from gathered informational sources. I use some of the following guidelines so far-and my gut-As it was stated in another thread, "trading is a skill", And yes I am seeing that with each new level I complete, but if you don't have "GUT" keep your finger off the button-
I reviewed the broker list on babypip. After some comparisons and choosing the broker that I thought would fit my future financial needs; I downloaded a couple and decided to go with Oanda. Go with which layout is easier on your eyes and comfort level for working the board. Oanda Rocks!!
Trading the news huh? Too complex for us. All news is coded into the price action. Millions of traders have already read everything for you - so PA uses the ‘wisdom of the crowds’.
Not saying you can’t trade the news, and decoding PA isn’t easy either. But don’t forget that Greenspan and Bernanke with degrees and PhDs and years of training got their currency ‘bet’ wrong in 2006 when they decided that housing couldn’t cause a recession at that time. Doh!
Just IMO, news trading is a tricky game. Unless you are an institutional trader (read Liar’s Poker by Michael Lewis if you want to know how they trade the ‘news’).
Anyway, it’s probably possible, am just saying it is gutsy and even whales fail on that ocean. On the other hand there’s tons of techincal methods that work and can be precisely replicated. Check out Dale’s stuff on Welles Wilder.
Scary stuff. I’d like to think I can read as much as possible about the Euro in the news and decide on what them candles will do… but I think its not that simple. Price only moves by peoples decisions. How would you really know “what” in the news will change price and what won’t" what you may think will effect price, institutions might just laugh at and ignore. there goes your trade down the toilet. Not only that, but we all no that S/R and trend line do infact work maybe not always but at times. So if some news tells you to sell the Euro and you dont do technical analysis, you wont know that your trade is pips away from a Support line which has previously bounced price multiple times. In my opinions, Technical analysis is the only way. Sure you can keep an eye on the news, but knowing that the euro sucks right now I think is good enough
