I have in the past couple of weeks become interested in forex. I have been going though the school section of this site and seem to be learning a lot, and at the same time swimming in parts of it. I started a demo account on oanda, which I plan on practicing on until I get comfortable with it. So far I have been getting mixed results, which I’m assuming is common for a beginner.
I had a questions for anyone who feels like chiming in…
1st, I have chose to use the “So Easy It’s Ridiculous” system that is shown in the school section of the site. It doesn’t look as complicated as some of the systems I have read about elsewhere, and since I don’t have a firm handle on how everything works yet, I thought it would be a good way to start. My question… Is anyone else using this system, and if so, what is your opinion of it?
Also, if anyone have any suggestions, I am definitely willing to listen. I have some other issues/questions (not sure if they are really issues as much as probably inexperience or user errors)… But I’ll wait til later to ask those. I really just wanted to introduce myself for now. I can’t wait to get up to speed with everyone on here and have some good discussions about trading.
I have been here a few days already but the amount of help I have received from everybody is awesome.
I understand the system you mention is now called the Cowabunga System and there is a whole sticky thread with thousands of posts on the forum. (I would send you a link but im not quite smart enough to do that - sorry).
If you also look under Newbie Island for my post “Candlestick Patterns” there is a method there you could understand very quickly in my opinion. (Once again not sure how to send you the link but im sure you will find it easily enough)
Anyways im sure there will be a few responses for you on here from everybody but you will receive help from the “big boys/girls” as well so dont worry.
Hopefully this was a little help but as I say I am a newbie here too.
Welcome to the forums! I have demo traded for a year before diving into live which was 6 mo ago. Oanda is a good broker who offers some of the best spreads. Unfortunately, their software sucks and is not compatible with mt4 (a much better interface imo). When I trade, I try to use best of both worlds. I use mt4 to analyze charts for entry or exit, and use oanda to place instant trade with good spreads. Mt4 is much easier and visual to use so even if you want to use Oanda, I would suggest using mt4 to get used to trading. Both mt4 and Oanda offer free demo accounts to hone in your trading skills. Once you learn how it works, it is easily transferrable to Oanda. Good luck!
When it comes to forex, take your time and enjoy the learning experience. There are so very many types and styles of trading, that there will be one out there for you.
Just be open minded about everything. Don’t be scared to try different time frames, different signals or different combinations.
In fact, I would suggest trying a little of everything if you can, all whilst demo trading of course. You need to have a basic grasp of all the methods used, even though you will most likely come to realise that 99% of the things you read in forex don’t work for you.
Finally, don’t discount the simple things in forex just because they’re not flashy. By this I mean, the best methods sometimes don’t have any fancy indicators to work them. Also, many new traders (and many experienced traders) focus mainly on the entry. I only started being consistently profitable in my live account when I realised that the entry is one third of trading. The exit is the second third, and your money management is the final third.
Good luck, and any questions (if a forum search doesn’t throw up the answer) shout them out.
Jay D, thanks for making me aware of the Cowabunga System thread. I was able to find it last night… Haven’t had the time to really go over it yet (family stuff last night), but plan on looking at it today. Thanks again…
Viper, I’m not real familar with mt4 yet. I did a google of it, and it looks like it is a software that several brokers use, is this correct? If so, which would you recommend using? I am certainly not opposed to trying several different brokers with demo accounts until I find one I am extremely comfortable with.
cordite, thanks for your response… demo trading has been fun so far. I’m sure the pressure will come once I use real money, but that still seems like an eternity away, so I’m just enjoying it for now, and trying different things to see what works and what doesn’t at this point.
One question that came to me last night, was this week there was a ton of market movement in the euro at 3am est. I’m assuming this is when the market opens over in europe, correct me if I’m wrong. Does this happen every week? If so, it would look like a person could make a killing just being to make trades during that time frame. Thanks again guys, and I welcome any help.
Aye, MT4 is a popular trading platform used by many brokers.
I won’t recommend any particular broker to download it form, but if you’re just demo trading then any that is offering it will be fine. Just don’t get attached to that broker, as when the time comes to invest real money spend a good amount of time finding the broker that will give YOU the best deal, not one you’re just familiar with.
MT4 is great because there are many coders out there developing new indicators for it, as well as pieces of code called expert advisor, which can save you time and headache in trades.
The babypips school has a section on market times. Take a look, and note the volatility of the market at certain times. I only trade the London and part of the US. This is because I’m UK based, so these times are ideal. They do offer high movement, but you can make money at any time really.
Im not sure but I remember coming across an ebook called “Breakfast Trading” which I got along my travels of looking at systems. (Long Long Travel)
Albeit it was on the FTSE 100 at 8am (when it opens) and had page after page of useless info but basically said on a timescale of 1 min wait for it to go 8 pips in one direction then get in the trade and get out with whatever profit at 8.15. What a waste of £100 and he wont give me a refund because I didnt keep the trades because it was so useless.
Basically I am saying that I dont think you could ever just get in specifically at 1 time due to the indecisiveness of the actual market at opening (if I am wrong I would sure like to know about it as you say would be a goldmine lol)
Thanks for the advice on downloading mt4. I just went directly to their website and downloaded. Looks awesome! Now time to play around with it a little and get to know the ends and outs of it.
Thanks again for all the great advice. I really appreciate it!
Hi Nate I can see that you are a beginner and you have some concerns. As a forex beginner it is quite difficult to make money currency trading. Finding which forex strategies work can be hard. It is not advisable to spend money on expensive forex courses as it is possible to get all the info you need to be a successful forex trader online for free. Forex trading forums like this one are usually good resources. I would also advise getting a company that does free forex seminars / webinars. As a beginner to currency trading I would advise company like makemoneycurrencytrading dot co dot uk as they teach you their strategies for free.
Ok, so here is a newbie question… On MT4, how do you set up daily support and resistance levels? I can’t find it anywhere in the indicators lists I am looking at. Thanks in advance for any help once again.
Setting support and resistance levels is as simple as placing a horizontal line at areas where price has reversed or stalled in the past.
That is the real simple description, but placing the lines is an art really. I would advise doing a youtube search - there are lots of videos there that show you how to identify the S/R areas.
Forex markets are attractive as they roll 24/5 and you can place a trade really anytime you like but there are times when the big boys come and play and rock the candles
Here’s how it goes roughly:
First out of bed is Asia-Tokyo 00:00–9:00 GMT, after the land of the rising sun comes next the European Session:Frankfurt-London 7:00–17:00 GMT, and then America comes online (hold on to your hat) with the U.S. Session New York 13:00-22:00 GMT.
When these markets open or overlap you can expect much more action.
What you saw was the movements in the market due to the London open, a very big boy indeed.
