I am not new to make money online. Before this, I made money with affiliate marketing and SEO. However, affiliate marketing method and SEO techniques tend to get outdated after certain period of time. Does that kind of rule apply to forex as well?
Markets change all the time. What used to be a good training method might not be profitable today. You will have to monitor market conditions and adjust your trading accordingly.
So in short: yes it applies to forex
What kind of things that I need to adjust? For instance, if I prefer using SMA, what should I do with it?
There are roughly 204819230 ways of using simple moving averages in trading.
You will have to find out what suits you. Write out your personality and build a trading plan upon that.
good luck!
In affiliate marketing and SEO case, Google has to make certain changes because they don’t want webmasters to manipulate their search results. Is it true that banks will also do something to avoid lots of traders using the same techniques?
I am no banker, so I am not sure on every single thing that banks do (next to known news that banks do in the Forex calendar I don’t truly care though.)
I do know that for every trader, there is a technique. So no 2 traders in the world share the exact same trading style. This is because every trader has their own beliefs about the markets and react accordingly.
What you used to do as a affiliate has nothing comment with forex trading. Just because you have made some money through online affiliate work, it doesn’t mean that you can compare that to making money in online forex trading.
For someone to make money through forex trading takes couple years of education, hard work, risk management and good trading psychology. In the end the statistics shows that only 5% of people will succeed in trading.
There are some basic methods, like VSA, supply demand and price action that is working from many decades and are still practical and profitable in forex market.
The reason I asked this is because someone in FB group (he is a successful trader in my country BTW, since 2007) mentioned to me that if too many traders are using the very same techniques, banks will be able to detect it and it will become obselete. I want to find out whether he is telling the truth or lying.
I might suggest that you then make that FB group obsolete. Banks don’t care what you do. They’re certainly not de-coding our every move. Your broker might if they’re a bucket shop. Reality is price is set by the dirty dozen. Who knows why or how they operate. Who cares. They trade cash, we speculate using various finical derivatives. At the end of the day we are left with price, time and financial data. We must make our decisions based on these facts alone.
No point letting anybody-else influence your decisions.
Thanks a lot. I’ve seen waaay too many scams and BS in the make money online world that I get skeptical of everything.
I think it really depends on how short your trading period is.
The rise of algorithmic trading and machine learning has given rise to more and more trading that is designed specifically at gaming popular short term trading strategies.
Over the long run, I would think strategies would last much longer for longer term trading, but you would need to keep in mind overall market conditions
My $.02 here is that raw Price Action techniques will always be viable and always have been viable. The reason for this is because it is based off of price alone.
As far as I know, the best and most profitable traders either only trade Price Action, use Price Action as a core decision-maker for their trades or take Price Action into consideration for their trades.
I am personally only comfortable with Price Action because of how much more objective it is than other techniques.
I found out that simple SMA period counts changes over changing market conditions. For instance 200SMA is respected for some time, and then, it starts failing but instead, say, 170SMA becomes the respected moving average.
In shorter time frames, even small period adjustments seems to work well. Namely, change 20 SMA to 22 or 18 SMA in 15 minutes time frame may give you a better perspective.
You may want to tray and adjust yours.
Cheers,