My name is Jacob, I thought i knew how to trade forex… was i wrong. i want to learn the right way, eventually i found myself here. ive blown three accounts. two stock and one forex. small accounts but still left a scar lol. i really want to learn back testing and technical analysis. anyway if you are having trouble fallowing what im writing please excuse my illiteracy for i can only spell in one syllable words.
Sympathy for your losses, Jacob, however now you have learnt that making money on Forex trading isn’t easy. In fact it’s damn difficult to become consistently profitable.
First step is to press the green education button above which will set you on the right path. It’s free.
As for backtesting, IMO, it’s practically worthless apart from learning how to backtest – unless you go back ten decades because it’s history and doesn’t reflect current market conditions now and in the future, which would result in the same outcome.
So bear in mind to develop a technical strategy that works today in today’s volatile environment, and be prepared to accept fundamental change will always occur and affect price movement.
My backtesting is to look at the DAILY chart to identify the trend, full stop, while my bulletproof technical indicators point to the right side.Get that correct and you’re on your way to becoming successful.