The more I read and study, the more it is drilled into me 'Plan your trade and Trade your plan" even when I was young my father told me this…SO…with the market changing so much, it seems as if a few trading plans are needed…the market is now very ranging, compared to the breakouts that occured with the last few months…if a trader does not have strategies to cope with the varying market conditions, then they are apt to lose out on many opportunities… this ( I think) is well know among successful traders, I am just stating my observations.
Well your father was right! Market is changing all the time, even, for every news it can change, now, the plan is, get ready! How? Read about indicators, EA�s, another software that help what you�re using, etc. IT can help you a lot!
I totally agree with the multiple strategy issue, with the actual markets situation, you know the volatility, the more alternative trade systems you can have the more opportunities you’ll have and more profitable moves you’ll make. Try trading with strange currencies or with options or stocks. The more knowledge you get and the more tools you have you’ll be more prepared to face the fx market.
I would call that like being a “multitype trader”, but if anyone here is planning to do this, you must know that is going to take you quite a long time. You know, first having to develop a scalper strategy that fully works and what are the best indicators for this takes time and energy, not to mention all the fundamental analysis you have to do in order to develop a solid long term trade strategy. However, if you manage to do this, well dude you’re going to become a very profitable dude hehehehe. Of course if the trading plans fully work.
Anyone can participate in Forex but if you want to be successful you need to create a good strategy. In that order, you might need to understand some indicators and how they work with a few particular situations. That�s the central idea of my post.
The tools we have available are our indicator and the ability we have to use them. There is no point in reading and having as much information as we can if we don�t have the knowledge to use it at the right time. We need to read and practice a lot.
there is not ONE pro trader out there that cannot shift gears in milliseconds to accomodate the differing market conditions.,
as of late we have a great number of NYSE and NASDAQ traders now trading forex, which is the reason for the volitility — theyre all trading 30 second and one min charts for the most part, and only the banks are keeping the hour and a half reversals in order, thankfully !
kindly notice what happens after 3 oclock, est as the NEW traders start closing trades and/or rushing to get to support or resistance, depending on the direction they were trading
see when the market goes dead at 4pm, est — when the stock exchanges in the US close ?
the NEW traders BLITZ the market at the very end so they can hurry to Gilhoolies to down their alcoholic potions and tell war stories and until stocks make a come back, we will have to deal with the miserable, wide candle range volitility they cause and thank the banks for at least keeping some control over whats happening and guiding the trends in the correct direction.
so please, position and swing traders, obey the trend of your higher timeframes, and for the “scalpers” out there, LEARN WELL YOUR SUPPORT AND RESISTANCE POINTS, because while fibonacci is not dead, the stock exchange people USE s+r, NOT fibs !
now often these s+r points lie on a fib, and that makes it easier to trade, but often theyre off and by watching your charts you will see that the prices come “close” to the fib, but NOT on it as it used to be !
so switch to s+r and you can stay up with the new breed of trader until they go away and leave us alone again !
enjoy and trade well
mp
[B][I]Within the great hall at Elfinore stands a wondrous coffer, precisely four cubits square and securely latched against the outside world. Inside that repository, shut away from impertinent eyes, abides many an intriquing trading secret garnered from around the world and over the ages !
As a child, i used to watch from the darkness as the secrets were debated and annotated by the elders. No one there held a single thought of my presence – BUT I KNOW WHERE THEY HID THE KEY !! [/I][/B]
Interesting point mp6140…it seems that since I have started studying Forex, I have heard alot that it isn’t the same as “the old days”…
and now that weve been “discovered”, it will probably change forever, but to no problem — we simply alter how we trade to go with the “new” methods, which are simply the “old” methods, with increased whippiness and the use of s+r instead of dear mr fibonacci !
the main rules of trading still exist because, after all, all were doing is trading !
mp
And different stuff as fundamentals, commodities relation with pairs, trading session, etc. Man forex have been the same, now we have more indicators and information but you always will need a strategy
That�s forever my plan
Getting to know more things about the fx market will let you have more tools, more knowledge and that way you’ll be more prepared for anything that may happen to the market. Plus the more things you know about trading, the more trades you’re going to be able to do and that way you’ll get more money, all of this taking into account that you study about it very patiently.
If any of these factors lack the time required is greater to perform succesfull strategies. We all know this is a personal business and no one will tell us how to make the earnings
It is necessary to address the situation and commit to the study of forex, jeje, sometimes patience is related to discipline
You only need one method that works.
You will need a strategy to be successful in everything.
In order to build a good strategy we must be aware of every situation.
There is not a perfect strategy but we can approach to one when we are able to identify different situations and the right indicator to describe those scenarios.