When looking for investment ideas in forex trading, and seek to obtain strategies for action in the market, whether in blogs, forums or publications, we verified that underpins the analysis that we find or defining trading systems, concepts of individual analysis of a given pair currency.
We also showed that 99% of trades that are analyzed correspond to trades of short duration, mainly business intraday.
The stress of intraday trading, led me to seek other ways to trade forex.
So I opted to trade forex through a strategy that does not pose a large cost in spreads. I consider myself a trader position, maintaining a portfolio of currency pairs, creating an arbitrage strategy.
Consider an arbitrage strategy, because it negotiates six currencies, USD, aud, eur, jpy, gbp, chf., Defining a weekly portfolio, consisting of nine pairs of currencies, each currency is presented in three separate pairs.
This portfolio has the principle “Always Follow market trend.”
There will always be times of change and it is this sense of analysis work to be done calmly, and experts say whenever the market is closed. Then choose the weekends for that purpose, as trading in the forex market is still Sunday to Friday.
Of the six currencies monitoring established a hierarchy of three strong currencies and weak currencies in March, matching each currency stronger with each weak currency, getting nine currency pairs. Thus, each coin in its relationship with the other role will only have strong or weak.
Portfolio being set for the week, and if for example the Fed to intervene with its monetary policy on the dollar, leading to an opposite sign to keep that portfolio, simply close the three currency pairs usd in which it operates. Or can even reverse the direction of these three pairs.
This means that a strategy to maintain market position without stress, accompanying the entire schedule of events that may negatively influence the position of certain currency pairs that I keep in the portfolio.
I should mention that today also trading in intraday, but only with entries in each pair in the sense defined in the portfolio, seeking to capitalize on weaknesses, I believe that pair off and temporary.
Of course here set to keep a portfolio each week, but be able to reset each week through the portfolio, but just based on central bank interventions representative of each coin, or the dissemination of consistent data that will allow me to identify a change of course.