Tips to trade foreign exchange

Tips to trade foreign exchange

Tip: never trade when you are hungry or you are about to wet on your pants.

Another Tip: If you are a fundamental trader, use your fundamentals but never listen to “trends and bubbles analists”, never listen to economic experts, i would trust into a fortune teller before theese guys. These guys never made a trade in their lifes, the are just like art critics, i doubt they ever painted a frame or filmed a movie.

Regards.

Backtest, backtest, backtest. Then trade in a demo account.

Foreign exchange trade is the exchange of currency pairs from different countries that take place in the forex market. Trading is usually done online and does not involve physical swapping of currencies, traders simply have to place their orders on their computers. Foreign exchange trade may take place as part of business transactions or as speculation for profit making.

Money management

Risk, Risk, Risk.

I agree with this. With any business this is one of the most important considerations.

How do you backtest?

You should be able to download historical data from your broker and then evaluate previous price action. You then use this action and your selected indicators to see if the system you’ve decided to follow works for you.