Category — Forex Trading Tips
Forex Trading Tips – 4 Easy Ways to Trade Forex in Choppy Markets
Forex trading does not trend all the time. In fact, we will experience choppy markets or some called whipsaws markets for quite a number of times. Choppy market is where the price moves dramatically up or down and may look identical to start of a new trend in early stages. But instead of continuing the trend, the price may suddenly dive back down to your entry price or trigger your stop loss.
I believe it’s a challenge for most people trading forex, particularly those who are new to forex trading. Why is it so? The reason is they may not be able to identify what kind of market is that and may be unable to resist the temptation of false fast price movements. So how to trade forex in this kind of situation? Below are some of the forex trading tips:
1. Don’t expect a long swing plan or any sustained price movements if you are already in an open position, get some profits out when you have made some from the forex market or shift it to the breakeven price as soon as possible. This will reduce the risk of losing that position.
2. When the forex markets are choppy and you really need to trade, it is safer to trade those currency pairs which are highly correlated. Examples of highly correlated forex currency pairs are EUR/USD with USD/CHF, and EUR/GBP with GBP/CHF. This means if EUR/USD falls, USD/CHF will climb, and vice versa. It usually happens 95% of the time on hourly charts. So you should look at the support and resistance levels pertaining to EUR/USD and USD/CHF if you are to trade either one of the currency pairs, to assist you in making a decision.
3. You should refer to the calendar of economic announcements every now and then in forex trading. Sometimes a choppy market occurs when there is two or more economic data releasing at the same time or within a few hours. A particular news may trigger an up movement while the other one may trigger a down. Therefore it is a bad time to trade forex as you do not know exactly where the forex market is moving.
4. Sometimes when the forex trading market is choppy, it forms range-trading channels, which sets one up for a breakout. If there’s is no indication on which direction the market is moving, forex traders may go long when it’s at the bottom range, and short when it is at the top range. This may earn you some pips, but again, it is better to wait for price to break out from the range-trading channels so that ideally you will be able to catch the breakout trend.
Although those above can help you to counter choppy markets, I still must say that when the forex market is particularly ruthless, it is best that one simply walk away and wait for another good trading opportunity. Here is another tip for you that may help: Unless there are some fundamental reasons to drive the currency markets, such as news release etc, probably you will be looking at a market that is not trending at all.
by Daniel S.
About the Author:
I believe it’s a challenge for most people trading forex, particularly those who are new to forex trading. Why is it so? The reason is they may not be able to identify what kind of market is that and may be unable to resist the temptation of false fast price movements. So how to trade forex in this kind of situation? Below are some of the forex trading tips:
1. Don’t expect a long swing plan or any sustained price movements if you are already in an open position, get some profits out when you have made some from the forex market or shift it to the breakeven price as soon as possible. This will reduce the risk of losing that position.
2. When the forex markets are choppy and you really need to trade, it is safer to trade those currency pairs which are highly correlated. Examples of highly correlated forex currency pairs are EUR/USD with USD/CHF, and EUR/GBP with GBP/CHF. This means if EUR/USD falls, USD/CHF will climb, and vice versa. It usually happens 95% of the time on hourly charts. So you should look at the support and resistance levels pertaining to EUR/USD and USD/CHF if you are to trade either one of the currency pairs, to assist you in making a decision.
3. You should refer to the calendar of economic announcements every now and then in forex trading. Sometimes a choppy market occurs when there is two or more economic data releasing at the same time or within a few hours. A particular news may trigger an up movement while the other one may trigger a down. Therefore it is a bad time to trade forex as you do not know exactly where the forex market is moving.
4. Sometimes when the forex trading market is choppy, it forms range-trading channels, which sets one up for a breakout. If there’s is no indication on which direction the market is moving, forex traders may go long when it’s at the bottom range, and short when it is at the top range. This may earn you some pips, but again, it is better to wait for price to break out from the range-trading channels so that ideally you will be able to catch the breakout trend.
Although those above can help you to counter choppy markets, I still must say that when the forex market is particularly ruthless, it is best that one simply walk away and wait for another good trading opportunity. Here is another tip for you that may help: Unless there are some fundamental reasons to drive the currency markets, such as news release etc, probably you will be looking at a market that is not trending at all.
by Daniel S.
About the Author:
To learn how to trade forex successfully using a simple, time-tested and proven forex trading system, download my FREE 56-page “Forex Trading To Riches” ebook at http://www.forextradingpower.com.
The author, Daniel S, is the owner of http://www.ForexTradingPower.com where you can get free premium forex trading tips and resources. Daniel S. specializes in teaching real people how to trade the Forex market for long term financial success.
November 24, 2009 No Comments
Forex Trading Tip – Which Group of People Often Become Forex Trading Millionaires?
If you want a Forex trading tip, then study the group of people who make the best Forex traders and its not mathematicians or geeks, who are the best at trading – it’s the following group…
Professional Blackjack and poker players are the most successful group and many become trading millionaires. Most of these traders don’t have a college education and most know nothing about mathematics. What they do have, is all the traits a trader needs to win. Let’s look at them.
The card player knows that once he starts to play, he is responsible for his success and is prepared to do play on his own and knows making profits rests on his shoulders and his alone. Contrast this with the bulk of Forex traders, who think a junk 100 buck robot, or sure fire system from a vendor will help them win and you know what happens to them – they get wiped out quickly.
Next, the professional card player plays the odds.
He knows he will lose hands and he will do so cheerfully, all he is concerned about is keeping his losses small. In Forex trading, most traders simply think they can pick tops and bottoms and will never lose and when they do, they get angry, frustrated and let their losses run which of course spells financial disaster.
The professional card player has the discipline to manage his money and when he gets a good hand, he is prepared to bet heavily and continue betting. Most Forex traders, not only lack the discipline to take losses, they can’t make big profits either, as they bank early.
Most of the super traders who come from a card playing background have simple systems but they operate them with robust money management and they execute their trading plan with tremendous discipline.
They know that a system needs to be simple, when trading an odds based market and the most important criteria needed to win is to execute a plan with discipline and keep losses small.
by Monica Hendrix
About the Author:
Professional Blackjack and poker players are the most successful group and many become trading millionaires. Most of these traders don’t have a college education and most know nothing about mathematics. What they do have, is all the traits a trader needs to win. Let’s look at them.
The card player knows that once he starts to play, he is responsible for his success and is prepared to do play on his own and knows making profits rests on his shoulders and his alone. Contrast this with the bulk of Forex traders, who think a junk 100 buck robot, or sure fire system from a vendor will help them win and you know what happens to them – they get wiped out quickly.
Next, the professional card player plays the odds.
He knows he will lose hands and he will do so cheerfully, all he is concerned about is keeping his losses small. In Forex trading, most traders simply think they can pick tops and bottoms and will never lose and when they do, they get angry, frustrated and let their losses run which of course spells financial disaster.
The professional card player has the discipline to manage his money and when he gets a good hand, he is prepared to bet heavily and continue betting. Most Forex traders, not only lack the discipline to take losses, they can’t make big profits either, as they bank early.
Most of the super traders who come from a card playing background have simple systems but they operate them with robust money management and they execute their trading plan with tremendous discipline.
They know that a system needs to be simple, when trading an odds based market and the most important criteria needed to win is to execute a plan with discipline and keep losses small.
by Monica Hendrix
About the Author:
FREE! ESSENTIAL TRADER PDF’s + FREE PROVEN FOREX ROBOT
CATCH THE BIG TRENDS NOW!
Get a proven, profitable FREE Forex Trading System and an exclusive proven RISK FREE Forex Trading Course visit our website and learn how to become a Forex trader.
November 22, 2009 No Comments
Forex Trading Tip – Simple Tips for Triple Digit Annual Gains!
Do you want to make triple digit gains? Then these simple forex tips will help you if you’re a novice or an experienced trader. There simple but many of them don’t conform to majority opinion, don’t let that worry you though, the vast majority of traders lose.
Here are your forex tips.
1. Trade Less to Make more
You can trade less than once a month and make triple digit gains – trading frequency has no bearing on how much money you make. In forex trading you get rewarded for being right with your trading signal – NOT the effort you put in.
People who day trade and scalp for example simply trade low odds trades, pile up transaction costs and get nowhere, don’t make this mistake.
Only trade high odds trades and be patient.
2. Trade High Odds breakouts
Most major moves start from new lows or highs so trade breakouts that are considered valid by the market.
This means numerous tests, in different time frames and if possible wide apart. We have covered breakout trading in our other articles so look them up, for more information on this timeless way to trade and catch the big trends.
3. Don’t Diversify
This is simply a way to dilute your profit potential.
Why add in some low odds trades to diversify a high odds trade? – It doesn’t make sense. All you will do is make smaller gains.
Concentrate on one high odds trade at a time.
4. Load Up The Trade
I often hear traders say you should only risk 2% per trade but this for most forex traders means you won’t make big gains. Why?
Because your account is too small. Consider this – if you have a $1,000 to trade 2% of that, you risk $20.00 un leveraged. You won’t make much on that, as you will probably have your stop to close.
To make money you need to take calculated risks at the right time.
If you’re confident risk more 10 – 20% and make your money work for you. Your better off to be patient and trade one big high odds trades, than lots of smaller risks on low odds trades where your almost certain to lose.
If you want to make money, you need to take a risk – just make sure you risk it at the right time.
5. Don’t Lock in to quickly
This goes with the above tip.
Most traders are so concerned about restricting risk they actually create it, by moving their stop to soon and getting stopped out by random volatility.
Don’t do the same with your forex strategy, give the market room to breathe and take short term losses in open equity and keep your eyes on the bigger prize.
The big trends last for weeks, months or even years, milk them for as much as you can.
You may say the above strategy is high risk – but risk is not just related to how much you risk, it’s related to your chances of success. Most traders think if they take a small risk that’s great – but its not so great if your odds on to lose.
The above forex trading tips are for the trader who knows that to make money you need to risk it. There is a big difference though, between taking calculated risks at the right time and simply being rash.
The above forex trading strategy will work with a robust long term forex trading system and is not designed for excitement – but to make bigger long term gains.
So if you want to make big long term gains in forex trading, the above tips will help lead you to forex trading success.
by Kelly Price
About the Author:
Here are your forex tips.
1. Trade Less to Make more
You can trade less than once a month and make triple digit gains – trading frequency has no bearing on how much money you make. In forex trading you get rewarded for being right with your trading signal – NOT the effort you put in.
People who day trade and scalp for example simply trade low odds trades, pile up transaction costs and get nowhere, don’t make this mistake.
Only trade high odds trades and be patient.
2. Trade High Odds breakouts
Most major moves start from new lows or highs so trade breakouts that are considered valid by the market.
This means numerous tests, in different time frames and if possible wide apart. We have covered breakout trading in our other articles so look them up, for more information on this timeless way to trade and catch the big trends.
3. Don’t Diversify
This is simply a way to dilute your profit potential.
Why add in some low odds trades to diversify a high odds trade? – It doesn’t make sense. All you will do is make smaller gains.
Concentrate on one high odds trade at a time.
4. Load Up The Trade
I often hear traders say you should only risk 2% per trade but this for most forex traders means you won’t make big gains. Why?
Because your account is too small. Consider this – if you have a $1,000 to trade 2% of that, you risk $20.00 un leveraged. You won’t make much on that, as you will probably have your stop to close.
To make money you need to take calculated risks at the right time.
If you’re confident risk more 10 – 20% and make your money work for you. Your better off to be patient and trade one big high odds trades, than lots of smaller risks on low odds trades where your almost certain to lose.
If you want to make money, you need to take a risk – just make sure you risk it at the right time.
5. Don’t Lock in to quickly
This goes with the above tip.
Most traders are so concerned about restricting risk they actually create it, by moving their stop to soon and getting stopped out by random volatility.
Don’t do the same with your forex strategy, give the market room to breathe and take short term losses in open equity and keep your eyes on the bigger prize.
The big trends last for weeks, months or even years, milk them for as much as you can.
You may say the above strategy is high risk – but risk is not just related to how much you risk, it’s related to your chances of success. Most traders think if they take a small risk that’s great – but its not so great if your odds on to lose.
The above forex trading tips are for the trader who knows that to make money you need to risk it. There is a big difference though, between taking calculated risks at the right time and simply being rash.
The above forex trading strategy will work with a robust long term forex trading system and is not designed for excitement – but to make bigger long term gains.
So if you want to make big long term gains in forex trading, the above tips will help lead you to forex trading success.
by Kelly Price
About the Author:
NEW! 2 X ESSSENTIAL FOREX PDFS PDF
For free 2 x trading Pdf’s, with 50 of essential info and exclusive Forex Trading Strategies for success visit our website at: http://www.learncurrencytradingonline.com
November 21, 2009 No Comments
Must Know Forex Trading Tips
Each and every day there are hundreds of thousands of online investors that do their trading on the forex market. Most of them are making money, while some are not. Some of the investors that are making money are making a huge incomes by day trading. These people have studied the forex market and figured out a Trading System that they can use to generate a large amount of money in a short amount of time by doing forex trading. If you take the time to learn about this market, and study a few forex-trading tips, then you can find yourself making a lot of money as well.
When you do fx trading online what you are doing is trading currencies, and the first thing you need to do is learn everything you can about forex trading tips. In this way, you will be prepared for making your first trade online. You want to get into foreign exchange trading by studying it first so that you do not end up losing a lot of money. You want to make the most of your investments, and while it is expected for you to lose a little when you are first starting out, you do not want to lose a lot. Start out slowly while learning you should begin trading small amounts slowly minimizing losses.
Forex trading tips will help you learn how to trade like a professional. You need to learn about different currencies, and when you are trading, you have to understand the relationship between both of the currencies that you will be trading. Foreign exchange trading tips need to be used consistently so that you get used to them and are able to understand them perfectly. When you first start forex trading, it will seem complicated, but by practicing with hands-on training, you will learn all about it in no time.
More fx trading tips include working with a qualified broker that is registered and comes highly recommended, and using a system that has proven workability to see maximum results in the quickest amount of time. You should stick to one system, and if your broker is good, he will help you out with this.
You should always follow his advice, and not start taking all sorts of advice from different people because this will break the system down you will experience heavy losses. Use foreign exchange trading tips to get started, and continue to get more as you learn everything you can about trading. If you want more information, go to a website that can help you stay on top of any new forex developments as they happen. In the meantime, start with these tips.
. Forex risk strategies
. Market volatility
. How much you are willing to lose.
. Risk management issues in the Forex Market
. Exiting your forex market trading at profit targets
. Control risk by capping losses
. Placing your Stop-Loss and Take-Profit
. Avoiding or reducing your risk when trading forex
Getting knowledgeable with those points will increase your chances for successful forex trading considerably!
by Orlando Thompson
About the Author:
When you do fx trading online what you are doing is trading currencies, and the first thing you need to do is learn everything you can about forex trading tips. In this way, you will be prepared for making your first trade online. You want to get into foreign exchange trading by studying it first so that you do not end up losing a lot of money. You want to make the most of your investments, and while it is expected for you to lose a little when you are first starting out, you do not want to lose a lot. Start out slowly while learning you should begin trading small amounts slowly minimizing losses.
Forex trading tips will help you learn how to trade like a professional. You need to learn about different currencies, and when you are trading, you have to understand the relationship between both of the currencies that you will be trading. Foreign exchange trading tips need to be used consistently so that you get used to them and are able to understand them perfectly. When you first start forex trading, it will seem complicated, but by practicing with hands-on training, you will learn all about it in no time.
More fx trading tips include working with a qualified broker that is registered and comes highly recommended, and using a system that has proven workability to see maximum results in the quickest amount of time. You should stick to one system, and if your broker is good, he will help you out with this.
You should always follow his advice, and not start taking all sorts of advice from different people because this will break the system down you will experience heavy losses. Use foreign exchange trading tips to get started, and continue to get more as you learn everything you can about trading. If you want more information, go to a website that can help you stay on top of any new forex developments as they happen. In the meantime, start with these tips.
. Forex risk strategies
. Market volatility
. How much you are willing to lose.
. Risk management issues in the Forex Market
. Exiting your forex market trading at profit targets
. Control risk by capping losses
. Placing your Stop-Loss and Take-Profit
. Avoiding or reducing your risk when trading forex
Getting knowledgeable with those points will increase your chances for successful forex trading considerably!
by Orlando Thompson
About the Author:
For more detailed information on learning points and other forex related topics visit ==> Forex Trading System Information
November 16, 2009 No Comments
Forex Trading Tip – 3 Tips to Super Charge your Profits
The forex trading tip enclosed is all about increasing your profitability and there logical, easy to apply and work. So here are your 3 trading tips, to increase the profitability of your forex trading strategy.
1. Learn The 80 – 20 Rule
It’s a fact that in many areas of business work etc that 80% of your profits come from 20% of your efforts and it’s also true in forex trading.
Most traders over trade and trade for the sake of trading, they think that if their not trading they will miss a move or the more they trade the better and this is not true. What you need to do is:
Cut you’re trading dramatically and only focus on the high odds set ups.
I know traders who trade less than once a month but earn triple digit profits.
They know trading frequency has nothing to do with forex trading success and you should learn this to.
2. Don’t Diversify
Diversification is seen as a way to cut risk – that’s only true if you diversify into good high odds trades, but most traders think they should trade a spread of positions, take marginal trades but all that does is dilute profit potential.
Most forex trader’s accounts are so small they simply can’t diversify and have meaningful gains. No you need to concentrate on high odds trades and then use the next tip to milk them for all their worth.
3. Load up The Risk Reward
How many times do you read that you should only risk 2% per trade well for a small forex account of say $5,000 you wont make much doing that that’s $100!
No you need to risk up to 20% on the high odds set ups – if you don’t take a risk, you won’t make big gains, its as simple as that.
You are not being rash, you are taking a calculated risk based upon the odds and like a good card player, you are going to load up your trade.
The tips above are simple and mean that you have to see forex trading for what it is a high risk – high return odds based game, where you need to be patient, to wait for the right trades and when you see them – hit them hard.
Think about the above simple forex tips and you will see they make total sense.
They will help you enhance your forex trading strategy and enjoy forex trading success.
by Monica Hendrix
About the Author:
1. Learn The 80 – 20 Rule
It’s a fact that in many areas of business work etc that 80% of your profits come from 20% of your efforts and it’s also true in forex trading.
Most traders over trade and trade for the sake of trading, they think that if their not trading they will miss a move or the more they trade the better and this is not true. What you need to do is:
Cut you’re trading dramatically and only focus on the high odds set ups.
I know traders who trade less than once a month but earn triple digit profits.
They know trading frequency has nothing to do with forex trading success and you should learn this to.
2. Don’t Diversify
Diversification is seen as a way to cut risk – that’s only true if you diversify into good high odds trades, but most traders think they should trade a spread of positions, take marginal trades but all that does is dilute profit potential.
Most forex trader’s accounts are so small they simply can’t diversify and have meaningful gains. No you need to concentrate on high odds trades and then use the next tip to milk them for all their worth.
3. Load up The Risk Reward
How many times do you read that you should only risk 2% per trade well for a small forex account of say $5,000 you wont make much doing that that’s $100!
No you need to risk up to 20% on the high odds set ups – if you don’t take a risk, you won’t make big gains, its as simple as that.
You are not being rash, you are taking a calculated risk based upon the odds and like a good card player, you are going to load up your trade.
The tips above are simple and mean that you have to see forex trading for what it is a high risk – high return odds based game, where you need to be patient, to wait for the right trades and when you see them – hit them hard.
Think about the above simple forex tips and you will see they make total sense.
They will help you enhance your forex trading strategy and enjoy forex trading success.
by Monica Hendrix
About the Author:
NEW! FREE PDF REPORTS
CATCH THE BIG TRENDS NOW!
Get free essential trading Pdf’s on catching the big profits from the big moves and a Profitable Forex Trading system visit our website at: http://www.forextrendfollowing.com
November 13, 2009 No Comments
Forex Trading Tip – This Forex Tip Could Lead You to Triple Digit Gains!
This forex trading tip is one that can correct the error that causes most newbie forex traders to burn and lose their equity. It really is simple and here it is …
The tip is:
Show patience with your trading signals and trade high odds long term set ups ONLY.
Most traders think the more they trade the better as they have more opportunities to make more money – but I know traders who trade less than once a month and make triple digit profits. The reason you should show patience and trade less is simple – the high odds trades don’t come around often.
Most traders make the mistake of trading to much and they think the more they trade, the more they make and the lower they can keep the risk – this is not based on fact.
Traders who use short term strategies such as scalping and day trading lose.
They have low odds trades because short term volatility is random and will never get the odds on their side.
There is absolutely know correlation between how often you trade and how much money you make and the fact is, the reverse in normally true.
You are only judged on profits nothing else in forex trading if you trade 20 times or twice.
Look at a forex chart and what do you see?
Big trends that last for many weeks, months or years.
These are the ones to focus on, get into them, and hold them long term and milk them for all their worth.
If you want to do this use breakouts.
FACT
Most major trends start from new market highs or lows and then develop into strong trends.
Most traders hate buying these big breaks, because they think they have missed part of the move – but if you go with breaks of key support and resistance, you can make a lot of money, as you have the odds on your side.
Trading big breakouts takes very little time and you can get on with your day, the only problem which traders face is – they find it hard to stay with the trend when normal volatility, eats into their open equity.
If you are disciplined, you can accept short term losses and have the patience to hold on through short term volatility and bank a large profit, when you eventually close out the trade.
Remember – if you caught just 50% of every big trend, you would be very rich.
The old saying goes “patience is a virtue” and in terms of forex trading its very true and can lead you to long term currency trading success.
You may trade less – but if you only trade high odds sets ups, look for big trends and hold them, you will make a lot more money.
by Kelly Price
About the Author:
The tip is:
Show patience with your trading signals and trade high odds long term set ups ONLY.
Most traders think the more they trade the better as they have more opportunities to make more money – but I know traders who trade less than once a month and make triple digit profits. The reason you should show patience and trade less is simple – the high odds trades don’t come around often.
Most traders make the mistake of trading to much and they think the more they trade, the more they make and the lower they can keep the risk – this is not based on fact.
Traders who use short term strategies such as scalping and day trading lose.
They have low odds trades because short term volatility is random and will never get the odds on their side.
There is absolutely know correlation between how often you trade and how much money you make and the fact is, the reverse in normally true.
You are only judged on profits nothing else in forex trading if you trade 20 times or twice.
Look at a forex chart and what do you see?
Big trends that last for many weeks, months or years.
These are the ones to focus on, get into them, and hold them long term and milk them for all their worth.
If you want to do this use breakouts.
FACT
Most major trends start from new market highs or lows and then develop into strong trends.
Most traders hate buying these big breaks, because they think they have missed part of the move – but if you go with breaks of key support and resistance, you can make a lot of money, as you have the odds on your side.
Trading big breakouts takes very little time and you can get on with your day, the only problem which traders face is – they find it hard to stay with the trend when normal volatility, eats into their open equity.
If you are disciplined, you can accept short term losses and have the patience to hold on through short term volatility and bank a large profit, when you eventually close out the trade.
Remember – if you caught just 50% of every big trend, you would be very rich.
The old saying goes “patience is a virtue” and in terms of forex trading its very true and can lead you to long term currency trading success.
You may trade less – but if you only trade high odds sets ups, look for big trends and hold them, you will make a lot more money.
by Kelly Price
About the Author:
FREE FOREX STARTER PACK 5 X PDFS – DAILY RESEARCH AND MUCH MORE!
For free infopack and free research and more get your 5 x FREE Forex PDFS visit our website at: http://www.learncurrencytradingonline.com
November 3, 2009 No Comments
Forex Trading Tip – Study These Traders and Make Huge Gains!
I have been teaching forex trading for 25 years and forex trading tip to anyone is to study the story of “the turtles” if they want to succeed at currency trading. Why?
Because it covers a group of traders that learned to trade in just 14 days and went on to make $100 million in 4 years! If you want to know how to succeed in forex trading, then read and learn how “the turtles” did it.
One day trading legend Richard Dennis decided to prove that trading was not a gift it was a skill anyone could learn if they wanted to do so and he set out to prove his point.
He gathered a group of people together – men and women, young and old and with varying levels of education and set about teaching them to trade in just 14 days.
The group included a couple of professional card players, a female auditor, a security guard and a kid fresh from school – Dennis then went to work and taught them to trade in just 14 days and gave them accounts.
The result?
They made him $100 million in just 4 years and many of this group went on to become trading legends.
This story is the one that inspired me to trade back in the eighties and it should inspire anyone, because it just shows that anyone can learn to trade currencies and your age, sex or educational background, are no barrier.
Sure you may not become as rich as “the turtles” life simply isn’t like that but the opportunity is there and you might! I have traded professionally for 25 years and I am no rocket scientist and you can to and earn a great income.
So what are the lessons you can learn from the turtles?
Firstly it’s how quickly they learned the method – 14 days.
Dennis knew that simple forex trading methods worked best and he taught them one.
It’s a fact that a simple method is more robust in the face of ever brutal market conditions and is more robust than a complicated one – but Dennis taught them something more:
To have confidence in the trading system, so they could execute it with discipline through long periods of losses to hit the big trends and big profits.
This really is the key of this forex trading tip:
You can have a great method – but if you don’t have the confidence to follow it with discipline then you have no method!
Most traders simply do not understand that they will get periods of losses (despite what some vendors may tell you) and you must stick with your method to enjoy currency trading success.
Don’t believe discipline is easy – its not. The turtles had far more losers than winners yet they made huge profits as they stuck with their method.
Dennis drilled into them that they must play great defence first, before anything else and gave them strict money management rules to apply.
So it’s a simple method, strict money management and discipline and these keys were valid in the eighties and there still valid now.
You can read more about the turtles in Jack Shwagers excellent book Market Wizards and a book by one of the most successful turtles ( Curtis Faith ) called “Way of the Turtle” It’s a fascinating story and there is much to learn from it.
This story inspired me to trade back in the eighties and I hope that my forex trading tip has inspired you, rather than listen to some self proclaimed guru who only talks the talk, spend $50.00 or so and get the real story from traders who have walked the walk.
I hope you enjoyed my forex trading tip and it encourages you to trade the most exciting and potentially lucrative investment medium on earth – global forex markets.
by Kelly Price
About the Author:
Because it covers a group of traders that learned to trade in just 14 days and went on to make $100 million in 4 years! If you want to know how to succeed in forex trading, then read and learn how “the turtles” did it.
One day trading legend Richard Dennis decided to prove that trading was not a gift it was a skill anyone could learn if they wanted to do so and he set out to prove his point.
He gathered a group of people together – men and women, young and old and with varying levels of education and set about teaching them to trade in just 14 days.
The group included a couple of professional card players, a female auditor, a security guard and a kid fresh from school – Dennis then went to work and taught them to trade in just 14 days and gave them accounts.
The result?
They made him $100 million in just 4 years and many of this group went on to become trading legends.
This story is the one that inspired me to trade back in the eighties and it should inspire anyone, because it just shows that anyone can learn to trade currencies and your age, sex or educational background, are no barrier.
Sure you may not become as rich as “the turtles” life simply isn’t like that but the opportunity is there and you might! I have traded professionally for 25 years and I am no rocket scientist and you can to and earn a great income.
So what are the lessons you can learn from the turtles?
Firstly it’s how quickly they learned the method – 14 days.
Dennis knew that simple forex trading methods worked best and he taught them one.
It’s a fact that a simple method is more robust in the face of ever brutal market conditions and is more robust than a complicated one – but Dennis taught them something more:
To have confidence in the trading system, so they could execute it with discipline through long periods of losses to hit the big trends and big profits.
This really is the key of this forex trading tip:
You can have a great method – but if you don’t have the confidence to follow it with discipline then you have no method!
Most traders simply do not understand that they will get periods of losses (despite what some vendors may tell you) and you must stick with your method to enjoy currency trading success.
Don’t believe discipline is easy – its not. The turtles had far more losers than winners yet they made huge profits as they stuck with their method.
Dennis drilled into them that they must play great defence first, before anything else and gave them strict money management rules to apply.
So it’s a simple method, strict money management and discipline and these keys were valid in the eighties and there still valid now.
You can read more about the turtles in Jack Shwagers excellent book Market Wizards and a book by one of the most successful turtles ( Curtis Faith ) called “Way of the Turtle” It’s a fascinating story and there is much to learn from it.
This story inspired me to trade back in the eighties and I hope that my forex trading tip has inspired you, rather than listen to some self proclaimed guru who only talks the talk, spend $50.00 or so and get the real story from traders who have walked the walk.
I hope you enjoyed my forex trading tip and it encourages you to trade the most exciting and potentially lucrative investment medium on earth – global forex markets.
by Kelly Price
About the Author:
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October 24, 2009 No Comments
