What Is The Best Forex Trading Strategy
Enclosed we will outline the best Forex trading strategy, for making big profits quickly and the good news is – this strategy is easy to understand, can be learned quickly and is the one the real pro traders use, to pile up huge gains and you can use it too – let’s take a look at it in more detail.
This strategy is not popular with new traders and we will look at why in a moment but first, let’s look at the logic it’s based on and why it works.
On any currency trading chart, you will see big price trends and you will also see that many last a long time. In fact the best trends, last for weeks, months or even years. This strategy is based on how all big price trends start and continue which is in the following way:
Any Bullish Price trend, will start by breaking up through resistance to new chart highs and the trend will continue to do this, as the trend matures and unfolds. If you want to get into all the best trends you need to focus on buying high odds breakouts,through strong chart resistance levels.
The above strategy is both simple and logical and if you look at any currency pair you will see how profitable it is – so why do most traders ignore this strategy?
Most traders ( especially novice traders) are obsessed with predicting the exact low of a trend change but this is doomed to failure, because you have to predict and that’s really just hoping or guessing. These traders continually buy into support and hope the level holds, most times it doesn’t and they lose. What Is The Best Forex Trading Strategy
The trader who likes to get in low and sell high cant take a breakout, he sees the move happen but can’t buy it because, he thinks he has missed the start of the move and wants to get in at a better and lower price so what does he do?
He waits for a pull back in price but he waits in vain and the reason is simple – the best breakouts simply don’t come back they accelerate away from the breakout point and the trader who waited for the pull back misses a huge profit opportunity.
The professional trader doesn’t mind missing the exact low, his focus is on having the odds on his side (which a breakout gives him) and focuses not on what he’s missed but the huge profit ahead of him.
Breakout trading, involves looking at resistance levels traders feel are important which have been tested a few times and in terms of breakout trading – the greater the number of tests the better the breakout will tend to be when it eventually occurs.
In addition, the wider the tests are apart the better in terms of time. Generally I look to trade a minimum of six tests and two of these tests, should be at least six weeks apart.
Breakout trading will work, as long as markets trend and of course this will never change and don’t’ worry that not many traders trade breakouts, because the bulk of traders lose. If you want to win you want to be in the minority so join the elite minority who make money and use, this Best Forex Trading Strategy for making gains in just 30 minutes a day. What Is The Best Forex Trading Strategy