No matter how successful a forex day trading strategy may be, you must practice sound money management to day trade the forex market profitably and more importantly to be around for the “long haul”!
Trading Forex Naked – Why Indicators Will Fail You – It’s no secret that 95% of all new forex traders will inevitable fail and leave this market after losing some or all their money. What knowledge can we gain from this well know fact? Let’s examine what the common denominator is between those who fail to better use this statistic of the forex market.
When entering this market most traders search for a trading system, do they not? You yourself may have searched for hours for the promise of forex riches.
Reversal Times – Applied To Forex – Often times we forget that the forex market is made up of people; humans who one and all have some measure of fear, greed, fatigue, hunger, as well as many other psychological and physical factors. Applying this to your current trading method is something that can give you an edge. Price reversal times applied to the forex market is a new theory for many, so let’s take a moment to examine it deeper and the psychology and emotions that cause it.
Short Term vs. Long Term Trading – In short, traders as a whole can be categorized into 2 distinct groups, short term traders and long term traders. When selecting the style of trading that best fits you, knowing the differences between the two is beneficial. Knowing the positive aspects and conversely the negative to a trading style is very important as well.
Day Trading Risk Management – Risk vs. Reward – Over the years I have seen traders come and go, traders ranging from those just learning the forex market to those that have been in the market for years. The common denominator or factor that lead up to their demise was risk management. You can have a very profitable system or strategy, yet without the proper risk management and the discipline to follow it, eventually it will be what turns what should be a good trader or strategy into one that loses.