Trend Following and Trend Reversing
"The Trend is your Friend"
Much like analysis of stock or any other exchange traded items, trading the Forex market is based on trading by using indicators. These indicators show a wide range of data; mostly the average movement of the item. There are many different ways to apply technical analysis to trading Forex. Each trader usually builds their own methods for quick day trading and short term trading the FX market.
Bellow we've given the example of trades conducted based on the analysis of 3 separate indicators acting together (Gator, MACD, Bollinger Bands); that offer good examples of short-term trades:
Another example of technical analysis, Is performing range trading. This strategy is based on the assumption that you have a "Range" of high's and low's, and you are selecting to BUY when its in the lower part of the range, and to SELL at the higher part of the range:
Trader Pitfalls
Understand the problems.
If you are new to trading, there are many issues you need to face, so be prepared. » More.
Trading Methology
Find your strategy.
Fundamentals or Technicals, or a healthy combination of both » More.
Choosing a Provider
There is more than one.
Chosing the dealer you do business with, depends greatly on your requirements. » More.
National Futures Association (NFA) is the industrywide, self-regulatory organization for the U.S. futures industry. We strive every day to develop rules, programs and services that safeguard market integrity, protect investors and help our Members meet their regulatory responsibilities.