Forex Trading Strategies

Forex Trading Strategies book

Forex

Trading Strategies book

There are many kinds of orders which traders can place to

transact in the Forex market, for making profit out of it.

 Market Order

The market order is the most simple and common kind or

order. Here, the trader buys and sells the currency at the rate prevailing in

the market at the time of placing the order.

Due to the huge size of the market and the high

volatility, trends can reverse any instant, so people prefer placing orders at

the market price to guard themselves against any adverse trend.

 Limit order

In this case, the trader specifies a price at which he

may wish to buy or sell the currency.

Suppose a trader has bought GBP against the USD at

1.9710, then he can place a sell order at 1.9725, when the exchange will execute

the order and he will profit from it. The order will get cancelled if the target

price is not achieved during the day.

 Stop loss order

Due to the volatility, stop losses are essential. They

determine the maximum loss a trader is willing to suffer. Suppose in the above

instance, the risk-taking ability of the trader is low, then he may place a stop

loss at 1.9705, at which level the exchange will book losses for him, and he

won’t be affected by any fall below 1.9705.

 Entry order

Such an order is filled only when certain conditions are

met in the market, which the order

specifies. The entry order can be a limit entry order or

even a stop entry order.

- Limit entry order

As an example, let’s assume that the current market price

for GBP/USD is 1.9705-10.

This implies that the trader can transact at these

levels. Here, a trader can put a limit entry order to sell his holdings at a

price more than the market price, say, 1.9715. His order would be executed only

if that price is attained. In the similar manner, he can place an order for

buying at a level of, say 1.9700, and his ‘buy’ order would remain pending

till

- Stop entry order

Such an order is generally used when the trader has

sufficient grounds to believe that the currency is trading in a fixed range and

believes that it is on the verge of a breakout from that range. He might want to

buy at a price higher than the market price or sell at a lower price than the

market price. In the same example, the trader may go ahead and buy at 1.9720 or

sell at 1.9690, where he believes that once these levels are attained,

the currency will only go up or fall further, as the case may be. A trader

exercises the stop entry order only when a trader has reasonable grounds to

believe that there will be sharp movements in the currency rates in the Forex

market.

Content

:

What is

Forex Trading?

Importance

of Forex trading

Four Main

Types of Orders in Forex Market

Forex

Trading Price Movements-How and Why Markets Move and How to

Profit

You predict

the Forex expense trends

The Market

obeys Scientific Laws

Business Can

be made of News

Actual

Expense Trends

Win the

Competition

Be Imperfect

but Never a Loser

Forex

Traders: The Need to Be Objective

Forex

Trading Tools

The Three

Trend line Strategy

How to Win

with Forex: The Step-by-Step Secrets

Success

Comes From Within

Discipline

& Losses

A Trading

Edge

Success is

in YOUR Hands

Dangers of

Getting Emotional About Forex Trade

Forex

Trading Strategy – Channel Breakout

Forex

Assassin vs. Forex Power Strategy

The Correct

Timing in Forex Trading

Making

Proper Use of Support and Resistance

Why Buy Low

and Sell High Doesn’t Work

It Takes

Guts – But It Makes Money

The

Importance of Real Time Forex Charting

Calculating

Interest on Forex Trades

The

Advantages of Automated Forex Trading

Choosing the

Right Automated Forex Trading Software