The European Central Bank is in a policy no man's land, bombarded by news of a stagnating euro zone economy but hesitant to move forward with new stimulus until measures it loaded in June have ignited.After the ECB cut interest rates in June and promised banks cheap long-term loans starting in September, about all that is left is printing money to buy bonds - so-called quantitative easing (QE). But there are tricky practical and political barriers in the ECB's way: it is boxed in by its own plans, and still faces strong opposition...
Today we will cover a very important aspect of successful forex trading which is often neglected especially by new forex traders; risk management. The majority of forex traders are so concerned about generating profits, that they often ignore their bottom line and how to protect it. The majority of traders do not understand the importance of risk management and do not spend the required time to learn how to protect their portfolio from losses. The best forex strategy is absolutely worthless if one bad trade will wipe out your entire...
When you trade forex, just like every other asset you trade, it is virtually impossible to time your entry into a currency pair correctly which means that after you go long it usually keeps dropping before it rebounds and after you go short it keeps in rising. That is normal and should not concern you at all. As long as you have a solid trading strategy in place which produces good results for you there is no reason to make any big adjustments. One minor strategic change which is advisable is to stagger your entry levels in a support or...
The absence of clearly defined trading plan, which includes the rules of entry and exit from the Forex market, almost guarantees you a failure, at least in the long run. New traders usually make the same common mistakes. They often succumb to the temptation to throw their plan under the influence of emotions when things do not go as expected. The habit of re-use unreliable methods that do not bring income is compounding the situation. Many traders hold losing positions, convincing themselves that the situation is about to change in their...
Forex traders often unknowingly cloud up their minds and confuse themselves by using over complicated trading strategies and systems that turn their charts into something resembling art. It is no big secret that you need to have an objective and calm mindset when trading the forex market, yet many traders make achieving such a mindset very difficult by using confusing and complicated trading methods. The significance of simplicity with regards to the method used to trade the forex market cannot be emphasized enough. A simple method keeps...
