The trend is your best friend

Discussion in 'For novice traders' started by Francmorio, Jun 29, 2019.

  1. Francmorio

    Francmorio Member

    This is another thing you need to take care of. If you don't understand the trend in the asset you're looking forward to trade, don't trade it. Run number one, understand the trend, then take care of the amount you are risking and enter and exist correctly..
     
  2. Tengkorakfx

    Tengkorakfx Active Member

    Starting from bigger timeframes like Weekly or Daily chart. You can see bigger trend from this, identifying swing high and low then mark it as a part of your trading plan.
     
  3. broforex

    broforex Member

    forex market if you look at it and pay attention to it also always repeat. There is a cycle that without you realizing it always appears in currency price movements. This cycle is always there and will never end until any time until the market itself will decide its journey ahead.
     
  4. Tengkorakfx

    Tengkorakfx Active Member

    For sure it will never ends. Thus what happened in the past might happen again with the same exact patterns. Just be sure to get yourself prepared for that.
     
  5. broforex

    broforex Member

    yes. Once started, the trend tends to develop in the same direction until the counter trend begins. Uptrend is an aggregate of price movements where each subsequent peak is higher than the previous one and each subsequent trough is higher than the previous one.
     
  6. broforex

    broforex Member

    When trading in trend following, you should not be too serious in analyzing the intraday price fluctuations associated with short-term news releases. Conversely, rest assured that at the end of the day or at the end of this week (depending on your trading timeframe), price movements will be in accordance with the ongoing trend.
     
  7. liafatlouie

    liafatlouie Member

    What are the trends for Brexit-related currencies, sir?
    Is it stable to be traded?
     
  8. broforex

    broforex Member

    Whatever our trading system. Whatever the indicator. Take the paper and pen (or open microsoft word). Write our trading system, when we enter, when to get out, how many lots are opened, where put TP and SL. Include a screenshot of it. Make it as detailed as possible. Make it as if we are teaching elementary school children to trade our million dollar money. After that print and laminating if necessary. Put it next to the computer. If the trading system succeeds 50% then BE LOYAL.
     
  9. liafatlouie

    liafatlouie Member

    Very interesting explanation.
    I will try in detail the way above.
     
  10. Tengkorakfx

    Tengkorakfx Active Member

    It might easy on paper, but you have to backtest your strategy on the chart itself since the market movement won't be the same as you read on the books. The most important thing is you can identify several different patterns to look for a trade opporunities
     
  11. broforex

    broforex Member

    Yes, trend is your friend, but first you have to know, where the trend will go, you should mastered 1 or 2 indicators and you will get the chance to get some profit when you do forex trading business.
     
  12. Tengkorakfx

    Tengkorakfx Active Member

    You may want to use 1 or 2 indicators as a confluence that the price would bounce in a long term. But be careful with the fact that indicators follow the price, most of them are repaint, though...
     
  13. broforex

    broforex Member

    Yes, repaint is normal, so don't forget to put your SL point, it is quite help and powerful to safe your account from stop out. Keep your spirit and keep trading.
     
  14. broforex

    broforex Member

    Trend is a movement that shows where the market is moving. The term "trend" in everyday life is often used to express a situation, where something is currently in vogue or is the public's attention. This is also true in forex trading. When the currency is popular, the trend chart will move zigzagged up gradually.
     
  15. Tengkorakfx

    Tengkorakfx Active Member

    Trend is best to be followed, like most of the times it will gain you some good profits. But when it changed, you only have few loses then carry on to follow the trend again.
     
  16. liafatlouie

    liafatlouie Member

    Agreed. So instead of installing lots of indicators, it is better to understand the trend well for our trading
     
  17. broforex

    broforex Member

    The term "trend" in everyday life is often used to describe a situation where something is currently in vogue or is the concern of most people. So too is the situation implied by the forex trend. When a currency is popular, the trend chart will move zigzagged up gradually. Meanwhile, when a currency falls in value, the trend graph will move zigzagging down.
     
  18. liafatlouie

    liafatlouie Member

    In general, there is no specific strategy here that could make a trader successful. You just have to pay attention to the results of your work and constantly improve them. Practice makes perfect!
     
  19. andengireng

    andengireng Member

    Trading with the Trend-Following method (following trends) means that someone analyzes prices using technical analysis tools, determines whether the market trend is up or down, then uses it as a basis for deciding whether to sell (Sell) or buy (Buy)
     
  20. broforex

    broforex Member

    I usually analyze the trend in a big time frame 1D and then I analyze it in 1H time frame, I think this strategy will make my analyze go better, still using my stop loss point to avoid if my analytics become wrong.
     

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