TRADING FOREX WITH GANN SWING OSCILLATOR - forex trading companies in europe

TRADING FOREX WITH GANN SWING OSCILLATOR ~ forex trading companies in europe

Gann Swing Oscillator was introduced in the book "A W.D. Gann Treasure Discovered" by Robert Krausz. It is a range bound technical indicator that moves within +1 and -1. This indicator is meant to be applied with Gann HiLo Activator and Gann Trend Oscillator indicators, and these three indicators form a complete trading system called "New Gann Swing Chartist Plan"

Source: cmsfx.com, editted

Now the focus is on "How to apply Gann Swing Oscillator in forex trading"

The interpretation of this technical indicator is very simple as it is constructed.

A +1 value of the oscillator suggests an up swing, and after an up swing a down swing is expected. A -1 value indicates a down swing, and after a down swing an up swing is expected.

The indicator can only be effective ,if it is applied with other  members of "New Gann Swing Chartist Plan". The indicator alone is not sufficient in taking a trading decision.

If you have any questions, suggestions, or complements, you can drop a comment below.

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Forex Trading Why You Should Invest! - forex trading jobs in hyderabad

Forex Trading Why You Should Invest! ~ forex trading jobs in hyderabad

FOREX TRADING is an extremely lucrative investment option where money can be made 24 hours a day via investing in foreign currencies. The forex marketplace is simpler in terms of product (currencies) you can invest in when compared to other investment options such as the stock market.

As mentioned the foreign exchange market is constantly trading - as the sun sets in one country, it rises in another. What happens to one currency, directly affects another - and the gains are not always inherently good or bad.

Banks are most commonly the source the source of currency trading, as millions of dollars are traded daily. So the question must be asked, should you get involved in forex trading? If you are already trading in the stock market, you would have a reasonable grasp of concepts you need to trade successfully.

Trading on the stock market essentially involves investing money in companies and watching how they consequently perform. In Foreign Exchange you are basically buying and selling foreign currency, and monitoring swings and trends giving you signals when it is profitable to buy and sell. Using forex trading software is a great way to get a feel for the marketplace. You will almost always be supplied with a demo account which will allow you to be involved in the market without risking any of your own money.

Software such as Forex Killer allow you to create such demo accounts, but also supply users with credible trends and signals, which literally tell you when to buy and sell on the stock market. You can see the software in action via the demo option, to see if your trades are going to be profitable. Further to forex trading software, brokers most certainly have a place in currency trading.

To be involved in the foreign exchange market as an individual you require a broker or institution to represent you...Individuals are also called spectators, as the amount of money they invest is tiny compared to governments and institutions. Having only a small amount of money is not a reason to not invest, a forex broker can assist in determining what your best options for investing are. Specifically in the US there are strict guidelines as to who can operate as a broker. Always be wary and careful of scams- specifically on the internet.

Conclusion:

The Foreign Exchange Market is a fantastic investment option from every angle. The main reason being there are not too many options for investment on the market, simplifying the process of making profitable decisions. Further to this the use of forex trading software and brokers can greatly assist trading, and further increase profitability.

...Want to Learn an Amazing Breakthrough Forex Trading System Which Will Help Skyrocket Your Trading Profits? Please Go Here.



To Your Forex Trading Success,
A Professional Forex and Stock Market Trader
Dan A.
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Trend for 3rd of June (updated) - forex trading basics ppt

Trend for 3rd of June (updated) ~ forex trading basics ppt

Trading week is over and let us look at price action in currency markets today. It was a big day, for the data of Non Farm Payrolls came out today. You have to mark this event on your calendar and always be ready to take advantage of the data as well as be careful trading it. I remember my early days in trading forex market. I started by trading news, but as I did not know much about trading and managing capital I had to go through a lot of bitter experience. I very clearly remember myself trading my first Non Farm Payrolls event having just a few weeks of experience on a mini account with Refco broker (bankrupt now). 

You must have noticed that occasionally market starts moving one direction before the news and when it comes out it jumps into the opposite direction. That’s what happened with me that day. My sell order was opened and after about 10 seconds the market exploded upwards. Platform was not able to close the short order and I was sitting there desperately trying to close it manually. Fortunately, I was able to finish the day at breakeven by closing the sell order and opening a long one. This also taught me a lot about risk and capital management. If you want to trade the news you will have to be ready for a lot of problematic situations that might happen when news is released. I will talk about them some time in the future when I write a separate post about news trading. 

I would say that if you a news trader today was a turbulent day for you. It does not mean you couldn’t have made any money, but you would have probably experienced a ‘whipsaw’. If you opened 1 minute chart you would see how the price in eur/usd, gbp/usd and other similar pairs jumped up (meaning your long order would have been opened), then after two minutes the prices started going down and reached the other end of the range and below it (meaning your short order would have been opened). Then the price again reversed and went upwards. Well, if you traded gbp/usd you might have probably avoided this, but eur/usd would have done you just that (two orders opened and then closed). I view it as a pure manipulation done by ‘big dogs’. 

Anyway, if you do trade news you have to play under conditions that you have and one of the ways to play this situation is to put buy and sell stop order again (after the first ones are closed by market). So, lets say you traded eur/usd. Your long order was opened and after a few minutes stop hit. Then your short order was opened and after a few minutes the stop for the order was also hit. What do you do? You again place long stop order above the most recent high and sell stop below the most recent low. This kind of behavior would have put your trading today on breakeven. I cannot show you the charts yet (problems with computer) but you would have placed your second set of orders in this way: eur/usd (buy stop order at 1.4535 and sell stop order at 1.4445). Your long order would have been opened and you would have probably closed at a round number of 1.4600 (a few pips below that). That would have left you at breakeven. I hope you had some profit today though. 

That much for today, I am going to write on some technical aspect of trading tomorrow. I hope I will be able to include some charts tomorrow. See you.

Read my previous post:

Pound and silver

Disclaimer

Trading financial markets carries a high level of risk, and may not be suitable for all investors. All information on the blog is of educational nature and cannot be considered as advice, recommendation or signals to trade in any financial markets.

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Swing trading - forex trading platforms

Swing trading ~ forex trading platforms

Intro about swing trading

 

Hi everyone. Today I wanted a little about trading technical market swings. They are some sort of minor trends that can last for a week or two and they usually happen within a defined range that a given market is in at that particular time when a swing occurs. I got the idea to say a few things about it by looking at gbp/usd pair today. I hope the post will be useful to you. 

Define a range before trading a swing

 

Firstly, you need to identify the high and low of a range that a given security is in. If the security (in this case gbp/usd) is approaching support you wait for it to reverse near it and start trending up. It may not happen, but it very often does. There are a few things you might want to remember before trading swings. You have to avoid choppy markets and if you see price go up and down and again up and down and not moving in one direction it means the security is trading sideways and you will not gain anything from these kind of market conditions. 

Unique phenomena of swings in currency markets

 

So, you have to see a bottom, possibly confirmed twice and then a gradual move upwards where you will be able to buy dips. A unique thing in trading currency markets is that very often when a swing starts you can see a move up during European session, move down at the end of American session and some consolidation during Asian session. I noticed the phenomena a lot of times and you can see it in the example below with gbp/usd pair. 

Example of gbp/usd swing

The pair bottomed on Friday by forming a double bottom and moved through its’ most recent resistance at that time. One Monday it retraced back to support (previous resistance) and was not able to break through. That’s when one could have bought a reversal and went upwards with the market. You then see the same pattern reoccurring throughout the week, where the pair goes up, reverses to the support and then again rallies upwards again. 

Go to smaller time frames to jump into a swing

 

When you see these things happening you have to go to smaller time frames: 1, 5 and 15 minute charts and wait for reversal patterns to form at the support levels. You will not always get ideal structures, but more often than not you will find double bottoms or my favorite 123 pattern. They would be a clear indication that a counter swing move is over and you can prepare for a continuation of an upward swing. 

Exiting the market

 

You might exit your trade at the end of the day or if you are going with a couple of positions you might close one at the smallest sign of a forming counter swing move and leave the second one to run till you see that the market has exhausted itself or is at the other end of the range and will probably have a downward swing. Then by applying the same rules you get ready to move down together with the market.

I believe I will update the post soon with more information about swing trading. 

See also:

123 pattern

Range

Disclaimer

Trading financial markets carries a high level of risk, and may not be suitable for all investors. All information on the blog is of educational nature and cannot be considered as advice, recommendation or signals to trade in any financial markets.

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eur jpy - do forex trading bots work

eur jpy ~ do forex trading bots work

Hi, everyone. Today I want to continue my predictions regarding short term trends in financial markets. The post will be short for I am only going to speak about silver and gold. I believe I do not have to remind you how bullish I am towards precious metals. However, if we talk about short term or medium trend in these commodities I think they are about to go down a little. This is a bearish technical picture that I see for the securities. 

I expect silver to go down

 

I told you yesterday, that I see lower highs in Yen pairs and it convinced me that Yen was about to strengthen. The same I see when I look at silver charts. Even thought silver bottomed on the 12^th of May, it failed to reach previous high and formed a descending channel. Some technical would call it a flag and that would be bullish, but as you know lots of technical patterns end up being fake. So, I predict that the security will reach its’ previous low at 32.30 and then possibly go 31-25 level. This would be support area. 

Possible support levels

 

I am not some market magician and cannot predict exact levels where this or that security might stop falling. However, by using support and resistance levels as well as some other technical indicators we can make some preliminary predictions. So, by looking and weekly Bollinger bands I see support at 30 level, which would be the lower part of the band. A surge that we saw in silver made the bands go apart pretty sharply. The collapse and the range that we have seen recently will make the bands to get closer. So, I think that 30 dollars per ounce is a good place for support in silver. 

Wait for reversal signals at those levels

 

I also marked 31.26 level, because it used to be a resistance and 26.37 level, which used to be support. Remember that these levels are only for forming expectations and are not some signals to buy or sell. You will have to wait for other signals for possible reversal and entry back to buy positions. When and if silver as well as gold do fall, then I will be able to talk more exactly about other technical aspects you can look for in your charts. 

See also:

Support 

Resistance

Disclaimer

Trading financial markets carries a high level of risk, and may not be suitable for all investors. All information on the blog is of educational nature and cannot be considered as advice, recommendation or signals to trade in any financial markets.

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6 key elements of technical analysis - do forex trading robots work

6 key elements of technical analysis ~ do forex trading robots work

Today I want to talk about importance of technical analysis and various aspects of it that should help you in making profitable trading decisions. I know that most people want to know the fundamentals of economics, finance and see the big picture of how global economy works. However, we should understand that our perception and understanding of what we see in the world may be very subjective and if we make decisions (in trading) based on those subjective assumptions we might end up losing all of our capital. Therefore, I am more for doing technical analysis than I am for doing fundamental analysis. This does not mean you should not study fundamentals. It means you have to compare what you know with price action and follow the market, not your opinion. 

Even if your opinion is right about economy you should never forget that there are a lot of powers working in the market and they have enough capital to push the price where they want, no matter what state this or that economy is in at a given moment. This can have a very negative impact on your trades, especially if you are a short term trader. I saw a lot of times how good economic news is accepted very negatively by participants, or market makers I’d better say and prices start falling. So, if you follow your opinion you may be right and lose money, if you follow the market your fundamental opinion might be wrong, but you make money. So, that is a big plus for studying technical analysis. 

When you finish reading the post read other related articles and watch my videos:

RSI

MACD

Moving average

Resistance

1. Resistance and support levels

I personally believe that resistance and support levels are the greatest tools of TA. These are levels where price comes and usually reverses. These levels are extremely important in range trading for when prices are stuck in ranges support and resistance levels are visited a lot of times and they do hold till finally a breakout occurs. One would wait for reversals around these levels and often be able to catch a new swing and go to the other end of the range making nice money. Patience and risk management is the key element here. 

2. Technical indicator

Technical indicators have been developed by a variety of trading specialists to help one in making trading decisions with the help of those indicators most of which are based on moving averages. The most popular indicators are: MACD, RSI, various moving averages, Stochastics, Bollinger Bands, Pivot points, Price channels and many more. I do not want to mention all of them, nor discuss them in detail as I do not believe you should base your trading decisions on those alone. Try to use them with other technical or fundamental analysis tools. My favorite indicators are MACD and RSI. I wrote posts on the usage of both of them as well as moving average indicator.  

3. Price action

It is a movement of a security in some direction and by using tools of technical analysis a trader is often able to guess the direction of price in advance. The application of those tools might be subjective as looking one and the same pattern two traders will probably form a different opinion. If one includes things such as fundamental news releases into one’s analysis his accuracy in predicting price action will grow. Most traders like looking at candlestick patterns, support and resistance levels and other methods to predict direction of price in the nearest future. No one will do it one hundred percent correctly all the time. Learning from mistakes and perfecting one’s methods of analysis should make one’s speculation better. 

4. Trading strategies

There are plenty of trading strategies that purely rely on application of technical analysis. If you visit sites like Forex factory, Babypips, dailyfx and many more you will find a lot of free trading strategies that are based on TA. Most are based on the application of technical indicators, some on breakout of support and resistance levels, others on news trading and many more. If you are a newbie you can visit one of the above mentioned sites and back test some of the strategies, which you will like most. 

5. Chart patterns

Those that like trading swings or trends that last longer than a week will often wait for developing chart patterns that would indicate a continuation of an existing trend, show a possibility of a break out of a current chart pattern, show places of a possible reversal and many more. The most famous chart patterns are: triangles, head and shoulders, inverted head and shoulders, wedges and rectangles. Some traders rely purely on those patterns while making their trading decisions and make big money in financial markets. One of them is Dan Zanger who made millions in stock market when it experienced dot.com bubble. He also pays much attention to volume, which is not very important if you are a Forex trader for you cannot know exact volumes if you are trading currencies. It is important if you are trading stocks though. 

6. Trends and swings

Predicting long term trends and swings is probably one of the best things that technical analysis can help you to do in trading securities. We know that securities tend to stay in ranges for a long time. Some say that the ratio is ten to one. It means that securities could be in ranges for about ten months in ranges a year and only two months trend. But if one wants to make consistent profits, one should also learn how to identify an emerging trend and trade in the direction of it. One of the best ways to do it is to identify the limits of a range (support and resistance levels) that a security is in at a given period of time and wait for those limits to be broken. That’s how a lot of traders of the past and present made millions of dollars. They also kept building a line of positions after the breakout and would exit all of them when they saw the slightest sign of reversal.

That much information about technical analysis. I hope to expand the post and add more information on the topic in the nearest future. 

See also:

If you want to see and experience what real investing in financial markets such as Forex, stocks and commodities is all about I recommend trying innovative social investment platform of Etoro. Initial deposits are as low as a few hundred bucks. The best dealer I have heard of so far!
http://www.etoro.com/A41516_TClick.aspx  

Disclaimer

Trading financial markets carries a high level of risk, and may not be suitable for all investors. All information on the blog is of educational nature and cannot be considered as advice, recommendation or signals to trade in any financial markets.

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