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Find Out All About Forex Trading
Learning ForexSupport and resistance levels form when a number of orders cluster at one point on the chart, and this is particularly true when a large institutional trader, such as a hedge fund or currency manager, is entering the forex trading market with a massive order.
If the institutional trader entered such a large order all at [...]
No market trends like the forex trading market, and simply riding a trend can be the quickest path to profits. Unfortunately, inexperienced traders are too often content to glance at a chart, note that the currency pair is higher on the right side than the left, and assume that means the pair has embarked upon [...]
The TED spread: gauging confidence in financial markets
Hurricane Ike roared across the Texas coastline at 2:00 AM local time on Saturday 13 September, smashing into Galveston Island with sustained winds of 161 kilometers per hour (100 mph) that ripped roofs and walls off buildings. Houston, the United States’ fourth most populous city with a metropolitan [...]
Imagine this scenario: you’ve been watching an uptrending currency pair for some time as its price approaches a key resistance level, a point it had not been able to break through several weeks earlier. The price bounces beneath that level for several candlesticks, then pushes through and even closes above it.
Is this the anticipated breakout? [...]
One of the forex trading market’s many variations on continuation, a price channel is formed when a currency pair range-trades between rising or falling support and resistance levels.
A bullish price channel has an uptrend and is defined by its support level, e.g., by drawing a trend line from the lowest low preceding the trend and [...]
Recently, the forex trading market has been exceedingly choppy, with the price action of many major currency pairs vacillating between support and resistance levels without much rhyme or reason behind the movements. It’s a major challenge for the forex trader, particularly those new to the game, to escape the moods of the market with one’s [...]
Particularly when the novice trader first enters the forex trading market, there’s a tendency to feel overwhelmed by a blank chart, such as the current four-hour EUR/CHF, below:
However, there’s a simple process that can be followed to analyze a chart. To more experienced traders, this may seem a simple exercise; however, the process brings to [...]
Because of the close trading ties, generally there is a strong correlation amongst the three major European currencies, as they float against the U.S. dollar within the forex trading market. Experienced traders know to watch the pound sterling and Swiss franc, as these two currencies act as chart leaders for the Euro.
The chart of each [...]
