Trend is a Friend

               What is the strategy to Win in Forex? A million dollar question but.... with a very simple answer. They say 'God lies in simple things' & so the success lies in simple things too according to me. 

First of all let us understand what is called as Winning in Forex. When you win more than 50% of times with a risk-to-reward ratio of 1:1 or more is winning in my opinion. Do remember, Losses are inevitable & we need to look at it as  opportunities to grow. Without losses, improvement is impossible. 

          In order to get consistent wins over time, one needs to have a Simple Trading system with Simple rules, tough discipline & few winning tips or rules. If you refer to my trading account snapshot above, you will find that SL is hit twice but TP level is hit nowhere. It is because you should never give away winning pips. If you want to know more about it then click here. Every trade is different and you need to be smart enough to decide whether to take profit before your preset target level or let the trade run. Do not cloud your charts with N number of indicators. It will cause more confusion rather than clearity. Most of the indicators contradict each other depending on situations and confuse you.  Always check the current trend at higher time frame and plan your entry at 30 min time frame. I generally analyse D1,H4,H1,M30 timeframes in same order to plan my entries. Another point to remember is to give the trade some space and time to move in your intended direction. I generally set my SL level 34-40 pips away. Do remember Money Management techniques while placing SL. 

            Take your time to understand how the market works, how the Price action moves & you will be all set to collect lot of pips. Happy trading...stay connected.

'Go for the Jugular' --a winning story!

                         'I want to make it BIG'. This is what almost every individual thinks before joining Forex Trading. When we read little about forex, study some charts, see the patterns on charts,we get a feeling that heck! it's easy man! just buy when trending up & sell when trending down & that makes you lot of money! Yup...This is 100 percent correct but it says only one part of story. Unless & until you master other part, expected results are far away than you ever think of. And the other part of story is 'When?'. When to buy & when to sell, When to Take Profit and when to Stop Loss, When to scale-in the position and when to scale-out, when to trade and when not to trade. This 'when' is what separates successful traders from others. 

Now let me share with you the story of Mr. George Soros, a Hungarian-American Investor. On September 16, 1992, he took short position of more than $10 Billion in Great Britain Pounds by saying his Chief Portfolio Manager Stan Druckenmiller 'Go for the Jugular'. He was dubbed as the 'Person who broke the Bank of England'. That day is called as 'Black Wednesday'. In this trade, he had won a Whopping $1.1 Billions. The full story can be found here.

I don't want to discuss any political part regarding this story but I want to emphasize the point that, What shall be our approach to get that type of Knowledge, Confidence in Forex trading to make it really big? Answer is in the saying which I firmly believe on that says ' A thousand miles journey starts with the first step'.

Remember! Knowledge is Money. More knowledge is more money. Start accumulating knowledge on Forex. Bookmark good blogs, Study websites, join Forums, Subscribe to forex threads. Once you begin to understand trading terms and trading language, you will start building up confidence. Beware! Confidence is very essential for any trader & it comes through knowledge. Begin with baby steps, be consistent, crave for more information and you are all set on your path to make it BIG in FOREX!...stay connected...