Forex Training: Follow Your Gut or Your Broker

Which way will the forex market move? Do you just follow your gut feeling? Or do you have Neo's sixth sense that would let you be one with the market and feel the underlying currents.

Trading forex is a non stop action movie but a good one, where you really don't know who will win at the end. Every forex trader is trying to predict the winner of his own movie.

The forex markets move fast. Can we understand why they move? Yes, we can but only by having a feeling for the market, the instinct to know in which direction to move. Will our intuition enable us to predict the forex markets every move? Of course not. But understanding what makes the markets move will give the edge in making better trades.

What do we need to know!

- Who trades forex?

Traders, investment funds, corporations, banks and governments.

- Why do they trade?

Traders go for a quick speculative profit. Investment funds avoid risk and follow the long term trends. Corporations are trying to hedge on currency fluctuations. Banks are short term traders, market makers and hedgers. Governments trade currencies to keep there countries markets stable.

Now that we know who the players are we must understand ourselves. As the other players trades will impact greatly on our own. We need to decide on our trading strategy. There are just too many strategies to be covered in this article so please visit Forex Value Guides to for more information. http://www.forex.value-guides.com

But no matter our strategy, we must be disciplined and not let our emotions take over. That is not an easy thing to do when the markets go wild. We need to keep calm to analyze the other players to reach our profit goal.

Don't believe anyone who says trading is easy. You need a lot of will power not to keep changing your mind every minute and sharp analytical skill. Not only to understand the other players but to comprehend world events that have an impact on the markets.

What strategy should you choose? Each trader needs to develop his or her personal approach to the FOREX. Some traders rely solely on technical analysis while others prefer fundamental analysis, but many successful FOREX traders use a blend of both to get a broad overview of the market and for plotting entry and exit points.

There are many valid tools available to recognize market movements. The novice FOREX trader is well advised to study each one individually for getting a working knowledge of their concepts and use. Once one has been understood, keep on using it while studying others. Each method tends to reinforce the others.

David Jones is a freelance writer and world traveler who writes about subjects in which he has a personal interest. Forex Trading

---

Crisis of Confidence in the EU

The European Union (EU) constitution was dealt a double blow,... Read More

The Nature of the Trading Business

Consider the following: As a trader you are in a... Read More

The Margin Advantages of Trading FOREX.

There is one aspect that is considered as one of... Read More

Day Trading the Index Futures - How to Judge Good Entries

QUESTION: If the SP futures fall through support and go... Read More

Where is the Market Going?

If you ask me whether the market will have moved... Read More

Sending Signals for Trading in Forex

Forex signals are sent by a forex firm to their... Read More

The Yin and the Yang of Markets

I am reading a fantastic book on trading, first published... Read More

6 Critical Factors For Successful Trading

Success in any profession can be broken down into a... Read More

What I Learnt Losing £60,000 My First Year as a Full-time Trader

During my first year as a local (independent trader) on... Read More

Choosing A Forex Broker

With currency trading becoming ever more popular, the number of... Read More

Forex2u Forex Strategy On Successful Forex Trading

The essence of the FX2u Forex strategy is that it... Read More

Writing A Trading Plan

All professional traders have a trading plan. Trading futures is... Read More

Option Arbitrage in the Forex Market

What is arbitrage? Arbitrage is the simultaneous buying and selling... Read More

Money Management, Part 2

FEARING LOSSESThere is a huge difference between being risk averse... Read More

The Meaning of FOREX Price Charts and How to Use Them

There is one very important factor that you should consider... Read More

Psychology Of Trading

The psychological aspect of trading is usually underestimated by those... Read More

A Look at Online Forex Brokers

An online forex broker is a firm that facilitates retail... Read More

What is Forex Trading?

Forex, or Foreign Exchange, is the simultaneous exchange of one... Read More

A Fools Game

I received an email this week with a question (below)... Read More

Why Hedge Foreign Currency Risk?

International commerce has rapidly increased as the internet has provided... Read More

Stock Market Report: Day Trading or Swing Trading Online? Stock Investing Information

Profitable day traders recognize that momentum trading is among the... Read More

The Secrets of the Super-Traders

The first and perhaps most important "secret" is to realize... Read More

Discovering Turnaround Candidates

There are many types of investment methodology out there. All... Read More

Why Demo Account Performance Is Often Better Than Real Account Performance

Over the past several years, the popularity of online currency... Read More

How to Trade Currency

We all know when you go on a trip to... Read More

Why Forex Traders Plan To Fail Before They Even Place Their First Trade & How You Can Know It & ...

Have you heard the wise saying that a trader who... Read More

Day Trading Success- The Key Is Survival

Most new traders tend to focus just about all their... Read More

Learn Forex Trading - a Guide for Beginners

One can learn forex trading as easily as one would... Read More

A Short Introduction To FOREX

FOREX is the world's largest and most liquid trading market.... Read More

Two Timeless Rules in FOREX Investing

RULE #1) ~ Cut your losers; let your winners ride.One... Read More

Forex Market Overview

"FX" is an abbreviation of "forex" or "foreign exchange." Foreign... Read More

Forex Profits

The Forex Market-What, When and Why?Forex, FX and the Forex... Read More

Business and the Forex

The business world is a complex web of supply and... Read More