Forex Day Trading Strategies

With the myriad of trading information that is available online, getting confused and lost is very simple. It is worth noting that most of the day trading strategies that are greatly hyped are no good. This is because advertising and marketing day trading strategies and the systems used are mainly designed to appeal to the target market. This advertisements appear very appealing, which has made many build castles in the air.

In case a day trading strategy does not yield any positive results, it should be done away with. Obviously, if the strategy was effective, those behind it would blow their own trumpet very loudly. Therefore, with such strategies, there is no need of wasting time with free trials. If you become drawn to this over hyped advertisements, then you may end up making expensive mistakes.

However, there are always two sides of the coin. In some cases, the advertised day trading system could actually have impressive performance results indicated. In this kind of situation, it is imperative to be aware of what to look for. If the advertisement indicated ridiculously high returns like 990%, the best approach would be to ignore it. A percentage of profit figures is not sufficient enough in the evaluation of the specific day trading system.

With this basic screening information, you are armed to go out and analyze the different offers that the vendors have. The question is how many of these strategies will pass the first cut and make it to the next round of evaluation?

Making a sober evaluation of day trading systems takes effort and time. This process can be discouraging in the beginning, but, if you are determined enough, you may be lucky enough to stumble upon a day trading system the works. The early birds should be careful when rushing out to make purchases of highly publicized day trading systems.

Therefore, in order to come up with the most effective day trading system, it is important to understand the three different strategies that are utilized in the industry.

1. Slow day trending
There are days when the market experiences a slow kind of trending day. Once the currency price commences at 200ma and does not get to 20pips and then it gets back to 200ma all on the same day; the day can be considered as slow trending.

This situation could further progress to a normal kind of trading day. Therefore, with this in mind, it is possible to adjust your trading strategy.

2. Trending Day: Normal

A normal trading day is experienced in the market when the currency price starts at either slightly below or above 75ma. It could extend just a little bit and then get back to 75ma.This is an indication of the stability of a particular currency.

3. Trending Day: Fast

Once the currency market price is just above 21ma or slightly below this figure, the trading day can be considered as being fast. The price could either go slightly above or below 21ma.

With the above information in mind, it becomes easier to come up with an effective day trading strategy. For more information on trading strategies be sure to visit Lucror FX today.

 

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