Trading Plan City Monopolist Trading
One of the reasons why many retail forex traders lose money in the market is because they do not trade like the successful institutional traders. There is something to be said about this that either a) the asians are just better culturally and mentally for trading (not sure this is true, but I think they have some cultural advantages), or b) what they are doing is more repeatable and successful….food for thought.
He watches several different currency pairs, and simply waits for one of these opportunities to arise – there are usually at least a couple of opportunities like this in any 8-hour trading session, and often there are two or three that occur within just an hour or two (which can make for a very nice, short workday for you).
For example, if a method has an 80% win rate (I use this purely to make the maths easier as many successful methods yield a lower win rate) a longer term trader trading 5 times a week can expect to lose at least 1 day a week i.e. you would expect to have a losing day as a longer term trader.
The Forex Market is the largest market in the world in terms of volume with over 4 trillion dollars exchanged daily With the popularity of currency trading their is a plethora of online platforms, a large number of sites which now offer this service.
The smaller timeframes are often viewed as the exciting timeframes to trade for the many market newcomers, but realistically, they you will need a large trading account, consistency in your trading strategy, and the absence of a day job to make it work.
In a related development, China’s State Administration of Foreign Exchange (SAFE) issued new rules on Wednesday relaxing restrictions on multinational companies’ management of their foreign currency-denominated debt in China, allowing them to pool debt from all their subsidiaries for central management.
Because all higher time frames are made up off information from the lower time frames, one candlestick on the daily chart represents a days worth of market action, if we were to go onto the 1 hour chart and mark the beginning of the trading day, we would find that 24 1 hour candlesticks would make up the one candle we see on the daily chart.