Subscribe Feed (RSS)Forex trading
June 11th, 2009 by eyal | Filed under Day Trading. |
Print This Post
So a blog post over at TraderGav got me thinking about adding Forex to my trading activities. I’ve traded Forex in the past (without success) so I’m not completely new to it but there is certainly a lot to learn about the industry, tools and brokers. The difficulty I see is that even finding where to find information can be tricky. Putting the word forex into google will just show a flood of Search Engine Optimized results to various services and people trying to cash in on the get-rich-quick noob frenzy in the forex field. So far the main place I’ve gotton information from (other than my friend Gav) is Forexfactory.com.
As for how I plan to trade those markets, my initial thoughts are to avoid any kind of scalping or short term trading and focus on longer term trends, possibly off daily charts. As usual this will just one of many projects so progress will be slow, with occasional hiccups and frustration but hopefully with some breakthrough at some point. I think it’s going to be a long but interesting journey.
Hi Eyal,
Just my two pence here, you know I am not a well-experienced trader or anything.
Anyway, here are a few sites you may find of interest, maybe you already dismissed them, but well:
- http://www.forexblog.org/
- http://www.actionforex.com/
Along with a few more you may get from the my blog.
As a general comment, coming from my limited experience of it, I think FOREX is a highly speculative market (and increasingly so), which somehow, reduces the importance of fundamentals, and makes technical analysis much more relevant. However, and without contradiction, it also is a very responsive market to any incoming news, but the impact of these news also seems to vanish very quickly. What I am hinting at is that it is a very dissapointing market for those who tries to understand it in a causal sense, rather a I feel a pure statistical approach is the most promising. At least, it is the most productive one I have found so far, and the one I am now applying to daily trades.
Cheers
JP
I’ve not come across those other websites. Thanks. Interestingly the first one seem to be more fundamental / economic focused. The second is probably more useful for me.
From the little I’ve read I saw that many people struggle with trading news. For me I’m a purely technical trader. In the (very?) long term only economics drive currencies moves but in the short term, say a few days – week duration I think often other factors are in play like momentum and psychology.
Who are you trading with btw? Still Oanda?
Yup, it is going to be a long, fun journey. And I know you got the patience and passion when it comes to trading. So enjoy!
I don’t think you need any suggestion or advice. You just have to work it out by yourself.
err..btw, honest suggestion, do not bother to read/join any forum. All junks. I guess you know that. Forex related forums are just worse. :)
Aha! I know why you don’t want to give me more suggestions, you must be trying to hide from me that special secret formula to endless profits.. ;-)
Actually I already joined several forums over the years, often they don’t let you see attachments otherwise. But I’m ultra cautious and critical of anything I read that is in the public domain. Maybe sometimes overly so.
But yeah I know what you mean, there’s no substitute for doing your own “hard” work and in forex it may be even more so than any other field. Just looking at the ads displaying on this page because of the forex keyword such as: “Start now! Deposit with Paypal” right…
Hi Eyal,
Yes, I am still with Oanda, it’s quite fine, I like the tight spread, the only problem is that I use MT4 for my analysis, so it requires me to have the two applications open.
I’ve heard or read similar things from other people about using MT4 for analysis and then order execution with Oanda or some of the others like Alpari or ACM.
I don’t mind the applications open but the tracking of positions and results gets a bit messier. Maybe that’s something one has to live with when using MT.
Btw, just checked out MBT. Metatrader is still in demo stage. It is not offered to Live account yet. But, it is worth to play around to see how ECN connection works on Metatrader.
Ha I didn’t even realize that. So no different from going thru Oanda. Well good to know. Thanks.