Posts Tagged ‘Trades’

The Excitement Of Online Foreign Currency Trading

October 27th, 2010 143 Comments

Excitement on a computer, for some, until recently has been regulated to porn or computer games. Now there is a way to find excitement on the internet and generate money as well. That is by becoming an online foreign currency trader.

This is not changing dollars of local currency when you are on vacation. This is a business that trades about 1.3 trillion dollars a day currently and continues to grow. In fact, foreign currency trading is one of the biggest financial markets today.

Its the internet and the speed which information can be at a traders fingertips that causes the currency values to fluctuate and that gives online trader the thrill of relying on instinct to make choices.

Because the market is on the internet, information is disseminated equally at the same speed. No one trader gets information faster than another. This gives you time to make good decisions.

Another bonus of online foreign currency trading is that it operates twenty four hours a day. This allows you to be more flexible. You can get updates no matter where you are. So people who are put off trading because of their jobs can participate online on the foreign currency market.

There are many foreign currency trading sites all over the Web. For the most part all you need to do is to register and you will be able to start immediately after. For those who are worried about the difficulties of understanding how to go about trading on the market, there is training available on these sites. They will help you set up and learn how to start making decisions on when to trade.

To be a successful foreign currency trader you must be confident, have good instincts, understand the risks you take with your money and enjoy the thrill of relying on your guts.

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Why not Forex trading system?

October 15th, 2010 70 Comments

The foreign exchange markets are all about Forex trading systems. If you are interesting in expanding your investments and learning more about how you can make money in the foreign markets, Forex is what you should be looking to understand and learn more about. Just as there are all types of investment strategies in your own country, in products and companies that are sold near where you live and work, you can also get involved in the companies and products that are sold abroad. Foreign exchange markets are some of the hottest markets that you can find to make money in your investment portfolio.

The exchange rate from country to country can be just one step in where you are going to make money. For the dollar, changed to another currency can equal more opportunities to purchase additional stocks. The companies you are going to be investing in will be based in that other currency so you will need to exchange your money into that other currency before investing.

You can invest in Forex trades on your own or through a broker firm. If you are going to invest your money on your own, it is suggested that you learn about the company, about the other methods of trade, and you learn more about the currencies where you are going to invest your money. There are over one trillion dollars in trades made per day in the Forex markets. If you are careful and study where you are going to put your money, you can earn more by making the right choices. It takes at least two months worth of trading on the US market to equal the trades that are going on in the Forex markets. Foreign companies are open to investors, and will give great returns to those who do their homework.

You will need to learn and study the charts of the companies you are going to consider investing with. Charting and following the growth and the downfalls of companies can be seen if you take your time before jumping in and investing. This is one thing that a Forex trading system is going to open you to. Forex trading systems are methods that are already proven for watching and detailing companies as they change and grow. Without some type of Forex trading system to follow you could be shooting in the dark to find that company that is just right for your needs while investing.

Forex trading systems are becoming so very popular because there are so many additional methods that can be used to get into the markets that are not available through the New York Stock exchange. If you want to reach a Forex trader you could be reaching on that works from their home, or in an office that is around the world. Following a particular Forex trading system is something you will become more comfortable with as you learn more about the individual markets, the companies, and about the value of foreign currencies. Open your mind to make money using the methods you can learn, and complete on your own time.
You can find more information on http://www.broker-trading-system.com/ about Forex trading systems.

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Why Forex Trading Is So Popular

October 6th, 2010 No Comments

The Forex market is often more appealing to people that like to live on the edge. There is more uncertainty by far and the rewards of knowing when to buy and sell can be immense.

For those of you who dont know, the Forex stands for, Foreign Exchange Market. The Forex deals in all different types of currencies and pits them all against each other. For example: the English pound might be worth more than the American dollar but if there is a natural disaster or a nasty political event, then the pound could drop below the value of the American dollar and thus would make money for the individual who had bought the English pound, when they sell.

The people who trade on the Forex market are known as day traders. The reason for this is that the day trader buys at the beginning of the market for that day and then sells off all that he or she had bought by the end of the day. This type of trading is not for the inexperienced. There is potential to make a lot of money on the Forex market, but it takes a person knowledgeable in all the different facets of this slippery exchange to make money. A neophyte to this market can easily be wiped out in a matter of minutes!

The Forex market is also a liquid market with currencies exchanging hands moment to moment. Since transactions are handled electronically around the world, it only takes moments for funds to transfer to different accounts. It is easy to make some trades, watching news events in the country of the currency bought, and then sell it all, in order have money in your bank account by dinner time.

The Forex market is also open twenty-four hours a day since it encompasses the larger markets all over the world. Theoretically, a trader can work all day and all night. This makes the foreign exchange market very popular since people can trade any time they wish. A person can be trading on the Paris exchange until they close at which time the New York exchange is just opening up for the day. There are five major foreign exchange market around the world. They are New York, London, Frankfurt, Paris, Tokyo, and Zurich.

Many people like to invest in the Forex market since there is a lot of leverage available to the day trader. For instance, five thousand dollars can be leveraged to purchase five hundred thousand dollars through margins. What this means is that individual investors can trade with much more money than they actually have. However, one must be careful; it is quite easy to lose the money and thus has to pay much more than is actually in the bank account.

The Forex market is a challenging market to understand and can be hazardous to those not experienced in day trading. Nevertheless, for those who are experienced and can see the patterns of the market, it can be thrilling and extremely lucrative.

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Why Forex is a great trade

October 5th, 2010 No Comments

The Forex market seems to be one of the hottest markets right now.

Lets take a look why

It takes small amount of capital to get going and you get leverage with it.

This is important because a lot of people entering the market are looking for ways to make money and not just to invest their spare cash.

Leverage means that you can use other peoples money to make your investment bigger. Not to try to scare you but this also introduces greater chance for Loss. This is not for the faint hearted or people not willing to learn how to trade, understand their trading phycology and follow money management rules. Having been duly warned please keep reading about the great potential and positive aspects of Forex trading.

Leverage is a very powerful tool to make money very quickly.

The Forex Market is the largest in the world worth more than a Trillion dollars a day. This is important for many reasons:

It provides amazing liquidity. There are always people ready to buy and sell so you can always enter and exit your position easily. Smaller markets may not always give you the ability to exit your trade so easily.

It is difficult for larger players to influence the market. In the stock market the larger players can influence a particular stock and cause movement just by their trades.

The sun is always shining somewhere.

There is always trading going on 24 hours a day Monday to Friday. It goes from city to city following the sun. Plus you still get your weekends of to relax. With stocks the markets closes and news is released and the stock can gap at the open leaving you in a worse position. When you can trade a very liquid market open 24 Hours it makes it a whole lot easier to manage your positions and relax.

You are trading so that you can have a better life right?, not just stuck in front of a computer. It is important to get clear on why you are trading or you can just be just swapping one situation for another and not really improving your life. Pep talk over with lets get on with it.

Volatility

Stocks may go in sideways movements and suddenly rush up or down and there are a lot of stocks to choose from. Sure there is some stocks renown for being volatile but it is easier to find consistent volatility in the Forex market. The market is always moving so there are always plenty of opportunities for day trading

So I obviously think that the Forex Market provides great opportunity for people to enrich their lives. It gives people willing to learn a little a great lifestyle that many will envy.

I hope that you enjoyed that simple summary. There are many more great reasons to trade forex.

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Which Forex Trading System To Choose?

October 3rd, 2010 No Comments

What Are Forex Trading Systems?

A Forex trading system is a set of rules which are aimed to ensure that you are trading in a way that is free of bias and the influence of emotion. Most beginner traders will look to learn a forex trading system whereas more experienced traders will eventually move to build a trading system of their own.

A good Forex trading system should look to encompass and cover for all possible eventualities which the markets may through up. In that respect, they should comprise of rules which govern, amongst other things the following:

1. Which currency pairs to trade.

2. When exactly to enter and exit a trade.

3. Where to place Stop Losses and Take Profit rates.

Forex trading systems must always be tested against historical data (known as back-testing). Beginner traders, when looking to purchase a forex trading system, should always ensure that the system was properly backtested and that the results are genuine. There are certain software packages available now which back-test trading systems automatically.

Which Forex Trading System To Choose?

This will depend upon your trading style. Some traders are swing traders and will look to keep positions for days, weeks or even months. Others prefer a day trading style and will be in and out of a trade within the same day. A typical swing trading system will look to take larger moves ranging from 100-300 pips over a period of a few days or weeks. On the other hand, an intraday forex system looks for smaller opportunities ranging from 25-50 pips.

Forex scalping systems have become popular of late as well. Scalping is a trading style which looks to take profits on very small price changes, usually soon after a trade has been entered into and becomes profitable. It is a strategy that does not look to capture 50+ pip moves; rather it is more about watching the price and getting in and out of trades for quick 5 pip moves which little by little add up.

While this might sound risky, it can be quite a low risk strategy if performed correctly. As with all trading systems, the most important parameter which has to be addressed here is money management. Having a strict exit strategy and rules on how much of your equity to risk per trade must be clearly outlined.

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Where To Find A Good Forex Trading Education

October 2nd, 2010 No Comments

Forex or Foreign Exchange is the most liquid and the largest financial market in the world. Unlike other financial market, the Forex market doesnt have a centralized location. Exchanges are done through electronic network and the whole world participates in the trade.

Forex trading involves buying and selling of different currencies. As with most trades, to make a profit in Forex, you need to buy low and sell high. Forex isnt really complicated. However, there are things that you need to consider in order to successfully make some profit out of this very liquid financial market.

Forex trading can really give you a chance to earn large amounts of money. In fact, people who traded in Forex became instant millionaires almost overnight. However, you need to realize the fact that aside from the earning potential you can get when trading Forex, there are also risks involved and many people suffered huge financial losses trading in Forex.

This is why it is important for you to get an education on Forex trading. You have to get a proper education and not just a crash-course-read-articles kind of education.

In most business schools in the United States, there are courses that specialize in trading in the financial market such as Forex. These schools can really give you that proper skills and knowledge you need in order for you to successfully trade in the Forex market. Not only that. Getting a proper education from good business schools about Forex prepare you when you enter the Forex market to trade.

A good Forex trading school will educate you on how to read charts effectively and how to spot trends. Since knowing how to read the Forex market charts can give you an idea on where a particular currency is heading, you will have an idea on which currency you want to buy and sell. Knowing how to read the charts is one of the most important skills you need to have when you enter the Forex market. This skill will substantially minimize the risk of losing money and maximize the chances of earning.

As much as possible, you should look for a school that offer real-time trading with dummy accounts and real accounts. Since the best teacher is experience, schools should require you, as their students, to set up dummy accounts for practice and also real funded accounts to trade currencies in the actual Forex market. However, the real funded accounts should be in mini Forex accounts to avoid risking and losing a lot of money in case you made a mistake in the trades.

Another benefit that you can gain if you trade in real or dummy accounts for practice is experience. Once you enter the Forex market, you will have a better idea on how Forex markets work. The school should also have different trading systems to allow you to choose which trading system you are most comfortable with. Also, you will get a first hand feel on how to use these systems and avoid making mistakes in the real world.

Since trading Forex today is widely available for all kinds of people with a computer and an active internet connection. Most people dont realize that Forex requires you to have skills and considerably, a high amount of money to invest. Forex doesnt guarantee that everyone will win; you should know that Forex is a very risky financial market to invest in and having the proper knowledge and skills is essential for your success in trading in the Forex market.

You should know about the risks involved in Forex and you should also know that many people have suffered financially because they entered the Forex market without having the knowledge and skills required to be successful. Therefore, it is very important for you to get the proper education first before you enter the Forex market.

Always remember, with the proper knowledge about trading Forex, the better your chances will be to profit in this financial market.

There are different schools available that teaches all about the basics in Forex and allow you to experience trading in Forex with a trial account. Look for the things mentioned above and you can be sure that you will obtain all the things you need in order to start trading in the Forex market.

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What You Didnt Know About The Psychology Of Forex Market

September 27th, 2010 No Comments

What You Didnt Know About The Psychology Of Forex Market Trading And How It Might Bankrupt You

When it comes to trading on the Forex market, winning is a matter of the mind rather than mind over matter. Any trader whos been in the game for any length of time will tell you that psychology has a lot to do with both your own performance on the trading floor and with the way that the market is moving. Playing a winning hand depends on knowing your own mind and understanding the way that psychology moves the market.

Studying the psychology of the market is nothing new. It doesnt take a genius to understand that any arena that rides and falls on decisions made by people is going to be heavily influenced by the minds of people. Few people take into account all the various levels of mind games that motivate the market, though. If you keep your eye on the way that psychology influences others including the mass psychology of the people that use the currency on a daily basis but neglect to know what moves you, youre going to end up hurting your own position. The best Forex coaches will tell you that before you can really become a successful trader, you have to know yourself and the triggers that influence you. Knowing those will help you overcome them or use them. Are you saying Huh? about now? Believe me, I understand. I felt the same way the first time that someone tried to explain how the mind games we play with ourselves influence the trades and decisions that we make. Let me break it down into more manageable pieces for you.

Anything involving winning or losing large sums of money becomes emotionally charged.
All right. Youve heard that playing the market is a mathematical game. Plug in the right numbers, make the right calculations and youll come out ahead. So why is it that so many traders end up on the losing end of the market? After all, everyone has access to the same numbers, the same data, the same info if its math, theres only one right answer, right?

The answer lies in interpretation. The numbers dont lie, but your mind does. Your hopes and fears can make you see things that just arent there. When you invest in a currency, youre investing more than just money you make an emotional investment. Being right becomes important. Being wrong doesnt just cost you money when you let yourself be ruled by your emotions it costs you pride. Why else would you let a loser ride in the hope that it will bounce back? Its that little thing inside your head that says, I KNOW Im right on this, dammit!

Bottom line: You cant keep emotions out of the picture, but you can learn not to let them control your decisions.

To most people, being right is more important than making money.
Heres the deal. The way to make real money in the forex market is to cut your losses short and let your winners ride. In order to do that, you have GOT to accept that some of your trades are going to lose, cut them loose and move on to another trade. Youve got to accept that picking a loser is NOT an indication of your self-worth, its not a reflection on who you are. Its simply a loss, and the best way to deal with it is to stop losing money by moving on and really move on. Moving on means you dont keep a running total of how many losses youve had thats the way to paralyze yourself. This brings us to the next point:

Losing traders see loss as failure. Winning traders see loss as learning.
Not too long ago, my twelve year old son told me that before Thomas Edison invented a working light bulb, he invented 100 light bulbs that didnt work. But he didnt give up because he knew that creating a source of light from electricity was possible. He believed in his overall theory so when one design didnt work, he simply knew that hed eliminated one possibility. Keep eliminating possibilities long enough, and youll eventually find the possibility that works.

Winning traders see loss in the same way. They havent failed theyve learned something new about the way that they and the market work.

Winning traders can look at the big picture while playing in the small arena.
Suppose I told you that last year, I made 75 trades that lost money, and 25 that made money. In the eyes of most people, that would make me a pretty poor trader. Im wrong 75% of the time. But what if I told you that my average loss was $1000, but my average profit on a winning trade was $10,000? That means that I lost $75,000 on trades but I made $250,000, making my overall profit $175,000. Its a pretty clear numbers game but how do you keep on trading when youre losing in trade after trade? Simple just remember that one trade does not make or break a trader. Focus on the trade at hand, follow the triggers that youve set up but define yourself by what really matters the overall record.

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One Good Way To Avoid Bad Days In Online Forex

September 18th, 2010 No Comments

One Good Way To Avoid Bad Days In Online Forex Currency Trading

In online Forex currency trading, even just one bad day can make the difference between a profitable month and a losing month.

Every day, you have to be at the top of your game because everything depends on you as the one in control of all you do. Even more important than the markets you trade or the Forex currency trading system you use, execution is the key determinant in whether or not you’ll make money.

If you’re feeling lousy, in a pessimistic mood, or just not up to par, this will likely affect your decisions, including whether you stick to your online forex trading system or if you deviate from it – and wind up making bad decisions that result in losses or money left on the table.

Here’s an example to illustrate.

A good friend of mine has been in trading for a number of years. He does very well and has his Forex currency trading fine-tuned to the point that he has that feel for the markets that only comes with long-term experience as a trader.

I don’t want to embarrass him with this, because he was rather down when he shared this with me, so I’ll refer to him as Kevin, but that’s not his real name.

Week before last, Kevin and I were talking on the phone and catching up since our last visit.

He told me how the day before, he might as well have have stayed home and stayed in bed. He’d been sneezing and coughing and generally feeling like lousy. The night before, he hadn’t slept well and so he was pretty tired too.

I asked him how the day had gone in his trading, and that was really the big issue. He said that he’d been rather pessimistic because he was tired and just feeling ragged.

Of course this affected everything, especially his decision-making regarding his trades.

Because he’s been in a mediocre mood, twice he got out of trades too early because he was just ’sure’ that they would stop short and turn against him, even though he picked them right and they ran.

Throughout the middle portion of the day, he missed out on four winners, because didn’t even bother to enter the trades. He felt that they’d just turn out to be losers like other times when the market turned on him right after getting in. His system had done its job of signaling him to get in and at the right time. Each time, he just was in too bad of a mood to accept he had a winner.

After the last one of those, he got mad and decided it was time for some payback, so he again ignored his system and hastily entered another trade, even though there was no entry signal. Another bad move – and quick loss of $400.

By the end of the day, he’d cut his profits short by $1,100 in profits by getting out too early, then missed out on another $1,800 by not entering the trades when he should have, and then just plain lost another $400 with a bad decision.

He really would have been better of home in bed.

Now the point here really isn’t to stay away from trading. You do it to make money and in order to profit you do have to show up.

Just like any other activity that really matters, you want preventive measures in place. You want to have problems averted, just plain not come up at all if possible.

You see, Kevin’s problem is that he neglects his health and general state. Not badly, though. Quite like many people.

His diet is marginal.

He stays up late and shorts himself sleep.

He never gets any exercise.

He doesn’t even take any vitamins to help make up for the rest.

Now, I love sweets and other marginally healthy foods too. I always have been a night person, NOT a morning person, and I certainly don’t exercise as much as I should for my age. I do however take my vitamins every day, along with additional antioxidants.

Whether your general health is just okay, or maybe you are physically stressed, the main thing is to stay ahead of the game, to do the right things BEFORE a problem arises.

The frequency that I get sick is pretty low, plus I do enjoy pretty reasonable health and good spirits the great majority of the time.

As a result of taking antioxidants, I rarely have bad days like Kevin did.

When it comes to health, the best defense is a good offense. Besides, powerful antioxidants help your body do what it is built to do: fight-off germs, heal and be healthy.

The main thing I like about taking my vitamins and the extra antioxidants is that I don’t have to make any major changes in my lifestyle to stay rather healthy and feeling good.

I don’t have to go to the gym.

I don’t have to try to become a morning person.

I can still eat what I like, knowing that I’m giving my body what it needs.

I feel good and function well when I need to be at my best.

Besides, I plan on being around for many years to come.

I want those years to be fun and enjoyable, not sitting around waiting to die. I’ve read in quite a number of places over the years that antioxidants fight what makes you age and makes your body robust against disease and degeneration.

A few of my favorites, in addition to my regular once-a-day vitamins, I take:

Extra Vitamin C, of course

Grape seed extract

Bilberry extract

Acai berry extract

I hadn’t heard of the last one until recently.

I’ve got this one neighbor who has alway been a bit of a hypochondriac. Not too long ago, I noticed that she didn’t have her usual list of complaints, plus she didn’t look as miserable as she used to either.

This was weird, and it got my attention.

She told me about this blend of berry juices that she’d run across, so I checked it out, and it was pretty pricey, but I did research the product to see what was in it that made it work so well.

According to the manufacturer, this juice blend has juices from 19 or 20 berries and other fruit, but the main benefits are from one primary berry in the blend: the Acai berry.

It’s reported to be an even more powerful antioxidant than grape seed, and has other health benefits as well, so I decided to give it a try.

Now the juice blend costs a hefty price, so the Acai berry extract in capsule form is much more cost-effective, plus has a long shelf-life and less risk of food allergy than the 20-berry juice blend.

It is always advisable to look at what a month’s supply is going to be, and there are alternatives that cost up to 89% less, plus have a higher concentration.

As a trader, this small investment in yourself a very good one. Vitamins and antioxidants are a whole lot cheaper than bad days in Forex currency trading.

Now, no matter how old you are, how well you eat or how much exercise you get, take good care of yourself.

Online Forex currency trading is challenging, and at times can be very stressful as you know. Make sure that you give yourself the advantage of good health so that you stay at the top of your game and make the most of it.

Your account balance will thank you for it!

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Understanding A Forex ‘Carry Trade’

September 13th, 2010 No Comments

Recently, the breakdown of the “yen carry trade” has graced the front page of major financial newspapers and business magazines. But what is a “carry trade” and how does it affect the forex? More importantly, how can you, as an individual investor, profit from carry trades? This article endeavors to provide the answers.

What is a Carry Trade?

First, it is important to remember that each forex trade is actually the simultaneous buying of one currency and selling of another. As a result, you end up receiving interest on the currency you purchase, and paying interest on the currency you sell. A carry trade takes advantage of this by seeking out high-yielding currencies to purchase while simultaneously selling low-yielding currencies — allowing the trader to pocket the difference in interest rates.

For example, if you had purchased U.S. dollars with Japanese yen a few years ago, you would have received around 4% interest on your U.S. dollars, while paying out less than 1% on your yen. This would be a net profit of 3%, which, given the huge leverage of forex trades, could add up to a lot! Alternatively, if you did the trade the other way — buying yen and selling U.S. dollars — you would be at a net loss of 2%.

‘Breakdown’ of the Carry Trade

It’s important to note that most forex brokers require a minimum margin to earn interest on carry trades — you can’t benefit from the typical 100:1 (or greater) margin; 10:1 is more common. Still, 3% net interest at 10:1 margin would result in gains of 30% just for holding the position. But is the carry trade a “sure thing?” Far from it.

The carry trade breaks down when the low-yielding currency appreciates against the high-yielding one. For example, as the yen became more valuable and the dollar lost its purchasing power, the yen-for-dollar strategy fell apart. Even though the net interest gain may have been 3%, this was cancelled out by movements in the underlying value of the currencies. Thus, a carry trade is by no means a risk-free investment or a “sure thing” — there’s never a sure thing in the financial world.

What Makes Currencies Appreciate/Depreciate?

In the example above, the carry trade “broke down” because the yen appreciated against the dollar — meaning progressively fewer yen were needed to purchase one U.S. dollar. But why did this happen? There are several reasons one currency appreciates or depreciates versus another, including:

Unemployment (appreciate) or over-employment (depreciate)

Central banks cutting (depreciate) or hiking (appreciate) interest rates

Running trade or budget surpluses (appreciate) or deficits (depreciate)

Major macroeconomic events — like terrorist attacks, wars, major changes in political leadership, etc.

For these reasons, carry trades are best executed between two currencies backed by stable governments. Of course, the U.S. dollar and the yen fit this description, and even their carry trade broke down. This just goes to show that there’s never a sure thing in the world of high-stakes finance, and the forex market is certainly no exception. But where there is uncertainty and risk, there are also opportunities to profit. If you’re willing to seek them out, then the carry trade can be one strategy in your trading arsenal.

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Make Money with No Stop Currency Trading

September 6th, 2010 No Comments

Hedged, No Stop, Forex Grid system trading (the No Stop system) is one of the most misunderstood techniques in forex trading. I am going to describe the No Stop system as best I can in the limited space available. There is a series of 7 other articles describing the elements below in greater detail.

There are many hedged systems around and the No Stop system below is one that is being traded profitably.
The No Stop system is an investment technique which creates favourable dollar cost averaging on all transactions entered into. For this reason the technique is too much of a paradigm shift for most conventional traders who like charts, support and resistance and indicators.

It is strictly speaking, it is not a trading technique. It has however become very popular as a trading technique because of the short term gains that can be made.
The No Stop system trades without stops. No stop loss orders are used at all except for when a group of transactions have a positive result and we want to liquidate the entire group of transactions at a net gain. Because the No Stop system cashes in its transactions regularly it becomes a trend following No Stop system too. There is no need for charts when using this No Stop system as we use predetermined price levels to cash in transactions positively (The No Stop system loves price spikes).

Transactions can or should be slow at a rate of about 3 to 4 a week. As price levels are determined well in advance orders can be placed well in advance so the No Stop system takes very little supervision. The technique is highly systematic and can easy be converted into an automatic trading system or expert advisor very easily.

The No Stop system is always in a sell and a buy at the same time and therefore can cash in on any move the market makes. Being in a sell and a buy at the same time also created a hedge. Predetermined cash in levels create a grid of price levels there positive transactions will be cashed in continuously until the group of transactions are profitable.

In simple terms you will enter the market at a particular level with an active bay and a sell. You would have predetermined levels at which you would cash in positive transactions. For instance one could decide to cash in on every 100pip (grid gap) move made in the market. When the price moves 100 pips you would cash in your positive transaction and then enter into another buy and sell transaction at that point. This process will continue until the total for the group of transaction is positive and then you would liquidate. You would then start again as simple as that. No need for charts. Patience is the biggest virtue required.

Money is made when the price revisits some of the cash in levels over and over and over again (which it does).

In the above example should the price return to the starting level (after moving 100 pips) the group of 4 transactions in total will be positive and you would then cash in the unwanted transactions, bank your profits and start again.

The big danger of this No Stop system is strong trends with no or very few retracements. You will lose money in trends. There are however specific techniques to manage and contain these losses.

The biggest one is to start with a big grid gap. What is a trend on a 5 minute chart could be a small spike on a daily or weekly chart. Grid gaps of between 150 pips and 300 pips have been found to work well.

One could also vary the grid sizes relative to the trend to reduce the number of unhedged transaction. For example have grid gaps of 100, 200, 300 etc.

The other way is to vary the number of lots used when entering into the buy and sell transactions at a particular cash in point to ensure balanced hedging.

Trends tend to scare people away from this technique but if one views this as an investment technique and not a trading technique the trends could have a reduced impact on the annual return on investment. The market only trends 20% of the time any way. Talking about return on investment some current trading groups are showing returns of between 200% p.a. and 1000% p.a. on current investment levels. There are many trading records are available to back this up. The longer you trade this No Stop system the lower your risk and the better your return. That said, you can lose more than just your boots (your whole trading account) if you treat this No Stop system with disrespect.

Success factors for this No Stop system are: – Selecting appropriate grid sizes, currency pairs, lot sizes, cash in times and an investment mentality. All very easy, if you have done it for a few years.

This No Stop system is not for everybody however, and is not the best Forex system since sliced bread, but is does very nicely for some traders, thank you very much. It is important to know about this system as using its principles could help your conventional trading. For freely available information on this No Stop system search the net for no stop forex trading

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