Using the (CCI) as a tool to time entries, notice how each time CCI dipped below -100 (highlighted in blue), prices responded with a rally. Not all trades will work out this way, but because the trend is being followed, each dip caused more buyers to come into the market and push prices higher. In conclusion, identifying a strong trend is important for a fruitful trend trading strategy.
Depicted as yellow/orange/red bars, the impact is a basic indicator of the potential move a data release might trigger on currencies. Shall a bar be red and long, market observers expect this data to have great probability to move the Forex market. Shall this bar be yellow and short, the probability is viewed as low. In orange, we’re just in between.
Trend-following systems require a particular mindset, because of the long duration—during which time profits can disappear as the market swings—these trades can be more psychologically demanding. When markets are volatile, trends will tend to be more disguised and price swings will be greater. Therefore, a trend-following system is the best trading strategy for Forex markets that are quiet and trending.

Why should you use Learn to Trade to learn Forex trading? That’s simple: we are a credible, well-established organisation that exists to educate people on Forex trading strategies. Our Forex trading training is second to none and will give you the foundation you need to achieve success in the high-opportunity world of currency trading. Every course is supported by our knowledgeable team of experts, who guide and support you throughout your learning experience. Not only that – you’ll get to take advantage of our live trading floor to get some hands-on experience. Getting a feel for what it’s like, while you have experienced traders around to help you, is a valuable opportunity that will help you get the confidence you need. Register now for your Forex trading tutorial and workshop!

Some of the other best forex trading strategies are based on the technical analysis. This method is particularly important in day trading. Technical analysis is useful to traders in that it gives them an indication of times when they can enter or exit the market. It also helps the trader to make the most out of the existing market status. Given below are brief explanations of some of the technical analysis based trading strategies.


Forex Factory News: The Forex Factory is designed to attract a specific niche of forex traders. It is one of the best online forex platforms for news-based trading as information quality and presentation are the two primary fortes of the brand. A daily update of all global news is neatly presented along with a scanner that shows the impacted forex pairs.


Forex trading, also known as foreign exchange trading or currency trading, is where an investor tries to make money by buying and selling currencies on the foreign exchange market. Most investors will follow trends and use strategies to optimise their return. This is a very basic definition that does not reflect the full complexity of Forex trading; our free workshops are ideal for people who are unfamiliar with the concept and want to quickly achieve an in-depth insight into how this all works.


Consequently, you should consider the information in light of your objectives, financial situation and needs. CMC Markets Asia Pacific Pty Ltd ABN 11 100 058 213, AFSL No. 238054 (the derivative product issuer), CMC Markets Stockbroking Limited, Participant of the ASX Group (Australian Securities Exchange) and SSX (Sydney Stock Exchange) and Chi-X (Chi-X Australia), ABN 69 081 002 851, AFSL No. 246381 (the stockbroking services provider) provides the financial products and/or services. It's important for you to consider the relevant Product Disclosure Statement ('PDS') and any other relevant CMC Markets Documents before you decide whether or not to acquire any of the financial products. Our Financial Services Guide contains details of our fees and charges. All of these documents are available at cmcmarkets.com.au or you can call us on 1300 303 888.


Economic data indicators and mood sentiment change often so stay informed by checking our forex economic calendar daily. FX currency pair movements happen quickly so get to know the daily and foreign exchange weekly economic calendar to anticipate market trends. Our real-time forex live news and analysis updates, commentary and articles can help you interpret the economic data news so you can take advantage of technical analysis patterns as they change with forex market sentiment. Stay familiar with the economic calendar and forex news from central banks, politics and local events that can affect country currency pairs you trade.
Hi Rayner reading through, I come to realize without any doubt I am a swing trader, due to my full time a very demanding job which I would like to be knowledgeable and profitable with trading to catch a break. My question here is since I know what kind of trader I am and I like the trend following strategy, how can I create a trading plan that as I follow to the T, will give me an edge as u always say, in the market.
One potentially beneficial and profitable Forex trading strategy is the 4-hour trend following strategy. However, the 4-hour timeframe makes it more suitable for swing traders. This strategy uses a 4-hour base chart to screen for potential trading signal locations. The 1-hour chart is used as the signal chart, to determine where the actual positions will be taken.
This method is all about analyzing important news happenings on different fronts in a nation and understanding the implications that they will have on the currency market. The trader will then place the trades accordingly. The market moves in an unpredictable manner when there are sudden political or economic happenings in any nation. As the forex market operates round the clock, news flows in from all parts of the world. Trading on the basis of economic news and data suits all kinds of traders wherever they are and whichever currency they choose to trade.
Scalping in forex is a common term used to describe the process of taking small profits on a frequent basis. This is achieved by opening and closing multiple positions throughout the day. This can be done manually or via an algorithm which uses predefined guidelines as to when/where to enter and exit positions. The most liquid forex pairs are preferred as spreads are generally tighter, making the short-term nature of the strategy fitting.
High Risk Investment Warning: Trading FX/CFDs on margin carries a high level of risk, and may not be suitable for all investors. Leverage can work against you. Before deciding to trade FX/CFDs offered by FXCM Australia Pty. Limited ("FXCM AU" or "FXCM Australia") you should carefully consider your objectives, financial situation, needs, and level of experience. By trading, you could sustain a loss in excess of your deposited funds. Before trading FX/CFDs you should be aware of all the risks associated with trading FXCM products and read and consider the Financial Services Guide, Product Disclosure Statement, and Terms of Business issued by FXCM AU. FX/CFDs products are only suitable for those customers who fully understand the market risk. FXCM provides general advice that does not take into account your objectives, financial situation or needs. The content of this website must not be construed as personal advice. FXCM recommends you seek advice from a separate financial advisor. For any questions or to obtain a copy of any documents, contact FXCM at [email protected] FXCM AU is regulated by ASIC [AFSL 309763]. FXCM AU ACN: 121934432.
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