Friday, November 21, 2008
Automated Forex Trading Systems - What Profits Do the Best Ones Make?
All Automated Forex trading systems claim to make big profits but most don't only a small minority win and here we will look at them and how much money you can expect to make with these trading systems.
The Forex trading industry is big and has a poor reputation as most Forex robots that promise gains don't deliver. Lets get rid of the vast majority straight away - You only need to look for one key fact, in relation to the track record and its - look and see if its real trading, or simply a back test simulation.
Most Forex robots present back tests as proof of there profit making power - but a back test proves nothing, as you know all the price history and can make up any track record with all the facts of the price history at your disposal!
If you see a track record with extraordinary gains and no real losses, chances are it's just a paper simulation.
Now we have got rid of the vast majority of losing automated trading systems, how about the ones with real track records, what can they actually make you in terms of profits?
In my 20 odd years of trading experience, you can normally expect up to 100% gains on high risk settings and the normal period of losses will be a few weeks to a few months. The drawdown (loss of equity) you can expect is about 30 - 50 percent.
You need to look at the long term with Forex trading systems and expect drawdown in the short term. All systems will drawdown and take a while to recover even the top ones, so you should judge any system over a 3 year holding period, short term losses don't matter - if you pile up big gains.
A very important point to keep in mind is to understand how and why your system works, so you have the patience to stick with it and enter your trading signals with discipline.
How much do they cost?
The good ones cost a few thousand dollars and there well worth the money - but you can get some great free systems as well. Don't assume just because a system is free it doesn't make money, there are some excellent ones for free and one of the best is the 4 Week Rule.
The 4 week rule, is a simple system, with just one rule and its easy to understand and use - look it up in our other articles for more info.
Automated Forex trading can make you money - but you need to avoid the systems that have never been traded (the bulk of those sold) get one with a real track record and have the patience to stick with it - if you can do this, you are well on the way to making triple digit gains in around 30 minutes or even less per day.
About the Author
FREE! PROVEN FOREX ROBOT & ESSENTIAL FOREX PDF's
For 2 essential free trading Pdf's and for more on a successful FREE Forex Trading System and an exclusive RISK FREE Currency trading Course visit our website.
Thursday, November 20, 2008
How to trade the Forex Market Easily - learn how to trade forex
Learning how to trade the Forex Market takes skill and knowledge, are you looking for ways to increase your Forex profits. Currency trading has gained popularity over the years as it is becoming easier to trade in this market through online brokers. In the space of 2 or 3 years some forex traders have made millions of dollars in profit, thus enabling them to quit their jobs. Forex trading is the buying and selling of countries currencies around the world. People are able to make profits on forex through buying low and selling their currency high or by selling high and buying low later down the track. Forex trading is not only used by people to make money for a profit. Businesses and companies are always trading currency for the daily exporting an importing of goods. This results in a high amount of liquidity on the forex market, thus making it alot more easier to buy & sell different currencies. 2. How Do You Develop Your Skills on Forex Trading? To sharpen your skills on forex you can refer to dozens of books, tutorials , online help like demo accounts that allow to play with fake money but use real wrold scenarios.The most important form of analysis you should learn is technical analysis, which is the study of graphs. Start trading with a demo account before opening a live account once you have gained confidence. 3. Have A Solid Forex Trading System In Place One way to become better at forex is through aodpting a method that has worked from an expect forex trader. These methods coming in the form of Forex Trading Systems or Software that any person, even novices can use.There is even Forex trading software online that can do all the trading, buying and selling for you by using a rules that was used by experts. Having forex trading software helps you make money faster and automates everything for you, even when you sleep. You can find out more about it at the website link below. PLease visit How to trade the Forex Market About the Author Emmett Mullins writes regularly about business related topics. I hope you enjoy this article.
Learn Online Forex Trading - What You Need to Know First About Online Forex Trading
More and more people are getting involved with online forex trading. But where should you go to learn online forex trading? What should you learn first? These are questions on many folks minds. You need answers. You don't need the run around. Here are some tips to get you started with online forex trading. These tips will allow you to learn online forex trading and jump start your new venture. Be Confident: If you want to beat the odds, confidence will win. You definitely need to learn this about online forex trading. If you get worried about the fact that so many rookies fail, you'll become just like them. If you're confident that you cannot fail, you immediately separate yourself from the others. Do you want to know the truth about why 90% of rookie forex traders fail? It's because they were surfing the net, looking for a get rich quick program and found some forex website claiming to make them a millionaire overnight. They jump in, lose the first trade, then give up forever. Trade the News: Remember volatility is your friend (along with the trend). Forex pips are easily gained during periods of volatility. And guess what? The news actually creates volatility. Be aware of certain news reports that typically cause market volatility and high trading volume. This is when you'll make the most pips. Don't be a Wise Guy: Let's be honest with ourselves here. We're probably not smarter than the forex brokers or the market makers. So don't act like it. What I'm saying is that you shouldn't over analyze things. Keep your trading system simple and your goals attainable. It's easy to soak up lots of information in the forex markets and get a false sense of knowledge, only to be proven wrong by one trade. If you keep your emotions in check and don't think you know it all, you'll have a better chance at success in trading the forex financial markets. Here is where you can learn how to automate your online forex trading. Or here are some more tips at http://www.squidoo.com/free-forex-trading-tips Article Source: http://EzineArticles.com/?expert=Curtis_N
Monday, November 17, 2008
How To Choose a Forex Trading System That Works and Suits You
There are so many different trading systems you could use to trade the forex market, some better suited to certain people than others. For example some people may find it easier to comprehend and take into account fundamental factors as opposed to looking at a screen covered in technical indicators, and vice-versa.
The first logical step in determining what type of trading system would best suit you is actually being aware and understand the widely known methods of analysis used in trading the currency market. Once you are aware of the tools that are available, you can generally tell what type of analysis suits you. For example some of the main technical analysis methods which are popular include:
Pivot points
Chart patterns
Fibonacci retracements
Candlestick patterns
And some fundamental factors which are widely used include analyzing:
Interest rates
Trade balances
Unemployment rates
Gross domestic product (GDP)
You may now actually be able to develop your own system by combining certain methods of analysis together, giving you a method which you are comfortable with. On the other hand you may decide that you would like to trade someone else’s system, either way, that brings us to the next step which is determining the profitability of a trading system.
Determining Profitability
Most people would think that back testing is the best way to determine a systems profitability. However back testing doesn’t always give you a true idea of how profitable a system is. The reason for this is because when you’re back testing your system on historical charts, you are only seeing the obvious setups which have occurred, and not always seeing the ones that are less obvious. These less obvious ones sometimes can produce losses, which is why back testing isn’t always the best method to implement.
A better method of determining profitability is by trading your system in real-time with a demo account. This would give you a true understanding of what your system is capable of. This would also allow you to familiarize yourself with your trading platform at the same time. When determining profitability you must look at it in terms of expectancy and opportunity.
Expectancy & Opportunity
These two factors together will be able to tell you what you could expect to make over a period of time. Expectancy is calculated with the following formula:
(Probability of winning × average win) – (Probability of losing × average loss)
This will give you a figure which is the average amount you can expect to make per trade. This shouldn’t be a negative amount, if it is you should look at some other method of trading since you cannot make money on a system that produces a negative expectancy. Obviously the higher this figure is the better. Now to the opportunity factor.
The opportunity factor is how often you are able to trade using your system. By multiplying your expectancy figure with your opportunity factor it will tell you how much you could expect to make over a period of time. The more opportunity you have to trade, the more money you should expect to make. This now brings us to the last component of a trading system, money management.
Money Management
Without proper money management you will end up as a statistic. In other words one of those 90%+ of traders who loose their money. Money management tells you how much of your account balance to risk per trade. The whole point of money management is to ensure your survival over the long term, and to preserve your capital.
The most common form of money management is the percent risk model which tells you not to risk more than x percent of your account balance on any one trade. A range between 1-3% is generally an accepted amount which has been a reliable percentage to use in order to make money in the long term.
Conclusion
By taking into consideration the above factors you will be able to determine if a trading system best suits you, and with some simple mathematical calculations you will be able to determine its profitability.
About The Author
Bret Freak is the owner of http://www.trading-forex-online.com where you can find information on forex trading systems & strategies available online.
The first logical step in determining what type of trading system would best suit you is actually being aware and understand the widely known methods of analysis used in trading the currency market. Once you are aware of the tools that are available, you can generally tell what type of analysis suits you. For example some of the main technical analysis methods which are popular include:
Pivot points
Chart patterns
Fibonacci retracements
Candlestick patterns
And some fundamental factors which are widely used include analyzing:
Interest rates
Trade balances
Unemployment rates
Gross domestic product (GDP)
You may now actually be able to develop your own system by combining certain methods of analysis together, giving you a method which you are comfortable with. On the other hand you may decide that you would like to trade someone else’s system, either way, that brings us to the next step which is determining the profitability of a trading system.
Determining Profitability
Most people would think that back testing is the best way to determine a systems profitability. However back testing doesn’t always give you a true idea of how profitable a system is. The reason for this is because when you’re back testing your system on historical charts, you are only seeing the obvious setups which have occurred, and not always seeing the ones that are less obvious. These less obvious ones sometimes can produce losses, which is why back testing isn’t always the best method to implement.
A better method of determining profitability is by trading your system in real-time with a demo account. This would give you a true understanding of what your system is capable of. This would also allow you to familiarize yourself with your trading platform at the same time. When determining profitability you must look at it in terms of expectancy and opportunity.
Expectancy & Opportunity
These two factors together will be able to tell you what you could expect to make over a period of time. Expectancy is calculated with the following formula:
(Probability of winning × average win) – (Probability of losing × average loss)
This will give you a figure which is the average amount you can expect to make per trade. This shouldn’t be a negative amount, if it is you should look at some other method of trading since you cannot make money on a system that produces a negative expectancy. Obviously the higher this figure is the better. Now to the opportunity factor.
The opportunity factor is how often you are able to trade using your system. By multiplying your expectancy figure with your opportunity factor it will tell you how much you could expect to make over a period of time. The more opportunity you have to trade, the more money you should expect to make. This now brings us to the last component of a trading system, money management.
Money Management
Without proper money management you will end up as a statistic. In other words one of those 90%+ of traders who loose their money. Money management tells you how much of your account balance to risk per trade. The whole point of money management is to ensure your survival over the long term, and to preserve your capital.
The most common form of money management is the percent risk model which tells you not to risk more than x percent of your account balance on any one trade. A range between 1-3% is generally an accepted amount which has been a reliable percentage to use in order to make money in the long term.
Conclusion
By taking into consideration the above factors you will be able to determine if a trading system best suits you, and with some simple mathematical calculations you will be able to determine its profitability.
About The Author
Bret Freak is the owner of http://www.trading-forex-online.com where you can find information on forex trading systems & strategies available online.
Forex Trading Advice - Learn Forex in Just 2 Weeks and Win!
Many traders think it takes a long time to learn Forex trading - it doesn't you can learn it in a couple of weeks and you can trade in 30 minutes a day or less. The Forex trading advice here is all about being smart and not about working hard.
Many traders think the harder they work the more their reward will be and this is true in many normal jobs but not Forex markets, the amount of effort you make does not have any influence on how much money you make.
Working Smart to Succeed
You need to work smart, learn a simple Forex trading strategy and this is easy to do and should take you no more than week or two to learn.
You should base your Forex Trading system on catching and holding the longer term trends and focus on these rather than the short term random noise. Forget short term trading, the odds of success are zero; you make a lot of effort and end up losing. Why spend more time than you need to?
Simple is Best
Forget all the complicated theories, they won't help you make you make bigger profits and this is proved by the fact that:
Despite all the improvements and changes in technology for the better we have seen in the last 20 years, no more traders are winning! This is why you only need a simple system. Well it all seems easy so far - so what's the hard part?
The Hard Part is Getting the Right Mindset!
The hard part is acquiring Forex trading discipline.
It's a fact anyone can avoid the myths and seek out the best Forex education and learn the right knowledge - but not all traders have the mindset to succeed.
The problem traders have with Forex trading is executing their system through periods of losses and they can last for long periods and in them discipline to ride them out is the key to longer term success.
The traders ego gets bruised (lets face it no one likes to look a fool!) and they cannot trade with discipline and give in and once discipline goes, they no longer have a system! Discipline is hard - but you can be disciplined if you have confidence and can take your losses, keep them small and focus on the long term.
Forex trading is not complicated!
Forex trading is simple and success is as much about mindset as a good solid system.
If you understand the Forex advice enclosed you will understand you need both to win and enjoy currency trading success.
Article Source: http://www.ArticleBlast.com
About The Author:
NEW! 2 X FREE ESSENTIAL TRADER PDFS ESSENTIAL FOREX TRADING COURSE
For free 2 x trading Pdf's, with 50 of pages of essential info on how to Trade Forex Like a Pro visit our website at: http://www.learncurrencytradingonline.com.
Many traders think the harder they work the more their reward will be and this is true in many normal jobs but not Forex markets, the amount of effort you make does not have any influence on how much money you make.
Working Smart to Succeed
You need to work smart, learn a simple Forex trading strategy and this is easy to do and should take you no more than week or two to learn.
You should base your Forex Trading system on catching and holding the longer term trends and focus on these rather than the short term random noise. Forget short term trading, the odds of success are zero; you make a lot of effort and end up losing. Why spend more time than you need to?
Simple is Best
Forget all the complicated theories, they won't help you make you make bigger profits and this is proved by the fact that:
Despite all the improvements and changes in technology for the better we have seen in the last 20 years, no more traders are winning! This is why you only need a simple system. Well it all seems easy so far - so what's the hard part?
The Hard Part is Getting the Right Mindset!
The hard part is acquiring Forex trading discipline.
It's a fact anyone can avoid the myths and seek out the best Forex education and learn the right knowledge - but not all traders have the mindset to succeed.
The problem traders have with Forex trading is executing their system through periods of losses and they can last for long periods and in them discipline to ride them out is the key to longer term success.
The traders ego gets bruised (lets face it no one likes to look a fool!) and they cannot trade with discipline and give in and once discipline goes, they no longer have a system! Discipline is hard - but you can be disciplined if you have confidence and can take your losses, keep them small and focus on the long term.
Forex trading is not complicated!
Forex trading is simple and success is as much about mindset as a good solid system.
If you understand the Forex advice enclosed you will understand you need both to win and enjoy currency trading success.
Article Source: http://www.ArticleBlast.com
About The Author:
NEW! 2 X FREE ESSENTIAL TRADER PDFS ESSENTIAL FOREX TRADING COURSE
For free 2 x trading Pdf's, with 50 of pages of essential info on how to Trade Forex Like a Pro visit our website at: http://www.learncurrencytradingonline.com.
Sunday, November 16, 2008
THE HOTTEST AND MOST PROFITABLE SYSTEM FOR TRADING FOREX
Trading in the Global Currency Markets
Buy now
Have you been trading forex in a low profitable way or have you even lost all your money trading forex due to some human weakness,well I will not so much blame you because such thing once happened to me and when I got to know about FAPS-Forex Auto Pilot System My life changed for the better.
As I said earlier on that what is really happening to you is not all your fault but rather it is general the main truth is that human being all have their own weak points.
But all the same it will turn out to be your fault if don't help yourself out of these ugly mess…and for this reason I am introducing you to the most profitable Auotrobot Online Called Forex Auto Pilot System.
After falling for the first time in Forex Trading I got this powerful Robot and "Since Then I've Generated A $1,000,000 Cash Windfall In 12 Months Working From Home And I'm About To Reveal EXACTLY How You Too Can Replicate My Success With Step-By-Step Blueprints And A System So Powerful You're Guaranteed To Make Money Or I'll Refund Every Cent." Click the below link to get this Powerful Forex Autopilot System
www.myforexautopilot.blogspot.com
Apart from the fact that this System have helped me a lot the system also have been maintaining a top position at CLICKBANK if you have been familiar with clickbank you will notice that for a Product to have been maintaining a top position at Clickbank Then the product is really very efficient.
One more time this System is presently the best system that can help you generate an online wealth in a very short PERIOD of time.
To get now click the link below
www.myforexautopilot.blogspot.com
One thing about forex trading relating to human is about this"
They are never perfect.But this system is perfect,so check it out.
About the Author
MY NAME IS UWAKWE LAZARUS i AM THE OWNER OF WWW.MYFOREXAUTOPILOT.BLOGSPOT.COM
Buy now
Have you been trading forex in a low profitable way or have you even lost all your money trading forex due to some human weakness,well I will not so much blame you because such thing once happened to me and when I got to know about FAPS-Forex Auto Pilot System My life changed for the better.
As I said earlier on that what is really happening to you is not all your fault but rather it is general the main truth is that human being all have their own weak points.
But all the same it will turn out to be your fault if don't help yourself out of these ugly mess…and for this reason I am introducing you to the most profitable Auotrobot Online Called Forex Auto Pilot System.
After falling for the first time in Forex Trading I got this powerful Robot and "Since Then I've Generated A $1,000,000 Cash Windfall In 12 Months Working From Home And I'm About To Reveal EXACTLY How You Too Can Replicate My Success With Step-By-Step Blueprints And A System So Powerful You're Guaranteed To Make Money Or I'll Refund Every Cent." Click the below link to get this Powerful Forex Autopilot System
www.myforexautopilot.blogspot.com
Apart from the fact that this System have helped me a lot the system also have been maintaining a top position at CLICKBANK if you have been familiar with clickbank you will notice that for a Product to have been maintaining a top position at Clickbank Then the product is really very efficient.
One more time this System is presently the best system that can help you generate an online wealth in a very short PERIOD of time.
To get now click the link below
www.myforexautopilot.blogspot.com
One thing about forex trading relating to human is about this"
They are never perfect.But this system is perfect,so check it out.
About the Author
MY NAME IS UWAKWE LAZARUS i AM THE OWNER OF WWW.MYFOREXAUTOPILOT.BLOGSPOT.COM
Make Money Fast by Leveraging Your Investment for Huge Gains!
If you don't have much money to start with then the way to make money fast is to find a vehicle you can use which will leverage your small stake to a much bigger one and then invest successfully for big profits - Here is a business anyone can learn that allows you to do just that...
Imagine you had a small stake of say $500.00 and you could by depositing this in an account be given $100,000 to invest and best of all it's given to you with no credit checks!
Sounds too good to be true?
Its not and you can get this leverage tomorrow, by simply opening an online currency account. Any amount you deposit is immediately leveraged by X 200, so you have a far bigger sum to invest.
You may be saying - that's all well and good but I don't know anything about trading currencies!
You don't - but you can learn currency trading in around 2 weeks and soon be investing your leveraged funds wisely, in just 30 minutes a day or less for big profits.
So how can you learn currency trading quickly and easily?
Well you don't need to know how and why they move, there is a simpler way and that's to learn to read Forex charts.
Forex charts exhibit highly reliable patterns which if you know which ones to spot (and this comes with education and practice) you can buy and sell, depending on the formation. The reason these patterns emerge is that they reflect human psychology which is constant and never changes and is reflected in the chart.
So if you can spot patterns on a chart and act on them, you can win at currency trading.
Your aim is to buy and hold the big long term trends and keep any losses incurred small. Money management is the key to this business - you must run your profits and cut your losses quickly, if you can do that the amount of money you can make can be life changing.
The key to this business is mindset anyone can learn the basics of currency trading but not everyone can trade with discipline and keep losses small but if you view it as a business, you can treat your losses as your overhead, take them cheerfully and understand that to win you have to lose in the short term.
Just like the successful poker player, you fold or pass by bad hands (trades) and then look to make huge profits on your good hands and with leverage on your side pile up huge profits.
There is no other business which offers you so much potential profit for a few weeks study and 30 minutes work a day.
If you are serious about building wealth and making money fast, check out this business and you could change your financial future forever.
So are you up for a challenge?
If you are, welcome to the exciting and rewarding world of currency trading.
About the Author
NEW! 2 X FREE ESSENTIAL TRADER PDFS ESSENTIAL FOREX TRADING COURSE
For free 2 x trading Pdf's, with 50 of pages of essential info and a RISK FREE Forex Course for Beginners visit our website at: http://www.learncurrencytradingonline.com
Imagine you had a small stake of say $500.00 and you could by depositing this in an account be given $100,000 to invest and best of all it's given to you with no credit checks!
Sounds too good to be true?
Its not and you can get this leverage tomorrow, by simply opening an online currency account. Any amount you deposit is immediately leveraged by X 200, so you have a far bigger sum to invest.
You may be saying - that's all well and good but I don't know anything about trading currencies!
You don't - but you can learn currency trading in around 2 weeks and soon be investing your leveraged funds wisely, in just 30 minutes a day or less for big profits.
So how can you learn currency trading quickly and easily?
Well you don't need to know how and why they move, there is a simpler way and that's to learn to read Forex charts.
Forex charts exhibit highly reliable patterns which if you know which ones to spot (and this comes with education and practice) you can buy and sell, depending on the formation. The reason these patterns emerge is that they reflect human psychology which is constant and never changes and is reflected in the chart.
So if you can spot patterns on a chart and act on them, you can win at currency trading.
Your aim is to buy and hold the big long term trends and keep any losses incurred small. Money management is the key to this business - you must run your profits and cut your losses quickly, if you can do that the amount of money you can make can be life changing.
The key to this business is mindset anyone can learn the basics of currency trading but not everyone can trade with discipline and keep losses small but if you view it as a business, you can treat your losses as your overhead, take them cheerfully and understand that to win you have to lose in the short term.
Just like the successful poker player, you fold or pass by bad hands (trades) and then look to make huge profits on your good hands and with leverage on your side pile up huge profits.
There is no other business which offers you so much potential profit for a few weeks study and 30 minutes work a day.
If you are serious about building wealth and making money fast, check out this business and you could change your financial future forever.
So are you up for a challenge?
If you are, welcome to the exciting and rewarding world of currency trading.
About the Author
NEW! 2 X FREE ESSENTIAL TRADER PDFS ESSENTIAL FOREX TRADING COURSE
For free 2 x trading Pdf's, with 50 of pages of essential info and a RISK FREE Forex Course for Beginners visit our website at: http://www.learncurrencytradingonline.com
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