Interesting Facts about Forex Industry Everyone Should Know

Interesting Facts about Forex Industry Everyone Should Know

There are a lot of interesting facts about forex industry. Indeed, forex or foreign exchange industry is one of the most famous industries these days that can bring huge profit for everyone. Here are some of the interesting facts about the industry that you should know.

1. The “Ancient” Form of Forex

Even though foreign exchange or forex is considered as a new industry, actually, currency exchange or currency trading has been around for centuries, even way back to biblical times. Back then, money changers were a popular profession where people trade their goods for money or their money for goods. The money changers would then, of course, charge a commission.

2. The Beginning of Modern Forex Trading

The modern form of forex that we know today, with all the numerous currency from across the world, started in 1973. Why in the 70s? Well, it was the time when the agreement that controls exchange rate, called the Bretton Woods agreement, considered as obsolete and broke down soon after. It caused a new era of floating currencies and allowed foreign exchange business. That is when the modern forex trading begins and the popularity remains to this day. Best forex trading strategies that work revealed for beginner 

3. The Domination of the UK Pound sterling

Today, the largest currency traded in the forex market is the US dollar. However, USD is not always the dominating currency in the industry. In fact, the popularity of USD emerges only in the recent years. Back then, from the 70s to the late 2000s, UK pound sterling was the dominating currency. Almost the entire global forex trading process involved the UK pound sterling.

4. Where is the Biggest Forex Market in the World?

Because today the largest currency or the most prominent one is the USD, a lot of people may think that the biggest forex market in the world is the USA. Well, it is not true at all. One of the most interesting facts about forex industry is that almost half of the forex transaction (more than 41% of it) happens in the UK and only about 19% of the forex transaction happens in the USA. It makes the United Kingdom as the biggest forex market in the world.

There is no doubt that forex is profitable. That is why many people across the world are now taking this industry seriously to make better living. Those interesting facts about forex industry above will surely deepen your knowledge and interests about the industry.


Price Action Trading

Price Action Trading

Price action trading in forex trading is method on analyze who control the price, bulls or bears or if they are able to stay in control.  Here is how you can analyze who control the price with simple techniques below. 

The techniques of price action trading in forex 
  • Support and Resistance areas

These two areas are selling and buy areas that you can find it easily and place in the chart. Once the price is hit on these two areas, then it is time that you know will stay or reverse act. This means that you are able to buy or sell in right moment. 

  • The advance analysis of candlestick 

The advanced candlestick analysis is deeper from basic doji equal reversal tools that you have ever seen. Once you are able to understand this chart, then this chart will tell you on who control the price (bulls or bears) is and whether you are selling or buying act. 

What are the secret of forex trading that most missed?  When you commit to be successful forex trader, then you need to be skilled on these secret to earn big earnings in forex. 

Benefit from the price action trading strategy

These two techniques are basic for price action strategy.   The technique is work for all market conditions, earning consistent profits; it is ranging from low volatility into high volatility.  What makes this strategy great? 

  • It is no indicator
  • It is no stress result with complicated techniques and tools
  • It is simple, no confusing techniques to run 

Trader that uses this price action trading is used by speculation, retail trader, or trading firm that employs traders. The price action trading is the systematic trading action that helpful by recent historical price data and technical analysis tools. 

When use price action trading, it requires multiple options to recognize the trading patterns, the exit and entrance levels, the stop loss orders and other that related with the trading. Have only one strategy may not give sufficient opportunities in trading. 

What tools requires in price action trading? 

Since the price action trading are related with recent historical data and the movement price in past, then there are entire technical analysis tools such as price bands, trends lines, technical level (of supports, consolidation and level),  is include in the trader strategy option. 

The tools are observed by trader itself and able to show such as simple price bars, trend lines, or the complex combination such as candlestick, channel, volatility and many more. 

The other things that also affect the price action trading are psychological and behavioral interpretation and the subsequent actions.


Secret of trading forex that everyone most missed

Secret of trading forex that everyone most missed

What are the secret of forex trading that most missed?  When you commit to be successful forex trader, then you need to be skilled on these secret to earn big earnings in forex. 

Secret#1. Creating Trading Journal

Recently, there are many traders that leave this trading journal strategy. Most of recent brokers provide real-time trade records for their clients. The problem that appears with this is when the records do not catch anything, something that becomes issues that successful traders need to understand. 

When trader start manual trading journal, they can record the down core from forex trading efforts, and from independent tracking, trader is able to monitor the margin usage, the profits and losses that happen in trade, the buying power and many more that important for next trading strategy. 

Secret#2. Stress test to your Trading Strategy 

Take it as simply as you can. The trading plan is your game plan for success. This is the guide you have for what you can get or unable to achieve when trading forex.  Put your trading strategy to show the effectiveness. Every strategy you commit to do, you need to stress it before use. Best forex trading strategies that work revealed for beginner  

Secret#3. Understand the difference between trends and fad

Every trader need to be always connected with daily financial news. The smart trader will knows that it is important for determine the trends and fads difference. So far, it means trader needs to have grasp on the macroeconomics and the significance from their market. 

Secret#4. Remains for always connected with newswires 

The newswires from around the world will deliver useful and great information that every trader need to make their trading decisions base. The problem in this case is when the trader is not paying enough attention to news that truly affect to market.  Every trader should not ignore to the financial key and the economic newswires in the world. 

Secret #5. Commitment 

If you really want to become an expert/skilled forex trader, then it is important for you to have commitment. The worst thing that anyone can do is simple “dabble” thing when trade in forex market is when they are putting their capital in risking trade.

 The successful trader in forex market and for those who understand secret from forex trading, will be commitment to have regular trading in over long term trading and most of it trade in daily basis. It is importance for creating trading schedule and stand by it in apparently.  

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Best forex trading strategies that work revealed for beginner

Best forex trading strategies that work revealed for beginner

There are many people that talk about forex trading strategies.  However how do you know that they are the best strategies that perfect for you when you are still beginner? 

Timeframe the trading style 

There are several trading styles that can be used and can be a good option to choose as the best strategies for forex trading in 2018. 

  • Scalping. This is very short lived trades and possible just held fro few minutes. The scalper are seeks for beat the bid/offer in quick and skim few points from profits before closing trade. 

  • Positional trading. This is the long term trend following trading style. This trade seeks for maximum profit from major shifts prices. The long term trader typically will look at the end of day’s charts to begin. 

  • Swing trading. The positional trading is held for several days and look profit from the short term price patterns. The swing trader might typically is search for the bars that show every half hour or an hour. 

  • Day trading. These are trades that exit before end of days. This trading removes the opportunity from being adversely affected from large moves in overnight. The trades may only last for few hours and the charts of price bars might be typically set for one or two minutes. Find Best Day Trading for Profitable Forex Trading

What are best forex strategies that work for you?

The answer from the question above is difference from one trader to other trader. The best strategies of forex trading is personalized to individual considers to the personality and the best strategies that suit best to them. 

A strategy can result best for other trader can give worst or even disaster to you. Therefore, it is important to have experimentation to the forex trading strategies that work best for you. By consider your timeframe trading style, you can choose the best one.

How to build your forex trading strategy 

You need to build your own forex trading system, rather than just plucking from internet. It is very common for beginner to copy successful trader and it can be a profitable strategy. But in the fact, it does not mean also work best to you. 

The best thing to build your own forex strategy is by take note from the strategies and let other traders tell you on what strategies that works for you. Borrow a little bit of strategies from others and then customized it into your trading personality, the financial circumstance and with your time schedule.