New patterns to profit from forex trading

One of the easiest and most effective ways to bring money when trading in the Forex markets is to follow the patterns and allow the winner of trades to work for as long as possible. When trading this way, the small trades and losing trades, but sooner or later, they come back, you big profits. Trading this way requires discipline, but it is very easy. You have to be a genius or even a veteran or the owner of a trading gain a lot of experience in this way should not.

What you need to do, of course, is the use of a single style. When will Forex very flat and non-existent patterns, cannot traders patterns to avoid a loss, but if they wish to participate, and the identification of patterns becomes very vital.

How to select a good style in Fox

Think about the single currency, and how to behave currency against other currencies. Good style in a particular currency pair is the one whose apparent in other currencies, which include those currency pairs. For example, if you see what appears to you to pattern upward well in the EUR / USD, you also can see the same pattern in which the euro is strong against other currencies, and the dollar is weak against the other currencies.

Best currency in terms of follow the patterns of the past 15 years has been the US dollar and the euro after him. Smaller currencies tend to trade less stable manner.

You must show the pattern move in a particular direction in a stable manner and over a fixed period of time, and does not move violently up and down.

Good point to start with them will be looking at the dollar,

It is against 7 other major currencies. Look at the chart for each of these seven couples. Put some of the indicators on the chart: RSI for ten periods (RSI), and the exponential moving average (EMA) for three periods, and the simple moving average (SMA) for the ten periods. All these indicators should be considered when closing prices.

Now look at each graph and ask the following questions:

1. What is the value of RSI? Any of the seven currency pairs has the highest / lowest values?

2. Does the price higher or lower than it was three months ago?

3. Is the pair recently made new highs or lows over the past three months?

4. Are the two rates tend mover Monday smoothly and fixed up or down, or do you two are close on some?

To apply these tests on each of the couples mentioned earlier and see if there was any good patterns.

Logical method may be trading at half the total risk evenly divided on short positions on the AUD / USD and NZD / USD, with the remaining half on a pair US dollar / Canadian dollar.

These patterns look healthy and they'll be more healthy if and when the US dollar has become a progressive force constant, including in the Japanese yen.

There are still some good models: a short position on the Australian dollar / US dollar and New Zealand dollar / US dollar and a long position on the US dollar / Canadian dollar.