Archive for July, 2011
Forex Signal Services
As a professional Forex Trader something I get asked often is “why can’t I tell others what trades I’m doing?” Why can’t I provide a “signal service”
My answer has always been that I’d rather teach you to trade for yourself than have you rely on me to make your trading account grow. Also signal services have a pretty bad reputation – they promise a lot and deliver little usually. That’s because most people have an expectation that us “professional traders” can make vast sums of money very quickly. That leads many signal service providers to make exaggerated claims and even maybe produce false statements because without that no one would be interested in a service that “only” makes 10% a month.
So, it’s with some more than a little apprehension that I announce the TRADERS-HUB Signal Service.
Why apprehension? Because this service will provide “real” trades based on four hour forex charts using simple indicators and price action to determine trade entries and simple but consistent trade management with a view to catching the rare, but hugely profitable big moves the markets sometimes make. Along the way risk is reduced and most trades turn out as small winners, but with of course a reasonable number of losing trades also.
It’s a fact that has taken me many years to absorb, that we trade 90 out of 100 trades and only break-even (talking longer term trading here – 5 minute charts are somewhat different!) It’s just the last 10 trades that make profits. These are the 10 most profitable trades and can add up to significant profits – but they take time to come along. You can’t make the market give you profits! The best way to trade is to be defensive, lose as little as possible whilst “allowing” the market to give you profits when the time is right.
Like many things in life trading is about being in the right place at the right time. You can’t make money if you’re not in the market so my way of trading is to err on the side of taking too many entries and manage the trade to reduce risk quickly in the knowledge that sometimes, just sometimes, the price will go your way and keep going!
Many people will find this a difficult way to trade as there can be some long losing runs but they’re kept small compared to the occasional big winners which over time will put us ahead.
There's a list of trades since January 2011 here together with more details about how to join the service.
GBP/USD – July 7th Apologies for the break – holidays!. Big picture wise we're in a downtrend. Medium term we're pretty sideways but have seen resistance at 1.6120 and chances are slanted towards short trades with a move below 1.6030 being the trigger for entries. Obviously we could well then see support at 1.6000 so possibly better to wait and see if an lower risk trade develops at that level – or trade a shorter timeframe to get smaller moves.
EUR/USD – July 7th Aoplogies for the break – holidays!. We've recently seen price hit resistance at 1.4570 and fall. However we have significant support possible at 1.4400 Price is currently at that level and a break and close below that would suggest weakness and a short trade down to 1.4320 as a first target