Thursday 4 July 2013

Simple shares and currency trading strategies

Simple shares and currency trading strategies

A good trading strategy is a must for traders want to be successful, for example in different markets: Forex, stocks or commodities. This article will attempt to reveal some useful can be applied in any way to trade the financial markets, it does not matter if you are day trading or swing trading. Hopefully, you will be able to apply to those in your everyday transactions.

Tunnel eruption
Trading system is based on the trend line in the tunnel (called a trend line tunnel).
The system may be adapted to any type of money and time. The method allows arbitrary in market transactions.

Input Signal Market: find a pair in the integration process. Draw two horizontal lines, in line with the rate of support and resistance levels.
When securities prices will cross the line and plug Close "tunnel", the bid / ask price movement. "Stop loss" can be placed opposite the "tunnel" line above / below.

Advantages: very simple and efficient. Accurate drawing lines, the system provides a greater opportunity to achieve positive results. It can also try to change a channel or "tunnel" in the hope that, at this time, of course, does not break out.

Disadvantages: open positions, you must carefully choose a prescription. Dangerous open position near the tunnel, in view of the case is about to break.

Exponential moving average crossing
The second trading system is based on exponential moving averages (called exponential moving average) evidence. The indicator referred to EMA, which can be a large number of cycles.
The system can be suitable for any currency pair, it is recommended to use a longer time. Indicators used: EMA fifty-○ can be used in the near future, there is no indicator or together. Shorter-term indicators used to determine the signal and more - to identify the direction of the market.

Input signal: cross and off 50 averages above / below the candles, buy / sell position open. Position to open the second candle candles on mobile 5:00.
Proposal to limit adverse price move in the direction of potential losses, "stop" EMA50 wire transfer approximately 15:00.
I hope you learned some useful techniques means trading in financial markets. Be sure to back up everything on the test demo account.

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