Trading strategies

Forex and CFD hedging strategy

The "Sure-Fire" forex hedging strategy

This forex trading technique is powerful as it allows you to profit no matter which way the market is going. By identifying trending markets, your hedge will protect you (and earn profits!) even if the market changes directions.

Pivot Point forex and CFD strategy 1

The Pivot Point forex trading strategy

The following pivot point trading strategy has been around for a long time. The reason pivot points are so popular is that they are predictive as opposed to lagging. You use the previous day's information to calculate... (more...)

Commitment of Traders forex trading strategy

The Commitment of Traders report (COT report)

The Commitment of Traders strategy is based on a weekly report where large institutional traders have to disclose their long and short positions. It is useful as it helps you determine when a market reversal is looming. (more...)

Pin bar forex trading strategy

The Pin Bar forex trading strategy

The formation of a pin bar is actually a trend reversal featuring 3 bars. The term "Pin Bar" is an abbreviation of the term "Pinocchio Bar". (more...)

Round number forex strategy that beats professional traders

Trading against the professionals

The round number forex trading strategy - when used during periods of low volatility - allows regular non-professional traders to get the upper hand over professionals (banks and market makers). Following a significant... (more...)

Rat Reversal forex and CFD strategy

The "Rat Reversal" forex trading strategy

This strategy is a basic scalping strategy that aims to make quick gains off of the day's high or low. The rules for entry are very basic and easy to follow. Exit, on the other hand, requires you to make a judgement call and... (more...)

Volume Spread Analysis

Volume Spread Analysis (VSA) by Richard Demille Wyckoff

Richard Demille Wyckoff's method, which compares prices in relation to volume, was later expanded upon by Tom Williams. VSA is an analytical technique based on the trades of professional traders, it provides information on why and when traders are positioning themselves in the markets. (more...)

Ralph Nelson Elliott - Elliot Waves tutorial

Elliott Waves theory

At the end of the 1930s, Ralph Nelson Elliott (1871-1948) published the "Wave Principle", having been inspired by Dow's theory and Italien mathematician Fibonacci's golden number. Elliott believes that the markets don't evolve in a random manner, but instead follow repeated trend cycles (up or down) that are influenced by nature and human behavior. (more...)

Support and Resistance forex trading strategy

The Support and Resistance forex trading strategy

For professional traders, the analysis of support and resistance levels is a crucial component of technical analysis. Here are a few cases where you can use a support and resistance forex trading strategy with trendlines. (more...)

Ralph Nelson Elliott

Trading forex correlations

Correlations can be used to avoid bad trades, like a false break and to confirm a trade or an analysis. The idea is to see if pairs with a positive correlation are moving in the same direction as the currency pair you are interested in. (more...)

Price action forex trading strategy

The Price Action forex trading strategy (trading the trend)

This forex trading strategy is based on price action. It will teach you how to identify the direction of a trend by looking at two different timeframes. Although it is possible to trade trends in a small timeframe, you... (more...)

Price action setups

Price Action Setups

- Inside bars
- Pin bars (dojis)
- False signals (more...)

Trading economic news announcements

Trading economic news announcements

The publication of economic statistics such as the NFP (Non-Farm Payroll) causes great volatility on the forex market. During these announcements, traders must be careful, because professionals (market makers) manipulate the market to hunt down their clients' stops. (more...)

Dollar smile

The Dollar Index (USDX) and dollar smile theory

The dollar smile theory - as described by Stephen Jen, a former currency strategist and economist at Morgan Stanley - allows traders to predict long term forex trends. (more...)

Charles Henry Dow

Charles Henry Dow theory

Charles Henry Dow is considered to be one of the fathers of technical analysis. Along with Edward D. Jones, he co-founded the Wall Street Journal. With the objective of predicting the future evolution of the economy, he created the Dow Jones index, the world's oldest stock market index. Despite the significant evolution of the financial markets, Charles Dow's theory is still valid today. Nevertheless, after his death, William... (more...)

William Gann's golden rules of trading

William D. Gann's 28 golden rules of trading

William Delbert Gann, a famous American trader (1878-1955), earned $50 million during the Great Depression. In 1933, he performed 479 trades - 422 of which were winners - which enabled him to achieve an overall gain of 4000%! He is credited with... (more...)

Forextester

Forex Tester is professional software that simulates forex trading. It allows you to develop and test your own trading strategies based on technical analysis with the use of several years of historical data. This is an excellent tool to develop your own trading strategy quickly and effectively. For advanced users, there are open interfaces to help you create your own indicators and strategies. (see a video demonstration)