Having the answer to things like where will the EUR/USD proceed to by the end of the day would be worth a few pips in your book. More than likely a whole lot more than the usual few. Anybody with the power to tell the future would make a pretty fine forex trader!
Annoyance is, the ability to foresee the future isn’t included in my choice of super-power, so i utilize more down-to-earth methods to spot trends. One of the biggest Black Cube tools I have in my forex trading system is a solid insight of the value of trading what is this great.
There is a lot of argument about which is the best trading technique you can use. Technical analysis or news trading. Dart chucking even gets a mention in some sectors. I’m open to most ideas but I prefer to have actual money in my trade accounts so i do not think We will be using the dart system anytime soon.
I get my best results from trading breaking news. Catching a young trend, has opened some of the wildest, most money making ocean in my currency trading career. Yes, there have been some that didn’t work out exactly as planned, but overall, news trading has been how i paid my bills for many years.
Defenders of the technical analysis systems might claim that third-party information isn’t an accurate enough way to trade. I say bull-dust. Breaking forex news drives mass currency movements in both directions and catching a trend early can be as good a way to almost guarantee profits as anything I know of.
Take a quick example. The Somewhere Land Central Bank decides their national currency is too costly. An too costly currency makes exports expensive, minimizing move demand and ultimately leads to heading downward manufacturing output. Why make stuff nobody is going to buy? Falling production means less jobs, increased contentment costs and less spending cash for consumers. Not really what the Central Bank trainers had in mind for poor old Somewhere Land.
To counter the rise, the Central Bank sells local currency on the markets. A lot of currency. Enormous amounts. End result? Your dollar (or Canadian Dollar or Pound) is suddenly worth a lot more of Somewhere Land’s currency.
Had you caught the trend, then you would be trading as near the peak as possible. You probably won’t be in on it (unless you are on speaking terms with somebody within the Central Bank of Somewhere Land) so the next smartest thing is to get on the bandwagon as soon as what is this great breaks. What is this great breaks, you open your trades.
If you are joyfully accumulating pips (and profits), the technical analysis traders will be using their indicators racking your brains on where the next move is coming from. By the time their analysis attracts the pattern, our forex news trades are making cold, hard cash for our accounts.
One of the sticky points for selecting a fx broker is because of their level of news services. Your broker could have the best applications, lowest develops, best leverage, but if their level of news canceling is below average — you’re missing out on the big movers.
All the major trading houses around the world have dedicated news trading teams. They know the value of getting in while the going is good and fresh, so trading the forex news plays a big part in their overall strategy. Quick question for you. Is your trading that profitable you can afford to ignore the tools the big trading houses use? Take the next step in your career and learn to trade forex news. Your foreign exchange trading profits will thank you for it.