You sit down to check the markets. You review recent price movements and consider potential trade ideas. But what happens next?
- You may quickly stumble upon what seems like a great trade idea but feel uncertain if it's too good to be true.
- You spend 30-60 mins delving deeper into the markets only to find yourself trying to figure out what to do next.
- Or you're putting in a lot of effort and mental sweat to craft a high-odds trade but it's not working out.
Sound familiar? If so, now there's a temptation to skimp on crafting a trading catalyst and game plan and jumping straight into a pattern or similar, right?
But you've now inadvertently killed the golden goose. Why's that?
Let me explain. Aside from the meaningless "noise", price movements are reactions to events. And as a trader, it's your job to uncover them.
- A counter move occurs in the market you trade when XYZ market opens. Not an elaborate idea, so not a large payer. But it's a catalyst that leads to tradable price movement.
- Lifting COVID restrictions in China is a boost economically. A move up in markets, even if short-lived, is likely. But difficulties of investing in China mean traders look to express the trade via a proxy market. Look for the idea, followed by the proxy market to move in tandem. The second idea is more advanced hence it provides a higher payout catalyst to the first idea.
Watch a real-time catalyst on the AUD/USD: Using live trading mentoring to illustrate, you'll see a catalyst with depth and substance crafted on a big news day when explosive fireworks in price are the norm. A high-impact economic release is chosen because if you can craft high-odds trades on the toughest days, you can nail your trade ideas daily. Right?
Forex and derivatives trading is a highly competitive and often extremely fast-paced environment. It only rewards individuals who attain the required level of skill and expertise to compete. Past performance is not indicative of future results. There is a substantial risk of loss to unskilled and inexperienced players. The high degree of leverage can work against you as well as for you. Before deciding to trade any such leveraged products you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading on margin, and seek advice from an independent
Follow us on Telegram
Stay updated of all the news
EUR/USD trims gains after reaching weekly highs at 1.0925
EUR/USD peaked at 1.0925 on Thursday, the highest level in a week, then retreated to the 1.0900 area. The pair is holding on to strong daily gains, on its way to the highest daily close since early February, supported by a weaker US Dollar ahead of Friday’s US Core PCE data.
GBP/USD eyes 1.2400 as Pound outperforms
The Pound is among the top performers of the American session. GBP/USD is trading at the highest level in almost two months, near 1.2400. Risk flows are helping the pair while at the same time making it difficult for the US Dollar to find demand.
Gold: Bulls aiming to challenge the $2,000 threshold Premium
Spot Gold found demand during American trading hours and currently trades around the $1,980 level. Following a consolidative stage, the bright metal gained upward traction on the back of continued US Dollar weakness.
Cardano might have a bumpy road following a 25% recovery
Cardano price has had a disappointing run these last two weeks when compared to other major altcoins.
FTSE100 up for 4th day in a row, hits 2-week high
We’ve seen another positive day for European markets with the FTSE100 pushing up to its highest levels in 2 weeks, although it remains well short of reversing its March losses, unlike the DAX which has reversed nearly all its post 9th March decline.
Making money in forex is easy if you know how the bankers trade!
Discover how to make money in forex is easy if you know how the bankers trade!
5 Forex News Events You Need To Know
In the fast moving world of currency markets, it is extremely important for new traders to know the list of important forex news...
Top 10 Chart Patterns Every Trader Should Know
Chart patterns are one of the most effective trading tools for a trader. They are pure price-action, and form on the basis of underlying buying and...
7 Ways to Avoid Forex Scams
The forex industry is recently seeing more and more scams. Here are 7 ways to avoid losing your money in such scams: Forex scams are becoming frequent. Michael Greenberg reports on luxurious expenses, including a submarine bought from the money taken from forex traders. Here’s another report of a forex fraud. So, how can we avoid falling in such forex scams?
What Are the 10 Fatal Mistakes Traders Make
Trading is exciting. Trading is hard. Trading is extremely hard. Some say that it takes more than 10,000 hours to master. Others believe that trading is the way to quick riches. They might be both wrong. What is important to know that no matter how experienced you are, mistakes will be part of the trading process.