- What Is Forex?
- What Is A Spread?
- Japanese Candlesticks
- Trend Line
- Trading With Indicators
- Forex trading for beginners free ebook
- Forex trading for beginners pdf download
- Understanding forex trading for beginners pdf
What Is Forex?
You understand how to trade forex market you understand the Forex market moved just like any other market. You will learn two different types of orders used in forex trading. You learn to place a trade on the forks market. You learn oh you can earn money trading Forex and you understand how you can protect yourself. Should your trade not go your way.
Now for externes for foreign exchange and the Forex market is the largest financial market with over 5.3 trillion dollars traded daily. That is way larger than the stock market. The Forex market is extremely large and extremely liquid. The fork’s market comprises of over 4500 banks. So the Forex market is dominated by the banks the banks dominate the Forex market and currencies are traded to a broker or dealer and are traded in peers.
For example we have the euro and the U.S. dollar that is traded as the euro U.S. day. And we have the British pound and the Japanese yen which is traded as the GBP JPY currencies are traded in pairs. Now the Forex market until 1995 was not accessible by small investors so small investors retail traders could not invest in the Forex market until after way after 1995 the forks market was only traded by large network investors and banks own banks and large networked investors had access to the Forex market.
Now the six major currents peers are the Euro USD. The GBP us they usd Swiss franc USD JPY USD CAD and rs a US Day. And if you’re just starting out in Forex is best to start trade in with these majors. because it’s easier to focus on a small amount of Karns it appears when you’re just starting out in Forks. No one of the benefits of the Forex market is its deep liquidity with Forex you don’t have to worry about liquidity. Whenever you place a trade on the forex market there will always be a buyer or a seller you’re buying.
There will always be a seller. If you’re selling there will always be a Byard Forex market is extremely liquid and Forex market gives you 24 hours a day trading opportunity and you can trade from anywhere in the world. So these are just some of the advantages of forex trading you can trade from anywhere in the world. Now let’s say the U.S. dollar is expected to weaken in value relative to the euro. A Forex trader in this situation will use dollars to buy euros.
And if the Euros Trenton’s the purchasing power to buy dollars as now increased and the trader can now use those euros to buy back more dollars than he had to begin with making a profit. So this is the essence of forex trading If we think a currency is going to strengthen in value we are going to buy that currency. So in this example the trade apart that the euro would strengthen in relationship to the U.S. dollar. And it did. So this trader made money. That is what for its trade is if we think a currency will strengthen in relation to another currency we will look to buy that currency. So in this case the trader bought Euros and the euro value increased and he made money.
Hey, guys, this is FinanceCompanies and I put together for persons interested in learning the basics of forks.
So this is a beginner course. So if you’re someone that is interested in learning you can earn a living trading Forex. So if you’re a beginner and you want to see oh you can make a living Schrade in the 5.3 trillion dollar market which is a fork’s market take this course you will learn the basics you’ll learn some of the trading techniques that you can use as a beginner to start making money training for X and you will see how easy it can be to make money trading for it.
What you’ll learn
- You will learn a simple strategy that you can use as a beginner to start trading Forex
- Understand how to trade The Forex market
- Learn how to place a trade on the Forex market
- Learn how you can earn money trading Forex
- Understand how you can protect yourself should the trade not go your way
- Understand what are Japanese Candlesticks
- Learn how to identify the various types of Japanese Candlesticks
- Learn how to trade Japanese Candlesticks
- Learn that Japanese candlesticks often indicates potential turning points in the market
- Understand what are trend lines and how to draw trend lines
- Understand the significance of trend lines
- Learn that trend lines act as levels of support and resisitance
- Learn how to trade trend line breaks and bounces
- Understand the A,B,C,D price wave movement and how to identify these movements
For a straight in is not a sprint it’s a Martin. It’s about keeping your race small and letting your profits run whenever you’re trading Forex. Your main focus should be on how much can you lose on a given trade. That’s where your main focus should be for X-rated. It’s about keeping your rates small and letting your profits run.
Now here we have one of four accounts that alerts effects and alerts effects. We work with the best traders from all over the world so if you are very good at trading then you can get in contact with us. so here is one of your accounts alerts effects and on this account you can see that over the tree year period Fortius account we have made over a tree under 2 percent. That’s a goal. On balance we started this account with one million dollars.
And as you can see now this account is a little bit over five million dollars over a tree year period. So there’s a very good trade in portrayed it is about keeping your risk small letting your profits run. so if you’re interested in finding out more about Lerche affects you can go to W.W. Lord a fixed income and you can find more information on large effects the minimum amount to open an account is treated thousand dollars but it’s best to invest at least $10000 but a minimum McKone is treats always Nola’s and you can expect to get anywhere from 2 to 10 percent return on your investment per month. And we have different systems like capital preservation. So you can’t select much of your money you’re willing to risk on stuff like that. And yes so it’s about keeping your risk small and letting your profits run.
That’s the main thing about forex trading. So let’s take a closer look on this account. And you can go on Profitt versus Bips groats or we can also scroll down and you can see some of the returns. You can see that we’re averaging rights around own 5 percent return per month on this account and on most of our Cowens. So if you’re interested in investing with large effects you can go to learn the red alert effects that come up and you can find out more information.
Now remember the most important thing about Forex trading is about keeping your risk small letting your profits run. Your focus should be on how much can you lose on a given trade and not on which you can gain from a given the most successful Forex traders are mostly focused on own which they can load not on so much they can gain.
Now this is a platform used by traders to trade on the forex market. Now here we have the price levels. So every year we have the price levels and here we have the time and the date. So we have time and date here. We have price levels here now below the time of day. We have different currency pairs. we have Newsline USD JPY Australian USD etc. We have a different currency peers here.
Tip on Choosing The Right Broker
Open in a forex trading account. Now this is the most important step the forex trading. OK. You need to ensure that you’re trading with a good broker. When I first started trading Forex I used to trade with market maker brokers. That was horrible. We don’t trade market maker brokers we only trade with ECN brokers. So whenever you’re looking to open a fortune account always search for an ECN broker. And here we have a very good ECM broker ethics choice. We have been using this broker for a while now and their service has been absolutely amazing. Great customer service. There’s no issue with your money.
The trade conditions are great. Absolutely amazing. We have had no problems with this broker so very good broker so far. And best of all they accept US customers. So if you’re a U.S. resident you can open a for extra in an account with ethics choice because it is very difficult for us traders to find ECN brokers that accept US clients. It is extremely difficult to find ECN brokers ECM brokers that accept US clients so ethics charges is an ECM broker that accept you as clients. They have great reviews so you can start trading Forex. You can open a live or demo account here.
In the Forex market now, for example, let’s say prices move from one third to 8 0 0 to 138 50. That is a 50 pit move. Learn More
Different Types Of Orders
The different types of orders. Now we have instant orders pending orders stop loss orders and we have limit orders now. Instant arder. Also call the market order is instantly executed at the current price. So whenever you wish to place a trade you use an instant order. Just click buy or sell that’s an instant order.
Now a pending order also call a limit order is executed at a target price. So let’s say we plan to buy the GBP at a future price. We would use a pending order. Now a stop loss order is just an order that we use to prevent excessive loss. So if we only want to raise say $50 on the trade we will set a stop loss order off of fifty dollars and it’s executed at your target price to prevent loss. Now a limit order or a take profit order is the same as a penny in order.
The only thing is that it is executed at your target price to take profit. So after you have already entered the market use in an instant arder you can then set a limit order for your take profit. So if we want to take profit let’s say $200 then we would set a limit order of 200 dollars. Now when you place an order you must also place a stop loss order or a take profit order and this is to prevent losses. This is to prevent losses and to safeguard profits so if you place a trade always place a stop loss order and you can place a take profit order. Sometimes I don’t place take profit orders.
But it is essential that you place a stop loss order whenever you place a trade. Now remember whenever you buy you must exit by selling. And whenever you sell you must exit by buying. So your stop loss order and take profit arder can either be a sell order are a buy order if you bought the market your stop loss order is a sell order it is automatically a sell order and if you sold the market your stop loss order is automatically a buy order. So you don’t have to worry about that. All you need to do a set a stop loss order whenever you place a trade. For example here is a chart off the GBP us day. And here we are at a stop loss order.
This is our market order and this is your take profit. So the risk on this trade is that Cedras Candis trade is about say 50 pips and the potential profit is about say one unjaded and 20 pips. So we keep houris small lead or profits run if on Riskin $10 per Pape’s on this trade then my risk is one engine unthrifty to make about $1200. That’s amazing. That is how you make money trading forex keep your losses small Let your profits run.
What Is A Spread?
Know what is the spread now the spread is the difference between the price at which a dealer will buy a car and say on the price at which a dealer will sell a currency that is wat a spread is. For example let’s look at this. So the dealer here is willing to buy the euro USD at one point to six one for but they are willing to sell it at one point to six one two. So this parade is to Pip’s to pips spread.
So this is a small spread because we’re in for it sometimes the spread can be a Pip’s nine perhaps 10 pips. So with this the spread is to Pipps. And whenever you place a trade if the spread is too Pep’s then you will enter the market to Pip’s down. if this spread is 10 Pip’s then you will enter the market 10 pips down. So whatever the spread is that is what you will need to make in order to break even on that trade. So if the spread is 10 Pip’s you need to make 10 pips in order to break even on the trade. If its a two point spread then you enter the trade only to pips down whatever the spread is that is so much you would need to make in order to break even on the trade. Now the only way to become a successful Forex trader is by properly educate yourself and the fastest way to do this is by finding a successful mentor.
A mentor can teach you years of experience in a short period of time. And I have a mentorship to students that are serious about forex trading. Whenever I have time I offer mentorship so you can always send me a message or you can visit doubled up and learn for expensive dot com and you can sign up for mentorship. So if you are serious about trading Forex you should consider taking mentorship and mentorship. I do one on ones via Skype and I go at your pace teach you how to trade Forex successfully. So so mentorship is something that you can also use to fast track your experience.
Trade in for it. And if you’re not interested in mentorship of course there are other courses that you can take. You can go to the learn four expensive dot com and you can sign up and get access to all my courses. So mentorship is just more hands on. It is a faster experience because you’re one unwon and you can get X the questions that you need. Now did you learn what Forex trading is how to trade for X market.
Did you learn that before X market move just like any other market. Did you learned the different types of orders used in forex trading. Did you learn to place a trade and Forex market. Did you learn how you can earn money trading Forex. Did you learn how you can protect yourself. Should the trade not go your way. If you’re not sure about any of these points please watch over these videos and ensure that you cover these points. I hope you’re enjoying the score so far and if you think this course will add value to other users please leave a review. I will see your review and it will be much appreciated. Reviews are what keep courses on you to me so if you like this course please leave a review.
You will understand what are Japanese candlesticks. You’ll learn out identified various types of Japanese candlesticks. You’ll learn to trade Japanese candlesticks. You’ll learn that Japanese candlesticks often indicates potential turning points in the market. Now here we have two Japanese candlesticks.
We have a bullish candle and we have a Barish candle so Japanese candlesticks we have what’s called the closing price. We have opened in price. We have the low price and we have the high price so Bowl candles are candles that go up. both candles.
They love the opening price near the low so they open down here and they close here and sometimes they have a wick that goes up here and the wick simply represents where the market was. So at one point in time they scanned the body of the scan. Here was actually up here. So this is the high price of the candle. This is where it can actually close. So lets say this candle open at 1:00 and closed here at 2:00. But during that one hour period there was a time when this candle the close of this kind of that was actually up here.
Let’s say maybe at 1:30 this Candler was actually way up here. But let’s say 10 minutes before 2:00 o’clock prices came back down and actually close here. So this is the close this is open and this is the low for this bill and the same goes for the beer candle. The only thing is that the beer can. It opens here and actually closes here. Beer candles go down. So this is the bolt candle.
This is a beer candle. Now here you can see examples of candles on charts. You can change the colors of the candles to whichever color you choose here or beer. Candles are black candles and are both candles are white candles. So here we have a beer candle open here closes here. Here we have another beer candle open here close here. Here we have a bowl candle open here closes up here. Highs and lows.
Now a high is a candlestick pots and in which there are two candles to the right and two candles to the left that are lower than the high of the center candle. On a low is a candlestick Pazza in which there are two candidates to the right and two candles to the left that are higher than the low off the center candle. Now here we have some examples of high and low.
Here we can see we have two Kandace to the left of this scandal. Want to. And we have two Kandace to the right of this scandal. Want to say this is on high year hall so we can say we have two canister left. One to two candles to the right. More than two candidates to the right. So this is on high again. Now here we are a low. We have one two canister the left one two canister the rights of this is a low. so these are high and low. Here we have a lot of dough. Here we have another high here we haven’t got a high here we have them on a low and that is how we identify highs and lows.
Candlestick Parsons now candlesticks with bodies longer than their wicks are called desisting candles while candles with longer wakes them body are call indecision. Candles. And here we have some examples. So here we have an existing candle here we have a decision candle here. The body is longer than the week. So this is a decision candle. Here we have an indecision candle here. Also we have an indecision candle. So these are some examples of decision and indecision.
Candles here we have an evening star. And here we have a morning star and even star and Morning Star sponsons can consist of more than three candles. We can actually have a morning star pots and with four candles five candles the most important thing is the you turn this turn here. The fact that we have this turn and price movement price going down stops and gives us this turn. This is what’s most important. And this candlestick Potten is very powerful.
Even Star partons and Morningstar patens are extremely powerful especially when you combine them with different techniques. So I have I have taken many trades using evening star and Morningstar patents in the past. They are extremely powerful specially when you combine them with stuff like trendlines indicators etc.. Now the term our last candle off the evening star must close beyond the 50 percent mark of the first candle. So here we have an evening star. The third candle which is this candle must close below 50 percent off.
This first candle here that is necessary for this to be confirmed as an evening star Potten. The same goes for the morning star to third candle must close above 50 percent of this first candle here. So this is an example of the evening star potman and the morning star Potten two very powerful candlestick partons and remembered. Even star can be more than tree candles. And the Morning Star also can be more than tree candles these canister patterns can be can be composed of several candles.
The most important thing is that you turn this turn and price movement so here we have some examples of even stars and moon and stars on charts. Here we can see a morning star Pazza and that is comprised of several candles. We have one two three four five candles and this morning star Pozen and as you can see the result of this morning star Potten is higher prices so the candlestick patterns can be extremely lucrative to trade. Once you combine them with other techniques these candlestick patterns can be extremely lucrative.
now here we have an evening star Potten a lovely evening star. Part of this is a textbook evening star Potten and prices fell so many pips this one is absolutely amazing. Now we have tweeze tops and tweeze or bottoms and tweeze tops and bottoms consist of two or more candles Wicks that are at least 60 percent off the lens off the total candle. The bodies of the candles can be bullish or bearish. So here we have examples of tubes of bottoms. And here we have examples of tweeze or tops.
This is also another powerful candlestick Potten when I first started trading I loved trade in the tweezed or bottoms and tubes a top cannas thick patterns. These are absolutely amazing. Especially again when you combine them with other techniques so that tweezer bottom here is a textbook to the bottom. We also are tweezed bottoms like these where they are separated the first and last candles are separated by several candles. tweeze or bottoms. Now with tweezer tops and bottoms. We want the wicks of the candles to be at least 60 percent off the total length of the candles. We want the wicks to be longer than the bodies of the candles. and if the candles if the wicks are relatively equal you know wellat relatively equal in length.
That is also very good. The weeks can be of different length but when they are relatively equal or close to each other in land that is absolutely amazing. the ideal tweeze a top slash through is a bottom of works that are similar in that. So here we have some examples off the tweezed top and the Tweezer or bottom candlestick pots.
Here we have a lovely example off a tweezer bottom here and prices just rallied. Lovely example here and here we have a lovely example of a tweezer top. This tweeter top here is absolutely amazing. Nice to the top. Prices fell so you can open a demo account and start trading these tweeze or tops and tweeze of bottom pots. When I first started trading Forex I loved the trade in the tweeze a top and a tweeze of bottom partons so you can start practicing with that and get used to identifying these patterns.
Now here we have some examples off the bullish and bearish and gold fin Potten. this is an and golfing Barish candle also called the engulfing bar a year which is a bullish engulfing candle also called the bullish and golfing bar. now bullish and golfing condos and golf the previous bearish candles after a down swing price move and the Biersch and golfing condos and golf the previous bullish condos after a upswing price move.
Here we have a down swing price move prices going downwards and then we have this bullish engulfing candle Cetus this bullish engulfing candle and gold. All these candles. So this is a nice bonus in golf and candle and as a result prices rallied. here we also are very bullish in golf and candle in golf and this beer candle here. So this is also a nice polish engulfing candle. We also have a bullish engulfing candle here. We also have a bullish and Gold think candle here. So several bullish and Golffing candles. Now here we have a Barish engulfing candles so we add this upswing here. This upswing price move. And then we have this bearish and Golffing candle here. Another example of a Biersch engulfing candle.
And you can see how the market reacts to these candles beer shingles and candle market fell piercing golfing candle market fell. So can the stick. Potts’s can be extremely lucrative to trade AK now. Pause this video for a while and try to identify the candlestick patterns on this chart. Now did you identify these Potts’s. Did you get these tweezers bottom here. Did you get this in golf in Balazs candle here so several candlestick Potts’s on this chart.
Here we have a nice evening star. Here we have an evening star again and get this Evening Star Market felt pulls back. Even the stock market fell and Golffing beers candle market fell market rallies even star. So you can see at these candlestick parsons are extremely powerful. extremely powerful these candlestick Potts’s even star here. The market fell so several evenin stars several engulfing and beers candles so these patterns are extremely important. Practice trade in these patterns. Open a demo account and search for these patterns. it’s very good to learn to identify these patterns on charts.
Now pause the video again and try to identify as much candlestick patterns as possible. Now did you get these Potts’s Did you see this and golf in bullish candle here after this pullback and go off in Balazs candle they do get this morning star here. They say they send golf embolus. Here we are at an engulfing bullies kinda here but prices fell anyway so nothing in Forks is 100 percent. The candlestick patterns won’t work on every single occasion which is why it’s good to combine these kinda stick patterns with other techniques.
For example we have a trend line here and here we have a Morningstar pattern near the trend line and the price says rallied. So it’s good to have is good the trade is candlestick patterns with other techniques such as trendlines indicators etc.. K it’s good to combine your knowledge of these candlestick patterns with other methods of trade in the Forex market. So lovely pots and see here we have nice Biersch engulfing candle here. Prices fell bullish in gold and candle prices rallied tweezed top price pulled back. And yeah we have a small bullish engulfing Canada here. Prices rallied so absolutely amazing.
Trading Japanese Candlesticks
Now on most occasions the market will test a candlestick formation for Balazs candlestick pots and the beers will test the lows for selling insurance. If there is no selling interest the pattern will old and prices will rally. If it’s a Biersch candlestick Potten the bolts with test the highs for buying interest on. If there is no buying interest the pattern will old and the prices will fall. So this is the reason. Stop loss orders have to be placed.
A bulb. Highs below the lows of Candlestick pitance because on most occasions the market will test the market with test to try to find buy an interest remember Forex trading is a game between the Bulls and the Bears. The bulls are looking for more buyers and the bears are looking for more sellers. So the market on most occasions will test.
Let’s look at some examples of this. So here we have a nice tweeze or bottom nice to the bottom and then prices rallied and then we started to get some test prices tested this Tweed’s a bottom on several occasions so we have several tests. So if you took this Tweed’s a bottom if you entered the market here buying this tweeze or bottom your stops should be below the lows. your stop loss orders should be below the lows. Give the market room to test because on most occasions the market will test these candidates take partons.
For example let’s look at the evening star here. We had a nice evening star here and before prices fell we had a test of the evening star say we had it test. The Bulls were looking for buying interest. They found no buying interest. And as a result prices fell so we have tuza bottoms here. We get to buy the beers we’re looking for more selling interest. They found no selling interest and as a result prices rallied so on several occasions we will get a test of the Q&A take.
Partons here we have an evening star. Prices fell then we have a test of this even star. A nice test here. Prices came as far as half way off this evening star Potts’s. So if you took this evening star parts and if you saw this even star Pazza in your top should be above the highs so that gives the market room to test and then it fail. So on most occasions the market will test the candlestick partons now when trading candlestick partons do not trade candlestick patterns and consultations and what I mean by that is whenever the market is moving sideways whenever the market is in a sideway pots and going sideways in a sideways zone we’re not looking to trade candlestick patterns in a side way market if the market is just going sideways. We’re not really looking to trade candlestick patterns in that sideway pattern.
We will wait until prices start to trend prices start to turn up. Our trend down we want to wait until prices start to trade before we look to trade candlestick. Parsons now you must trade candlestick patterns in the direction of the trend. So we want to trade candlestick patterns in the direction off the chain. We’re in an upturn. The trade candlestick pot sends that signal that the market will rally. So we wanted trade candlestick Parsons along with the trend. so it’s best to trade candlestick patents and the direction of the trend.
Now trade candlestick formations. Fibonacci levels and a trend line bounces are Fibonacci levels is something that I cover in another one of my courses and in my comprehensive course I actually cover over the trade use in Fibonacci levels so if you want to learn more about that you can actually check out that course. You can do your own research on how to trade. Candlestick Parsons use Fibonacci. So we want to trade candlestick formations are people not levels and our trend line bounces those are two levels that we want to trade.
Candlestick Potten so whenever we’re trading candlestick patterns we get a high probability trade. If we combine the candlestick patterns with Fibonacci levels our trend line bounds are you can also use indicator crossovers but I prefer to trade with trend line bounce and Fibonacci levels. In this course we actually cover out to trade candlestick patterns at Trend Line boats. So you will learn more about trading candlestick patterns on trend line in this course.
Now when trading candlestick formations ensured that tops are placed a couple of pips above the formation when selling. And a couple of pips below the formation when buying if we’re trading a Morningstar pattern which is a bullish pattern or stops should be below the low. So if we’re trading let’s say a tweezer bottom formation we want to place or stops a few pips below the lows of the tweeze or bottom.
If we’re selling this evening star Potin here we want a place or stops a few pips above the highs of the evening star Pazza and here no one of the main rules the trade in is if the risk of the trade is too much to not take the trade. Remember the key to trading for X successfully is Monnin chain risk. Now can the stick formations allow use of very lethal risk on the trade so you can keep your losses small and let your profits run.
That’s one of the benefits of trading candlestick patents they allow you to have small risk because you know if prices go below these tweeze or bottoms if prices go below these tweets or bottoms you’re looking to exit the trade and you’re looking for another trade. So that’s one of the most important benefits of trading candlestick patents they allow use of low risk. Now here’s an example of a trade you could have taken using candlestick partons.
Here we have an engulfing bullish candle near a trend line and the market just rallied. And look at the risk small risk in comparison to the potential reward. This is the beauty of trade in Candlestick partons. So did you learn what our Japanese candlesticks did you learn out analyze trade in charge true the use of Japanese candlesticks.
Did you learn to identify the various types of Japanese candlesticks. Did you learn to trade Japanese candlesticks and did you learn that Japanese candlesticks often indicates potential turning points in the market. Now if you’re not sure about any of these points please watch over all these videos. And remember if you enjoy the course and if fifth thing is course can add value to more students.
Now this section, you will understand what are trend lines and how to draw trend lines. You’ll understand the significance of trend lines you’ll learn that trendlines acts as levels of support and resistance. You’ll learn to trade trend line breaks on bone says and you will gain an understanding of the c the price wave movement and how to identify these movements. So let’s go now a trend line is a straight line that connects two or more points of support or resistance in a trend and it acts as a line of support or a line of resistance for that trend.
For example these are the levels at the bottom of the market are what we call support. So we have support support support these levels at the top of the market or what we call resistance resistance resistance resistance. A trend line context levels of resistance and support.
This is a don’t trend this is an uptrend. So an up trend is when the market makes higher highs and higher lows while a down trend is when the market is making lower highs and those are lows now. They are tree main categories off trend lines. We have the short term trend line also known as the trend line. We have the medium term trend line also known as the OTA trend line and we have a long term trend line also known as the long term trend line. There’s no other way. We all we just call it the long term trend line. So these are the main categories of trend line.
Drawing Trend Lines
A B C price swings. Now the market moves in A B C D price swings AB CS repeat themselves as long as the trend continues. So here we can say the A B C days we have A B C day. this is how the market works. And the thing that you must understand is that this entire leg here is wave a. So sometimes with other traders you may see the labels are a bit different you may see they they put in a here but let’s remember that this entire leg is always at the edge. So sometimes the labels may be a bit different.
A Maybe here to be maybe here and the sea may be here. So sometimes the labels may be a bit different but essentially what you must try to understand is what we are labeling we are labeling the legs so this is a leg and half the leg comes to be leg and after the B leg comes the C leg and after the c leg comes to the leg. Once you understand this you don’t need to worry about where you put these labels where you put these aids are these beads.
Just remember that after a week of Bay after to we have say and here’s a trick you can always start with a For example I can just say this is a. And after a b and I have to be I should say the only difference is that with this the market goes down. So I cannot have a C because SES should go higher. We should continue trending up.
If it’s an AB say we should continue trending up the fact that we go down means I should label different means I should start a bassée because we now are going down. So if the market has not made a higher high we cannot continue to use a b c ABC. So remember we can just say a B say as long as the market is making a higher high and the opposite is true. If the market is making lower low we can always say a b c and we can continue saying A B C as long as the market is making lower low. So this is the way the market moves.
We have A B C and you can’t say I just like just saying A B C and continue in a b and say if the market had made a higher high. so all CVS then becomes a new A and the count begins again. So draw a trend line through a phase and see points. so you draw trend lines through the A’s and the C’s connect to the A’s and the same. I remember old C’s then becomes a new a so we can always say again. After A’s we have B’s at the B’s we should have C’s after C’s we have days right whenever we are at where it say we can always start again with ABC is a b c’s now trend lines must be drawn across.
The lows are across the highs of support or resistance connecting A’s and SES after a new high are a new low has been made and this is extremely important. Remember after a new high or after a new low has been made so we’re going to clinic A’s with other A’s and c’s as loss as long as you are not drawn into the other candles and we’re going to take a look at that. So here we have an A B C right a b c price swing the ABC price swing and remember C’s old C’s become new A so we can start again A B and C right.
The A B C price swing. But when drawing up trendlines Canek your lowest A to the C slash a r support that is closest to the highest high. We don’t draw into the previous C’s or A’s. so we want a clinic or A’s or or C’s because they’re the same thing to another. A R and not a C that is closest to the highest high. So where is the highest high on this chart the highest high on this chart is here right. This is the highest high.
So we want to connect this a to this say because this is the seed that is connected to the highest high. But we cannot draw true scandal here. We cannot draw Ceuta candles. we want to connect the C with the highest high but we can draw to the candles so we have the clinic or a two. They say peer is an incorrect way to draw a trend line. We want to. Or a to the A C off the highest high because this is the highest high. Right. So we want a clinic or a C but we cannot draw Ceuta candles. That is why this is and correct. You must not draw true to previous CS slash A’s. Now here is the correct way to draw the trend line so we can this a to this. See we cannot draw true the candles. This is the correct way.
This is the and korek way. So let’s recap. We want to connect the a c that is connected to the highest high. we want to kind of the A that is connected to the say off the highest high but we cannot draw to the candles. Now here is an incorrect way to draw the trend line again. We want to connect the A to the say in this case where are you looking at a down trend line. So it’s just the opposite of the uptrend line. We want to connect the A to the C that is connected to the lowest low. So where is the lowest low on this chart.
The lowest low on this chart is this low. this low is lowered and it’s lower than this. This is the lowest low. So we want to Canek or a to the C that is connected to this low lowest low. So this is the korek way to draw this trend line so we Konik this a to this. See here. It’s connected to the lowest low. So we draw this trend line. so we call this a to they say and we can see we have a trend line break. So open a demo account and practice drawing trend lines. The trend line is one of the most powerful indicators. Every trade or every successful cheater uses a trend line. we all draw trend line because it is extremely important to draw or trend lines so open and them all count and go and practice drawing in these trend lines.
The 3 Types Of Trend Lines
Now whenever you’re drawing trend lines look for the most recent ABC day and draw a trend line connecting the latest a good The to see that will be the short term trend line. Now look for the lowest A and draw your trend line using the rules and this will be your medium term trend line. Now the next step is to compress the chart.
That is to zoom out or go to the larger time frame to draw the long term trend line. now here we have a chart with the long term trend line. The medium term trend line and the short term trend line. So here we have the long term trend line. Here we have the medium term trend line and here we have the short term trend line which is connected to the most recent. A B C.
This short term trend line here is connected to the most recent ABC day. This is the medium term trend line. and this is the long term trend line. So we have cherry trend lines on this chart. Now pause this video and try to identify those short term trend line and the medium term trend line on this chart. Now did you get this. Did you get asked this a B. Say this is the most recent. A B C. And this is your short term trend line.
Now if you are drawn the trend line from here to here it would still be. Because there are traders that will be joining the trend line from here also. So it will still be a valid trend line is just that it’s best to join a trend line you’re in a trend line from the most recent A B C. And here we have the medium term trend line from the lowest low connected to here connected to this say and we have the medium term trend line.
Remember this is the sea that is connected to the highest high. But we cannot draw through this candle. So we have to clean it this a today. See no pause the video again and try to identify the short term and the medium term trend line on this chart. So did you see this did you get this a B say in our trend line and here we have the medium term trend line. This a connected to this say because this is the lowest low. So this is the say that is connected to the lowest low. So remember practice practice practice drawing in your trend lines go to your empty for platform and practice drawing in trend lines.
Trading Trend Line Breaks
Trend line breaks now when the short term trend line is broken the market will predominantly move to the medium term or old to trend line. And when the medium term trend line is broken the market will aim to task the longer term trend line trend lines. As support and resistance so when an option line is broken it will now act as resistance. And when a down trend line is broken it will now act as support. So let’s look at this so here we have the inner trend line. You can see it in a trend line is broken here. It acts as resistance.
Prevents prices from going higher. So we say it acts as resistance and then the market once it has broken the trend line it moves to the alter trend line. And guess what we have to trend line. We are adding Goldfine bullish candle. so we have an engulfing bullish candle. The trend lines so we call this a trend line bounce and you can buy here you can enter a trade here which tops below and Golffing bullish candle.
And that would have been a successful trade. that would have been over. That looks like over 60 pips. OK. Over 6 the perps on this trade. And again remember this trend lines act as support and resistance so when an upturn line is broken it will cause resistance. And when it don’t trend line is broken it will now act as support. This is extremely important. So here we can see the trend line is acting as support. This is the down trend line. And remember when the downtrend line is broken. It now acts as support prevent prices from going lower once it has been broken.
It acts as support. So before the market broke the trend line the trend line acted as resistance preventing prices from going higher. And as soon as prices break the trend line it now acts as support preventing prices from going lower. So here we have the trend line again acting in support. So we have a trend line break market pulls back to the back side of the trend line and we have what looks here like some tweeze or bottoms right like some tuza bottom here over prices fell and then we get a Morningstar pattern here.
Can you see this Morningstar pattern also tweeze a bottoms right. Morningstar is tweeze bottoms at the trend line. This would be an amazing trade so you would enter the market here and you would have made a lot of money to Forex trading can be very simple and just all about managing risk. So you would put your stops below the low end of the trade here and you could have made a lot of Pip’s.
Now here again we have an example off the trend line actinides resistance and support. Here we have tweeze are tops at the trend line. So this is a sell trade and you could have exited market somewhere here with profits stops above here taking some profit off the trade market brought the trend line you exit this trade and now you’re looking for another trade prices pull back to the back side of the trend line. And here you can look for a buy trade.
You can look for a candlestick pattern here and maybe you get a by trade here. So here’s where the market pulls back to back side of the trend line and gives you a potential by trade and I like to trade using this method I liked and the trade after the market has broken a trend line. I like to wait for a retest of the trend line an answer on the back side of the trend line and look at this so much Pipps right so much money you could have made on this trade and the market does this over and over again. Here is another example.
The trend line in this case is acting as resistance. We have an option line act as support here and here the market brought this trend line rally to the back side of the trend line. And here it is acting as resistance preventing prices from going higher. And this is also a sell trade. He could have sold the market somewhere here and we are here right around here. Tops above this high and yeah you could have made money on this trade.
Now did you learn what are trend lines on how to draw trend lines. Do you just learn the significance of trendlines. Did you learn that trendlines act as levels of support and resistance did you learn how to trade trend line breaks and bounces and did you learn the A B C the price wave movement and how to identify these movements if you’re not sure about all these Pyne’s please watch over these videos again and remember if you liked the course please leave review.
Now in this lecture I’m going to discuss a very simple technique that you can use as a beginner to start trading for X. So let’s go now. This technique involves the use of moving averages so go to indicators click on trend click on moving averages. And we’re going to select 20. select 20. Period. And simple. So for a select simple for periods select 20 and you can choose a random color. Now we’re going to click indicators again go to trends again.
Moving averages again and this time we’re going to change the period to 10. ten period. Still simple. And you’re going to change the colors so let’s say we’re going to use black. Now this technique works with the trend. So you can only use this technique if the market is trending whether it’s in an up or down trend. But we cannot use this technique if the market is going sideways. We’re only going to use this technique if the market is trending. So the first thing you will need to do is draw your trend line. So here we have a down trend line. So you would need to draw your lines.
Now we’re going to look for where the Red Cross is over the black and that is a cell signal now because we’re in a down trend. We’re only looking for cell signals which trade in along the trend. If we were in an odd trend we would be looking for buy signals. But because we’re in a down trend we’re looking for cell signals so here the Red Cross says overtip that this is a cell signal and you could have sold the market here stops above the highs market fell over 70 pips. So this technique is pretty simple. Here again red cross over to black market fell and we can continue looking for cross overs. We’re only looking for sell signals because the market is in a downtrend. So here we have another cell signal. Prices fell OK and is a pretty simple technique.
But remember once the market starts to go sideways we’re not looking to use this technique. So here the market is going sideways up down up down up down. We’re not going to use this technique once the market starts to go sideways. So only in a trend then market. Now let’s look at some more examples of this. We’re still in a downtrend right. We’re still in a down and we can draw a line here. We are still in a down trend. sell signal South signal right. So it’s a pretty simple technique. So as a beginner you can start getting involved in the fork’s market by using this technique.
And as you gain more experience trade in Forex you can start using more advanced techniques. So you can use the stuff that you learn in this course of the evening star the morning stars. Candlestick Patten’s trend line breaks and trend line bounces and you can combine the stuff you learned so far and you can make a trade and technique And this is just an example of a simple training technique that you can use as a beginner to start trading for it so you can look for sales signals. lets go on a larger time frame.
Let’s go on the one hour time frame and as again can say it’s still a major downtrend. still a major downtrend. So we would be looking to sell this market. We would be looking for sell signals. look at this evening star Pazza. Remember that evening our patent market fell right. So we’re looking to sell this more if we have an engulfing beer scandal. Market fell right candlestick patterns and this downtrend line. So look at this. Here we have the Red Cross sent over the black market fell right. You’re again sell signal market fell here again. Sell signal. Market fell because we’re in a downtrend.
Let’s look for an example of an uptrend. The market is in on uptrend and here the black crosses over to Red. This is a buy signal right here again that crosses over her head by signal market rally. So this is a pretty simple technique. You’re not going to get rich using this technique of course not. This is a simple technique a simple beginner’s technique but it is something that you can use to start trade in for x get involve.
For tricks you after start trading you have to get involved. You need to get involved in order to learn and improve as a trader. So this is really something very simple that you can use to start getting involved. And as you can see it’s pretty simple and you can actually make money using this technique. And remember you need to be careful not to use this technique. Once the market starts to go sideways. if the market starts to go sideways this technique will no longer work OK it only works if the market is trending. So here the market is going sideways. The moving averages will cross over over and over again. In a side way market. So this technique is only for a trend in market. And remember this is a beginner’s technique. It is something for beginners to start trading for.
This is something beginners can use to start getting involved in the market. So remember if you like this course and if you think escorts can add value to other students please leave a review. And remember to check out all the courses. I have a course on fundamental analysis. I also have a course on trade in which the smart money and you can get access to all my courses by going to that Zorn for expenses that come and use in coupon code UDMA 101. So that is a special discount coupon code only for you Dammy students. I hope you like this technique. Start practicing using this technique and just gain some experience. Trade in for.
Trading With Indicators
Know you guys know today we be looking at how to use the each move indicator. So go to trends click on indicators go to trends and you will see that it your mood could indicate. Now this is a very good indicator. I used to use this indicator when I was just starting out in four acts. It’s a very good indicator to start trading for Swit. Learn More
Know in this lecture will be discussing the momentum indicator. Now, this is not a very good indicator that you can use as a beginner trading forex. This is also an indicator that I use when I’m trading for it. Learn More
Know we Blokhin that the ADX in the carrot and this is a very good indicator. It’s not a very good indicator that you can use as a beginner trading for it’s going to use the A D x indicator. Learn More
There’s a lot of information about forex trading spread all over the web, but many of them are out of date, and lots of them contain only a fraction of what you need to know to become a successful trader. Let’s fix that. Learn More
BEGINNER’S GUIDE TO FOREX TRADING
Written for individuals who desire to explore the currency markets and develop a secondary source of income that’s reliable as well as consistent. As a beginner’s guide to forex trading, the blog tries to help individuals starting with their forex journey understand the nitty-gritty of forex trading and etch out a career as a Forex trader. Learn More
Forex Trading is like golf…
A lot of people do it – but only a select few can play it with any kind of skill. Or consistency.
And, like golf, it’s a tough “game” at the best of times. Every shot counts – and the landscape can be
very unforgiving. And that’s almost too simplistic an example – golf may be difficult to master, but at
least it’s not a volatile environment. Learn More