Basic Trading 4 (Market Prices)
I have written another article soon after the previous one. I thought that many people have questions about market trends. It is an important topic. Let’s talk about that. See whether you can answer these and if you can’t, go and check out the previous articles.
- Can you explain Forex?
- What do we do with it?
- Can you explain the way of earning with Buy and Sell orders?
- What is the importance to a country by Forex?
- Can you start a new trading?
- Can you explain Pips, Leverage, Lots and Margins?
Again, go and read again if you can’t understand any of these. I am writing these with great effort that some of you will make use of it. As I heard around 850 friend of us have opened accounts in this week. So I am really happy.
The method of Trading
Please follow these steps as they are. If you don’t, you’ll have to have the loss. There has to be an order if some is to be successful. It is same here. People cry that they lost when they lose the order of things. You may have heard that. But you won’t, as long as you follow us. I am telling you a special method and you can’t be lost if you do correctly.
I have told you the way of Trading. As you are using a Demo account, it doesn’t matter much. But in real accounts, you have to follow every rule to the last step. You have to keep the arrangement and you will be able to have profits more easily.
- Don’t trade every currency pair. We need details to trade with a particular currency pair. They help us to know whether this currency pair will rise or fall. I told you that incidences in the countries affect the economy of a country. If you choose the main currencies, you’ll get more details regarding the changes occur in particular countries. UR/USD, GBP/USD is some good examples for such. Therefore always try to use these as the currencies that you are dealing. These currencies belong to powerful countries and hence the details we receive are very valuable and enough to arrive at a good idea. This type of trading is called Ne Trading. I’ll tell you more in a later article.
- The Amount of Open Trading- This is a rule that you must adhere to your best. Some people invest 100$ and then use that for 5 or 10 Trades. If you want to do such amount, you need at least 1000$ (In lowest lot size-0.01). If you use 100$ you have to do one after one. In other words, you have to open a trade and close it after some time and open a new one after that. If you open several trades at once, you’ll lose your way. If you do so, your investment will lack the benefits. Reduce the risks and continue you trading. You can earn around 1-3$ per day. If you can open several accounts a once, you can earn a lot. But don’t try to do that with 100$ and imagine to be a millionaire within a day, you’ll be lost sooner.
- Appearance of MT4 software- Everybody should maintain charts in the MT4 software for the relevant currencies. But don’t open them for all currencies. Leave all other charts except the ones I mentioned earlier. Once you newly install the software, 4Hr charts will be shown. It is too big to see the way market behave in the history. Change it to either 5-5mins or 15-15mins. Click M5 that is seen in the top of the view.
Will market prices be increased or decreased?
It’s the time to understand the market changes. This is only for a basic understanding. But we have to discuss this further in the future. You may have so many questions regarding this matter. Some people use Candle Stick Pattern & Technical Analysis type of methods to detect these. You may have nightmares if you see their MT4s. But nobody is capable of accurately predicting the market changes in whole world. But you can make accurate guesses. Use the simple methods I have given to you. I will tell you more in coming articles.
Also this is for those who lost after methods such as technical analysis. They are created not only to do the trading. But it is for us to have some clue about the trends. Those teachers who don’t know this will show you these things and you’ll be lost in the end. They don’t have enough economic knowledge. But they still teach even though they don’t know for themselves. I’ll guarantee you that either these people are lost or they are keeping money without any use. I will concentrate more on economical changes. The most important thing is to teach the trading depending on the market changes. But it is not only about graphs. If you disconnect your internet connection while you are keeping MT4 on, it will stop. But Forex market will never stop. Indicator, RSI, MCDA, technical analysis, candle stick pattern work on Program Scripts written. They can’t think. It’s your brain which can analyze the market in the best way.
Everybody has seen the mountains. As they ascend and descend, the Forex market will move up and down. This is a screenshot I have taken from the Daily time. See the way I described is there or not?
You have to know that there is a slope after every peak. It will happen most of the time and you can manage your trading with these data in your mind. Wait if the slope is progressing until it will move very low and stop. Then start a new trading. You can use your Demo account to see this. But you should not be too greedy here. You have to take the profit once you see some 10-15 Pips have come. Use M15 chart for this. See the screenshot I have shown below.
This is a 30min chart. It’s the same way market has behaved. Experience this a little more and get familiar. There are lots of things to tell. But I’ll tell them only to those who are members. There are some conditions to understand.
- Don’t open trading every time you see.
- Act only in clear slopes or inclines.
- Don’t keep large benefits.
- Stay for at least 30 Pips in the market change.
Test these and ask if you have any queries. This is only one simple way. There are many practical ways in the next few articles. Until then you can try this for more.