It’s no secret that most of the top-performing forex traders are retracement traders. These traders operate directly against the trend towards strategic price levels. This practice is often referred to as discoloration of trends. These traders often look for turning points in the Forex market.
Why are these traders so successful? In most cases, trading against the trend is a self-taught skill that requires a combination of having a special psychological philosophy against the trend, as well as a thorough understanding of market behavior.
Once you have a good understanding of market behavior and understand why trends stop and turn, these opportunities are not difficult to detect or anticipate. In general, turning points occur when there is a huge inexplicable increase in volume in the market or near announcements or at opening and closing markets and at a high level of support and resistance.
Tipping point operations provide exceptional performance in risk rates, as far fewer stops can often be used than conventional trend operations. This is because the turning points are so well defined by the above methods.
Reverse or reverse trading is the only way for a trader to capture up to ninety percent of a trend. Since the means of capturing inflection points can be used as inputs and outputs, it is not uncommon for successful traders to capture large percentages of a movement in the Forex market.
There are many forex trading techniques that are promoted and taught. Most use trend techniques that require 25 to 50 percent of the trend to identify a trend in the first place. An investment of the same size is often necessary to identify the end of the trend.
There are two ways to redeem pivot points. The only method is to use the exactly estimated inflection point as input. This requires some precision, but it can be done using principles based on volume and medium. Changing channels often forces operators to recover most of the movement. The second approach is to wait for some sort of confirmation before entering the rebound or turn. Some procedures enforce this because confirmation takes place after rejection, not on the point of rejection. The use of candles is a good example. You can only enter after rejection and the formation of studs or sails confirms this. Both approaches have their advantages.
However, switching turning points or turning points presents many challenges. Psychologically, it is often intimidating compared to standing on a railroad in front of an oncoming train. It is surprising to see the relief of new forex proprietary trading & stock proprietary trading in this concept as they win with their first trade and overcome this fear.
A paradigm shift is necessary if you haven’t done it before, but once you experience the benefits of low risk, high returns, and success rates, you will quickly become addicted. It is often as if you are very afraid of a wild track and then you want to do it again and again after your first ride.
These types of transactions can fail. One of the biggest fears of Forex traders to trade is the fear of failure. Some operators using some of these approaches have only a 60% success rate but continue to make a lot of money. Indeed, they earn two or three times more from their winners than from their losers. You need to know how to deal with the loss when trading the Forex market.
The concept contradicts the generally accepted “Holy Cow” forex trading and training courses. Phrases like “let the trend be your friend” teach traders to trade directly against the trend. Against trends, techniques are generally not taught as often as with trend techniques. Indeed, trend techniques based on indicators are considered easier and safer to educate new traders.
Become a professional Forex trader
Currency trading is done by thousands of forex traders, but how many of them are successful? The answer is a maximum of 10%. It is not because you register a forex account that you are a professional trader or that you become a professional trader because professionalism comes from the number of qualities. In order to become a professional Forex trader, you must be willing to give all the time and gain experience by working hard and giving successful examples of managed Forex trading. A professional trader should have good methodological knowledge and work on a better software trading platform. Not only is it enough, but a professional Forex trader should be able to control his emotions and be confident. Let’s read more about these qualities of a successful Forex professional.
Winning the first exchanges does not guarantee that you will always win. It is the misconception that traders who win preliminary trading know that they know all the techniques and that their luck is with them. This is because if your luck has favored you 9 times, but if it thwarts you once, the result becomes zero. So the equation is simply presented when 1 error equals or exceeds 9 lucky decisions. To avoid mistakes or big mistakes, give this trading field time first and try to learn the concepts of managed Forex.
Experience doesn’t come from happiness, and it’s not something you can get in a few hours because it takes time and knowledge. We must continue to learn not only profitable trades, but also lost trades. This way they know what to do to make money and which mistakes to avoid. These are the important questions that traders should know the answers to.