Tuesday, 7 May 2019

How to trade daily, win big profits

The majority of Forex traders consider trading as a hobby. They don't sit in front of the monitor all day or actively monitor the market. However, they are still silent majority - most guides are written by professional traders which means they are full-time traders. They fail to discuss the specific problems facing part-time traders.

In this article, you will learn:

What is the difference between part-time Forex trading and professional trading;
What is the best trading strategy for part-time Forex traders.
Part Time Trading vs. Full time trading
Forex moves very fast, but the smaller timeframe is the most crowded and volatile among all timeframes. Trading on a smaller timeframe is called scalping and this requires your constant attention. You cannot switch it to an expert advisor because most advisors are not reliable for this type.

Even a small conservative timeframe strategy like Lazy River scalping is very profitable. On average you have 5 trading opportunities every day, every opportunity has the potential to generate 5-8% profit. Of course not everything is profitable, but you can expect a daily profit of 20-30% once you become good at trading.

Part-time traders cannot trade at smaller timeframes because they cannot spend a day in front of the monitor. This means that they must use a larger timeframe where price movements are more evenly distributed and the margin for risk is higher.

The best big timeframe strategy is Price Action. This strategy is built on pattern recognition and works best on 4H or even 1D timeframes. Basically you can spend less than one hour actively trading every day, especially if you set up market alerts. But the profit is much lower - even in perfect condition, Price Action traders only make a weekly profit of around 10%.

The Best Pattern for Part Time Trading
Price Action is not an easy strategy to master - until now there are more than 100 pattern descriptions, each pattern has a different level of reliability. It takes months, even years, to understand how the pattern works. Fortunately, you don't have to learn everything. Actually you only need 4:

Pin Bar;
Inside Bar;
Outside Bar;
Double High / Double Low.
The four are the most common and most researched patterns. Once you understand these four patterns and how to use them for trading, you can start trading to make a profit. Another pattern, though useful, occurs at most once a month - while the four main patterns can be seen several times a day.

How to Start Part Time Forex Trading
Trading Price Action is not as heavy as trading Full Time / Full-Time - there is no "no slippage" rule and your broker does not need to process orders as fast as lightning. However, when choosing a broker, consider:

Leverage. The best leverage option for Price Action is 10: 1. 50: 1 is excessive, but traders who are good can make it work. Almost all brokers provide this option, but it's better to read the rules carefully. For example, you must learn the margin call broker procedure and understand how it works so you don't miss it.

Read to : Some of the differences between Binary Options and Forex that can trap beginner traders

Trading system. You need delayed orders for Price Action, so make sure your broker supports this. Order management features like TrailingStop will be very useful and help you minimize losses. The most popular trading system is MetaTrader 4, which supports all necessary features.
One good broker for part-time traders is JustForex. Their leverage options are quite aggressive, you are not forced to use 1: 3000 or other strange options - just hold on to 10: 1, which is the most suitable leverage. Their team is very concerned with customers and support responds quickly. Most importantly, they provide many trading account options - starting from the Cent account without the initial capital limit to the highly efficient ECN Zero account.

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