Psychology of Forex Trading - Helping Yourself React Better When Trading

Based on everything I've learned from being a part of the Market Traders and what I've seen around the forums with regards to member discussions and reactions to certain areas of trading, I thought it'd be helpful to post this for you all, in hopes to help you curb that emotional stress that may cloud your trading abilities from time to time.

A high percentage of trading is based on HOW you trade. It's based on your emotional control and your thought processes. It's a natural reaction to give in to emotions or stresses from time to time, but when it comes to trading, you have to control that. It's crucial to your trading success.

If you place a trade and it doesn't work out the way you had hoped, natural reaction is to get frustrated or nervous and maybe even immediately try to recoup or recover that bad trade in hopes of making a good one that overcomes the bad one. Best advice is to trade as though this is your first trade, every time. You MUST control your emotions when trading. Only trade based on logic and facts, use the skills and teachings you have received. If you haven't received the teachings yet.
A non-emotionally based trade is less likely to lead you to huge loss after huge loss. Especially when you are taking your education to heart and applying what you have learned to your trades. More often than not, you will have a better grasp and control over where to place your trades, if you are applying what you have learned from a Forex expert(s).

If a trader is having a bad day or feeling upset about anything in particular, this probably isn't the best time to place trades. That's where a lot of people make their trading errors, because they think they can just "block what's bothering them out of their mind" but it is much easier said than done. So try to do yourself a favor and not trade during these emotional times. They happen to the best of us from time to time - after all, such is life.

I truly hope that this post helps you and that you can re-read it as a reminder during the times where you may feel that you are about to trade based on emotion and are having a hard time overcoming that.

HAPPY TRADING TO ALL!
Forex chiet khau rebate

Read the full article

How to choose a reputable Forex Broker

Most investors who trade Forex stocks use a broker. A broker is an individual or a company, who buys and sells stocks according to the investor's wishes. Brokers earn money by collecting commissions or fees for their services. Finding a Forex broker is a tough process to navigate through and for most people, the necessity of outside assistance is needed. Trying to trade in the Forex market without a broker could lead to devastating results for the normal trader. Similarly, hiring the wrong Forex broker can lead to the same result as trying to muddle through it alone. It is highly important that you be diligent in researching any prospective brokerage firms to handle your financial portfolio.

Another good morsel to test the reliability of any potential Forex broker is the amount of information, literature and lessons that they are willing to give to you. Most Forex brokers are of a high reputation and a solid background however, there are many out there that don't have a good history or no history and it is wise to steer clear of these brokers. You are trying to find a trusted financial advisor and settling for second best, just won't do. The more a potential Forex broker is willing to do for you in the area of helping you understand the Forex trading system, the better quality trader they will be for you.

A good Forex broker will supply you with clients that were successful and can attest to the specific broker's qualifications and success history. Put yourself in that position, would you testify to someone's strengths if they did a poor job for you? Client history testimony should be present in any prospective Forex broker and plentiful to indicate a solid background with trading. You can tentatively assess a lot from a Forex broker with a list of clients that will speak up for the brokerage firm or individual broker. It should be noted that all word of mouth testimony should be taken with a grain of salt and dissected to collect the pertinent information. Testimony should be used in your research to find a Forex broker but should not be the deciding factor.

Read more at: http://forextradingtutorialhq.com/how-to-choose-a-reputable-forex-broker/

Read the full article

Forex Global Market Trading Hours

Forex is a highly dynamic market with lots of price oscillations in a single minute, this characteristic of the Forex market allows traders to enter the market many times a day and pull some profit from these number of trades. If you want to find an appreciable number of profitable trades you need to enter the forex market at the best period of time, i.e., when the activity, the volume of transactions, is the highest.

The main timing characteristics of the Forex market are the following:

* Forex is 24 hour market – It starts from Sunday 5pm EST through Friday 4pm EST. Rollover at 5pm EST

* Forex Trading begins in New Zealand, followed by Australia, Asia, the Middle East, Europe, and America

* The US & UK account for more than 50% of the market transactions

* Forex Major markets: London, New York, Tokyo

* Nearly two-thirds of NY activity occurs in the morning hours while European markets are open

* Forex Trading activity is heaviest when major markets overlap.

From this timing facts, it is quite visible that at any given time, somebody somewhere in the world is buying and selling currencies. As one market closes, another market opens. Business hours overlap, and the exchange continues as day becomes night and night becomes day.

Forex market volume of transactions remains high during the whole day, but peaks highest when the Asian market(including Australia & New Zealand), the European market and the U.S. market are open simultaneously. And these are the trading hours you must target in order to find the highest possible amount of profitable trades.

This is the breakdown of OPEN Market Times for your reference:

* New York Market trade times: 8am-4pm EST
* London Market trade times: 2am-12Noon EST
* Great Britain Market trade times: 3am-11am EST
* Tokyo Market trade times: 8pm-4am EST
* Australia Market trade times: 7pm-3am EST

Forex Global Market Trading Hours

	Sydney AST	Tokyo JST	London GMT	New York EST	Los Angeles PST
Australian Open	9:00	23:00 prev.day	22:00	17:00	14:00
Japan economic releases	10:50	0:50	23:50	18:50	15:50
Asian Open	11:00	1:00	0:00	19:00	16:00
Asian slowing	14:00	4:00	3:00	22:00	19:00
European Open	18:00	8:00	7:00	2:00	23:00 prev.day
Eurozone economic releases	18:45 ...	8:45 ...	7:45 ...	2:45 ...	23:45
London Open	19:00	9:00	8:00	3:00	0:00
UK economic releases	20:30	10:30	9:30	4:30	1:30
New York Open	0:00	14:00	13:00	8:00	5:00
USA economic releases	0:30	14:30	13:30	8:30	5:30
London Close	4:00	18:00	15:00	12:00	7:00
US Closing (IMM)	7:00	21:00	20:00	15:00	13:00

If you pay attention to the last schedule you will notice that there are two times when two of the major markets overlap during trading hours; between 2am and 4am EST (Asian/European) and between 8am to 12pm EST(European/N. American).

So here you have it, if you want to find a great number of profitable trades, focus on the hours when the markets tend to make their biggest moves, i.e., during these big markets overlaps, which therefore, are usually the Best Times to Trade.

Source : http://www.forexeconomiccalendar.com

Read the full article