FOREX REVIEWS

In the first part of this post I gave a little introduction into the turtle's trading system and some insights into it's money management technique. From now on, I will start to talk about it's entry and exit strategies as well as it's pyramiding characteristics. If you read the pdf (there is a link to it in the last post) that details the whole turtle trading system, you will notice that the system follows breakout strategies with a pyramiding approach in order to exploit the trend. This strategy ensures that the system gets a very high profit when a large trend is caught and also tries to minimize the risk associated with ranging markets. This is specially profitable in long time frames. You should have also noticed that the Turtle technique has two different systems, No.1 and No.2. We are going to trade the system using the No.2 trading system with an 2N stoploss and an exit strategy based on the 20 day breakout signal. This of course, with the corresponding pyramidy...

During the last 50 years of trading, no trading system has ever brought so much commotion and excitement than the turtle trading system developed by Russell Sands (it is useful if you read this document which explains the system first before venturing into it's analysis for mt4). This legendary trading method turned ordinary people into extraordinarily profitable traders, showing everyone that the average Joe was as capable of being successful in trading as any finance major. The turtles success, as they were called for following up this system, was primarily based on their ability to follow some simple rules that were geared towards bringing in profits if followed to the letter. The system focuses on catching long term trends and gets its profits from 2 or 3 positions each year. This system works but is very difficult to follow for the regular forex retail trader, mainly because it involves long periods of sustained draw downs in order to achieve periods of positive results. The ...

I have always hated indicators in forex trading, this is not a secret for people that have been reading my blog for a while. For me, indicators are quiet deceiving in that they are just a way of showing you something your already looking at : price action. No matter how elaborate an indicator is, it is just a conjunction of mathematical operations done over information already shown to you in a candlestick chart. Furthermore, indicators, more often than not, cause paralysis by analysis amongst new traders. Nonetheless, after looking at a bunch of different indicators, I would have to say that the best of them are leading indicators (few of these indicators have good free expert advisors based on them, mainly because of exit strategies). These differ from lagging indicators in that they show their signals before market moves happen rather than after (as a moving average would). Leading indicators balance this by having a problem with false signals. The truth is that most of the time the...

Recently it has come to my attention that many people are interested in manual trading systems for either trading or increasing their knowledge about the forex market significantly. On a recent post, I made a proposal to create a forex trading group in which we could research more about manual trading systems and further enrich our experience within the forex market by acting together. My idea with this post is to provide further insight in what the group would be about and what I would expect from people wanting to join. The main idea is to meet once every trading day at about 9-10 p.m EST time (via skype)(if you can't make it everyday it is not a problem but most days is a must). We would evaluate the market at that time as well as discuss the ways in which we would enter or exit market positions at the current time or at other times during the day. The idea is to evaluate different manual trading systems and avoid common trading mistakes that are inherent to trading by yourself....

Amongst all the manual forex trading systems I have studied during the past few years, one of the systems that has proven to be effective is the Murrey Math forex trading system. Murrey math uses a combination of important price levels in order to guide the trader into taken one or another position. The system takes the previous 64 bars high and low and divides it by eight, showing you these important levels as 8/8, 7/8, 6/8, etc. It turns out to be that these levels accurately represent important support and resistance price lines which, when used accurately, can give the trader an amazing accuracy in the fx market. I have developed some simple guidelines for using the Murrey trading system (different from the ones you must commonly find) because I have found them to be most effective, of course, you are welcome to change them so that they fit your trading style. Anyway, in order to use this trading system, you should get the Murrey Math VG indicator available for metatrader 4 (this...

This past few months have been eye openers for me. I have learned a lot about automated trading systems and the way they work (and don't work) in the forex trading world. Throughout the last year I have reviewed many expert advisors, both commercial and free and I have concluded that commercial experts are in no way better than the good quality free expert advisors out there. Sure, free expert advisors have several disadvantages. They are most of the time not developed by professionals, they have no implicit support, they have no manuals, no one to shout at when the money is lost, etc. But maybe the biggest disadvantage of free expert advisors is that their overall quality is abysmal. Yes, the worst thing about free expert advisors is that most of them are not worth anything. Most of them are doomed to lose by design and many of them have inherent logical flaws which prevent them from working. Many of them are designed to work in very short time frames, with unreal take profit valu...

During the past few months, I have been closely watching the experiences of several people new to the forex market in search for some answers about why they are profitable and why they are not. I am a true believer in that anyone is a potentially profitable forex trader, but I also believe that trading the forex market profitably is outstandingly difficult. One of the people I have spoken with who started less than 6 months ago trading the forex market told me that he read about 10 books about fx trading before deciding to enter the market with live money. He also paper traded for two months before entering the market and he was actually making money everyday on paper (haven't we seen this before ?). Now, when he entered the market it was a different story. He put two thousand dollars inside a forex account and started to trade, then he started to make mistakes, started to do things he knew he should not and after a fight with his wife (about money), he ended up losing all his capi...