Forex ka busibess aur stock market do alag alag business hain magr in main thori si mumaslat zror hai is liye forex ko main zyada behtr hai q k forex k business main ham suport aur resisitance per focus kr k kafi achi earning kr skty hsin
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Forex ka busibess aur stock market do alag alag business hain magr in main thori si mumaslat zror hai is liye forex ko main zyada behtr hai q k forex k business main ham suport aur resisitance per focus kr k kafi achi earning kr skty hsin
Foreign exchange is much higher than the securities of the stock exchange. The foreign exchange market refers to the economy. However, the organization can be used in a market economy. Foreign exchange is open five days a week, stock nuts can only start time. Forex is the easiest way to earn large sums of money, but it is limited.
I have been working online for almost 5 years, so I started working with the stock market, but I lost my money. So i will join the Forex Online Trading now i am happy because i am this market we can invest limited and unlimited, his alternate is the same. I made a good monthly money
Agar forex aur stock market ki bat ki jaye to me to forex ko hi achha kahuga kayo ki ye ak world based business he aur ye 24x5 days tak non stop chalata he jisase part time trader ke liye bahut hi achha rahata he
These are two effort to which you are able to work well wit the right idea and the right effort of choice we have been seen working in a given effort that we are able to produce, when we trade forex we have to keep on understanding the work of every trader we have the work of a market process an choice we have to work and make it better for us t depend of the market prospect and trading provision
forex ka business aur stock market enn dono me rules dame he hote hai,esme plan banakar he trader ko kaam karna hota hai,stock market me movement particular country ki wajah se hota hai lekin forex me world me kuch ho to esme effect padta hai..
dono alag hai par milte julte hai aur mai yaha par kaam karna pasand karta hu aur ye business hai bhi bohot hi acha yaha par jo trader mehnat karta hai wo trader yaha par bohot hi achi earning kar pata haiQuote:
Originally Posted by fxearner
Forex trading ka business alag tarah se kiya jaata hai aur stock markets me jo bhi trading hoti hai wo alag hi hoti hai. Ham logon ko apni trades ko kis market me karna hai is baat ko samajhna hoga jiske baad me apni trades ko ham log bahut hi aasani ke saath me ka r sakte hain.Quote:
Originally Posted by fxearner
Into the money market, but do not know when it is easy to understand. Currency trading is more efficient in the foreign exchange market. This is due to the economy - the global foreign exchange site. Given the company's global economy and money market. Forex is a fanatical opening for 5 hours only Forex market is open 7 days a week. A lot of money to play the stock and get the best option, currency trading is limited.
i say that forex market and easy to control and we make our trading and investment in forex market and we make our successful trading and we earn good profit with our forex trading business and i think stock market is not easy for earning and we lose our investment in stock market so i suggest that we work in forex market and we make good earning with forex
g jnab g mujhey forex business mey kafi time hogya hai likan meny aj tak stock trading keh barey me nahi read kiya jnan g mey just trading forex trading keh barey me information rakhta ho jnanb g ye useful hai mere liye kafi
forex and stock market dono ashe he lekin forex ek fast tarike ke sath hmme profitdilata he lekin stock ke sath aap slow motion me trade krte ho to hmme profit milta he me hmesha hi forex me trade like krta hun bhai isme koi shk nhi
Dear stock market aur forex me bahut hi jayda difirence hai stock market me hame kam karne ke liye ek big capital ki jarurat hoti hai vahi forex market ko low capital se bhi start kar sakte hai aur good profit earn kar sakte hai esliye forex trading best hai.
Trends are usually noted by “higher highs” and “higher lows” in an uptrend and “lower highs” and “lower lows” in a downtrend.
When trading a trend-based strategy, traders usually pick the major currencies as well as any other currency utilizing the dollar because these pairs tend to trend and be more liquid than other pairs.
Liquidity is important in trend-based strategies. The more liquid a currency pair, the more movement (a. k. a. volatility) we can expect.
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Check out Huck’s EUR/USD win from following the trend.
The more movement a currency exhibits, the more opportunities there are for price to move strongly in one direction as opposed to bouncing around within small ranges.
Other than eyeballing price action, you can also make use of technical tools you have learned in previous sections to determine whether a currency pair is trending or not.
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ADX in a Trending Market
A way to determine if the market is trending is through the use of the Average Directional Index indicator or ADX for short.
Developed by J. Welles Wilder, this indicator uses values ranging from 0-100 to determine if price is moving strongly in one direction, i.e. trending, or simply ranging.
Values more than 25 usually indicate that price is trending or is already in a strong trend.
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The higher the number is, the stronger the trend.
However, the ADX is a lagging indicator which means that it doesn’t necessarily predict the future. It also is a non-directional indicator, which means it will report a positive figure whether price is trending up or down.
Take a look at this example. Price is clearly trending downwards even though ADX is greater than 25
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Moving Averages in a Trending Market
If you’re not a fan of the ADX, you can also make use of simple moving averages. Check this out!
Place a 7 period, a 20 period, and a 65 period Simple Moving Average on your chart. Then, wait until the three SMA’s compress together and begin to fan out.
If the 7 period SMA fans out on top of the 20 period SMA, and the 20 SMA on top of the 65 SMA, then price is trending up.
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One thing you should know about trends is that they are actually quite rare. Contrary to what you might think, prices really range 70-80 percent of the time. In other words, it is the norm for price to range.
So, if prices deviate from the “norm” then they must be in a trend right? What is one of the best technical tools we have mentioned in the previous ****es that measure deviation?
If you said a ruler, we give you mad props for effort.
If you said Bollinger bands, we’ll give you cyber milk and cookies! Here, take some.
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The sell zone is the area between the two bottom bands of the standard deviation 1 (SD 1) and standard deviation 2 (SD 2) bands. Bear in mind that price has to close within the bands in order to be considered in the sell zone.
The buy zone is the area between the two top bands of the SD 1 and SD 2 bands. Like the sell zone, price has to close within the two bands in order to be considered in the buy zone.
The area in between the standard deviation 1 bands is an area in which the market struggles to find direction. Price will close within this area if price is really in “No-Man’s Land”. Price direction is pretty much up for grabs.
The Bollinger bands make it easier to confirm a trend visually.
Downtrends can be confirmed when price is in the sell zone.
Uptrends can be confirmed when price is in the buy zone.
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What is a Range-Bound Market?
A range-bound market is one in which price bounces in between a specific high price and low price. The high price acts as a major resistance level in which price can’t seem to break through.
Likewise, the low price acts as major support level in which price can’t seem to break as well. Market movement could be classified as horizontal or sideways.
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Bollinger Bands in a Ranging Market
In essence, Bollinger bands contract when there is less volatility in the market and expand when there is more volatility. Because of that, Bollinger bands provide a good tool for breakout strategies.
When the bands are thin and contracted, volatility is low and there should be little movement of price in one direction. However, when bands start to expand, volatility is increasing and more movement of price in one direction is likely.
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Generally, range trading environments will contain somewhat narrow bands compared to wide bands and form horizontally. In this case, we can see that the Bollinger bands are contracted, as price is just moving within a tight range.
The basic idea of a range-bound strategy is that a currency pair has a high and low price that it normally trades between.
By buying near the low price, the forex trader is hoping to take profit around the high price. By selling near the high price, the trader is hoping to take profit around the low price. Popular tools to use are channels such as the one shown above and Bollinger bands.
Using oscillators, like Stochastic or RSI, will help increase the odds of you finding a turning point in a range as they can identify potentially oversold and overbought conditions. Here’s an example using GBP/USD.
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Bonus tip: The best pairs for trading range-bound strategies are currency crosses. By crosses, we mean those pairs that do not include the USD as one of the currencies in the pair.
One of the most well-known pair for trading ranges is the EUR/CHF. The similar growth rates shared by the European Union and Switzerland pretty much keep the exchange rate of the EUR/CHF stable.
Conclusion
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Conclusion
Whether you’re trading a pair that’s in a trending or ranging environment, you should take comfort in knowing that you can profit whatever the case may be.
Find out how you can pick tops and bottoms in both trending and ranging market environments.
By knowing what a trending environment and a ranging environment are and what they look like, you’ll be able to employ a specific strategy for each.
As the old wise man in Central Park says, “Only a fool dips his cookies in habanero salsa!”
You’ve been hit by the “Smooth Retracement!”
Nobody likes to be hit the “Smooth Retracement” but, sadly, it does happen.
Why?
In the above example, the forex trader failed to recognize the difference between a retracement and a reversal. Instead of being patient and riding the overall downtrend, the trader believed that a reversal was in motion and set a long entry. Whoops, there goes his money!
Check out how Happy Pip got fooled by the “Smooth Retracement” in one of her AUD/USD trades.
In this lesson, you will learn the characteristics of retracements and reversals, how to recognize them, and how to protect yourself from false signals.
What Should You Do?
When faced with a possible retracement or reversal, you have three options:
If in a position, you could hold onto your position. This could lead to losses if the retracement turns out to be a longer term reversal.
You could close your position and re-enter if the price starts moving with the overall trend again. Of course there could be a missed trade opportunity if price sharply moves on one-direction. Money is also wasted on spreads if you decide to re-enter.
You could close permanently. This could result in a loss (if price went against you) or a huge profit (if you closed at a top or bottom) depending on the structure of your trade and what happens after.
Because reversals can happen at any time, choosing the best option isn’t always easy. This is why using trailing stop loss points can be a great risk management technique when trading with the trend. You can employ it to protect your profits and make sure that you will always walk away with some pips in the event that a long-term reversal happens.
How to Identify Reversals
Properly distinguishing between retracements and reversals can reduce the number of losing trades and even set you up with some winning trades.
Classifying a price movement as a retracement or a reversal is very important. It’s up there with paying taxes *cough*.
There are several key differences in distinguishing a temporary price change retracement from a long-term trend reversal. Here they are:
Identifying Retracements
A popular way to identify retracements is to use Fibonacci levels.
For the most part, price retracements hang around the 38.2%, 50.0% and 61.8% Fibonacci retracement levels before continuing the overall trend.
If price goes beyond these levels, it may signal that a reversal is happening. Notice how we didn’t say will. As you may have figured out by now, technical analysis isn’t an exact science, which means nothing certain… especially in forex markets.
In this case, price took a breather and rested at the 61.8% Fibonacci retracement level before resuming the uptrend. After a while, it pulled back again and settled at the 50% retracement level before heading higher.
Another way to see if price is staging a reversal is to use pivot points.
In an uptrend, traders will look at the lower support points (S1, S2, S3) and wait for it to break. In a downtrend, forex traders will look at the higher resistance points (R1, R2, R3) and wait for it to break.
If broken, a reversal could be in the making! For more information or another refresher, check out the Pivot Points Lesson!
As we said before, reversals can happen at any time. Retracements can turn into reversals without warning.
This makes using trailing stops in trending markets very important. With trailing stop loss points, you can effectively prevent yourself from exiting a position too early during a retracement and exit a reversal in a pinch.
Conclusion
You don’t have to be shot down by the “Smooth Retracement”. You don’t have to lose all those pips. And you most certainly don’t need to wear pink arm floaties (although if pink’s your favorite color, it’s okay – we don’t judge).
Just know how to distinguish retracements from reversals. This is part of growing up as a trader. Having the ability to do so will effectively reduce your losses and prevent winners from turning into losers.
How to Trade Breakouts
What are breakouts and how can I take advantage of them?
Breakouts!
Unlike the breakouts you might have had as a teenager, a breakout in the trading world is a little different!
A breakout occurs when the price “breaks out” (get it?) of some kind of consolidation or trading range.
A breakout can also occur when a specific price level is breached such as support and resistance levels, pivot points, Fibonacci levels, etc.
With breakout trades, the goal is to enter the market right when the price makes a breakout and then continue to ride the trade until volatility dies down.
i say that we join our forex market and we do not use bad habits in market and we understand our forex market and we do not use mistakes and we follow our market trend then we make our success in forex market and it is must for us we understand our forex business and we learn our trading market we make good earning with forex
You’ll notice that unlike trading stocks or futures, there is no way for you to see the volume of trades made in the forex market.
With stock or future trades, volume is essential for making good breakout trades so not having this data available in the forex leaves us at a disadvantage.
Because of this disadvantage, we have to rely not only on good risk management, but also on certain criteria in order to position ourselves for a good potential breakout.
If there is large price movement within a short amount of time then volatility would be considered high.
On the other hand, if there is relatively little movement in a short period of time then volatility would be considered low.
While it’s tempting to get in the market when it is moving faster than a speeding bullet, you will often find yourself more stressed and anxious; making bad decisions as your money goes in and then goes right back out.
This high volatility is what attracts a lot of forex traders, but it’s this same volatility that kills a lot of them as well.
The goal here is to use volatility to your advantage.:woo:
Rather than following the herd and trying to jump in when the market is super volatile, it would be better to look for currency pairs with volatility that is very low.
This way, you can position yourself and be ready for when a breakout occurs and volatility skyrockets!
How to Trade Fakeouts
In order to fade breakouts, you need to know where potential fakeouts can occur.
Potential fakeouts are usually found at support and resistance levels created through trend lines, chart patterns, or previous daily highs or lows.
Trend lines
In fading breakouts, always remember that there should be SPACE between the trend line and price.
If there is a gap between the trend line and price, it means price is heading more in the direction of the trend and away from the trend line. Like in the example below, having space between the trend line and price allows price to retrace back towards the trend line, perhaps even breaking it, and provide fading opportunities.
The SPEED of price movement is also very important.
If price is inching like a caterpillar towards the trend line, a false breakout may be likely. However, a fast price movement towards the trend line could prove to be a successful breakout. With a high price movement speed, momentum can carry price past the trend line and beyond. In this situation, it is better to step back from fading the breakout.
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How do we fade trend line breaks?
It’s very simple actually. Just enter when price pops back inside.
This will allow you to take the safe route and avoid jumping the gun. You don’t want sell above or below a trend line only to find out later that the breakout was real!
Using the first chart example, let’s point out possible entry points by zooming in a little.
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hart Patterns
Chart patterns are physical groupings of price you can actually see with your own eyes. They are an important part of technical analysis and also help you in your decision-making process.
Two common patterns where false breakouts tend to occur are:
Head and Shoulders
Double Top/Bottom
The head and shoulders chart pattern is actually one of the hardest patterns for new traders to spot. However, with time and experience, this pattern can become an instrumental part of your trading arsenal.
The head and shoulders pattern is considered a reversal. If formed at the end of an uptrend, it could signal a bearish reversal. Conversely, if it is formed the end of a downtrend, it could signal a bullish reversal. Head and shoulders are known for generating false breakouts and creating perfect opportunities for fading breakouts.
In a head and shoulders pattern, you can assume that the first break tends to be false.
You can fade the breakout with a limit order back in the neckline and just put your stop above the high of the fake out candle.
You could place your target a little below the high of the second shoulder or a little above the low of the second shoulder of the inverse pattern.
The next pattern is the double top or the double bottom.
Traders just love these patterns! Why you ask? Well it is because they’re the easiest to spot!
When price breaks below the neckline, it signals a possible trend reversal. Because of this, plenty of traders place their entry orders very near the neckline in case of a reversal.
Similar to the head and shoulders pattern, you can place your order once price goes back in to catch the bounce. You can set your stops just beyond the fake out candle.
What kind of market should I fade breakouts?
The best results tend to occur in a range-bound market. However, you cannot ignore market sentiment, major news events, common sense, and other types of market analysis.
Financial markets spend a lot time bouncing back and forth between a range of prices and do not deviate much from these highs and lows.
Ranges are bound by a support level and a resistance level, and buyers and sellers continually push prices up and down within those levels. Fading the breakouts in these range-bound environments can prove to be very profitable. However, at some point, one side is eventually going to take over and a new trending stage will form.
Trading Breakouts
With breakout trades, the goal is to enter the market right when the price makes a breakout and then continue to ride the trade until volatility dies down.
Breakouts are significant because they indicate a change in the supply and demand of the currency pair you are trading.
You’ll notice that unlike trading stocks or futures, there is no way for you to see the volume of trades made in the forex. Because of this, we need to rely on volatility.
Volatility measures the overall price fluctuations over a certain time and this information can be used to detect potential breakouts.
There are a few indicators that can help you gauge a pair’s current volatility. Using these indicators can help you tremendously when looking for breakout opportunities.
Moving Averages
Bollinger Bands
Average True Range (ATR)
There are two types of breakouts:
Continuation
Reversal
To spot breakouts, you can look at:
Chart Patterns
Trend lines
Channels
Triangles
You can measure the strength of a breakout using the following:
Moving Average Convergence/Divergence (MACD)
RSI
Finally, breakouts usually work best and FOR REAL with some kind of economic event or news catalyst. Always be sure to check the forex calendar and news before figuring out whether or not a breakout trade is the right play for the situation.
Trading Fakeouts
Institutional traders like to fade breakouts. So we must like to fade breakouts also.
Are you going to follow the crowd, or are you going to follow the money?
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Think, act, eat, sleep, and watch the same movies as these guys do. If we can trade in the same way the institutional players do, success is just a glimpse away.
Fading breakouts simply means trading in the opposite direction as the breakout. You would fade a breakout if you believe that a breakout from a support or resistance level is false and unable to keep moving in the same direction.
In cases in which the support or resistance level broken is significant, fading breakouts may prove to be smarter than trading the breakout.
Potential fake outs are usually found at support and resistance levels created through trend lines, chart patterns, or previous daily highs or lows.
The best results tend to occur in a range-bound market. However, you cannot ignore market sentiment, common sense, and other types of market analysis.
Financial markets spend a lot time bouncing back and forth between a range of prices and do not deviate much from these highs and lows.
Finally, the odds of a fake out are higher when there is no major economic event or news catalyst to shift forex traders’ sentiment in the direction of the break.
What is Fundamental Analysis?
Along your travels, you’ve undoubtedly come across Gulliver, Frodo, and the topic of fundamental analysis.
Wait a minute…
We’ve already given you a teaser about fundamental analysis during Kindergarten! Now let’s get to the nitty-gritty!
What is it exactly and will I need to use it? Well, fundamental analysis is the study of fundamentals! That was easy, wasn’t it? Ha! Gotcha!
There’s really more to it than that. Soooo much more.
Whenever you hear people mention fundamentals, they’re really talking about the economic fundamentals of a currency’s host country or economy.
Economic fundamentals cover a vast collection of information – whether in the form of economic, political or environmental reports, data, announcements or events.
Even a credit rating down****e qualifies as fundamental data and you should see how Pipcrawler turned this news into a winning short EUR/USD trade.
Fundamental analysis is the use and study of these factors to forecast future price movements of currencies.
It is the study of what’s going on in the world and around us, economically and financially speaking, and it tends to focus on how macroeconomic elements (such as the growth of the economy, inflation, unemployment) affect whatever we’re trading.
Fundamental Data and Its Many Forms
In particular, fundamental analysis provides insight into how price action “should” or may react to a certain economic event.
Fundamental data takes shape in many different forms.
It can appear as a report released by the Fed on U.S. existing home sales. It can also exist in the possibility that the European Central Bank will change its monetary policy.
The release of this data to the public often changes the economic landscape (or better yet, the economic mindset), creating a reaction from investors and speculators.
There are even instances when no specific report has been released, but the anticipation of such a report happening is another example of fundamentals.
Speculations of interest rate hikes can be “priced in” hours or even days before the actual interest rate statement.
In fact, currency pairs have been known to sometimes move 100 pips just moments before major economic news, making for a profitable time to trade for the brave.
That’s why many forex traders are often on their toes prior to certain economic releases and you should be too!
Generally, economic indicators make up a large portion of data used in fundamental analysis. Like a fire alarm sounding when it detects smoke or feels heat, economic indicators provide some insight into how well a country’s economy is doing.
While it’s important to know the numerical value of an indicator, equally as important is the market’s anticipation and prediction of that value.
Understanding the resulting impact of the actual figure in relation to the forecasted figure is the most important part. These factors all need consideration when deciding to trade.
Phew!
Don’t worry. It’s simpler than it sounds and you won’t need to know rocket science to figure it all out.
I suggest you visit Pip Diddy’s daily economic roundup every day so that you can stay in the loop with the upcoming economic releases.
Fundamental analysis is a valuable tool in estimating the future conditions of an economy, but not so much for predicting currency price direction.
This type of analysis has a lot of gray areas because fundamental information in the form of reports releases or monetary policy change announcements is vaguer than actual technical indicators.
Analysis of economic releases and reports of fundamental data usually go something like this:
“An interest rate increase of that percentage MAY cause the euro to go up.”
“The U.S. dollar SHOULD go down with an indicator value in that range.”
“Consumer confidence dipped 2% since the last report.”
I basically like to believe that I have little experience on both forex and stock trading but I think forex trading is more better than stock market and we should know that no gambling can be happened in forex trading but in stock market gambler are always active.
You’re actually very right.
There’s no way of knowing 100% where a currency pair will go because of some new fundamental data.
That’s not saying that fundamental analysis should be dismissed.
Not at all.
Because of the sheer volume of fundamental data available, most people simply have a hard time putting it all together.
They understand a specific report, but can’t factor it into the broader economic picture. This simply takes time and a deeper understanding of the data.
Also, since most fundamental data are reported only for a single currency, fundamental data for the other currency in the pair would also be needed and would then have to be compared to get an accurate picture.
If you’re too busy to go through a bajillion news reports and economic data, don’t fret. Our resident economic guru, Forex Gump, got yo back covered! Make sure you read up on his regular economic analysis on his Piponomics blog.
As we mentioned from the get-go, it’s all about pairing a strong currency with a weak one.
At this point, you’re probably still waiting for the answer to “Will I ever need to use fundamental analysis to become a successful forex trader?”
We totally understand that there are purists on both sides.
Technical analysis seems to be the preferred methodology of short-term forex traders, with price action as their main focus.
Intermediate or medium traders and some long-term traders like to focus on fundamental analysis too because it helps with currency valuation.
Forex aur atock market do alag slag business hain magr in maun thora farq ye hai k forex k business main ham support aur resistanxe ki madad se kafi achi trading krty hain aur isvse kafi faida hasil krty hain so forex is a good business
The foreign exchange market and the stock market (stock and securities markets) are two independent markets that are unrelated to each other. They differ in trade means: currencies are traded on the foreign exchange market and stocks are traded on the stock market. The securities market is often located on stock exchanges. The
At this time forex market has the two main markets first is currency market and second is stock market. You are interest any market but you should the analysis the market. Than you are able to place the good order and entry. But market has the huge earning.
My dear friend ham sabhi jannte hai ki forex bussness market sabse achha online bussness haii jisme ki aap acche kam kar sakte haii or ye stock market se bahut hi jayda aage hai or esme bahut se log kam kar rhe haii
Compared with the industry, the foreign exchange market is also higher, many of which are traders. In the Forex market, you can purchase Forex Charts, despite the fact that the College has written or no understanding of the industry market. You can also run daily for a day on the foreign exchange market, industry, while writing a few hours.