Tuesday, November 3, 2009

Best Forex Trading No Doubt

By Scott McDonald

Looking for the best forex trading available can be confusing with so many strategies to choose from and so many places to start. When looking at the different strategies out there, some like to test them one by one until you find one that works for them. That can be a long and time consuming process. Would it not be terrific if you could skip through the guessing and get to what works? I found this one method that changed my trading forever, my profits went through the roof!

Determining the best forex trading takes an assessment of many variables. It could take a week or two to determine the results, but it is well worth it once you find your gravy method. The best would depend on factors such as: How much time do you have to put into this method? The cost for this one method that I discovered was nothing considering in the first week I doubled my returns!

Find out the best forex trading method that the big guys keep hidden from you. This method is something that you could easily add to your trading to substantially increase profits! If you demand the best, and will not settle for anything less, take action on your success to forex and discover the best market dominating method on the market today!

For the best forex trading method, how difficult is it to repeat? This should be something that the method is capable of. Repeatability is essential in forex, if a method cannot continuously make profit it is useless. Can the method guarantee a long term income? The total of winning trades amount has to be greater than your losses in order to be making money. Keep in mind that profits are measured in a rolling average. The one method that I use has been making money since day one!

Best forex trading style would definitely be scalping. In a matter of a few minutes a trader can make thousands of dollars in profits. Scalping has become a massive booming marketplace, with traders joining in everyday. This method that I have learned from the guru's has yielded the largest returns I have ever witnessed. This one method paired with scalping is one way to dominate! - 23309

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Seasonality In Trading

By Ahmad Hassam

Our lives are affected by the seasons during the year. Spring makes you happy! Autumn is sad. Winters are good. Summers are hot. Do the seasons affect the markets too? Are there any seasons in the markets too? Do the markets become exuberant too? Are there any gloomy days in the market? Yes, for the last one year the markets are gloomy. The first question that comes to your mind is that are these seasonal cycles real in the markets and how you can time your trading with these cycles? The stock market is full of sayings like, Sell in May and go away, as well as the conventional wisdom about the, summer rally, the Santa Claus rally, the dark days of autumn, the presidential cycle, and so on.

Markets are in a sense like living organisms. You should always keep this in mind that markets are always changing; money keeps on moving in and out of stocks, bonds, currencies, commodities and so on with the stroke of a mouse and speed of electron thousands of times every day. Technology, regulation, innovation, creation and new people make the markets a vibrant and ever changing place. Markets are about big banks, insurance companies, hedge funds, sovereign wealth funds, governments, mutual funds and individual investors creating a very diverse and dynamic environment.

Have you heard about Nicolas Darvas a ballroom dancer who in early 1960s made a fortune in around a year and a half with his Darvas System? He had made $2 million in stocks. In todays money that is something like $20 million. He was a legend in his times. In his days, there was no online system. He would contact his broker via telex from far flung parts of the world where he would go for performing. In 1960s when big Wall Street players would go on summer off, volume would dry up and the market tended to have a slight upward bias. Now, with the high speed internet connection and satellites, any money manager can stay in touch with the market on his laptop or mobile phone even on family vacations in a remote island of Pacific! Life has changed. Technology has revolutionized many things in our lives. Still with such fast action, there is some seasonality in the markets that you should know if you are trading these markets.

In the past markets were a whole lot less complicated. Most of the money moved between US and Europe. But with globalization and the ability to communicate in real time, money has started to move in a less predictable fashion. This has altered the trading patterns. What used to work yesterday does not work today.

So the world has changed. Life is faster now. Money has no borders now. It flows where it finds the best rate of return. This is a more integrated world now. We are living in a global village. Are there any seasons left in the market? The seasons are still there but they tend to be mostly overshadowed by the fast paced nature of our world now. Everyday there is new breaking news so the seasons tend to get overshadowed. At the same time, you should be aware that there are times when the markets do tend to follow these seasonal patterns. You shouldnt rely on seasonal analysis as your main method of trading stocks, bonds, currencies or commodities.

September tends to be the toughest month of the year. For the past 50 years, the average return on S&P 500 for the month of September has been around 0.6%. Dow Jones Industrial Average has even preformed worse with return of -1%. Now stock markets have a certain tendency to move in certain directions during certain months of the year. This general seasonal trend is a good one to keep in the background of your mind.

Holidays means party time. Everyone wants to enjoy holidays. Holidays means investors are in a cheerful and exuberant mood and the money managers want to show a good performance at the end of the month. September has been traditionally a bad month and November has been a good month for the bulls. The S&P 500 Index has the general tendency to rise in the month of November. December is another typically strong month. December is the month of holidays and the end of the year. - 23309

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