Monday, August 26, 2013

Trading Without Indicators (Price Action)



Studying basic trading and browsing multiple Forex resources, Forex beginners may conclude that the technical analysis is wedded to indicators and expert advisers. Although most traders surely use them in everyday trading, there are those who consider indicators to be nothing else but obstacles to gaining profits. They prefer trading without indicators, or the Price Action trading.

Price Action fans are confident that trading will become really effective only if any additional software, economic calendars and news feeds are dismissed and traders fully pore over price charts.
Have you ever heard a phrase: “the price discounts everything”? It means that anything besides it is just factors which may directly or indirectly influence the market. In other words, the price is the final result which should lead a trader in his decisions.

The price is the key Forex element; the Price Action method enables a trader to concentrate on the price and do not squander his energies on minor elements.

This approach seems quite sound: charts reflect the reality that has already happened. You will not be misled by contradictory signals or continuous news feeds. If you know how to read a price chart, it looks very simple.

Price Action traders are certain that the price gives hints to forecast its direction. If you learn to analyze price fluctuations, you will have a base for making efficient decisions, improving your strategy and finding your sea legs in trading. Certainly, you will not need to exclude other analysis methods from your strategy. However, advantages of mastery in price charts would be hard to argue.
Price Action simplifies many aspects of trading and enables easing emotional tension; you will not need to decode indicators or analyze economic news.

Being a private Forex investor, you should monitor major market makers to gain profits. Although market fluctuations come in zigzags, there is always a trend. Furthermore, history tends to repeat itself. Therefore, if you base your strategy on specific patterns, your chances to profits will increase. The Price Action method has a number of such patterns called price patterns, which Forex experts consider to be extremely informative. According to them, beginners should start with daily charts that better reveal trends and facilitate analysis.

The main principle of Price Action is that indicators provide inaccurate or outdated information while price charts give comprehensive and credible data. If you learn to monitor price movements, you will understand market principles and find the tight time for entering or quitting the market.



Monday, August 19, 2013

Position Sizing & Risk Per Trade



Advanced Money Management For Beginners

It is important to understand that you must trade in order to fit your personality to be successful. This does not mean you can be illogical about your preparation but it does mean you need to find a trading style that fits you. The most successful traders will tell you trading all comes down to money management.

When developing a forex trading system you need to know how much to risk per trade and what your maximum risk per trade is going to be. Let's take a look at how to calculate your risk per trade for maximum profits.

How to calculate risk per trade

Sample size. You should have at least thirty instances of something for a sample size. Even if you had a thousand it is not enough but for the sake of planning you need at least thirty instances to figure out what your max drawdown has been. You will figure this out on a demo or with a trading a live trading account funded with a minimal amount of money.

Your max drawdown / your largest loss (from your sample size) = risk per trade (risk your willing to assume)

For example, let's say you are trading a $2,000 account and your largest drawdown is 30% or $600. Let's say that your largest loss so far (your sample size) is $100 or 5%. Your risk per trade would be $600/$100 or $6 risk per trade 0r 0.3%.

This is just an example on how you figure out your risk per trade. Of course your largest drawdown and largest loss will vary as will your risk per trade.

Going further – Position Sizes

Now if your risk per trade is 0.3% how do you know how big your position size will be?
This can vary depending on the time frame and particular trade setup.

For example if you are trading 0.01 at $0.10 a pip you can have a stop loss of 60 pips ($6.00) to keep your risk per trade to 0.3%.

You can also trade at 0.03 at $0.30 a pip with a 20 pips stop or at 0.06 at $0.60 with a 10 pip stop and keep the same 0.3% risk per trade.




Monday, August 12, 2013

ميزان المدفوعات

ميزان المدفوعات هو سجل شامل لجميع المعاملات النقدية الذي تمت بين بلد ما وبقية بلدان العالم. يتم حساب جميع المعاملات التي يجريها كل من القطاعين الخاص والعام. وتشمل معاملات المدفوعات بالنسبة للصادرات والواردات من السلع والخدمات ورأس المال والتحويلات النقدية.

ويعتبر ميزان المدفوعات لبلد ما 'فائضا' عندما تتجاوز مصادر الأموال لاستخداماتها أي عندما تتجاوز قيمة  الصادرات لقيمة الواردات.  ومن ناحية أخرى، يعتبر ميزان المدفوعات لبلد ما 'عجزا' عندما تتجاوز استخدامات الأموال لمصادرها. ينقسم ميزان المدفوعات إلى 3 فئات رئيسية:
  
-   الحساب الجاري
-   حساب رأس المال
-   الحساب المالي



Monday, August 5, 2013

الحساب الجاري

الحساب الجاري : Current Accountهو المؤشر الذي يقيس الفرق بين الصادرات، والواردات من بضائع والخدمات بالإضافة إلى الفارق بين الحوالات، التدفقات المالية من وإلى الاقتصاد، ولكن يستثنى منها الأموال المستثمرة بالأصول واستثمارات الأسواق المالية، وهو مؤشر يظهر بقراءة مقسمة على مدار الأرباع الأربعة.