How To Succeed With Forex Trading - NuWire Investor

How To Succeed With Forex Trading - NuWire Investor
FOREX-Euro sails to 4-1/2-month high on trade and growth prospects - Reuters
Dollar moves lower for third straight session - CNBC

Posted: 30 Dec 2019 09:26 AM PST

The best thing about forex trading is that it's educative, exciting, accessible and has many opportunities. Despite the challenges, most traders lack the skills of forex trading, and a high percentage of them lose their money.

Generally, learning how to trade is difficult, but in this article, you can grab the basics of trading live markets. As a beginner, you can also learn the best trading practices that will make you a successful forex trader.

If you need to trade, first understand your goals and success you're aiming as a forex trader. So, what is your objective?

If you decide on your objectives, let them be realistic. So, ensure you have set quantifiable and realistic goals. For example, aiming at achieving 20 percent annual returns after the investment or make 5000 USD of profit. So, depending on what you decide, ensure your goals are easy to measure. You need to set your goal, but it should be one that can be easily achieved within a long time frame. It, therefore, becomes crucial to set your goals annual instead of monthly.

Here are the steps to succeed:

Set your expectations

When a trader is obsessed with chasing profits, there are numerous problems that arise. Due to anxiety, it makes people lead to more mistakes and losses.

The first thing you need is to avoid setting unrealistic objectives and goals. Operation is risky but giving yourself overconfidence can make you lose even your initial investment.

Define trading risk profile

When making a substantial commitment, you have to understand the market fundamental aspect. So, you'll check at capital you have at hand, get testimonials to avoid setting unrealistic goals and do research on the currency pairs you want.

If you find forex trading isn't comfortable for you with the dynamics, avoid making your investments. It won't matter whether it's profitable or not, but it's a rule for all markets.

Choose a broker

In case you're feeling worried because of the financial reputation or security of a forex broker, it becomes hard to focus on your trading. However, having confidence helps to free up the mental space that makes you devote more attention and time to analyzing and developing your trading strategies.

The perfect broker (see: https://www.trusted-broker-reviews.com/order-flow-trading/) promises to make you successful. So, having any questions, he can comfortably answer them such as insurance, regulations and their trading platforms.

Choose a strategy

After making a decision to trade, come up with a strategy. However, there isn't a right or wrong method of trading, but the way you will define and use strategy in different ways matters a lot.

Depending on the way you see, sometimes you can find that strategy is working correctly for trading the same pair but in different markets or under certain market conditions.

Accept outcome

It's a dream for every trader to be successful. However, in reality, it doesn't mean that success will be determined by winning all the trades but it is about the average of all your trades after ending with a positive value.

It's impossible to close all your trades with profit but for professionals, they become consistently profitable every day but you aren't likely to see a trading system lacking a single loss.

Final Words

Today, the forex market constantly changes, and therefore necessary for traders to know the pro and cons of the market. Don't expect for a patterned formula or rules guarantee success in FX trading. It will be a combination of numerous things that needs you to be talented, patient and mindful.

FOREX-Euro sails to 4-1/2-month high on trade and growth prospects - Reuters

Posted: 30 Dec 2019 01:26 AM PST

* Euro back at August levels on dollar weakness

* Trade and global growth optimism hurt U.S. currency

* Sterling recovers to $1.31; yen also boosted

* Graphic: World FX rates in 2019 tmsnrt.rs/2egbfVh

LONDON, Dec 30 (Reuters) - The euro hit a 4-1/2-month high on Monday as optimism over U.S.-China trade relations and the global growth outlook knocked demand for dollars.

Thin end-of-year volumes exacerbated the broad weakness in the greenback, which has seen it dip for three straight sessions and on Friday suffer its biggest one-day fall since June.

Investor sentiment, which has discouraged buying of the dollar as a safe haven, was boosted during Asian hours when China's central bank unveiled a measure to help lower borrowing costs and boost flagging economic growth. Investors also cheered a report forecasting that China's 2019 retail sales would be up 8%.

The euro climbed as high as $1.1211, its strongest level since Aug. 13, in early Asian trading.

Bleak European economic data had prompted hedge funds to bet on a weaker euro during 2019, but some signs that the euro zone economy has turned a corner have lifted the EU single currency in recent weeks.

The dollar index, which measures the currency against a basket of rivals, weakened 0.1% to 96.821.

With Friday's loss, the index's gains for the year have shrunk to around 0.6%.

The greenback was also on the backfoot against the Japanese yen, losing 0.3% to 109.17.

"The main drivers of the weaker dollar have likely been risk appetite holding up in the wake of comments from the U.S. pertaining to a Phase 1 trade deal recently, as well as the U.S. Federal Reserve's continued repo operations, which have recently been undersubscribed," MUFG analysts said.

Sterling was also a beneficiary, rising 0.2% to $1.3106 . Against the euro, it was down 0.1% at 85.51 pence - concerns that Britain is headed for a disruptive "hard Brexit" at the end of 2020 have hurt the pound since mid-December.

China's yuan strengthened, holding below the key level of 7 per dollar. In the offshore market, the Chinese currency rose to 6.9752, its highest since Dec. 13.

Marshall Gittler, chief strategist at ACLS Global, said it was noticeable how little currencies had moved during 2019, with very low volatility and narrow trading ranges, which he put down to "economic and monetary policy convergence".

"I expect less of both in 2020, for two reasons," he said, noting the expected end of the Sino-U.S. trade war, which should lead to broader economic recovery across the world.

The second reason, Gittler said, was that inflation seemed to have bottomed out and "conceivably some countries could start thinking about hiking rates, which would encourage monetary policy divergence".

Later on Monday, investors will stay tuned for the Chicago Purchasing Management Index for clues about the health of the U.S. economy. (Reporting by Tommy Reggiori Wilkes; Additional reporting by Swati Pandey in Sydney; Editing by Kevin Liffey)

Our Standards:The Thomson Reuters Trust Principles.

Dollar moves lower for third straight session - CNBC

Posted: 25 Dec 2019 10:27 PM PST

DAJ | Getty Images

The dollar rose against Japanese yen on Thursday as optimism around easing trade tensions between the United States and China sapped demand for the safe-haven currencies, even as the holiday-thinned trading kept large moves in the FX market in check.

The dollar index, which measures the greenback against six other major currencies, was 0.14% lower at 97.52.

Beijing said on Wednesday it is in close touch with Washington on a trade deal signing ceremony, a day after U.S. President Donald Trump said that he and Chinese President Xi Jinping will have a ceremony to sign the recently struck trade deal.

"Risk is moderately 'on' today on Trump's comment that a trade agreement is "done,'" said John Doyle, vice president for dealing and trading at Tempus Inc in Washington.

"On a usual day, this might just be a blip, but because of the thin conditions, safe-havens like the JPY are a touch weaker and the New Zealand and Australian dollars are up on hopes of a deal," Doyle said.

Against the Japanese yen, which tends to benefit during geopolitical or financial stress as Japan is the worlds biggest creditor nation, the dollar rose 0.26% to 109.6.

The offshore yuan was about flat on the day against the U.S. currency at 6.991 yuan per dollar.

Trade-sensitive currencies were stronger on the day. The Australian dollar was 0.22% higher against the greenback, while the New Zealand dollar was up 0.39%.

With global currency markets in holiday mood following Christmas Day on Wednesday and with several centers still closed on Thursday, overall trading activity was subdued.

"Overall, it is so quiet you can hear crickets. Most of the western world remains closed and liquidity is very thin," Tempus' Doyle said.

Data on Thursday showed the number of Americans filing applications for unemployment benefits fell last week in a sign of ongoing labor market strength.

The Canadian dollar was trading 0.2% higher against the greenback at 1.3133 to the U.S. dollar, or 76.14 U.S. cents. Thursday's rise helped the loonie reclaim ground lost earlier this week after data showed Canada's economy unexpectedly shrank by 0.1% in October.

Elsewhere, sterling traded at $1.2991, up a bit from levels before the Christmas holiday though still way below its Dec. 13 peak of $1.3514.

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