Using the Magic Bands Trading Strategy on Daily Charts - best forex trading advice

Using the Magic Bands Trading Strategy on Daily Charts ~ best forex trading advice

The Magic Bands trading strategy can be applied to daily or weekly charts as well as scalping charts.

It needs only a minor change which is not completely necessary. There is another indicator called the ribbon which adds a bit of colour to the chart as well as denoting momentum. The ribbon expands as momentum builds and that may be useful for some traders as they inspect their charts to look for entries.

The chart may also be enhanced by the Gator oscillator which shows the momentum, that is optional and is not necessary to use this trading system effectively.

Of course, on a longer chart a person will want to include a trailing stop as the position may last for several days or weeks as shown in the USDJPY chart below. You can see that the long entry lasted for several weeks.

Here is a chart of the Dax Index and on it you can see some great entries as that index has been climbing steadily for several months until this past summer. Once again this simple trading strategy has been able to bring significant profits with a minimum of maintenance to the portfolio.

There are many Forex pairs and Stocks and Indexes that have long trends and are quite well suited to this trading strategy. It requires only a few minutes a day to review a sizable portfolio to do what ever maintenance and entries are required.

To locate instruments that may be suitable for this type of system a person needs only do a scan for trending stocks or currency pairs and there are many to choose from. Probably those with some volatility would appeal to many investors.

The indicator settings  can be found on this page Magic Bands Scalp Trading Strategy along with some other information.

One more chart that I have here for you to glance at is that of Sweet Light Crude, you can easily see that a trend following  strategy would have reaped excellent profits in the past eighteen months.

Be sure to use a trailing stop with this system as the markets are completely unpredictable.

Good Trading..!

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Forex trading video - forex trading no tax

Forex trading video ~ forex trading no tax

Lately i was thinking that there is nothing better then one on one live training, you can ask your mentor questions, he will tell you what you are doing wrong and so on.

However over the internet it is almost impossible to emulate live training session, so i was thinking. Maybe it would be good to record video and show it online. I was thinking about some sort of 5 minutes instuction on how to use trendlines, how to use Andy Pitchforks.

I am not sure but i think that sometimes it is hard to understand method or indicator, just be reading article and seeing a picture. Video will be somewhat like live training.

But i dont know, i would like to hear your opinions on this one?
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Top Performing Currency ETF Using Relative Strength Factor Trading Strategy as at January22 (updated) - forex trader academy

Top Performing Currency ETF Using Relative Strength Factor Trading Strategy as at January22 (updated) ~ forex trader academy

The Top 5 Currency ETFs today using the Relative Strength Factor Trading Strategy are shown in this chart. (ETFScreen.com)

We can take a look at this group and make some comparisons regarding performance.

The best performer in this group is the 

PowerShares DB 3x Long US Dollar Index Futures ETN

Some statistics:

Here is a one year chart:

Here is a Point and Figure Chart showing a target price of $83.50.

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Stop using HedgeHog! - forex trading tax singapore

Stop using HedgeHog! ~ forex trading tax singapore

I have a quite sad news for you, i backtested both hedgehog strategies with MetaTrader which i described earlier and results are not as good as i thought.

More over using HedgeHog you cannot even breakeven it is a fast way to loose all your money. It is interesting because when i backtested it with spreadsheet results where quite good, and i used the worst case scenerio because i was backtesting this strategy on daily bars, so modeling quality was quite low.

Although HedgeHog seemed to be simple and effective strategy, without a big drawdown, so everything should be ok but ... well it isnt.

If you want to try to trade this strategy anyway, then you better try it on demo first and do not use big lots.
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Cash In On The Currency Wars Using ETFs - forex trading virtual account

Cash In On The Currency Wars Using ETFs ~ forex trading virtual account

Summary

• Currency ETFs are becoming volatile as Currency Wars expand.
• 
  
• The US Dollar strength is impairing sales and profits for manufacturers.
• 
  
• European politics is creating turmoil for the Euro and that will impact many currencies.
• 
  
• We have tools and alternative tools to exploit fluctuations in currency ETFs.

Lets have a look at this chart I have constructed using Relative Strength factor of a US Dollar Index ETF(UUP) and six ETFs which are used to make up the US Dollar Index.

The six US Dollar Index component ETFs I have selected are Guggenheim FXF,FXB,FXC, FXC, FXY, FXS representing Swiss Franc, British Pound, Canadian Dollar, Japanese Yen, Euro, Swedish Krona.

You may ask, What good is this comparison chart?

At some point the distances between these plots will start to narrow based on the actions of the various governments and markets and whatever manipulations may occur in order for different currencies to gain or lose advantages.

We need only look at what has occurred in the past couple of weeks with the Swiss Franc, the Canadian Dollar and the Euro.

This next chart reflects the Relative Strength factor of the seven Etfs that I am using, you can see that FXF, Swiss Franc, is outperforming the other component currency ETFs and that is based on the sharp move generated by Swiss government intervention a few days ago.

How can we use this chart?

Interestingly enough, each government involved as well as the EU is attempting to capture markets and they are going to do their best to manipulate their own currency and any other currency to their advantage. Volatility in currencies as well as stocks is being created daily with the manipulations.

I gathered some information from Point and Figure charts at Stockcharts.com and am going to list the target prices for each of these currency ETFs. The numbers may surprise you.

FXF 151.00

FXB 210,00

FXC 84.00

FXY 62.00

FXE 86.00

FXS 82.00

USDX 128.00 (P&F target for UUP unavailable)

From those targets you can see huge differences from prices today, there will certainly be some activity as months pass. P&F targets are not guaranteed, I used them only as an illustration.

What can we use to take advantage of these pending moves. There are many choices , however UUP and UUD may be quite suitable for most people as those represent long and short respectively. Some may favor using the PowerShares 3x Long UUPt or the PowerShares 3x Short UDNT.

I have compared the four of these as follows.

Using Relative Strength factor for comparison is most useful for trade selection and also trade management and may add another dimension to your trading system.

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Completely free 100 for Forex trading!!! - forex trading tax nz

Completely free 100 for Forex trading!!! ~ forex trading tax nz

This is something you do not want to miss, fxclub.com gives 100$ to everyone who opens live trading account with them. You thought 5$ from Marketiva was great? Then how you can call this? Awesome? Not exactly.

First of all, i took a look at them and here is what i found:
- Their charting sucks, you cant do intraday trading it is just impossible.
- Their support staff cant speak english fluently - not very professional as for real company.
- It looks like they like ... no they love the game of stop loss hunting - not good also.
- You cannot withdraw free cash, but you can withdraw money you earned, similar to marketiva system

My opinion Russian scams.

However if you are swing trading, and use other software for charting then fxclub.com software then you can try them out, they require only one document with a photo to open an account so it is pretty simple.

So if you would like to take advantage of this free 100$, which they will give, this was double checked by my friend who signed up for their real account here is what you need to do.
1. Go to http://www.fxclub.com/incentive/ and get a pin code.
2. Go to fxclub.com and signup for live account, remember to use your promo code which should be sent to your email address if you correctly completed point 1.
3. Start trading.

Enjoy.
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