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 Forex | Version 8, Foreign Exchange Market Discussion

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howszat
post Apr 14 2011, 10:00 PM

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QUOTE(hanren @ Apr 14 2011, 07:49 PM)
Dear all,

Any sifus here can advise on how to avoid buying when the trend is too high and selling when the trend is too low? Got bitten because of this.

Any indicator can help to avoid this? Please advise.

Thanks,
Han Ren
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There are no indicators that are guaranteed to work all the time, or even the majority of the time. Having said that, there are a number which gives you "indications" that are less obvious from price movements alone.

The ADX gives an indication of strength of trend. If it goes up too quickly and too much, at some point it must drop. Maybe.

The Stochastic gives an indication of cycle. Similarly for Williams'. If it is near the top, it probably will fall. Maybe.

The Bollinger Band gives an indication of statistical probabilities. If it is outside the band, it will probably fall back inside the band. Maybe.

Lots of maybes in TA. Just a matter of more likely or less likely.

Then there's FA. You need to keep up to date with all the news that's going to impact the pair you are trading. But there are no guarantees, just maybes. But it is a good reason why you should only focus on a pair or two, and be familiar with it's idiosyncrasies.

What they do in a country far far away that you don't know much about may have a significant impact on the bottom line of a trader. Maybe.

That's how it works. Maybes.



howszat
post Apr 16 2011, 04:10 PM

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QUOTE(hanren @ Apr 15 2011, 09:36 AM)
For ADX, can you advise what should be a good time-frame to detect the these oversold or overbought conditions?
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Actually, I wasn't strictly technically correct in implying that ADX is an oversold/overbought indicator. It is strength-of-trend indicator. However, another way of looking at it is, if the trend is strong, it will probably keep going the same way.

In terms of time-frame, there isn't a good standard one. It all depends on your style of trading, and the best time-frame(s) for that style.

This forum isn't the best for going further into either TA or FA. Most people seem to go according to 4D style - place your bets and hope. There are plenty of other forex-specific forums where you can get more focused information.

howszat
post Apr 16 2011, 05:22 PM

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QUOTE(AllnGap @ Apr 16 2011, 05:08 PM)
forex market is driven by interest rates. although overbought condition it will still move upward. try not to rely so much on indicators
*

Interest rate is one of about a few hundred other factors.

If it were driven by interest rate, the JPY should worthless a long time ago since their benchmark interest rate is zero.

howszat
post Jul 13 2011, 11:39 PM

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Statistic: 95% of traders lose money.


howszat
post Aug 3 2011, 09:43 PM

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QUOTE(thomas @ Aug 3 2011, 08:59 PM)
Thanks for all the admirer,

Already alot of people adding me to their MSN aka WLM also drop me PM ask for coaching,

I was thinking what is the best deal of coaching someone ? How much should I charge ? As the skills can feed somebody for life....

I got no idea....
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Coaching?

You have to compete with the other guy who claims to do coaching but has not been capable of producing anything useful apart for hot air, siapapa or something like that.

But hey, you win hands down... smile.gif
howszat
post Aug 3 2011, 10:08 PM

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QUOTE(thomas @ Aug 3 2011, 09:57 PM)
again, VK LINGAM just called me again.... CORRECT x3 !!!
*

Actually, what he wants to know is this.

You have been trading for the past few months on and off, and your account balance has not moved much.

But recently, it has. So you have discovered BB(20), or is it something else?, just recently?




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