My Forex Trading Journey Reboot

Why Forex

It has been a while since I last blogged about Forex Trading. What attracts me to Forex Trading:

1) It is as easy to go short on a currency pair as it is to go long, unlike stock.

2) It is possible to focus just on a few major currency pairs.

3) The Forex market is still open at night for those of us staying in Asia. US market has just opened. I can take positions before going to bed.

4)  No direct correlation to the stock market. Even if stock market is going down, it is still possible to make money from Forex trading. I view it as a form of diversification. 

Why I Abandoned My Previous System

I have abandoned my previous method of trading Forex as the way I traded requires me to sit in front of the computer screen and wait for the potential setup to appear. Below screenshot is a glimpse of how I would trade previously.

On a downtrend: Go short when both the yellow bar and red wave appears after a pullback.

Moving Forward...

The ideal trading system which I have in mind is some form of trigger system that could alert me when potential trade setup takes place. The alerts could be sent via mobile phone or computer audio. Upon a setup trigger, I would then head over to my computer screen and decide if I want to take the trade or not.

I recently came across an MT4 indicator that has the capability to achieve this. Unfortunately, it is not free. The methodology is a trend following system which means we will only follow the buy signals when the currency pair is on an uptrend, and vice versa. The alert signals would provide clear entry, stop loss and take profit prices. I am currently in the midst of testing the accuracy and whether the system would be profitable in the long run. I would provide more updates and do a review of the system if it turns out to be profitable through my demo testing. As always, Demo Trade First! 

P.S - Advertisers/Marketeers, please don't advertise your products/services on my blog without my permission. I will delete your posts.