Best Trading Online Strategies for Beginners

New traders look for the simplest things first. Some trading online strategies are simple, yet profitable enough to justify their use. Complexity can wait.

Looking into Some Simple Trading Online Strategies

Trading online strategies for new traders must be simple, because complexity and too much data lead to confusion. Confusion leads to trading signal ambiguity and finally to many many losing trades and failure. Forex strategies for example need to be simple when beginner traders use them. Unfortunately, the entire forex industry is filled with confusing indicators, sometimes useless indicators and too much incentive for day trading. Trading online strategies can be made much simpler, in order to begin trading. Some CFD brokers differ, in that they want to keep their clients for a long time. And so they reveal the ugly facts about risk, and day trading risk to their clients. Some don’t know what is CFD trading and how it can benefit them. But it is worth looking into it. Online CFD trading is a popular method among all types of traders and even investors. Even seasoned traders now use CFD at some stage of their trading. The simplicity and versatility of CFDs match those simple strategies beginners should use. As for the strategies themselves, they can be based on swing trading theory, pivot theory, and momentum indicators. There is no need for using all the popular indicators, an certainly not need for news trading. Which is so difficult that beginners will almost certainly fail at it.

Trading Online Strategies
Traders determined to win, should realize that a lot of concepts and tips out there are actually wrong. Using tight stops is one such bad tip, it is set in place to make you feel good, not really win in trading. Winning traders break each and every rule there is in trading.

Trading Online Strategies for Bold Beginners

Generally, if you are beginner, the advice is not to try day trading. But if you want to try anyway there are trading online strategies for that, of somewhat manageable complexity. But at they same time a lot of focus is required. Day traders pay a lot of attention to the 30 minute chart, regardless if they trade on the 5 minute chart. They use primary and secondary LSS pivots for the day in question. And some also use the Value Area relevant for the day. All that news and economic reports do, is make market price move between these levels. It is impossible to figure out the impact of the news on the market in advance. All popular tools and methods tend not to work so well. The LSS pivot theory is popular, but it allows the day trader to think originally. There is effort required on the part of the trader, and still there is no free lunch. Methods promising surefire trades are usually false and fail miserably. These are the concepts used in day trading strategies. There is no need for much else. You can use CFDs in your day trading too, more effectively than Futures or the spot market. Just remember to have an entire second strategy around stop placement, and avoid using tight stops. Bad stop placement can sabotage a winning strategy. And all mentors and many books on trading tend to advise traders to use tight stops, which is really wrong. Tight stops never worked, and never will. Nobody made money in the markets while being afraid to take a loss. And finally remember that all trades start out as losing trades, fear is not part of any winning strategy.

Developing a Dependable Forex Trading System

A good forex trading system is one that the trader feels comfortable using. So that they are psychologically resilient. Beyond that it’s about numbers.

Public Opinion Cannot Define a Good Forex Trading System

A good forex trading system is usually developed around radical new ideas, ideas that the public will surely oppose and ridicule. Which is why developers of such systems do not reveal much of their ideas and beliefs. The forex market in particular offers a really wide range of possibilities for developing a radical trading system, more so than in stocks. A good forex trading system may for example be based around time zones and transitional hours between these times zones around the 24 hour global currency market. Even though many traders know about this, they don’t feel comfortable trading outside their own comfort time zone. Rather, the public always tries to make a 9 to 5 job out of their trading. And these are the people who use their trading activity, as an identity when their friends ask them what they do for a living. Wise traders keep quite about their trading, and they know it might take years to achieve their objectives. Even when profitable, some traders still keep quiet and use other activities to hide their trading. Public opinion is very wrong, most of the time, about everything, including the financial markets of course. Wise traders develop their trading systems quietly, without feeling obliged to present a final result to anyone, and they know they can also fail without any embarrassment. That’s why most good traders are reclusive people, working in isolation. People who really believe that trading can be far superior to any 9 to 5 job. In fact, many of them have been fired from such jobs and feel animosity towards the established job market. Because a 9 to 5 job will pay according to supply and demand rules and luck, and it also robs the employee from much creativity. Whereas the financial markets are the best employer, because only the best get paid.

Developing a Dependable Forex Trading System
Wise traders usually look for indicators, classic and newer ones, which seem reliable on the daily chart. None of them is perfect, and they all give conflicting signals as one zooms in and out of the daily chart. The daily chart is however by far the key time frame. For evaluating any indicator and how it is to be used.

A Dependable Forex Trading System

Traders need a dependable forex trading system, and one that offers account safety. So that they can lose 90% of their money at rough trading times, and still manage to recover all the way up, from that remaining 10% trading balance. That’s what a dependable trading system is. To achieve this, they also need to find the best forex trading platform around, and those wise enough actually do. In fact, many good CFD trading platforms offer so much, that any farsighted forex trader can use to propel their trading far ahead. The confidence gained through trading experience is priceless, for all truly devoted traders. It is proof that their ideas actually work, and that markets are not totally random to them. Indicators such as CCI, RSI, flags, and LSS pivots, though known to the public, allow for so much creative use. Wise traders take such classic indicators and use them in order of importance, and in very creative ways. Other traders go beyond these, and use fundamental analysis, specifically tailored to the short term trend. Fundamentals by nature are a bunch of ambiguous data, and are highly complex. But once in a while a good trade appears through those. Good traders trade with more money when the signal used is a result of fundamental analysis.

Reading Forex Trading Charts

Studying forex trading charts for detecting entry and exit points. It’s a task possible in many different ways, and on various time frames. Though a tough one!

Making the Studying of Forex Trading Charts Easier to Handle

Studying forex trading charts for the purpose of detecting good forex signals is quite an overwhelming task. Because different markets and different time frames of the same market never seem to agree. Forex trading charts are ambiguous, and confusing. There is no doubt that many traders lose on many of their trades because of this confusion and chaos. But studies have shown that that’s the way forex charts work, and things couldn’t be otherwise. Because of the difference of opinion which actually makes the markets work. As well as the different objectives even among buyers, or among sellers, markets trade in confusing ways. Moreover indicators used on these charts are just as confusing, and seem to confirm any possible scenario. The good news however is that markets are not totally random, and good signals can be possible to figure out. For one it is possible to use classic chart analysis and indicators in interrupted mode, rather than continuous mode. This means every trading theory and indicator is bound to work say 50% of the time, and fail during the other 50%. By careful crosschecking it is possible to detect what phase the theory or indicator is in, and act accordingly. It is difficult to use an indicator with great faith for one week. And then the next week to have to ignore or fade its signals. But that’s the way all indicators and theories work. And it is what keeps them working during the good 50% cycle. Even if an indicator could start working 100% of the time, it would make the market one sided, saturated, and impossible to trade, hence there would be no market anymore. If there is a market which is possible to trade, it is exactly because no indicator can beat it 100% of the time.

Forex Trading Charts
The daily chart carries the most weight, out of all time frames. Even simple patterns such as price symmetry are the strongest on the daily time frame.

Daily Forex Trading Charts

Daily forex trading charts are the key to evaluating all theories and indicators, even for the purpose of day-trading. And also for trading on forex news. This is because the daily chart captures entire time zones around the global currency market, the high volume times, and the closing times which are very important. Weaknesses in theories and indicators can slip through your evaluation if all you are using is 10 minute or 1 hour charts. An indicator can work perfectly well throughout such charts, and for a long time. But on the daily chart, you can see how the market reacted to factors such as volume and LSS pivots. This is data specific to the day in question. LSS pivots can also be weekly or monthly based, and relevant to a single day’s trading. The daily chart is important in any kind of test or evaluation process. All other time frames fail to address inherent key weaknesses and so they go on unnoticed. The daily chart provides more clarity and carries the most weight out of all time frames.

XFR Financial Ltd – Service-Oriented Technology Helping CFD Traders

XFR Financial Ltd., the parent company of XTrade, is an established dynamic financial holding company within the XTrade Group. The Group’s principal activity is as a platform for the provision of Contracts for Difference (CFDs), offering renowned trading opportunities on forex, commodities, indices and shares. The cloud-based framework is powered by a global server network capable of providing liquid trading whenever the corresponding principal markets are active.

Based in Limassol, Cyprus, XFR Financial Ltd is registered with the Cyprus Securities and Exchange Commission (CySEC), as a a licensed investment firm compliant with Markets in Financial Instruments Directive (MiFID) and duly authorized to offer CFDs, under the license no. 108|10, ensuring each client a secure and regulated trading environment. The Group has an Italian representation, which is registered by CONSOB (Commissione Nazionale Per Le Societa’ e La Borsa) reg. n. 0096369/13 inscription n. 00012, dated 13/12/2013,and created according to Law D.LGS. N. 58/98.

Why XFR Financial Ltd?

The XTrade management team consists of seasoned market professionals, with decades of on-hands experience within the brokerage industry and other financial service sectors. From this collective business and commercial knowledge has come the awareness that servicing the CFD trading community requires superior customer service, flawless trade execution and an innovative approach to market-making. The XTrade cloud-based distributed framework ensures timely uninterrupted and seamless service and order execution.

XFR Financial Ltd. is growing rapidly as a CFDs provider with a growing international presence: Offices present in five continents along with customers in more than 140 nations.

XTrade’s online CFD trading platform offers responsiveness and security to trade anywhere and anytime on all major platforms and devices. Available financial instruments include thousands of the major exchange-traded assets in the US, UK, Europe and Asia markets. Additional tools give XFR Financial Ltd. clients the entire toolset of market data to assist them in achieving optimal trading results.

New trading platform features this year include:

  • Demo mode account
    • Actual market conditions – complete and total real-world simulation.
    • Unlimited time.
    • Risk-free – enabling exploration of all the XTrade features without expense or commitment.
    • Facilitates simulation of trading strategies.
    • Online help and support team backup.
  • New On-site Education Center
    At XTrade customers can effortlessly improve their trading skill set with courses, video tutorials, market letters and e-books, while enhancing their trading results with the many available professional trading tools. Continued expansion of this offering is expected. Educating traders as to the available risk management and tools is a central element in the Group’s activities.
  • Autochartist Market Forecast
    XTraders now have access to Autochartists Market Forecast, including its advanced technical analysis. The generated real-time auto-adjusting trading strategies dynamic recommendations are based on immediate pattern recognition and supply traders with an optimal trading tool.
  • Automatic Deposit
    XTrade now features a one-click deposit for credit-card-enabled accounts. In mid-trade, investors can now supplement their available equity, initiating positions with confidence and security.