6 – Always Play in Trend
If you are beginner in forex market, be conscious about market trend changing behave. Perhaps you have listened from the looser of forex trading; this is a crucial market which gives first and latterly takes back. Why?
Selling and buying is a natural behave of forex market, sometime market behaves bullish and sometime volatile. In between these two behaviors, sometime market gets sudden changes in reverse that is called market trend changing. This is most important and worst point where a huge community of un-skilled and non-professional traders beat their heads to the walls because they have faced their forex account burst.
There is no timeframe when market changes its trend. It absolutely depends on what circumstances are going on. Fundamental news plays a vital role in changing the market trends. If I comment some practical hints, mostly trend gets to turn quarterly a year.
Beginners in forex trading do not access the importance of trends, eventually they have to bear lose. Follow strictly, always trade in trends and avoid to trade when market shows trend changing signals.
Do never trade opposite to the trend. For example if market is showing overall buy trend, wait for the market to come lowest level and place buy order, if the market is showing overall sell trend, wait for the market to go upper level and place sell order on your calculated level. If you follow this strategy, you will be maximum secure from loss.