Forex Market

Dirty Little Secrets About the Forex Industry

We just adore revealing things that are not talked about in the mainstream media. In our articles series, a trader could notice most of our trading methods are not ordinary. There is a reason for all that. Some could say it is a conspiracy but consider crisp and public proofs on the internet, reporting, news, forums, and other sources, some of which we present here. Dirty little secrets about forex are everywhere, in many forms, from fundamental manipulation to technical trading quirks that turn out to be manipulations too. Here is what we want to tell you.

Forex Gods

We will start from the forex rulers, the world’s largest banks are moving the currencies, not you or me, however big your pocket is. Never try this, and never get vengeful at them, forex has specifics because of the big bank interventions otherwise forex would look like the stock market as some professionals would say. Their dirty little secret is of course manipulating the forex market and the hunt for cluster groups of traders’ positions. It is not just about the Stop Loss positions or any pending orders, but about orders already triggered. Just a hint for those thinking about using a script to hide pending orders away from broker servers. As one familiar pro trader explained, the banks notice where orders are triggered, then they let a small movement that favors the traders, however, what follows is a sharp correction that cuts through most of the traders. Professionals that follow the big banks’ psychology call this accumulation (of traders) and manipulation phase, it looks like this:

Notice the far left side of the picture where the downtrend is reversing. This is the area where traders start open buying positions. The banks like these clusters and leave some movement up to keep them building on. What follows is a sharp move to the downside below the initial reversal level (middle of the picture). This is done to eliminate buyers’ Stop Loss. Only then the real trend starts which is much larger (right side of the picture) than the initial fake one. 

Now, another easier way to see this is by looking at the traders’ sentiment indicator. As mentioned in our previous articles, the IG group has a Client Sentiment Report daily on most forex pairs and other assets. Notice that the most liquid pars, also the most popular ones, are not moving according to the supply and demand logic. It is almost perfectly reversed. When buyers come in, the price falls, and vice versa. 

Hey, this does not happen on crypto! If you wonder why, cryptocurrencies’ core idea is Defi, decentralization, or no bank involvement. Even precious metals are not that manipulated despite the recent fine:

Credit: Reuters

Commodities have real supply and demand, not much room to manipulate there, however, money or currencies can be printed whenever. Printing can be digital with a press of a button too. Here is some more news about this recurring event (CBNC):

Ok, we have some raising eyebrows now, this dirty secret is repeating however there is not much “ordinary” people can do. Interestingly, according to pros, this behavior is what gives forex movements and sets it apart from the stock market, for example. Indexes by the way, also have sentiment anomalies, but be aware there is a very strong link between equities and the forex gods. 

The Brokers

Ok, these guys are not really forex gods but they still play a role to retail traders and they too, of course, have dirty little secrets. They are one part of the forex industry and are playing a similar game, even though forex unethical games come in many flavors, this one is the most popular. It is the Stop Loss hunting

Now, this is done on a smaller scale, it is not in plain sight and justice is rarely served. If you wonder why it is because they are the same team. Transparency is always the issue, you do not know what is done and if there is a conflict of interest caused by the well-known fact some brokers earn money from their clients’ losses. Stop-Loss hunting is hard to prove and the excuse is always the same, brokers are connected to different liquidity pools or banks so not every broker has the same price action. This explanation is overused. If we look up at the clients’ opinions, some brokers are labeled as stop hunters while some are not even though they are companies of the same size. Transparency is not strong with brokers so the only truth meters are the forums that reflect customer satisfaction. 

Review Misleads

Portals that reportedly host broker reviews is another dirty little secret that is present in the forex industry, however not uncommon in many other businesses. Just typing some broker name with the word “review” will overwhelm you with results. There are a few obvious ads first but then what looks like a sound review website. Sometimes the review has a great, 5-star rating, while the same broker is criticized on other portals. This is one easy clue that somebody paid for good reviews. More often than not, the same portals are owned by companies that hold broker brands, making you think they are separate entities. Of course, their brands are top-rated while the competitors are destroyed. There are also affiliate websites that just put a good word for anyone that wants it (pays), provided the affiliate website has a good number of visitors. 

We have put a lot of work writing independent broker reviews, however, if you are looking for client opinions forget about the first search results pages. Real, unbiased opinions come after, where the money noise is dimmed down. Only here there is no special interest by the brokers to mess with the truth. Alternatively to, the Forex Peace Army portal is a very good source for reviews and client opinion, but there are more out there under the served plate. 

Reading fake reviews does not end with brokers, you will also find reviews for Expert Advisors for MetaTrader platform or automated trading solutions companies. The same marketing scheme is applied, yet the source might be a company that developed the script, not only a broker. It is often mixed since you need a broker and probably a VPN service too. 


Similar to other industries, marketing borders with the ethics on one side and the law on the other. Brokerage is a heavily regulated industry yet it still has enough freedom to legally scam beginners. Even though certain regulatory measures are now more restrictive, such as leverage limit, amateurs looking for gamble trade are easy pickings for brokers. If you heard about the high percentage of losing trades in the forex industry then you get the picture of why. Of course, education is also tainted by this scheme so it is not easy to blame the client. Even those who do not want to gamble do not easily have access to good resources and learn to trade. Similar to the review search, good educational websites are rare and show only after all the junk in the first pages. 

Forex is a Scam?

Foul play is present in forex and people do not believe in the trader dream, the dream is vividly presented in marketing to lure uneducated clients. This is easy money for brokers and banks only. As it was not already plagued by the industry, forex is also a good playground for outright scammers. It is especially present today with untraceable cryptocurrencies. Scams are just another reason and alarm for beginners to dig deep when it comes to forex trading that, interestingly, elevates their research skills essential for successful forex trading. Forex has many ways to scam you, however, meticulous, patient, and curious will find their way to the trader’s dream eventually, just keep up the work. 

Forex Videos

No Bulls**t Guide to Forex! Why You Are Still Blowing Your Account!

Are there Forex trading secrets? 

Thank you for joining this forex academy educational video.

In this session, we will be asking the question, are there forex trading secrets?  And hopefully coming up with some answers.

The internet is awash with firms, including brokers and educational platforms, offering to teach new traders the secrets of trading forex.  Such as ‘’9 secrets to successful forex trading’’ or ‘’seven-day trading secrets exposed’’ or something along the lines of ‘’the five major secrets to apply to make a killing in forex trading.’’

Some Forex educational platforms and Forex brokers will use any gimmick they can to get new traders on board to service the revolving door of new traders coming in, blowing their accounts – where statistics show that will over 75% of new traders lose their money in the first 6 months of trading – while enticing new traders in to maintain their client numbers and keep their businesses afloat.

And so back to the question, are there any secrets in forex trading? Absolutely not!  This is not the Knights Templar, nor the Freemasons, or a secret society.  And it is most certainly not a get rich quick scheme as some people would have you believe. 

In reality, Forex is a business – the largest business on the planet – which turns over trillions of dollars 24/5.  It is complex: the financial markets are interwoven with each other, where a forex exchange rate trend can turn in an instant, with no apparent reason, other than sentiment.

It is heavily correlated with fundamental reasons and political ones, where a rumour from a tweet, or a speech by a policymaker, can cause severe volatility in the markets.  Where trends can change because of a certain time of day, where perhaps one country stops trading for the day and another begins.

If the market isn’t changing because of fundamental reasons, it is constantly changing because of technical ones.  That’s chart patterns.  Technical analysis, or the study of chart patterns, including exchange rate price action, and the implementation of technical analysis tools and indicators is pretty much the backbone of forex trading, with the upmost single important thing being where the price is at any given time, and which is also known as price action.  This, on its own, is of paramount importance because it shows who’s in control of a forex pair, whether it’s the bulls or bears, or whether the market is simply consolidating and no one is effectively driving the market in any particular direction other than sideways.

If somebody offers to sell you the secret to fixing your car engine troubles, you would probably laugh and take your car to a garage. If they offered you the secret to remove your painful appendix, you would cry in horror and run off to see your doctor.  Forex trading is a profession not a secret ridden gimmick.  The best traders learn about fundamental analysis, technical analysis, market sentiment, market correlation, how currency pairs move and why trends are developing, and when and why they stop and reverse.  And this is the real key to making money while trading Forex:  knowledge.  The more you learn, the more you will earn.

So, in conclusion, don’t be seduced by offers of learning secrets, when here at Forex Academy our professional traders, some ex institutional,  offer a totally free educational, informative service, with its reliable signal service, supported by a broker – EagleFX – which doesn’t need gimmicks, with the idea being that if traders make money on a reliable platform, where education is absolutely free, then everyone is a winner.  

Forex Basics

Top 8 Secrets That Successful Forex Traders Won’t Ever Tell You

If you want to get the same results as a professional forex trader, you have to behave like one. Unfortunately, there’s a lot of myth and speculation surrounding forex trading; therefore, it can be difficult to understand the truth about what does and doesn’t work, especially with false statements floating around. We want our readers to know the real truth about the market, so stay with us to find out 8 things that you’ll never hear a successful trader say. 

“I Taught Myself”

If you ask any trading professional about the key to success, they’ll tell you that a solid trading education is one of the most crucial steps to becoming a profitable trader. None of us are born with knowledge about forex trading, so we all have to start with the basics regardless of our IQ score.  

While there are many different resources for information online, like videos and articles, one of the best ways to learn is to ask other traders for help. Online courses, one-on-one training sessions, and trading forums are considered to be some of the most interactive tools out there. Keep in mind that every trader had to start from the same place, so don’t be afraid to seek help with topics you might be struggling with. 

Finally, you have to expect that mistakes are a natural part of the learning process. Remember that you’re only human and think of any bumps in the road as a learning experience. The good news is that everyone has the ability to become a profitable forex trader if they can remain disciplined and work on developing healthy trading habits, so a little hiccup every now and then doesn’t have to be a big deal.  

“I Don’t Lose”

A successful trader will never claim that they don’t lose money when trading because losses are an inevitable part of the process. Even trading legend George Soros lost $1 billion after Donald Trump’s surprise election win back in 2016 – and if it can happen to him, it can happen to anyone. 

What traders need to know is that trading success isn’t measured in short-term wins and it’s possible to have a higher loss ratio but to still walk away with positive profits. When thinking of trading success, you should look at the bigger picture with consistency over time. You will not win every single time and any trader that claims to is only lying to you to boost their ego.  

“My Predictions are 90% Accurate”

The forex market is highly volatile and full of surprises, which makes it impossible for any trader to accurately predict what is going to happen over 90% of the time. In fact, most successful traders claim to be accurate about 70% of the time or less, which is far more realistic. 

Keep in mind that trading is different than gambling, so it is possible to increase your chances of success by analyzing chart patterns and data, but you still won’t be able to hit a 100% success rate. In forex trading, you win some and you lose some, so don’t put unnecessary pressure on yourself to win every time. 

 “Risk-Management Doesn’t Matter”

While forex traders can’t be right 100% of the time, they can increase their chances of success by practicing effective risk-management rules. This involves only risking money you can afford to lose and taking other steps, such as setting a stop loss in case things don’t go in your favor. Even if you think you are making good decisions, risk-management helps to soften the blow if you lose money and it should never be downplayed as an important step to forex traders.

If a trader tells you that risk-management isn’t important, then they’re giving out some truly terrible advice. Even the big fish take precautions to limit the amount they could lose on their trades, regardless of how much money they have sitting around. You don’t want to make the avoidable mistake of risking too much and losing big-time. Sadly, this is a common trading problem that results in big losses for many unsuspecting beginners.

“The More You Trade, the Better”

While trading more often might sound more productive, it actually works against you. This is because there are times when it’s best to take a break from trading, for example, when political news is about to be released. Some traders do thrive in volatile environments, yet it is inherently more risky to trade during these times.

You also run the risk of overtrading if you become addicted to the general rush from trading. This works like any other addiction and can cause traders to make bad investments for the sake of entering a trade. It’s better to know when NOT to trade so that you don’t lose money in bad market environments. 

“My Strategy Never Fails in Any Type of Market Condition”

No trading strategy can be profitable 100% of the time – it just isn’t possible. Some strategies will work better than others in different kinds of conditions, but you have to remember that market conditions are constantly changing. A method that was working well in one condition may become obsolete once things change, and methods that didn’t work before may become a better option later on. Overall, you can develop a solid plan that works well in several different kinds of market conditions, but you’ll never find a 100% foolproof option because it simply doesn’t exist.

“Forex Trading is Always Exciting!”

You might have seen forex trading painted in a glamourous light in movies, where investors tend to jump up and down shouting in glee and frustration. Advertisements also seem to make things more exciting with flashy cars and hours, men surrounded by beautiful women, and other exaggerations. In reality, online trading can get a little boring. After all, most traders work in a quiet environment without any distractions, where they are kept busy analyzing charts and whatnot. This doesn’t exactly make for an exciting evening, but it’s important to remember that trading is still a job (that you can do in your pajamas). 

“There’s Nothing I Don’t Know About Forex”

Regardless of how many hours you’ve poured into your trading education, how many books you’ve read, or the number of YouTube videos you’ve watched, you can’t know everything there is to know about forex because there’s so much information out there. Technological advancements, changing economic factors, and other developing factors also introduce new things to learn constantly.

Professional traders might have more experience and knowledge, but they would need a computer for a brain to actually acquire all of the knowledge that’s out there about trading. Even once you become a more established trader, you should never stop pursuing knowledge about the industry by reading articles, researching different strategies, staying up to date on economic data, and keeping a close eye on new developments and technological advancements.

Forex Basics

Insider Secrets of Forex Trading for Newbies

Every new trader begins their journey with the same goal: to find the most productive way to trade the market without taking a financial hit along the way. Fortunately, trading doesn’t come down to luck or chance like gambling does. If you’re determined and willing to work hard, you can improve your chances of success drastically.

You shouldn’t make the mistake of focusing solely on those dollar signs or chasing the holy grail, but you should know that there are secrets that will set you up for success and ensure that you don’t make one of the countless mistakes we often see with beginners. If you learn these secrets, you can lower your risk so that you don’t lose money, while increasing your profits so that you wind up with more money in your pockets. 

Signal Providers

Starting off, many traders put their faith into signal providers, which tell them when to enter or exit the market through alerts. Signal providers often rely on technical analysis done by forex indicators to provide these alerts; however, different signal providers use different resources. If you’re thinking of going this route, you should know that no signal provider can offer results that are guaranteed to be 100% reliable, so don’t fall for these sorts of claims. Instead, you want to find a provider with a good track record of proven results. 

Other important qualities for signal providers include accuracy and consistency. With so many scammers out there and new ones popping up each day, a provider that has been on the forex market for a few years is safer than going with a newly released option. The longer the provider has been trading, the greater the chance is that they provide accurate signals. Since your hard-earned money is on the line, it’s better to be safe than sorry when it comes to choosing a signal provider. 

Insider Secrets

While some forex basics are shared often online, professional traders keep other important tips to themselves and don’t choose to share them with beginners. The following are some of the market’s deepest secrets, which most professionals won’t tell you:

  1. Don’t trade without a purpose: You need to be truly invested in trading for things to work in your favor. We don’t just enter trades for the sake of doing so: we make informed decisions that we feel confident about. Don’t trade if you aren’t feeling it or if there isn’t sufficient evidence to do so, and never risk money that you aren’t willing to lose. We assure you; your broker’s customer support team is not going to refund you if you message them asking for a refund after losing all your money from trading. 
  2. Don’t rush: Deciding to become a trader can be exciting, but one of the first mistakes many newbies make is opening a trading account before they’re truly ready. Instead, you should start slow by learning everything you need to know online and consider investing in online courses or training opportunities if you can afford to do so. Then, you need to practice on a demo account to see how much you’ve learned before opening a live account. Trust us, the opportunity to open a trading account isn’t going anywhere, so don’t risk your money by opening an account too early.
  3. Keep a trading journal: Please don’t skip this step! A trading journal is crucial if you want to be able to keep up with your success and it can be referenced anytime you have an issue. Your journal serves as a handy guide that shows you what does and doesn’t work about your trading plan and it can also point out things that you might overlook, such as emotions interfering with your trading results. Many traders are just too lazy to keep a detailed log of their trades, while others start with one and abandon it after a few weeks. Some traders never even start a journal because they don’t realize how helpful it can be, so don’t make this rookie mistake. 
  4. Beware anything that sounds too good to be true: The forex market is unpredictable, meaning that there isn’t a broker, indicator, robot, or anything else that can 100% guarantee to win every time. If a broker offers a promotion on a golden platter where there seems to be nothing in it for them, chances are, you’ll find some interesting terms and conditions hiding behind it. The point is that there are good brokers and services out there, but you can’t believe in magic answers. Always do research and beware of flashy ads or promises. Instead, look for real results, proof, and reviews from other traders. 
  5. Patience is key: Some beginners rush into trading with high strung hopes and dreams, and there’s nothing wrong with this, but you need to know that success takes time. It doesn’t come overnight. Trading might be more difficult than you think and it may take longer to reach your goals than you initially planned, but this isn’t a reason to give up. Think about what it takes to become a doctor or a lawyer, or to accomplish any other big goal in life. You can become a trader in a heartbeat, but you have to earn your way to the top, just like in any of life’s other big ventures. So, keep calm and know that you will meet your goals, as long as you don’t give up on your trading dreams.

The Bottom Line

There isn’t a magic answer to making it as a forex trader, so you shouldn’t waste your time believing in false promises that come from scammers. Instead, start with a good education, know what to watch out for, trade with a purpose, and don’t give up if things seem more difficult than you expected. If trading were an effortless way to get rich, there would be a lot more traders in the world. Fortunately, you now know some of the best insider secrets that can help you get off to the best start as a newbie forex trader. 

Forex Basic Strategies

The Secrets Behind Successfully Playing the Percentages Game

The devil is in the details, they say, so sometimes it’s important to take a step back and look at the big picture – something that is surely as true in forex trading as it is in other aspects of your life. It just might be these details that allow you to succeed in profiting while playing the percentages game.

It doesn’t matter what kind of trader you are, whether you love Fibonacci or Japanese candlestick patterns or if you have concocted your own system; it doesn’t matter if you trade on the one-minute chart or the daily chart; it doesn’t even matter if you’re a chart watcher or if you log in for fifteen minutes every couple of days – in all these scenarios there is one rule that applies to everyone. And that rule is that you will win some trades and lose others.

High-Percentage Trading

So, if you’re smart enough to take a step back and look at the big picture, you will realize that the name of the game is minimizing your losses (and not just bad trades but how much you lose when you do lose) and maximizing your gains (making sure that when you do win, you win big enough to reliably and consistently make money from trading). Sure, that sounds simple enough doesn’t it? But let’s put it like this, say you make ten trades over a given period, and out of those ten, you win on six and lose four. Well, you’re winning more often than you’re losing but are your wins outweighing your losses? But how do you get that down to three losses out of ten and how do you make sure your losses are small while maximizing your wins? If you can work that out, it’ll set you apart from the hundreds of thousands or even millions of unsuccessful traders out there – that’s what sets the pros apart from the amateurs.

But here’s the catch. Every time you go into a trade, you are convinced it’s a good one. Even if you’ve done your homework, put in the research, done the technical analysis or even if you just have a great feeling about this one – you never know in advance which trades are going to be the losers. If you did, you wouldn’t enter them and you’d probably be a millionaire almost overnight. Let’s put it like this, if you ask any trader out there right now if they can win every trade they enter, they’re going to answer that, of course, you can’t. Nobody wins every trade. But then if you ask the same trader how they feel about the trade they’re currently in, they’ll tell you they’re sure this one will be a winner.

Beginner Woes

We’ve all been there when we started out. We’ve watched video tutorials, learned about a few basic indicators, picked out a strategy online and we think we’ve learned so much. But a little knowledge is a dangerous thing. In forex trading, it can be deadly. We jump in and we inevitably get burned. We didn’t understand risk, we didn’t understand how to manage our money, we probably didn’t even understand some elemental basics, like how you can get burned when the price gaps below your stop. We probably got caught up in our own emotions or the adrenaline kick of trading and we got humbled by our losses.

The forex markets are open 24 hours a day for five and a half days per week – that gives you a lot of time to show how little you know and how many mistakes you can make. In short, it’s a lot of time to make an idiot of yourself. You can easily start trading out of boredom. Lots of people become hooked on the adrenaline of trading and end up entering bad trades. Adrenaline is deadly for forex traders. You need to be in control of those impulses and watch out for those times when your brain is calling out for stimulus. Introverts have the opposite problem – they will spend all their time second-guessing every move. Probably to the point that they will miss a bunch of good trades (which doesn’t, by the way, guarantee that the trades they eventually enter will be winners).

There are so many common mistakes people make that it is worth listing a few of the main ones because some of you reading this will still be making them:

  • Trading without a plan and without knowing or assessing the risks before you enter a trade;
  • Breaking the rules of your plan (be careful with this one because, at the moment, your brain will be able to come up with any one of a million justifications that will seem sensible and rational at the time);
  • Getting attached to or over-focusing on one particular currency pair – sometimes when you think you’ve found a winning combination you stick with it well past its use-by date;
  • Staking more and more on the next trade in the hope that it will win big enough to recover your past mistakes;
  • Failing to incorporate lessons learned into your trading and repeating past mistakes.

Trading by the Numbers

And that’s the crux of high percentage trading. Every component of your system needs to be well designed so that every trade is well planned out to minimize the number of losing trades and, when those trades do crop up, to minimize how much they set you back. The flipside is that you are also working to ensure that when you do win, the wins are handsome enough to outweigh the winners. And this needs to be deliberate and systematic enough that you can rely on it almost automatically so that it overrules your own psychological and emotional state.

If you want to improve the winning percentage of your trades and apply a high-percentage trading strategy, there is really only one approach. You have to design your trading system in such a way to eliminate the mistakes and traps amateur traders fall into.

So, how do you do that?

You could do a survey of successful, experienced traders out there and ask them what are their top five strategies for improving the percentages of their trading. And you would get a bunch of different answers out there – from the psychological and philosophical to the technical and procedural. But every last one of them would have on their list some version of the below components. Every successful trading system will incorporate these four things to ensure it maximizes its wins and cuts back on losses: timing (when to trade and when not to); currency pair selection (knowing which pair to trade, when and why); trade management; and risk management. If your system incorporates these four things and does so in a rigorous, well-planned, thoroughly tested manner, you are well on your way to avoiding the pitfalls that burn so many amateur traders.


Planning your trades to coincide with those times when there are energy and movement in the market (and, conversely, avoiding those times when the market is flat) is one of the key skills in forex trading but also one of the most difficult to master.

It can’t be repeated enough that knowing when not to trade is just as important as knowing when to trade – also known as you can’t lose if you don’t play. When the market lacks strength and momentum for reliable trends to emerge, it is too random for consistent trading. In short, it is too unpredictable and you will get caught out without even knowing why it happened. Using a set of skills and tools that you have thoroughly tested in advance and that you know inside out is key to identifying those times when volume and volatility are on your side. And when they are not.

Even in a regular 24-hour cycle, there will be times when it is a good idea to trade and times when it is a bad idea. The world is a global place now and forex trading is a global activity. People who are just starting out are simply not tuned into this and think that the 24-hour cycle means that they can trade whenever is convenient for them. If you want to rise above that, at the very least you need to have these facts buried somewhere in your trading brain so that everything you do is done with an awareness of that. Because at certain times there will be a higher volume of trading and volume means liquidity.

With a higher level of liquidity, the market will be less erratic and more predictable. So you need to know which times of the day are better for volume and liquidity because those times will be your sweet spots for trading. The best of these are the overlaps between the sessions and, of those, the best one is easily the overlap between the European Session and the American session. That is usually the time of day at which the markets are most liquid because European markets are still open and American markets are just coming online.

Conversely, there are also times during a 24-hour cycle when it is a bad idea to trade. Think of these times as areas to avoid – almost at all costs – because the volume of trading will turn them into choppy and unpredictable nightmares. These times are the early and late Asian session, as well as the Sunday night session.

Of course, you’ve got to remember that these are low energy periods on an ordinary day. This could change if there is a significant news event that crops up during the run-in to these periods that turn up the volume on them because everybody jumps in to take advantage of the news that’s just been announced.

Which brings us neatly to the other critical item on your timing checklist: the news cycle. You need to get on top of the regular news cycle for the currencies you’re trading. This needs to become part of your trading day and part of your research and analysis. You can’t possibly account for unexpected news events – that’s why they’re unexpected – but you do need to be dialed into when the regular news events come around and have a good sense of how they’re going to affect the currency pairs you’re looking at.

These regular news events include announcements by central banks, national GDP reports, and other economic announcements by governments and the major financial institutions. The good thing with these kinds of news events is that there is a regularity to them, which means that you can go in and cross-reference past events with price movements. This is a useful activity to invest some time into because it will give you a better sense of how these announcements impact the markets so you can be better prepared for the next time they come around.

The best way to keep track of upcoming news events of this kind is to have a calendar set up with alerts giving you plenty of notice for each event. If you do this, you can update and modify this calendar as you incorporate new events and new currency pairs, which means it will evolve over time and become a better and better guide to timing your trading. The other thing to remember is that news events will affect the relationship between currency pairs, so if you are looking at, say, CAD vs. NZD, you need to be on top of the news events affecting both of these currencies. And in addition to that, you should probably keep an eye on USD and EUR news too because some of the bigger news events might ripple out to affect other currencies.

The final piece of the timing puzzle is a combination of discipline and psychology. If you know in advance that you are prone to idle chart-gazing, you might be one of those people who’s going to want to avoid being logged into your system during times when you know liquidity will be low. The danger you are trying to evade here is the temptation to trade out of pure boredom. You know it happens and it can happen to you. You stare at the screen, watching those little candlesticks take shape and your brain starts to convince you that a particular trade might be a good idea. This is the absolute worst thing you can do – as you well know – so a good way to cut down the chance of it happening at all is to help yourself exert some self-control by avoiding those times of day when you know trading volumes are going to be low.

Choosing Your Targets

Once you have organized your timing, built up a calendar of regular news events, worked it around your lifestyle and schedule, you are ready to start picking out what pairs to trade at any given time. Trading the correct pair of currencies at the correct time is a key way to improve your win/loss ratios. It can’t be overstated that the best pair to trade is where one currency is going up the most and the other is going down the most. If you’re focusing on a currency pair where both currencies are static, you’re doing it so wrong it is now time to go all the way back to the drawing board.

So part of your trading routine has to be identifying the relative strength and weakness of currency pairs during a given trading window. How often you go through this process is down to you and should be tailored to your specific trading style but we recommend that you go through this analysis at a minimum of twice a week. This will give you a watchlist of currencies to zero in on during the trading window and you can even set alerts for possible entry points.

The only thing you can base this on, ultimately, is how the currencies have performed over the recent period. There are no crystal balls so you will have to stay on top of the recent performance of the currencies you are trading and evaluate their relative strengths and weaknesses. One way of doing this is to look at currency baskets and apply that approach to your trading. You will need to be aware, however, of how these baskets are weighted because that will also affect the information they’re giving you. The most famous currency basket is, of course, the dollar index (USDX), which combines six of the majors and rates them against the dollar. But, you do need to know that the USDX is very heavily euro-weighted, with the other currencies very much taking a backseat. So, USD vs. CHF movements, for example, will not really affect the USDX since the Swiss franc is only weighted in at three and a half percent (the euro, by contrast, makes up around 58 percent of the index).

Once you have identified the currencies that you are confident will be relatively strongest and weakest during the trading window, you will have generated a watchlist to focus on. Combined with your trading schedule and news event calendar, you have now narrowed the field to a few currency pairs, and the times at which trading them will be optimal. This is already so many steps beyond how amateur traders approach trading and frees you up to concentrate your system on finding the right setup for these pairs.

Chart Setup

This is where the fun begins. You’ve invested your time into identifying when to trade those pairs that you have determined are going to be the strongest and weakest in relative terms, now it is time to put your technical analysis skills to work. Boiled down to its most fundamental meaning, technical analysis is the set of tools, indicators, and procedures you have developed to help you identify a trade entry point. This is the part most inexperienced traders jump straight into, completely ignoring everything else we’ve been discussing here. The area where beginners and amateurs tend to flounder is that they ignore the rules of their own setup.

A setup is, after all, basically a checklist of conditions that have to be met before you (and the system you have developed) say it is ok to trade. The reason you have a checklist in the first place is that you want to cut down on all those things that are going to lead you time and again into losing trades: guesswork, emotional responses, rash decisions. If you can eliminate these and instead follow a system that you have tested and tweaked over time and that you are confident will churn out a positive ratio of wins vs. losses, then you are well on your way to becoming a successful trader.

Conversely, you need to be able to stay in those trades that are going your way for as long as possible in order to make sure you are getting as much out of them as you can. This is trade management and it is crucial to your success as a trader.

Now, one way people maximize their profit while keeping their losses low is to use an automatic trailing stop that tracks behind the price by a set number of pips. This is a legitimate technique but you should also be aware of its drawbacks. The main one of which is that while the trailing stop will track the price as it trends in one direction, it will never track it in the other, which makes this whole approach vulnerable to pullbacks and could see you knocked out of a trade before it matures.

An alternative approach is to peg your stop/loss to an indicator that is going to see you through to the end of a whole price movement. For example, you could enter a trade and have your stop fixed at X pips from the trade entry point. You would then only move it up once the price has gone up X number of pips so that your new stop is at the break-even point. From here you could peg your stop to the parabolic SAR so that you move it up every time your indicator generates a new dot on your chart. If you’re in a reliable price trend, this method will see you through it to the point at which the SAR hits the price, which is the most likely endpoint for that movement.


Assessing whether the risk you are taking with a trade against the potential rewards you can reap is the final key component of high-percentage trading. You need to have a definitive plan in place to cut losing trades quickly and for an acceptable loss, while maximizing the profit you take from winners to ensure that your gains outweigh your losses. In short, if the rewards do not justify the risks, don’t trade.

But remember, staying out of those bad trades is just part of the equation. Go back to the ten trades we discussed earlier on in this article. Each time you trade you are only getting into those trades you think will work out for you, where you think you’ve done your homework to the best of your abilities and where you think you did everything right. But, as we know by now, some of them will fail and, going in, you have no idea which ones. So you need to have a plan in place to get your capital out on time and having lost as little of it as possible. 

Position sizing should also be something for which you have worked out and systematized to the point where you have a way of calculating the stake on each trade based on clear and detailed criteria. This is key to managing risk and is going to have an impact not only on each individual trade but on your whole portfolio.

One technique you can introduce to your approach to position sizing is scaling in. This is where you split your trade entry into stages, only committing part of your capital at each stage. Say, for example, you have a trade entry signal on a given currency pair. Rather than committing all of your capital in one go and hoping your stop doesn’t get blown out of the water, you could commit one-third of the amount you intended to risk on this trade and see how it performs. If it performs as predicted, you can then begin committing the remaining two thirds in separate installments. You can even go in with a slightly looser stop/loss order on that initial third, given that you are risking a smaller amount. This gives you a bit more leeway to see how the movement is going to pan out without your stop/loss getting crushed in a nasty pullback.

Whether you choose to scale in your trades or deploy any other position sizing technique, the name of the game here is to make sure you have a deliberate, well-planned approach to managing how you commit capital to your trades. Because risk management is not only about eliminating those trades you do lose, it’s also about making those losses acceptable.


So the last thing to say is that you should never rest on your laurels. Yes, all of the components of high-percentage training that we talked about here are supremely important and yes you should incorporate them all into your system if you want to improve your trading outcomes. But even once you’ve done that you can’t expect to just sit back and reap the rewards. You need to use this as a springboard from which you will embark on a journey of constant progress. You will need to focus on your trading system and on yourself because that’s the key to evolving and becoming a better trader in the long-term.

So take this opportunity to build a trading system that incorporates all of the elements that were outlined here, build on it, develop it, research new tools, techniques, and indicators. Test them out individually and test out how they work when integrated into your system as a whole. Make sure that you test the historical validity of your system and all of its components but also plug it into a demo account and take it through a run of forward testing. As well as being the only way to ensure that everything works as you intended it to, testing can also do wonders for your confidence when entering into trades because you can feel that whatever the outcome, you have procedures in place to either minimize the loss or maximize win.

Forex Basics

Give Me 10 Minutes and I’ll Tell You Four Startling Forex Secrets

Forex trading has become more popular recently as more people ditch their desk jobs to become full-time professional traders from the comfort of their own homes. Whether you’re considering taking up trading or already trading in your spare time, your decision could be life-changing. However, there are some industry secrets you’ll need to know to have the best chance at success. 

All Brokers Aren’t Trustworthy

It is a proven fact that some forex brokers cannot be trusted. Hidden fees, high spreads, insane withdrawal charges, complicated withdrawal guidelines, and customer support agents that are almost impossible to reach are a few common examples of shady practices that hurt traders. Fortunately, there are ways to ensure that you are choosing a trustworthy broker so that you don’t fall victim to this problem. Here are a few tips for making sure that a broker is legitimate:

  • Check the broker’s website for a regulation status. Being licensed and regulated by a government body is the best sign that a broker is legitimate.
  • Research any potential options and look for comments from real people. Take these with a grain of salt, as some may be angry that they lost money from their own mistakes, but multiple comments about the same problem shouldn’t be ignored. 
  • Check out the website to see if it is transparent. All information about funding methods, fees, and more detailed information about the company should be posted on it. 
  • Reach out to customer support to see how quickly they respond and what type of attitude the agents have. Even if LiveChat is available, agents might not be standing by as advertised. You’ll also want to check for professionalism when speaking with an agent. 

Most Traders Fail

Another disappointing fact about forex trading is that most traders fail. Around 80% of traders wind up losing money in the end. We don’t list this fact to deter you from trading altogether, only to drive our readers to become more educated before starting a forex career. The main reason why these traders fail is that they are not prepared enough to start trading. You need a solid education and an in-depth understanding of more complicated trading topics. A good strategy, understanding of risk management, and being well-educated will help you to become one of the traders that go on to succeed. 

Don’t Trust Every Signal Provider

Many websites market signals, indicators, and automated trading systems that can supposedly predict market moves with certainty or that are guaranteed to turn a certain profit. While some of these products work, many don’t. These companies want you to pay for their products, and if they don’t work, you’ll wind up losing even more money using them. These companies will never give you your money back and will instead blame you. All signal providers aren’t bad, but you need to be looking at proven results over years rather than weeks. Also, look for providers that have a good track record, whether they are a company or an individual trader. Don’t rely on forex robots thinking that they are the answer if you’re a beginner, always make sure you understand how the product works so that you’ll know when to interfere or stop using it if it proves to be a mistake. Using too many indicators on your chart can also lead to issues where a trader is tricked into thinking their trading decisions are based on enough information to be guaranteed winners or where a trader has too much information to analyze at once, which results in delayed decisions or failure to execute trades altogether.

Know About Dealing Desk Brokers

Often times, the best spreads are associated with dealing desk brokers. These brokers trade against you and make money when you lose. In some cases, this can lead to dealing desk brokers to manipulate prices and your deals. Many traders prefer brokers with STP or ECN execution for these reasons.

The Bottom Line

We’ve covered a few important forex secrets that have the potential to affect your trading career. Here’s a quick summary of what we’ve learned:

  • Some brokers are trustworthy, while others aren’t. It’s important to do thorough research to ensure that a broker is trustworthy before opening an account with them.
  • Many traders prefer STP or ECN execution over trading with a dealing desk broker. 
  • While around 80% of traders lose money trading forex, the problem usually stems from a lack of proper education and understanding of the market.
  • Signals, indicators, and trading robots are not the magic answer to trading success. In many cases, these products will actually cause you to lose money. 
  • Using too many indicators on your charts can lead to analysis paralysis or cause you to become overconfident when making decisions. 
  • There are good signal providers out there, but it is impossible for these providers to “guarantee” you will achieve a certain profit. 
Forex Basics

What No One Else is Telling You About a Real Trader’s Daily Routine

What’s the secret to trading success that you won’t read about in books or won’t even hear mentioned too often?

It’s kind of funny but there are some things traders almost never talk about – even among themselves – but when you start to quiz them about these topics, they actually love talking about. They just somehow don’t seem to bring them up on their own. Well, one of these topics is a trader’s daily routine. You’ll never hear a trader start talking about their daily routine and the number of people talking about this versus just about any indicator or trading tool is vanishingly close to zero. And yet, if you ask an experienced trader about their trading routine, you may as well settle down for the long haul because they can talk about this sort of thing for hours and go into great detail.

In fact, we recommend you do talk to more experienced traders about this because the amount of things you’ll be able to learn is equivalent to a small goldmine of knowledge and hints and tips. And the beauty of it is that this is the sort of stuff you’re never going to learn about in books and that nobody really talks about on the forex internet. Instead, most traders sort of work this out by themselves, usually over many years of trial and error. And both the trials and the errors can amount to a painful learning curve that will not only leave you stressed out and dissatisfied, it could also cost you potential gains.

But ultimately, having a well-worked out and systematic daily routine to your trading could mean the difference between being an amateur who’s just playing around with trading for a few extra bucks and a proper, professional forex trader who has made this activity into a veritable career. In other words, into someone who has committed to forex trading on a fulltime basis and is determined to see it through until they retire or – as is the case with most people who have made a genuine commitment to trading – well beyond their retirement and probably until the day they die. In many ways, at one point being a forex trader ceases to be something you do and becomes something you are.

Well, one of the steps along the way to that transition is working out a reliable and consistent but manageable daily routine. You can think about it like this: If you wanted to be a professional in any other business or walk of life, you would have a schedule of working hours and tasks that would shape every day you’re working. 

It’s different when you’re just starting out, of course. That’s when trading has an excitement to it and the adrenaline will keep you going through a lot of bumps on the road for many years. But when you’ve been doing this for many years – over a decade, say – the excitement gets worn down somewhere along the way. Thankfully, it takes a few other things with it. The stupid beginner mistakes are also gone, as are the sleepless nights or the nights spent staring at the charts. Also gone is the undercurrent of anxiety you feel about making mistakes or making the wrong decision. Instead, all of this is replaced by a steady, often repetitive, daily grind. In other words, a routine that makes trading feel more like a business.

Well, part of working out your daily trading routine is making the mental shift from thinking of trading as an activity you do on the side, to thinking of yourself and your trading as a business. And that’s not a bad thing. Making forex trading into a legitimate business – filing business taxes, managing business bank accounts, keeping track of business expenses – makes it seem like a different activity to when you’re just a lone wolf out there on your own, trying to learn how to make trading work for you.

As with any legitimate business, there are going to have to be those few things you have to do regularly and, if you want to be successful, you’re going to have to do them well. Most successful businesses will have set hours – not based on when they want to work but dictated by external factors, such as when it’s optimal to work. Say you have a small restaurant, you’re going to want to catch the lunchtime rush and the evening dinner crowd. It’ll hurt your business if you miss these peak times of the day while your competitors are taking your clientele and you’re still paying rent on the space. And you need to know when those peak times are every day so that you can plan in advance and have everything set up. It’s no good to you if your lunchtime customers are coming in but you’re still cleaning tables and getting the kitchen set up.

Most people don’t treat forex trading like a business – at best they treat it as a side-gig or, at worst, as a hobby. And most people don’t manage to make forex trading successful. But if you do want to make it work for you, you have to make that switch. Therefore, setting out a comprehensive daily routine is a huge part of becoming a truly professional forex trader. The absolute worst thing you can do is go in with no plan, no structure, and no routine. With no routine, you will inevitably end up sitting in front of your system all day long, which will have a few very negative knock-on effects. First, you will not be using that time constructively and most of it will be wasted in endless loops of, “should I trade now? …Or now? …Or now?” And not only this but you will almost certainly end up falling into the trap of over-trading – i.e. trading too often, out of boredom, or because you feel the pressure to make all the time you’re investing count for something.

In a manner of speaking, traders who focus all their energies on equities have it easy. Stock markets are only open for seven and a half hours per day, which is actually very useful. First of all, it gives you a set structure right there – your trading is limited to this window and someone else has decided for you when this window will open and when it will close. Secondly, it only gives you so many hours in which to be an idiot. This is especially useful when you’re starting out because making mistakes will be a big part of what you do. But with forex trading, on the other hand, you have almost all the time in the world to be an idiot and make mistakes because the markets are open for neigh on 24 hours per day. You can sit yourself down in front of your system at just about any time of your choosing and make a mistake. Also, you can get sucked into checking on the markets at all kinds of times of the day. Hey, we’ve all done it. It’s three in the morning but why don’t I just check the markets one more time, just in case. We’ve all been there. But thankfully, because you’re now reading this and with a bit of luck some of it’s getting through, maybe you can recognize this behavior when it crops up and avoid doing it for years on end.

Going from part-time trading to full-time is a tricky business. Your instinct is to think that now things are going to be easier because you have fewer commitments preventing you from trading. But actually, the opposite will turn out to be true – unless you have a strict routine.

Ultimately, this is a question of self-discipline. Those traders who work this out somewhere along the line – whether it is sooner or later will depend on their own personal make-up – will have a much better shot of turning their trading into a successful business. Those who never figure it out will eventually fail and be left by the wayside.

Part of the problem is the essential rhythm inherent to trading. The markets have their own ups and downs, periods of activity, and lulls where nothing is happening. There will be days – sometimes several in a row – where you simply end up doing no trading. The danger here is that you will start to get itchy fingers and will probably end up pulling the trigger on a trade or on several trades that you should have stayed out of. All because you end up feeling like that time you put in just waiting is wasted and you get eager to make up for it. Part-timers don’t suffer from this in the same way because the time they have for trading is more limited by other factors (like their day job) but it is a bit pitfall for full-time traders.

The smarter traders out there will use some of the time they spend in front of their system to run tests of tools or indicators that might end up becoming useful tweaks to their system in the future. That goes some way to alleviating that sense of wasted time.

Designing Your Routine

How you design your daily trading routine will depend on a lot on you. It isn’t entirely up to you because you won’t be able to completely avoid those times when the markets are lively or those news events that come in from time to time to give the price of a pair of currencies a kick in one direction or the other. But you will need to tailor your routine to fit with other parts of your life. Lots of traders out there have families and children and those are a good example of commitments that are external to your trading but that are ultimately more important. You will need to find a balance that works for you and enables you to still live your life the way you want and keep in mind the needs of your family.

But what do you do with those conflicts that are going to crop up from time to time? Say there’s a big news event coming up and it clashes with something else important in your life – say your daughter’s recital for example. This is where that self-discipline comes in because you are going to have to be strict with yourself. If you are a professional forex trader, you will essentially be trading for the rest of your life. That means you will likely see hundreds of similar news events and have plenty of opportunities for those juicy trades. You can get a hold of your fear of missing out and go to your daughter’s recital.

At the end of the day, if you don’t take control of your trading, your trading will take control of you. Everyone out there who has been trading for any meaningful length of time will have had this feeling like the market has begun dictating things in their life. Though you have to factor in big market events into your routine, you also have to make sure that the whims of the market and your desire to always be trading don’t start to impact your quality of life. We all got into trading because we want our lives to be better – if it starts going the other way, you need to be aware of that and you need to rein it in.

One of the ways you can begin to do that is to plan each trading week out in advance. Sit yourself down on Sunday night and go through your calendar of market events for the coming week. If you see gaps where there are likely to be quiet periods in the markets during the week, prepare some testing and research you can do during these times. In order to do this properly, you will need to be on top of the news cycle for the currencies you are trading. You can’t possibly account for the unexpected news events that will come out of the blue – that’s why they’re unexpected. But you do need to have a calendar of the regular news cycle that can become part of how you plan your trading schedule. 

Set up a calendar of regular news events such as central bank announcements, national GDP reports, and other economic forecasts made by governments and the major financial institutions. You can treat this calendar as a constant work-in-progress project. You can constantly be updating it and also you can use it to cross-reference past events so that you build up a good sense of how they affected the markets.

Plan ahead so you can be trading and taking advantage of these times when there is energy in the market as long as they fit into the schedule you set yourself.

Every individual trader will have timeslots when they prefer to be trading – some prefer to trade the European market opens, like the London open, while others prefer to trade the Asian or American opens. How that fits into your schedule will depend on your other life commitments and also the time zone you’re in and trading different peak times in market activity will affect your lifestyle so you need to be sure you are making a conscious decision about when you trade.


When you’re planning your week, you also need to plan times when you are away from your system. This is perhaps the hardest part of all. You will know after a while that there are times during the day when there is usually no real benefit to sitting in front of your system and entering trades. These are those times when the markets lose energy and become choppy and you will learn after a time when they usually happen. They can be quite annoying these periods because they usually come in the middle of the working day you set for yourself but they feel like wasted time.

This is where you can put your daily routine to work and schedule yourself tasks that take you away from trading during those quiet times. Doing this has multiple benefits. First, you cut down the chance that you will start entering trades or messing with your stops just out of sheer boredom. Second, it gives you a chance to go and do something other than trading, which will help you come back to your system with a clearer head at a time when actually entering trades is going to be more useful in any case. Thirdly, you won’t have a sense of wasted time and will give yourself a chance to make sure the anxiety this can cause doesn’t build up and make your trade out of panic.

So when you’re sitting down to plan your week, schedule some other activities during those lulls in the market to help you get through each trading day. Lots of traders will use this time to get away from the computer completely. Some use these times to run a second business, while others head down to the gym or go for a long walk. The determined traders will make use of these times to run backtesting on a technical indicator or review past trades. But all of these activities are ultimately beneficial because they stop you from spending those periods just waiting for things to pick up again and, at the end of the day, you won’t feel like that time is wasted.

The Take-Away

Planning your daily routine is one of the hardest things to figure out. In the old days, people were just left to their own devices and had to try to do it by trial and error. You’re lucky that you have read this article because even though it won’t change your life overnight, it will give you an awareness of how important your routine is to your trading. That’s gives you a chance to skip forward a few steps if you are willing and able to put some of this advice into action.

The way to design a workable routine is to treat your trading activities as a legitimate business, with office hours, daily tasks, weekly schedules, and proper planning. Doing this will help you to cut down on those usually terrible trades made out of boredom, out of panic, or for other emotional reasons.

Not only will your trading improve, but your life outside of trading will also improve. You will have to be strict with yourself but every time you are, you will be exercising your self-discipline muscle. In the end, this will make you more effective and ultimately more successful.