Forex market is open 24 hours a day. It provides a great opportunity for traders to trade at any time of the why forex is great opportunity or night. However, when it seems to be not so important at the beginning, the right time to trade is one of the most crucial points in becoming a successful Forex trader. So, when should one consider trading and why?
The best time to trade is when the market is the most active and therefore has the biggest volume of trades. Actively traded markets will create a good chance to catch a good trading opportunity and make profits. Live Forex Market Hours Monitor:Reviewed, improved and updated on August 24, 2012. USD currency pairs would give good results between 8:00 am and 12:00 noon EST when two markets for those currencies are active. At those overlapping trading hours you’ll find the highest volume of trades and therefore more chances to win in the foreign currency exchange market.
Market Hours Monitor to identify trading sessions. If you haven’t chosen a Forex broker yet, we recommend Forex brokers comparison to aid your search. Download Free Forex Market Hours Monitor v2. This is a simple program aligned to Eastern Standard Time. Time zone option is added for most of North American and European countries. Forex trading is a high risk investment. All materials are published for educational purposes only.
The Authority’ on Price Action Trading. In 2016, Nial won the Million Dollar Trader Competition. Poor target placement, lack of experience, greed, arrogance and stubbornness are all issues that can cause traders to not take profits off the table. I appreciate this article may conflict with some of my core beliefs and teachings on taking profits since typically I encourage people to aim for a 2 to 1 risk reward or greater and to set and forget stops and targets. In today’s article, I am going to go over protecting open profits, and how to know when to take the money and run and trust your gut, and several other tips that will help you start booking profits and building your trading account as a result. Should you take the money and run?
How many times have you gotten up a huge profit in a short space of time because the market popped in your favor right away? The way you do that is by trailing your stop loss close to the current market price, after the big move in your favor. But Nial shouldn’t I just set and forget like you teach? Well, there is a time for set and forget trading and a time for actively booking profit, and that is the point of this lesson. We are all trying to make money from trading, so when you get up a big profit fast, it’s time to start thinking about booking it. In this scenario, you should also consider booking profits when they’re there.
This chart was in a trading range and we see a pin bar buy signal formed near the bottom of the range. Now, in this scenario, it’s obvious you would look to book profit near the resistance of the range, but you would be surprised how many traders don’t. Now, if there is a strong trend and a clear breakout within that trend, you can look to trail your stop loss below or above a logical key or near-term level. You don’t want to hold onto the trade if the market comes crashing back through a level it just broke out from, this could end up being a false breakout, leading to a loss. When you’re trade is up 2R or 3R and you don’t take the profit because you are only thinking about the profit you MIGHT miss out on if you close it out here, you are being greedy and illogical. The culprit is getting emotionally attached to your positions, you feel like if you close it out for a profit you’re somehow cutting your potential to make money.
However, once that profit is gone, it may never come back! Especially in the situations like those mentioned above, you need to book the profit when it’s there. Ideally, before you enter the trade you will have some idea of your profit-taking strategy. If you are trading a volatile market that’s making large swings in either direction, be looking to book profits after big moves, don’t wait for the opposing swing to happen again and wipe you out.