There are a variety of foreign exchange trading methods, among which short-term foreign exchange transactions are more commonly used by investors, but they are usually used more by investment veterans. So is the specific short-term foreign exchange trading reliable? What are the techniques for short-term foreign exchange trading? This article will explain these two issues to everyone, and novice investors can focus on them.
Forex short-term trading is definitely reliable, but some foreign exchange black platforms are not reliable. Short-term foreign exchange trading is an emerging sector of the foreign exchange industry. Because of the low investment threshold, convenient investment, and the ability to trade anytime, anywhere, it has attracted a large number of investors. It is currently in a stage of rapid development, but this will inevitably lead to There will be some confusion.
Some lawbreakers saw that short-term foreign exchange trading was so popular, and they began to use their brains to manipulate the platform. Therefore, when some investors choose a platform, they must be pitted when they accidentally encounter this kind of black platform. For example, transactions often slip, or the threshold for withdrawal is high, or they simply do not give out gold. So this requires us to be extremely cautious when choosing a platform.
As a foreign exchange investor, while learning foreign exchange skills and improving your ability to make orders, you can first do not rush into the market, first check whether the platform you choose is a formal platform, and choose more platforms with good reputation, so that you can do your best Improve the security of our funds.
What are the skills of foreign exchange short-term trading?
First, we must adjust our mental state. Short-term foreign exchange investors need to continue to enter and exit the market, if the psychological pressure is too great, it will affect the transaction.
Second, we must understand technical analysis. The key lies in the word “understanding”. Usually investors can do short-term trading as long as they learn one day of technical analysis. They can look at trend lines, use very short-term averages, and explain the relationship between price and volume. For foreign exchange speculation, it is enough. The rest is to look at the market index and listen to the fundamental news.
Third, we must grasp basic mathematical knowledge. Know that probability is the winning factor in short-term trading. A dice with six sides is from 1 to 6. If you roll the dice for a long time, the odd and even numbers will appear in about half the proportions. In short-term trading, the rise or fall is generally evenly divided.
How to do it
- To learn to watch a 5-minute board, beginners must slowly accumulate experience. This can develop your patience. See also the 15-minute and 1-minute disks.
- Don’t worry about trading. Money is not in a hurry. Practice the basic skills, practice the skills, and increase the success rate through simulated rehearsals. Practice makes perfect. Practicing martial arts without practicing kung fu is a waste of time. Every day, every minute, every second, there is an opportunity: you will not miss a good opportunity.
- Patience is a virtue, patience is waiting, and patience is waiting for the signal to be established, the opportunity to be confirmed, and the time and position are in place.
Patience is the guarantee of success. Patience is a high standard and strict requirement, and patience is an inevitable requirement for precise and safe transactions.
- Wait for the signal to establish the hourly trading, wait for the completion of one bar, change the bar, (the progress of the five-day moving average through the bar depends on the time progress of each bar, after crossing one bar, enter the next bar) look at the five-day moving average Change the situation in place, look at the eccentricity, angle and position changes. Determine whether to buy or not.
One-third is steady, and the column is changed. When this column rises to the top or falls to the bottom, you will not buy it halfway through the mountain. Changing columns, sometimes changing directions, is like waiting for the change of traffic lights.
- Wait for position trading, do not trade without callback, wait for time and bar, just wait for candlestick to reach position, such as swash trading, wait for candlestick callback to touch or break through the 14-day moving average, when you are sure , Buy in an instant, buy in the opposite direction from the general trend.
Do centrifugation: heterochromatic centrifugation; same-color centrifugation; hammer centrifugation; pregnancy package centrifugation; cross star centrifugation. Be patient.
(2) Swash plate opening plate:
Do homeopathy: steep indicator line, main rising wave or main falling wave. The time is 5 minutes M5. Steady, place orders along (pierce through) the 14-day moving average. Aggressive, place orders along (pierce through) the 5-day moving average. Change or destroy the trend, and resolutely refrain from doing it.
- Technical indicators of swash plate
The Bollinger Band opens and the swash plate is formed. Three lines.
The 5-day moving average and the 14-day moving average cross, the golden cross or the dead cross. Golden Cha or Si Cha, up or down, combined with MACD indicator.
MACD indicator, up (or down) away from the moving average obviously grows and stretches, the trend direction is pointed out, follow the trend.
RSI indicator, angle, strong reverse, slow and gentle with the trend. Follow the general trend and go against the minor trend. Wait for the callback to buy, exchange for different color bars to buy; or buy at the card position. Bar change buying and callback buying.
Mainly look at two points:
The first is the intersection of the 5-bar (daily) moving average and the 14-bar (daily) moving average (the golden cross is up, the dead cross is down), and the direction is determined.
The second is to look at the length and speed of the MACD indicator’s bar (thin bar) rising or shrinking, to be larger than its moving average, and the trend is established and maintained. Once the bar is flat or shortened, stop placing orders, wait and see, and observe changes in the trend.
- Observe discipline:
(1) Do not go against the trend. Take this as an important discipline that must be strictly observed.
(2) No chasing orders, no overweights. Take this as a discipline to eliminate gambling and secure transactions. Chasing orders is easy to activate gambling, accept the gambling and accept the loss, and then strictly follow the standard signals next time. Chasing orders will be defeated.
Resolutely do not overweight, according to the probability, can not go up and down, stable and safe to win, don’t think about catching it back.
- Establish rules and strictly enforce them.
(1) Set transaction varieties, good quality, standard, and easy to do.
(2) Set the bargaining chip, equal transaction.
(3) A fixed number of times, the number of times to end work. Eat fish maw, certainty, certainty and safety. Specify the number of daily trading rounds, the number of transactions, reduce the frequency of transactions, and stop trading when the number is reached.
(4) Set a time and finish work at that time. The stable period is selected for the flat plate; the main rising wave and the main falling wave period are selected for the swash plate, which has large fluctuations. No overtime.
(5) Fixed profit. The maximum allowable profit limit for daily transactions is stipulated. Shut down the computer when the position exceeds the limit. When encountering a huge profit, the position will be closed and the hand will be closed.
(6) Set stop loss. Specifies the maximum allowable loss limit for daily trading. Shut down the computer when the position exceeds the limit.
(7) Trading for capital gains is not allowed. I am afraid that the psychology of the gambler will get deeper and deeper.
(8) Regard discipline as life! Discipline is life.
Quality is more important than quantity
- A successful trader is a sniper: wait for the standard signal you want before firing. Accuracy is life. If inaccurate, the less transactions the better.
- Every time you do a transaction, waiting is only a signal, not a feeling. When you plan to fire that shot (signal), you can’t put your emotions in it.
- Remember that no signal is 100%. Only placing orders in accordance with the signal will reduce the risk.
- Making money in trading does not care how many times you do it, only whether you make a profit in the end.
- The number of transactions is small and the risk is easy to control, which is conducive to improving the standard and quality of transactions and increasing the success rate. Conducive to control mentality, maintain mental balance and not imbalance.
Recommendations that must be remembered
- Centrifuge horizontally:
Including: same color centrifugation; inner centrifugation; hammer centrifugation; cross centrifugation.
Requires a horizontal disk (ie a relatively stable disk, a disk that rotates when it touches the upper and lower tracks of the Bollinger Band). The central axis should be flat, the five-day moving average angle should be gentle, less than 30 degrees, and the RSI angle should be large, greater than 30 degrees.
- The swash plate does homeopathy:
Including: Jincha Dicha; Buying with the trend; Buying at the callback position, touching the 14-day moving average.
A swash plate (opening plate, horn opening, swash plate) is required. The central axis should be inclined, the slope of the 5-day moving average should be steep, greater than 45 degrees, and the RSI angle should be gentle.
- Do five-minute trading, five-minute K-line bars. (After proficiency, you can also do a one-minute transaction.)
Change bar to buy. 4 minutes 59 seconds, or 00 seconds. One post, one order, no chasing orders, no overweights.
- Set the take-profit level, stop-loss level, and set daily odd numbers.
- Be clear-headed, calm, and strictly abide by the above disciplines.
- Transaction: safe.
Do flat signals, not unstable ones. Do not grab points, when you do not grab points, be careful to grab callbacks.
Severe fluctuation period: 2:30-4; 30 in the afternoon; 8:30-10:30 in the evening.
Be cautious when the night market is turbulent; you can do a swash plate to take advantage of the trend.
- Trend: Take advantage of the trend.
Don’t trade against the trend and be cautious about callbacks.
Gambling is the weakness of human nature, remember that the deeper you go, the mentality is unbalanced.
- Attitude: Quit gambling and calm down.
The horizontal plate is centrifuged in the same color, the hammer is centrifuged, the inner package is centrifuged, and the upper and lower rails are reversed when they touch the Bollinger Band.
Refer to the attack wave of RSI. RSI’s attack wave is acute and not obtuse. The trend is real, and the opportunity is here.
MACD looks at the general trend, not against the MACD’s strength.
- Swashplate: Take advantage of the trend and dare to do it. The two moving averages on the 5th and 14th lines cross the middle axis of the Bollinger Band. After crossing the Bollinger Band, the upper or lower rail of the Bollinger Band bends. The four lines are arranged steeply and smoothly, forming a clear ascending or descending channel and trend. Every time it touches or breaks the 14-day line is a buying opportunity point.
- Place an order: place an order by changing bars, enter the market on the hour, one bar per bar.
Chips: constant chips, the same size.
Do not chase orders. Once chasing an order, you don’t know how many orders are chased, and it is easy to fall into a contrarian trap.
Time: 5 minutes for the main work, and 15 minutes.
Variety: Only make one variety at a time.
Risk control, stop profit and stop loss, must stop after work, never do it again.
Use your bullets wisely
- Once you start trading patiently, you will slowly learn to use your bullets (funds).
- Those who are obsessed with trading, who are always on the watch all the time, may not make a profit.
A trader who makes 1 to 5 trades a day will not necessarily lose money. If accurate, if a single order is $200, the daily profit is not low.
(1) Develop good trading habits
(2) The mood fluctuates greatly, do not operate even if you are too happy or sad
(3) The network is too bad and does not operate
(4) No standard signal that you are familiar with appears, no operation
(5) The stop profit and stop loss preset by oneself are reached, do not operate
(6) Stop operating after losing 3 orders in a row, rest and adjust, and don’t chase orders madly on one signal.
(7) It is recommended to place an order not to exceed 5% of the overall position, and do not place heavy hand betting signals on small positions.
Doing short-term foreign exchange operations requires a better ability to analyze and judge market conditions than long-term operations. The long-term mainly looks at a long-term trend, while the short-term needs to grasp the small trend as accurately as possible in the large trend, focusing on technical analysis methods. For the two trading methods, investors should choose according to their actual conditions.
Regarding the issue of foreign exchange short-term trading, this article explains whether foreign exchange short-term trading is reliable, and what are the skills of foreign exchange short-term trading. It can be seen that short-term foreign exchange trading is relatively reliable, but there are two issues to consider here, that is, the formality of the foreign exchange platform and the level of investors’ own investment.