"Advantage" in Forex
Somedays ago when I was reading an article about forex, a question came into my mind. Only a little percentage of people in forex succeed and make consistent profit. So how do these people take advantage in forex and the others remain unsuccessful. How do we gain an advantage so that we can make profit. I dont think that they are using anything special to make this profit. They are using the same strategies but maybe with something extra. I can divide forex analysis into 3 types.
1- Price action. Widely used but not wisely used by many. In theory it is very successful, but we cannot gain "advantage" over others by using it.
2- News. Some people use news to analyse the direction. But again, It is not much useful bcoz price does not depend solely on it.
3- Technical indicators. There are so many indicators that a winning combination is very hard to find out and requires luck + in depth knowledge of using these indicators. I think technical indicators may be helpful in getting advantage but a winning combination of indicators is required.
What do you think about it? Is it only me who is trying to get advantage over other traders or you r trying too?
Stick to your rules
Originally posted by uniquetraderSomedays ago when I was reading an article about forex, a question came into my mind. Only a little percentage of people in forex succeed and make consistent profit. So how do these people take advantage in forex and the others remain unsuccessful. How do we gain an advantage so that we can make profit. I dont think that they are using anything special to make this profit. They are using the same strategies but maybe with something extra. I can divide forex analysis into 3 types.
1- Price action. Widely used but not wisely used by many. In theory it is very successful, but we cannot gain "advantage" over others by using it.
2- News. Some people use news to analyse the direction. But again, It is not much useful bcoz price does not depend solely on it.
3- Technical indicators. There are so many indicators that a winning combination is very hard to find out and requires luck + in depth knowledge of using these indicators. I think technical indicators may be helpful in getting advantage but a winning combination of indicators is required.
What do you think about it? Is it only me who is trying to get advantage over other traders or you r trying too?
You think too much unique. Getting an advantage means win/loss ratio of at least 51:49(rounding up). Any system, strategy etc having a winning percent of above 50 is said to be at an advantage. You wrote about 3 systems. In my opinion any system used wisely and successfuly will bring profitability in long term. There is no such system that can guarantee short term (each day or week) profitability.
Originally posted by uniquetraderSomedays ago when I was reading an article about forex, a question came into my mind. Only a little percentage of people in forex succeed and make consistent profit. So how do these people take advantage in forex and the others remain unsuccessful. How do we gain an advantage so that we can make profit. I dont think that they are using anything special to make this profit. They are using the same strategies but maybe with something extra. I can divide forex analysis into 3 types.1- Price action. Widely used but not wisely used by many. In theory it is very successful, but we cannot gain "advantage" over others by using it.
2- News. Some people use news to analyse the direction. But again, It is not much useful bcoz price does not depend solely on it.
3- Technical indicators. There are so many indicators that a winning combination is very hard to find out and requires luck + in depth knowledge of using these indicators. I think technical indicators may be helpful in getting advantage but a winning combination of indicators is required.
What do you think about it? Is it only me who is trying to get advantage over other traders or you r trying too?
It is hard to set a general priority that which strategy is better and which one is not. So any of the 3 system can work for you. It depends on your trading style. There is no "predefine successful" thing in forex. There is high possibility that a strategy working for someone will not work for you. So to get an advantage, you need to research for some years. Maybe you can find out how big guys trade and become successful.
It is hard to set a general priority that which strategy is better and which one is not. So any of the 3 system can work for you. It depends on your trading style. There is no "predefine successful" thing in forex. There is high possibility that a strategy working for someone will not work for you. So to get an advantage, you need to research for some years. Maybe you can find out how big guys trade and become successful.
I think we can prioritize the strategies based on their popularity. In my opinion price action is the most popular strategy. It is easy to understand as compared to other so called analytical strategies. But you r right that it varies person to person.
It is hard to set a general priority that which strategy is better and which one is not. So any of the 3 system can work for you. It depends on your trading style. There is no "predefine successful" thing in forex. There is high possibility that a strategy working for someone will not work for you. So to get an advantage, you need to research for some years. Maybe you can find out how big guys trade and become successful.
I have not said anywhere to prioritize them in general. I said that how do "YOU" think is the best way to become successful in trading. Which method do you prefer?
Stick to your rules
I have not said anywhere to prioritize them in general. I said that how do "YOU" think is the best way to become successful in trading. Which method do you prefer?
If you ask me then I will go with price action. I really like it.
If you ask me then I will go with price action. I really like it.
So you think price action is the best thing to take advantage in Forex? Why do you think this way?
Stick to your rules
Originally posted by uniquetraderSomedays ago when I was reading an article about forex, a question came into my mind. Only a little percentage of people in forex succeed and make consistent profit. So how do these people take advantage in forex and the others remain unsuccessful. How do we gain an advantage so that we can make profit. I dont think that they are using anything special to make this profit. They are using the same strategies but maybe with something extra. I can divide forex analysis into 3 types.
1- Price action. Widely used but not wisely used by many. In theory it is very successful, but we cannot gain "advantage" over others by using it.
2- News. Some people use news to analyse the direction. But again, It is not much useful bcoz price does not depend solely on it.
3- Technical indicators. There are so many indicators that a winning combination is very hard to find out and requires luck + in depth knowledge of using these indicators. I think technical indicators may be helpful in getting advantage but a winning combination of indicators is required.
What do you think about it? Is it only me who is trying to get advantage over other traders or you r trying too?
Whichever strategy you choose, it will only bring advantage in the forex if used by a few people. If most of the traders start using it, then it will no longer be an advantage. There is no thing like "winning strategy" in forex. Even if it exists, it will automatically be a loosing strategy soon, coz most of the people will start using it.
The good or ill of a man lies within his own will. – Epictetus
Originally posted by uniquetraderSomedays ago when I was reading an article about forex, a question came into my mind. Only a little percentage of people in forex succeed and make consistent profit. So how do these people take advantage in forex and the others remain unsuccessful. How do we gain an advantage so that we can make profit. I dont think that they are using anything special to make this profit. They are using the same strategies but maybe with something extra. I can divide forex analysis into 3 types.1- Price action. Widely used but not wisely used by many. In theory it is very successful, but we cannot gain "advantage" over others by using it.
2- News. Some people use news to analyse the direction. But again, It is not much useful bcoz price does not depend solely on it.
3- Technical indicators. There are so many indicators that a winning combination is very hard to find out and requires luck + in depth knowledge of using these indicators. I think technical indicators may be helpful in getting advantage but a winning combination of indicators is required.
What do you think about it? Is it only me who is trying to get advantage over other traders or you r trying too?
I will choose technical analysis. Even though I have no experience of using it. But I think the best way to interpret the results is techincal way. It will give us much better idea than price analysis. Or maybe using technical analysis + price action can be a better idea.
Lets have a closer look at these strategies. Let me define some trading strategies that can help you in defining "advantange".
ok assume that I am a profitable scalper. I am making good profit by scalping. Does it mean I am at an advantage?
Lets say I am a very good swing trader. Does that mean I am at an advantage?
Or I am a very lucky martingale trader. I make big profits. Does that mean I am at an advantage?
If "advantage" means overall profit then in all of the above cases I am at an advantage. If advantage means profiting from each and every trade then its impossible for anyone. I think you r talking about the second case (profiting from every trade). There is no such system or strategy which can bring you profit on every trade. Overall profit is possible by any system that works for you.
as you ask for strategy that you listed then i will said these all 3 strategies have almost same result in average and other thing iam a technical person so i almost focus on technical analysis with litle touch with fundamental analysis
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