Some helpful information

[Abubakar Abu Saidu]

Want to be successful in Forex
Make a rule: when you make a rule of your self and the system is profitable the you are good to go.

1. decide on the trading strategy you are comfortable with: sentimental analysis(very risky), fundamental analysis and technical analysis. if possible combine fundamental and technical analysis all together.

Create a trading system:
 Decide on the trading style you are comfortable with- 
i. are you a trend follower
ii. a contrarian
iii. an intraday or 
iv. a long time 

2. formulate the rules of the system
i. what are the condition to buy
ii. what are the condition to sell
iii. What happens if the market moves in the expected direction and
iv. what will you do if it moves against you 
write all the rules down..

3. Text the system: the first step in testing your system is to visual inspection, scroll back on the chart and check if the system is profitable, if so, then you can test entirely with larger amount of data and on various financial instruments.

4. Back-test the system:

i. Time-frame: back test the system using different time-frame to see if the system is profitable

ii. Test in different currency pairs: back test the system over different market conditions

5. Forward test the system: once you have a clear system and its own set of rules in place, forward test before investing your money, one popular way to do this is by trading on a demo account, you will see how the system behaves in the real trading environment by testing with life prices, this will enable you to make any necessary adjustment

These are the three key's of a trading system.
i. When to open a position
ii. When to close a profitable position and
iii. When to close a loosing position

Many failed to formulate a blue print in other to realize them fully

Exercise patience.......