There are many different types of trading strategy in the financial world. Trading strategies tend to vary from traders to traders. Most of the novice traders in the financial world tends to focus on indicators based trading strategy. They simply jump into the online trading world with a strategy which is developed based on indicators. If you observe the retail traders community then you will be surprised to see that most of the traders in the world focuses on indicators. But trading the financial based on indicators reading is not recommended at all. Indicators should be your helping tools in trading it should never be your price assets for trading. If you look at the professional traders than you will see most of the professional traders are using price action trading strategy in the market. Price action trading strategy is based on raw price data in the market and the professional traders use the key support and resistance level in the market to trade the price action confirmation signal. If you are relatively new in trading then you might be thinking that indicators are the best way to trade the financial assets but over the period of time you will gain experience and see the key benefit of using price action trading strategy. In this article, we will discuss why price action trading strategy is so much popular among the traders.
Dollars slips lower as U.S wage falls in the economy
There has been a massive chaos in the global market in the last week as the investors were in doubt about the next movement of the green bucks. Though the dollar tried to recover some of its losses against its major rivals in the global market but eventually bearish took control of the market prior to market closing. There has been a strong negative U.S consumer sentiment in the recent days Mr. Trump failed to keep his promise as the newly elected president of U.S. After the U.S presidential election held on 8th November 2016 he stated that fiscal spending will be increased and tax cut policy will be implemented soon to ease the sufferings of the U.S citizen. However, three months have been passed there has been no initiative from the Mr. Trump to keep his promise and most importantly he has been creating extreme sentiment into the consumer’s mind. If things continue to go like this than there is strong chance that we will see a long-term weakness in the greenbacks. Due to the recent weakness of the green bucks, the Aussie dollar has broken a critical bearish trend line in the market which clearly impose a threat on the dollar bulls.
How to use your trading platform like the professional trader
There are many different ways of trading the financial instrument in the world. Trading strategies and trading environment greatly vary from traders to traders. All the professional traders always make sure that they have a clear understanding about their trading platform since it helps them to perform the technical analysis in the forex market. Most of the novice traders struggle hard in the early part of their trading career since they don’t know how to trade the market properly. Even there are some traders who often don’t know the perfect way to use their trading platform. But if you truly want to become a professional trader in the forex market then it’s extremely important that you learn how to trade the market with your trading platform. There are many different types of a trading platform in the forex market but Metatrader 4 is considered to be the most popular trading platform both in the professional and novice traders’ community. If you truly want to become professional forex traders then it’s extremely important that you know the most important features of the mt4 platform so that you can take the best possible trade in the market. Let’s discuss some of the amazing parts of this platform which will enhance your trading performance to a great extent.
Technical analysis on USDJPY, AUDUSD and EURGBP: 22th January -27th January
USDJPY technical analysis: 22th January -27th January
In the last trading week, the USDJPY pair dropped initially but the pair managed to recover in the final part of that last trading week. The pair dropped to 112.56 level and the pair rebounded from this critical support level. For the next trading week, the initial bias for this currency pair is bullish. We might see a test of 115.62 resistance level this resistance level is also the 50 % Fibonacci level (swing high 15th December 2016 to sewing low 17th January 2017) .which might restrict the upside trend. If pair manages to break this resistance level then we might see another bullish run in the currency market. The pair might hit the next resistance level at 116.32 which is the 61.8% Fibonacci level for this currency pair. If we look at the chart there is not much resistance after 116.32 level so if buyer manage to break this level we might see a strong bluish run in the market. Many professional traders’ looks forward to buying this pair if pair manages to breach the 61.8 Fibonacci level then The price might touch the top price of this currency pair which is at 118.60 level.
Price of gold edging higher in the New Year beginning
There has been a massive confusion into mind of gold investors in the last year as the price of yellow metal sank into the market due to the intense heat of the green bucks. Most of the gold investors were overly cautious about the gold price since it was breaking critical support level one after another. The price of gold is measured in the dollar so a slight variation in the value of the green bucks significantly impacts the gold market in the global community. The U.S dollar gained its first bullish momentum in the market on 8th November during the U.s presidential election held on 2016.Mr. Trump becomes the newly elected president and gave the dollar its first strongest boost in the year by stating that they are going to increase the fiscal spending and going to inaugurate tax cut policy in the near future. Such an optimistic statement from the newly elected president created extensive positive consumer sentiment and push the green bucks higher in the global market. On that event the price of gold sharply dropped in the market as the weight of the green bucks was significantly heavy in the global world.