FOREX GUIDE FOR

BEGINNERS

THE RIGHT WAY TO START TRADING

TRADING BLOG

WHERE TO INVEST
 WARNING ON HIGH-RISK INVESTMENTS

RISK:
Online trading carries a high level of risk and may not be suitable for all investors.
Before deciding to trade, you must carefully consider your investment goals.
livello di esperienza e la propensione al rischio.
There is a possibility of losing all or part of the invested capital; therefore, one should not
speculate with capital that you cannot afford to lose. You must be aware of
all the risks associated with trading and seek the advice of a financial consultant
independent if
I have doubts.
There, where we provide generic trading ideas, market comments, or other information, these
they are incidental in your relationship with us.
This information is provided solely to allow you to make your own decisions.
investment decisions and does not constitute advice. This ebook does not provide any
certainty or guarantee regarding the accuracy and completeness of information or on the consequences
taxes on any transaction, including, without limitation, lost profits that may
derive, directly or indirectly, from the use or reliance on this information.
HOW THE FOREX MARKET WORKS
Forex is a market that is not accessible only to large investors but also to small individuals.
they can try to earn with online trading.
To do this, as mentioned earlier, they need the mediation of a Forex broker.
which usually operates online.
Broker operate through online platforms require users to open a
Account. The procedure is simple and secure, what is necessary to do is to make an initial deposit on the
own trading account whose amount varies from Broker to Broker.
Once this account is activated, it is possible to trade on Forex but also to invest in other.
financial products such as commodities, stocks, CFDs, and indices.
It should be noted that opening an account with a broker has no costs and is safe.
I remember that the deposited money has no restrictions and can be withdrawn at any time.
at no additional cost.

Tips for beginner traders

Il sogno di ogni trader principiante è quello di cominciare a fare trading e guadagnare soldi, da
suddenly. Many, in fact, go even further: they want to become rich in no time. Better
come to terms right away: becoming rich through trading is possible, but it takes
really
time, patience, commitment.
Trading is a tremendous opportunity for financial and personal growth, but to have
Success requires consistency and commitment. The first piece of advice is to always remember that trading
online is not
a game is a serious thing that can generate high profits but one must have the skills and the
the right tools.
HOW FOREX WORKS
Forex is very easy to understand; basically, it involves trading in a market made up of
currencies, and therefore not in a market made up of companies (like the stock market) and also commodities
prime.
Currencies are primarily influenced by interest rates and monetary policies.
of the central banks. You will therefore need to always be updated on financial news, and
to look at
continuo il calendario economico per sapere i possibili movimenti futuri del mercato Forex.
Currencies fluctuate, while indices and stocks obviously follow trends. Indices are
composed of companies that need to earn, the currencies must instead represent
the economy, the import-export of a country, and therefore they can fluctuate more than follow
a trend.
This makes the Forex market much more predictable compared to that of
stocks or indices. However, if you do not have the ability to trade, there are tricks such as
that of Copytrading, which allows you to replicate the trades of professionals in the markets.

THE FINANCIAL LEVERAGE

Leverage is a very important tool in online trading; its characteristic is
to give the trader the ability to trade a larger amount in exchange for a deposit
smaller, thus increasing the purchasing power of the trader.
The leverage presented in the form of a ratio: 1:100, for example, means that your
purchasing power has increased by 100 times.
The trader who deposits 1000 euros into their trading account, with a leverage of 1:100, can trade
up to 100,000 euros. High leverage essentially offers traders opportunities
that otherwise they would not have.
Small investors with limited capital can leverage financial leverage to
maximize profits. However, while profits can be maximized on one side, the same
it also happens with losses. Leverage must be managed carefully and should not
to be used continuously, especially by those who have no experience.
MARKET ANALYSIS
In this section, you will learn about technical and fundamental analysis in a simple way.
fast.
There are two types of market analysis:
Technical analysis
Fundamental analysis

Practical guide to technical analysis

This guide aims to help you easily learn the basics of technical analysis.
Cosa è, come utilizzarla al meglio per identificare le tendenze, consigli e strategie, sono solo
some of the
topics covered here.
Technical analysis is one of the fundamental disciplines for anyone who wants to invest in the markets.
financial. Without knowing the basics of technical analysis, it is unlikely that one can invest with
success.
Technical analysis focuses on studying price dynamics; it is proven that history
repeat, and it is therefore possible to predict market dynamics by studying the past. Not
yes
it focuses, as fundamental analysis does, on understanding what the right price of a stock is
financial, but rather to understand which direction the market will take, with the goal of
to earn as much as possible from buying and selling operations.
Technical analysis considers the market as a perfectly rational mechanism and
efficient, but believes that emotional factors such as greed, fear, hope are still
always
present in both demand and supply, because the market is made up of human beings who
tend to
to repeat similar behaviors over time.
Technical analysis allows you to identify entry and exit levels from the market and to be able to
so develop a trading plan.
The only goal of the trader is to try to be on the right side at the right time to
minimize losses and maximize profits.
Thanks to technical analysis, this can be possible.
What is technical analysis?
Technical analysis is one of the tools that investors use to try to predict the
fluctuations in currency prices.
Technical analysis offers investors various opportunities. For example, it includes analysis.
Fibonacci and the Elliott waves, which are based on Dow's theory, according to which the market
moves in a predictable manner, based on precise patterns.
Technical analysis is focused on reading patterns in charts and is based on the assumption that the
Past price fluctuations will occur again.
Fundamental analysis information is not considered and focus is placed on
exclusively on price charts.
Specific patterns are sought, such as the well-known Head & Shoulders inversion figures.
Shoulder) and Double Top (DoubleTop), indicators such as moving averages, or other forms,
like support and resistance lines, channels and other more complex formations such as flags
the pennant.
The Double Maximum and the Double Minimum are two ways of reading a graph.
The double bottom takes the shape of the letter W and, according to the theory, the currency will not drop to
below the two lowest points of the W.
With the double bottom, the price level is identified beyond which the currency will not fall.
It will further rise again once the support level is reached. The double top
represents what is defined as the resistance level, or the limit beyond which the currency
It should not rise.
The double top is the inverse figure of the double bottom and in fact takes the shape of the letter
M.

Once the price line forms the W, investors typically buy, while
when the currency forms an M, investors sell.
Why does technical analysis work? If a sufficient number of people draw the same line on
graph, if a sufficient number of people focus on the same level of support, then
a reaction will occur when that support level is reached. So we could
dire
that technical analysis works because the number of people who follow it is such that it makes it a
self-fulfilling trading prophecy.

The use of candlestick analysis is very common in the Forex market. The candles
it actually gives investors a quick overview of market movements in a day, a
a week, a month, or a year.
This technique dates back to the 17th century, when Japanese merchants began to use it.
for rice trading. Today, candle analysis is used for the study of
price movements, but before using it, it is necessary to understand how it works.
In order to create a candlestick chart, it is necessary to have a quantity of data that
they include opening, high, low, and closing values for each time period
what you want to analyze.

1. Opening
2. Closure
3. Body of the Candle
4. Shadow

The long and thin lines found at the upper and lower margins of the body
candles are the appendages, also called shadows. The body of the candle
represents the
difference between the closing price and the opening price. The color of the body indicates whether
Since the opening, there has been an increase or a decrease.
A long green candle represents a bullish period, that is, from the opening to the closing the
the price has risen significantly and there has been a lot of buying pressure. On the contrary, a
a long red candle indicates a downward trend, meaning the closing price was
significantly lower than the opening price and the sales have been aggressive.
In general, the longer the body, the greater the buying or selling pressure.
Conversely, a short candle indicates limited price oscillations and therefore stability.
It is also possible for the opening price and the closing price to coincide and therefore that the
the candle has no body: in this case, we talk about a Doji candle. The length of the shadows
Superiors and inferiors can vary and the resulting candle can therefore resemble a cross.
an inverted cross or at the plus sign.
Considered separately, Doji candles are neutral: they simply show that neither the
realists
the bears have managed to prevail and it is possible that a ... is developing
cambiamento.

[Link]
The importance of Doji candles depends on the previous trend or the previous candle.
In fact, after a rise (indicated by a long green candle), the presence of a Doji indicates that
Buying pressure begins to weaken. Similarly, after a period of decline
(long red candle), a Doji indicates that selling pressure is starting to decrease. The Doji
indicate that supply and demand are leveling out and therefore it is very likely that they will
it verifies a change in the trend. A Doji by itself is not enough to represent a
change and usually an additional confirmation is needed.
Candles provide significant insights that help understand price movements.
Using Japanese candlestick analysis helps investors better understand market trends.
of the market, providing more detailed information compared to traditional histograms.

How to identify trends in the market

Analyzing prices and understanding chart patterns can help investors predict the future.
price orientation. Following the trends, or trends, of the FOREX market is a
strategy
diffuse. Trends last for a very long time in the currency markets: they can
durare anche per anni. È possibile guadagnare cercando di individuare massimi e minimi su
very short basics, but it is definitely more fruitful and also less difficult to simply follow the
market trends.
How to draw the trendline?
Two points are needed to draw the line and then, after it is touched for the third time,
you will have your trendline.
Three points are needed to plot the trend line

Thinking about the concept of trend, it is fundamental to keep in mind that the subject of negotiations
they are the currencies of different countries. The countries and their respective economies are gradually improving.
or progressively worse, but there is never a situation in which a country alternates
rapid improvements and deteriorations.
This is why trends are so far-reaching.
A saying among investors goes "the trend is your friend," but the trend is a "friend".
only as long as it lasts. In fact, in trading, the use of leverage is so widespread that when it occurs
a reversal of trend, the change is indeed rapid and one must be careful.

The trend is interrupted by a strong decline

The more important a trend line is, the harder it will be to break it. No market is black and
black, trends change and identifying them is a crucial aspect of one's strategy of
investment.
Use simple moving averages
One of the technical tools most widely used by investors is the Moving Average.
Simple (Simple Moving Average). The moving average is commonly used for
smooth out short-term fluctuations and highlight long-term trends. In each
case, a
mobile media is not intended to predict variations, but to follow and highlight the trend in
The moving average can therefore show if the current price is above the average for a
determined period of days.
2 Simple moving averages shown on a candlestick chart

How is a simple moving average calculated?

It is enough to add a certain number of closing prices and then divide the sum by
what number. If done on a regular basis, a simple moving average will develop, which
it can be used to generate Buy or Sell signals. The price crosses and exceeds
that of the simple moving average - Buy signal

A buy signal is generated when the price line crosses and surpasses the line of
mobile media.
It is good to use two or three simple moving averages with different periods on the same chart. The
Investors typically use moving averages of 20, 50, and 200 days.
In fact, a Buy signal is generated even when the line of a simple moving average at
a short-term average crosses upwards another long-term moving average. In this case, we are talking about
of the golden cross (Golden Cross).
Finally, it is also possible to look at the direction of the moving average: if it is going upwards.
The trend is bullish, if it goes down the trend is bearish.

Golden cross – buy signal

The most positive aspect of moving averages is that they never create interpretation problems.
In fact, the price line is always either above or below the moving average, and this
It is undeniable. Investors often use simple moving averages in combination with
the momentum indicator to determine when to buy or sell currency pairs.
Identify trend changes (Fibonacci)
One of the most common technical indicators used in online trading to identify future
market trends is called Fibonacci Retracement. It is a principle based on a
infinite sequence of numbers discovered in the 13th century by the Italian mathematician Leonardo Fibonacci.
In practice, you start with two numbers, like one and two, which are added together to obtain the third.
numero della sequenza e così via.
One of the most interesting features of this number sequence is that each number is
approximately 1.618 times larger than the previous number. This relationship that links
each number in the series represents the base levels used in the retracement models.
In technical analysis, Fibonacci retracement is generated by taking two extreme points on a
graph (a minimum and an absolute maximum) and dividing them from top to bottom for the
Fibonacci percentages, namely 23.6%, 38.2%, 50%, 61.8%, and 100%.
Once these levels are identified, horizontal lines are drawn to identify possible
support and resistance levels. According to
investors who follow this method, large price movements tend to revert
back or reverse to one of the Fibonacci retracement levels.
The Fibonacci level of 61.8% - also called the 'golden ratio'
It is calculated by dividing a number in the sequence by the immediately following number.
For example: 21/34 = 0.6176.
The level 38.2% is obtained by dividing a number in the sequence by the second number that it
for example: 55/144 = 0.3819.
The level 23.6% is obtained by dividing a number in the sequence by the third number that follows it.
For example: 13/55 = 0.2363.

The price tends to retrace to the levels from 38.2% to 61.8% of the previous movement before
continue in the same direction. For reasons still unknown, these relationships seem to play
a
important role in the market, just like in nature, and can be used for
determine critical points that cause a product's price to reverse its trend.
Fundamental analysis
Fundamental analysis is a type of market analysis that involves examining facts.
economic, social, and political factors and their influence on financial markets.
Traders use fundamental analysis as a basis for making informed decisions about when
and how to operate in currencies, believing that the value of a currency in the Forex market is reflected
from her
macroeconomic conditions. This means that the currency of a country with a strong
the economy will have a higher value compared to the currency of a country with a weak economy.
It is important to remember that economic news as well as important political events have the
ability to trigger large movements in the Forex market.
As such, by analyzing them, you will be able to understand more clearly the possible future movements of
market.
When examining economic data on an economic calendar, you should study the results.
previous ones and those expected in order to compare them with the actual results. The movements in the market
they occur when there is a difference between market expectations - based on the results
previous and forecasted - and the actual result.

What does the economic calendar look like?

Descrizione dei principali dati economici

Interest rates
Interest rates are perhaps considered the most important factor in price movement.
in the foreign exchange market.
It is important to note that each currency has a daily interest rate set by the bank.
central of the nation.
Lower interest rates can cause a weakening in the value of a currency.
Nation and higher interest rates can cause the strengthening of a currency.
If a country's central bank decides on higher interest rates, this will increase the
returns from holding the currency; consequently, the currency will become much more attractive to
keep in
wallet is counterbalanced against its counterparts. As a result, its value will rise.
On the contrary, if a country's central bank lowers the interest rates of a nation, this
will make the currency much less attractive to hold.
As a result, its value will decrease.
Growth indicators
The growth indicators show the state of a country's economy.
If the indicators are positive or growing, they suggest good general economic conditions.
of a country. Naturally, this will attract foreign investors and lead to an increase in
value
of its currency.
Some of the growth indicators closely monitored by traders include Gross Domestic Product
Gross Domestic Product (GDP), the National Product (PNL), the Consumer Price Index (CPI), the indices of
construction, capital expenditure and public spending.
Inflation rates
Inflation refers to the general increase in the prices of goods and services within a given
territory for a specific period.
Inflationary indicators such as the PPI (Producer Price Index) are commonly used in
a country as a means to measure its underlying economic growth.
As such, central banks usually have checks and balances to ensure that interest rates
that inflation does not get out of control.
A country with a high inflation rate has low purchasing power and therefore a weak currency.
performing. To increase the strength of this currency, the government could decide to increase the
interest rates of the country.
Occupational indicators
Reports on employment provide an idea of the economic situation of a country. If the
the number of people finding a job in a country is growing on a regular basis,
this
it means that the economy is expanding. On the contrary, if there is no consistent growth
the employment rate of a country means that its economy is not growing as
predicted and this could also cause a weakening of its currency.
For example, the Non-Farm Payroll report, which is a report on employment, released on
monthly base from the United States plays a fundamental role in determining the strength of
currencies in the foreign exchange market.

Trade balance
The trade balance indicates the difference between a country's imports and exports. If
a nation has greater exports than imports, this usually translates to
with a strong currency. The opposite is equally true.

How can I trade on news and events?

Operating in the markets based on important news or events is a trading strategy
fundamental very popular practiced by many traders around the world. News traders
trying to predict how the market will react to events and the timing of the biggest ones
movements.
Fundamental traders are looking for surprising news that differs from expectations.
of the market and can lead to substantial price variations.
It is essential to note that news outcomes can have a surprising impact on
market, therefore fundamental traders must pay close attention. Note that, the news
the most important economies, coming from the largest economies in the world, often trigger
price movements in the foreign exchange market. Follow the most important press releases, with the
Greater impact on the market is one of the fundamental strategies for trading in the market.
Forex.
Therefore, you should know which press releases to follow, when they are issued.
relax and how to negotiate based on the observed results. This trading style requires a
considerable research, but it allows well-informed traders to achieve remarkable results. It is
It is important to remember that market movements based on press releases last only for
a few minutes, so observing the news at the moment they are released is crucial for the
success of this strategy. Finally, you need to pay attention to the opposite impact on the market
when you are negotiating on the main events of the market.

Psychology in trading
In this chapter we will discuss some of the most common psychological obstacles in trading and some
solutions to bypass them.
The fear of losing
Fear is often what hinders the path to successful trading. That's why understanding and
controlling your fears is so important. How can you prevent your fears from controlling you
trading?
The answer lies in developing a trading plan.
As the old proverb goes, 'Failing to plan is planning to fail,' your plan is that.
that will help you navigate the seas of Forex profitably.
As such, the plan must clearly define your trading goals and identify the levels of
price and the strategies you will focus on. If you think you still don't have enough
experience for a plan of this type, you should do a bit more practice or continue with the
your training as a trader before starting to trade on a real account.
How to overcome the fear of losing
To become a successful trader, you will need to learn to overcome your fears and develop a
trust that allows you to learn from your mistakes. To achieve long-term success
In the end, you will have to believe in your ability to earn more money than you could.
lose. Furthermore, you should always stick to your trading plan regardless of
market conditions.
This will make it easier to continue placing trades even after a series of
transactions at a loss. In this way, in the long run, you will be the winner.
Greed
Most traders know what it means to hold a position too long and see
notable profits disappear into thin air. When it happens, the blame is on the greed present in every trader.
Greed changes the way you think and act and can lead you to make mistakes in the market,
you will pay a high price.
Many new traders imagine that it is possible to achieve returns of 100 or 1000 times their investment.
initial investment with only a few days of trading.
Add a high financial leverage to the mix and you will get a recipe for a sure disaster - for
kind concession of greed. Succeeding in Forex trading requires determination,
hard work and discipline.
However, greedy traders always think that this business is not based on any rules and
they end up opening positions without adequate analysis.
The result? Huge devastations on their trading accounts.
How to overcome greed when trading
Your decision to invest in financial markets should be based on rational analysis.
Since trading is not a game of chance, you should never treat it as such.
Remember that there are many opportunities in the markets, but you will only be able to take advantage of them if
you will learn to control your emotions like greed.
After all, when you think you have identified a good opportunity, you should not use everything.
your capital? Actually, the answer is NO.
Don't risk your entire account on a single trade - it's a classic mistake of a trader.
inexperienced and it means letting your greed take control.
Position management
In online trading, managing a position involves controlling how one invests and the amount.
which is intended for every market entry operation.
The position management strategy is essential for successful trading. It is
It is important to note that you may not be able to control the markets, but you can decide
how to invest and the percentage of risk you want to take.
Your money management strategy should answer these two important questions:
How much money do I want to risk on each single trade?
What should be the size of my operations?
Position management solutions
Your first objective should be to preserve your capital.
If you can stay in the market long enough to get some big wins, later
you should cover the costs of your losing operations and achieve good returns on your
investment.
You can achieve this goal only through a good money management strategy.
more experienced traders never risk more than 2% of their trading capital on any single trade
operation. Therefore, with an account of $10,000, it means that your maximum potential loss
It should be $200 for each individual transaction.
Risk management
It is no secret that you cannot control the direction of the market or the extent of its
oscillazioni e movimenti. Esiste però un modo in cui ogni trader può realizzare un controllo reale
on his trading - and this happens through a correct management of money.
Money management is a set of rules and guidelines designed to help you maintain
the risk to a level where you feel comfortable.
Do you want to learn how to manage money effectively? Then answer these three questions.
fundamentals:
What should my risk-reward ratio be?
Is this the right amount of risk I can accept for each operation?
How much risk should I take with my account?
These questions seem simple, but answering them correctly is the key to your
Success as a trader. With the right money management strategy, you can be wrong 50% of the time.
sometimes it is still possible to make a profit.

Risk management solutions

The risk-reward ratio determines the level of risk in a transaction.
Shows the risk the trader is taking compared to the potential gain if the operation goes well.
success. How do I calculate the risk-return ratio?
It's simple: The "Stop Loss" shows your risk and the "Take Profit" shows your potential profit.
Therefore, if for a specific operation your stop loss is set at $100 and your take profit is
fixed at $200, then the risk-reward ratio will be 100:200 or 1:2.
The greater the risk-return ratio, the more easily you will be able to absorb losses.
over time. An acceptable risk-reward ratio for beginner traders is 1:3.
Any number below 1:2 is too risky and the operation should be avoided.
Trading strategies for beginners
Would you like to trade, but you really don't know where to put the
Hands to get started? Well then, what you need is calm and coolness and a good...
trading platform.
If you intend to save money and start achieving important results immediately, you can do it only
with the best strategies. No market is untamable for you, no profit target is for
the unreachable continues in reading and now choose to become a pro in trading thanks
to the use of this strategy.
Why use a strategy?
Perhaps you have also heard that in trading there are many people who lose.
money. Well, we certainly won't deny the evidence and we want to inform you in the best way possible.
honestly possible; reality is before everyone’s eyes and offers staggering numbers for how much
concerning winning and losing financial operators in the field of trading.
In recent years, especially, there has been an unexpected slaughter: about 90% of those who
they engage in trading end up losing their capital in a time frame that can vary from 6 months
In a year. Only 10% of financial operators manage to bring home results.
satisfactory, in simple words to earn really well and consistently over time.
At this point, a question arises naturally: how is it possible that there are statistics
so many negatives about online trading?
What is the reason for this almost catastrophic data that seems to leave no hope for those who
Are you approaching financial products for the first time?
From the analyses conducted by experts, one trend is clear: in recent years there has been a
boom in online trading sign-ups, a real race towards the wealth of the markets
financial that seems unwilling to stop at anything, but the newcomers are really
Ready to trade online? It certainly doesn't seem so, and the most significant explanation lies precisely
in the fact that a strategy is not used.
Let's discover together why using a strategy guarantees success, but also the
reasons why you can do it too... and right now!
Strategy with supports and resistances
In trading, there are different options to earn well, but using a strategy
valid is always the best and fastest way to achieve the goal.
Now we invite you to make yourself comfortable because we want to introduce you to a strategy to do
online trading, one of those techniques that are used every day by traders who
they also earn hundreds of euros daily. The strategy we propose is effective
for scalping and uses support and resistance as tools for market analysis.
Before proceeding with the analysis of trading strategies with support and resistance, it is good
to emphasize that the trading strategy, unfortunately, is not everything. The only way to earn
Indeed, when trading, it is about choosing a trading platform that truly works.
safe, reliable and affordable (see the tips at the bottom of the ebook)
How to use support and resistance
Many scalping strategies are based on the use of supports and resistances, these are tools that
they are very effective for many different types of trading, from very short-term to the
long term.
Since what you want to do is scalping, a type of trading we have already extensively discussed.
As mentioned earlier, you should know that you are about to engage in short-term and very short-term trading.
With the help of supports and resistances, it is possible to operate well even when one wants to open and
close positions very quickly.
Support and resistance are very versatile tools and, among other things, they are found repeatedly.
in tutto il trading. Non vi sono traders che non conoscono un simile strumento di analisi perché
it is the classic tool that absolutely cannot be missing from your 'collection', so to speak, the
classic must-have of online trading.
Support and resistance can be used on any time frame, it is about
simple horizontal lines that are drawn at certain price levels, but these levels
they are so important that witnessing their violation generates very significant trading signals
reliable ones, those to be exploited with great timeliness. But let's look in more detail at what they are.
supports and resistances:
Resistance: a resistance is a certain price level that the market cannot surpass.
increase. It just happens that this certain level manages to 'withstand' numerous attacks from
buyers without being overwhelmed. The more times this level is attacked without
being surpassed, takes on great importance in the eyes of investors.
Support: support is the exact opposite of resistance, that is, it is a price level of
price that the market cannot surpass but is decreasing. This means that as much as we
Sellers tenaciously try, they never have enough strength to break the
support and bring the price down. Similarly, the greater the number of attacks to which
The more a support resists, the greater its reliability.

This scalping strategy is therefore relatively very simple because it does not rely on
classic technical indicators that sometimes require small mathematical calculations to be
exploited. Here, to start earning, it is enough to be able to identify the support levels and
resistance, draw the horizontal lines on the graph and wait for the right moment to enter
to enter the market and exit a few seconds later with a profit.

Signals provided by support and resistance levels

Identifying supports and resistances on the chart is the first thing to do to use the strategy,
It is much easier than you might think. However, always remember to set a time.
the graph frame is very reduced as in M1, in fact for scalping one cannot operate at time
frames much longer than this, otherwise we would already slip into medium-term trading. Your
The goal is to take advantage of very short-term trends.
In the case of a resistance, it is sufficient to join at least 2 or more candles (if you are using
the Japanese candlestick chart) or two bars (if you are obviously using the bar chart) with
a horizontal line where possible. It is clear that the two candles in question must not
having a maximum that exceeds your resistance, this means that there is no level present there
of significant price.
In the case of a support, you need to do the same thing in reverse, that is, you have to
go to connect with a horizontal line the minima that are on the same line, also here
if you realize that a new candle or bar has already formed that does not respect your line
horizontally you cannot rely on that price level for investment.
Now to do scalping with supports and resistances you just have to wait for a valid signal of
trading. The signals for this type of strategy are obtained when a level of
support or resistance is broken.
Ciò significa che nel caso di un supporto interviene una candela ribassista (ovvero di colore
red) which closes well below the previous support level, it is clear that it is
a break has occurred, which you must take advantage of by opening a short position.
In the event that a bullish candle (green in color) breaks a level
at resistance, one should instead open a long position, but the advice is always to
wait for the first bullish candle after the breakout to close before entering the market.
At this point, it would be a good idea to consider adding stop loss orders, a good
the method is to set it just above the support level or just below the level of
resistance depending on the cases.
Typically, the stop loss could be set at the opening price of the candle that has
violated the support or resistance level. The stop loss is essential in scalping because it you
allows to avoid losses that could otherwise exceed any profit obtained in
other scalping operations.
Setting the stop loss properly represents insurance for the capital because sometimes the
traders tend to leave positions open in the hope that the trade may
to recover and even return to profit, but this happens only in very rare cases, but
especially for a scalper, letting losses run means failing to adhere to one's principles
basic operational, so remember to keep your composure when closing the executions, both
when I am in the positive or negative because as a scalper you already know that the next opportunity
It's right around the corner and you need to take advantage of it.

Strategy with Bollinger Bands

There are really many trading strategies, but only the deluded can think that
all are equally effective.
A strategy must be well thought out and studied to meet one's profit needs and
to the amount of capital that is available.
Trading planning is always very important to define what type of strategy
it is necessary to use, in the case of scalping strategies all this becomes even more important
if not decisive.
Scalping is a trading methodology so fast that one must be sure that everything
it is worth for the best if you really want to close the day with a profit after opening and
closed dozens if not sometimes hundreds of small trading operations in a matter of a few
minutes, sometimes even just a few seconds.
In some operations you earn cents, in others tens of euros, but it will be the sum of all.
the operations that will ultimately give you the total profits obtained, sometimes there are frightening figures.
If you also intend to do scalping at best, it is advisable to try the strategy for the
scalping based on Bollinger Bands, we have tested it for you and we present it to you like this:
Bollinger Bands Scalping Strategy: Simple but Effective
It is not clear why, but very often novice traders are led to believe that
The only way to make interesting profits is to apply difficult, obscure, or almost strategies.
obscure. We are convinced that in order to earn a lot, it is often enough to simply do
reliance on understandable and easily implementable strategies, deferring to a second
moment the in-depth studies towards more structured strategies that can lead only to a
optimization of operations, but they are not essential to achieve profit itself.
Bollinger bands respond very well to the needs of beginners thanks to their
ease of use. It is a widely used indicator for measuring market volatility,
that is a fundamental parameter for scalping, but to always keep in mind.
for any trading technique one wants to implement.
Bollinger Bands can provide traders with excellent indications on how to act,
that is, on the type of trade to start, whether to sell or to buy.
The Bollinger Bands are named after their inventor, John Bollinger.
which in the 80s began to make huge profits using this indicator. The bands of
Bollinger consists of 3 curves, which are called bands, that oscillate.
following the price movements on the chart.

The central band known as the linear moving average measures medium trends
finish.
The upper band, on the other hand, is calculated by taking into account the linear moving average and
adding 2 times the standard deviation.
The lower band, on the other hand, is given by the linear moving average minus 2 times the standard deviation.
But beyond the calculations necessary for the indicator, just know that the greater the distance between the
The band you can observe on the graph in May is the market volatility. In practice, you can...
understanding market dynamics at a glance thanks to this indicator, which is also
very precise.
If you notice the bands converging towards the same point, you are facing a contraction.
of the volatility.
Traders are able to use Bollinger Bands very effectively because for
It is enough to note what the relationship of the bands is with the price trend. Here it is explained.
how to invest following the Bollinger bands:
It is bought when the prices reach the lower band of the cross, which indicates a
imminent price increase.
It is sold instead in the opposite case, that is, when the prices reach the band.
a higher symptom of an excess rise and that therefore the market will soon become bearish. On
market when you can observe divergent bands it is clear that the market can take on
decisive movements and also quite predictable, when instead one witnesses a thinning
it is possible that a sudden change in the price trend is about to occur,
as the psychological situation that is emerging is quite clear, all investors are
waiting for something to change in the market in order to act.
Bollinger Bands, operational signals
At the moment when prices reach the upper band, it becomes very likely that you are
to assist in an internal rebound within the band and therefore a price decline, this is a
favorable moment to enter the market with a short position and exit shortly after with a
profit. The more the price forces the upper band, the greater the confirmations you receive for your
operational sales signal. In the opposite case, when prices reach the band
the lower part indicates that an internal bounce within the band is about to occur and this indicates an excess of decline
and therefore an imminent price increase makes it advisable to enter the market now with a
long position.

Bollinger Bands are a very reliable indicator that can lead you to profit in
In most cases, it is enough to be sharp observers of what happens in the market and to ask the
maximum attention to false signals.
The Bollinger bands are indeed not infallible and cannot guarantee you success 100% of the time.
Almost, the most important thing remains, therefore, the caution of limiting losses by placing stops.
losses that provide for automatic exit from the market and the closing of your position at
to verify an adverse market movement.
Fortunately, the scalping technique requires several daily attempts to use it.
strategy on very short timeframes this means that if thanks to the Bollinger bands you receive
unconvincing market reversal signals you can close your position at the first
signs of adverse conditions and still bring home a profit.
The strategy is effective on any type of asset as long as they are characterized by a high
volatility that allows for good level gains with scalping, this is why it is used
from numerous traders around the world!

Practical guide to Trend-line

To invest wisely in the field of financial markets, one must undoubtedly use the right tools.
indicators, so fortunately we can tell you that you have arrived in the right place because here
on our portal we want to offer advice and professional strategies for those who intend to
Take trading seriously and do it with technical analysis indicators.
Too often, we hear that trading is easy, but this should not lead to any
traders underestimate an activity that is in every respect entrepreneurial and serious like trading,
As a consequence, it is necessary to plan everything, have solid foundations, and dedicate oneself to studies.
in order to achieve important results.
As you probably already know, trading does not yield immediate results.
especially if a very detailed graphical analysis is not carried out. Too often we see
traders throw away their own capital for the simple fact of investing without any criteria and
without the use of any tactic or strategy.
For completeness, let's also say that there are many traders who waste their capital because
they choose the trading platform incorrectly.
The importance of the trend-line indicator
One of the simplest yet most effective ways to study price movements in the markets is to use
technical indicators and in particular the trend lines, each indicator has its qualities but there are
some more important and used than others all of them are used to read the past and the present
of the market with the aim of anticipating future movements with the utmost possible accuracy
of the price obviously but this does not mean being able to predict the future of what will happen in
market, but the interesting thing is that one can achieve an excellent degree of
approximation.
This is why we strive to emphasize the importance of using indicators and here is why
let's choose to prepare documents of this kind.
Continuing in the reading, you will learn more about the use of trend lines and how you can
to use them in investment in the markets, whether it be forex, stocks, indices, or commodities does not matter
no difference because trend lines are a tool that can be used whenever you want.
In addition to explaining how to use the trend-line indicator, we will provide you with some valid strategic advice.
verified by industry experts, so dedicate 5 minutes of your time to reading
with this strategy you can achieve excellent results, all you need is a little bit of
patience.
How does the trend-line indicator work?
You are surely already aware that we do not like to leave anything to chance, especially when
let's explain how a technical indicator works. Providing clarity is the best way because
once you finish reading this article, you can go directly to the financial markets to
start using trend lines and try to make some investments through them.
To begin with, it is really necessary to provide a clear and simple definition of the concept.
of the trend line, an indicator that has been used for ages in the field of trading and by
always offers excellent results to its users.
If you are observing the price trend on a chart and it seems to you that you can identify
a true trend, that is a tendency in the market, will really be with the lines
trending that you will be able to properly highlight the market direction whether it is bullish or
bearish. The Italian name for the indicator, as we have already mentioned, is 'trend lines',
these are indeed rays drawn on a graph at the moments when the price
moves in a very specific direction.
There are, precisely, 2 distinct types of trend lines:
Support trend line: a support trend line is also called an upward or bullish trend.
line, it is a dynamic support line that connects two or more rising lows
reached by the price.

Resistance trend-line: on the contrary, when we talk about a resistance trend-line we refer to
to a downward trend line or a bearish trend-line. It is a line of
dynamic resistance that can be plotted on a graph by connecting two or more peaks
decreasing reached by the price.

Not all trend lines should be considered reliable in the same way; a trend line can...
to be considered solid only when it has touched at least two or more
Points on the price, increasing or decreasing as we highlighted earlier.
The more points will touch your trend line, the more important the trading signals will be.
that it is capable of generating. Market trends are everything for a financial operator.
why they are allowed to go and open positions in the market that most likely
will lead to excellent results. More specifically, the trends are nothing more than
lines that connect the lows of corrections in uptrends, while in downtrends they
they connect the maximums reached by the recoveries.
How to use the trend-line indicator
A trend line can generate solid and concrete trading signals starting from the third point of intersection.
with the price, the market direction remains unchanged as long as the price moves in the
direction indicated by the ray, conversely when the dominant forces of the market lose
It can happen that the price reverses its direction causing a break of the trend line.
Since the behavior of trend lines is similar to that of supports and resistances.
one clearly understands the importance of the moment of breaking a trend line.
The consequence of breaking a trend line could be the reversal of the market therefore
the trend lines that were support will now become resistance, conversely this will happen in
otherwise.
Sure, a savvy investor, to be sure that a trend reversal has occurred
the market must also make other evaluations, as after the break of a trend line
a very unproductive lateral phase for investing could also occur during the phases
It is absolutely not recommended to open a position laterally.
To recognize any false signals generated by the market, it will be necessary to go to
trace on the new alleged slope, where possible, a new succession of
maxima or minima depending on the case. If there were no assumptions to track the
succession then we could not talk about a new real trend. Trend-line indicator and
angle.
One of the factors that must absolutely be taken into account when analyzing the
market through the use of trend lines the angle that the line will trace on
the graph will take on, with particular reference to its speed.
the slope of a trend line clearly and directly expresses the psychological aspects that
they are at the base of market movements or rather, it is possible to immediately understand what it is.
market dominance force at a given moment.
But be careful, because if a trend line is too steep, it is still difficult that the
the market can sustain this frenzied pace for too long as prices are
always in search of new levels of balance. In the event of a breakage
When the trendline is too steep, the trend may continue, while in the case of a
the trend line is too flat one can consider the option that this trend is too weak and
hardly sustainable over time.
Opening positions with the trend-line indicator
Let's now discover the most interesting aspect of using trend lines.
it means that we are about to propose to you some operational usage methods on trend-line charts for
the opening of buy or sell positions that are valid for any financial instrument
you decide to use with the particular care of always addressing those lively markets and
strongly directional, characterized by high volatility, with particular reference to the market
Forex obviously and from the main pair of this market, the EUR/USD.
The advantage of using this indicator lies certainly in the fact that it allows for a
effective investment both in the long term and in the medium term, but ultimately also the
operators who prefer investments in intraday trading can reap huge benefits
from the use of trend lines that should always be used anyway even with
the support of other technical indicators that will enrich and optimize the information already
obtained through trend lines.
Long market entry: one can choose to make a long market entry when one
check the break of a resistance trend line, however, it will be necessary for the new level of
support should be tested by the price without a new break occurring or, a
unproductive lateral phase.

Entering a short market: on the contrary, you can choose to open a bearish position when there
check the break of a support trend line, in this case the new market forces
sellers will dominate, but as always wait for the signal to be confirmed by
sequence of decreasing highs touched by the price 2-3 times.

Use trend lines to invest and enjoy their ease of use like many others.
operators before you. Do technical analysis and earn thanks to your reading skills
Charts could be much simpler than you thought, showing you how it works.
We have widely demonstrated the trend lines, now it is up to you to apply these simple ones.
principles aimed at getting the most out of your performances.

Trading strategy using the RSI

Many traders want to do scalping but cannot find a valid way to do so.
to put the technique into practice at its full potential. In fact, it is not simple.
find a strategy that can yield excellent results in most of the trades made,
But today here you have the opportunity to learn a strategy for scalping that is used
very much and from a large number of investors for the simple fact that everyone has understood that
It works, but above all, no one has difficulty putting it into practice.
If you are here, you have surely heard about scalping; we have dealt with it extensively.
previously and we did it because it is a truly fascinating investment method.
Fare scalping means being able to earn well every day without particular effort seen
che si lavora online su una qualche buona piattaforma dal proprio computer. Se un minimo
you already know trading you know that there are different scalping strategies, but scalping due to the
the fact that it is such a fast technique for earning requires slightly different strategies than
normal and some major precautions.
How to use the scalping strategy with the RSI indicator
This strategy is simpler than you think and now we want to show you, let's see
how it works by explaining the concepts in the simplest way possible.
The term RSI is an acronym for relative strength index. This indicator is used by traders of
every order and degree precisely because it is very easy to use and is perfect for trading in
very fast way for scalping.
The RSI oscillator is used to establish the change of a
price, to measure it and therefore understand if your currency pair or commodity or index is situated
in a state of "overbought" or "oversold". If all these words sound like Arabic to you, then
don't worry because in a moment everything will become clear and crystal clear like the cleanest sea that
you can imagine.
The RSI oscillator and its functioning
In practice, this indicator of the relative strength of the price is a useful tool for the study of
graphs similar to stochastic. If you want to insert it into your price chart, you can notice that its
the standard value is set to 14 periods, but it can be changed according to your preferences as well.
if the advice remains always to leave it as it is.
If what we have said so far seems complicated to you, you just need to know that the RSI oscillator
it's nothing more than a line, very similar to a moving average that is placed below the
your price graph oscillates between two values: 0 and 100. Between these two values, it is possible to indicate
two particularly significant areas that you must always keep under close control, the area
above the value of 70 and below the value of 30.

But why are these two areas so important for obtaining

results using this strategy?
Here we come to the point because it is the key concept of this strategy. In fact,
the RSI is below the value of 30 the stock or asset you want to trade is in
oversold phase, while when it is above 30 you find yourself in an overbought phase.
As you may know, reversals and corrections in price are extremely important in trading and
very often they represent the only if not the most important opportunities to place a
investment.
Here is why one must pay attention to overbought and oversold: when the
prezzo si trova in quelle aree è possibile che si assista ad
a reversal of the trend.
The indicator also presents a line set at 50, which is very useful for
identify the prevailing direction of the market you are analyzing. In particular, you need to
note if the line is oscillating from bottom to top or vice versa.
If you want to get confirmation about the real formation of a new trend in the market
Moreover, you just need to identify a divergence. Divergences are very important in trading.
because they can offer very reliable signals that lead to successful operations in
most cases.

In the chart, you can see 2 examples of divergences related to the RSI oscillator.
In the first case, we have a price increase and an RSI in a downward phase, which indicates that
a bearish reversal could briefly occur, which we can actually find in the chart.
In the second case, however, we can observe the opposite scenario, namely, a decrease in
price and an RSI in bullish phase, here too the same rule applies and therefore the price little
Then it starts to rise.
Trading signals with the scalping strategy using RSI
Now that you understand how the RSI indicator works, let's go into more detail to understand.
how to use the indicator for scalping.
First of all, it is necessary to select an appropriate chart time frame.
It is obvious that if you intend to do scalping, the time frame must be very narrow and it should not
in no case exceed 15 minutes.
Remember that with scalping, and operating at such low time frames, your operation does not
it can last a long time.
Some executions remain open for only a few seconds, up to a maximum of 4-5 minutes.
only rarely more, also because it is very difficult that on such restricted time frames the new
trends last a long time.
Long market entry: a bullish position can be opened when the market is in the phase of
overbought and therefore below the threshold limit of 30 this indicates that the market is not
strong enough to continue its downward direction and a trend reversal for
this is imminent and will be bullish.
Opening a short market entry: you can instead profit by opening a short position when the
the market is in a state of overbought so you will notice that the RSI line moves too much to the
a rise exceeding the value of 70, thus it is inevitable that the market will change.
direction because there was an excess rise and you can enter and exit quickly
exploiting the trend correction.

Conclusions
Adequate training is important for success in trading.
Without the right preparation and expertise, the chances of success for a trader diminish.
remarkably. This e-book "The Essential Elements for Succeeding as a Trader" has been
created by traders, for traders, with the aim of equipping operators with the right skills to
make big profits from currency trading.
It is important to find your personal learning pace and take time to familiarize yourself.
with the financial markets.
Only then should you start operating in the market. Whether you are an investor who wants to
learning to trade online for the first time, you can use this ebook to get started.
your first steps.