Scalp & Swing

Dear FF-Community-Member!

The Forex, or Foreign Exchange market is now the absolutely hottest thing on the trading and speculating scene. Just in sheer volume, the international trading market is about 5,000 times bigger than the total stocks, options, futures and bonds markets in the USA. It functions 24 hours a day, is very volatile, and is as thrilling as options trading. I know how difficult trading can be sometimes. Currency trading, forex trading and stock trading can sometimes be frustrating and difficult, especially if you are just starting out. It is far too easy to become overloaded with information and feel lost or confused. Wouldn’t it be great if you could discover put yourself on the path to trading successfully? Some psychological parameters have to be activate when trading the Forex market, e.g. the Tolerance to Risk. Most people have a different tolerance to risk and managing risk is a vital part of trading well consistently. So if we all have a different tolerance to risk, clearly we won’t all have the same level of comfort and confidence in the same trading plan. Therefore, we all have to discover that approach that suits us as an individual person. There is really only one caveat: Forex trading is mostly done on margin, so be careful and don't overextend yourself!

Trading Concept
Swing Trades should be done at CCI(14) Tops and Bottoms Trading Strategy with due regards to a Multiple Time Frame Analyse (MTFA). "CCI(14) Tops & Bottom Trading" is simple, fast & efficient. See "Time Cell Trading", please: http://www.forexfactory.com/showthread.php?t=249257
Time Cell Trading (TCT) is a manual trading strategy. Trades could be triggered within different time frames and can used in ranging and in trending markets. TCT has used since 2004. You can use Time Cell Trading strategy only by using the CCI(14) tops and bottoms in combination with the price action (e.g. engulfing patterns, hammers, shooting stars, in bars). It's simple and efficient! If you will get other arguments more, so look at the extreme points at murrey math or/and at the pivotal points and/or the fibonnacis. The EMA lines will show you apart from price action momentum and if there is either a trending environment or a ranging market.

The guideline that I have laid out for "CCI-Top-&-Bottom-Strategy" should be just a guideline - guidelines, not define rules carved in stone, learning how to identify high probability entries can improve your odds of success when trading this strategy.

Time Frames: any

Currency pairs: any

Indicators: BB, CCI(14), Pivotals, EMAs, Fibonacci Levels, Support & Resistance, ADX, MACD

Trade ExampleS
EURUSD, H1, 2011 March 28, p.4, #58; EURUSD, M1, 2011 March 29, p.5, #61; GBPNZD, H1, 2011 April 09, p.11, #156; EURUSD, EURUSD, M5, 2011 April 14, p.15, #212; M1, 2011 April 14, p.15, #215;

Indicators - Back Copy:
ADX in process
CCI >>> CCI Indikator (ger.), p.16, #228; Trading Forex with Woodies CCI, p.16, #229; Complex Trading System (CCI Divergence Breakout) > Link, p.16, #230; Channel Breakouts With The CCI (by Kathy Lien and Boris Schlossberg), p.16, #231; Commodity Channel Index (CCI) with a CCI Download Box > Link, p.16, #233; Forex CCI Indicator Explained, p.16, #234, #235; CCI Forex Floor Trader System, p.16, #236;
Bollinger Bands under way
EMA in process
Fibonacci Levels in process
MACD in process
Pivotal Points >>> p.19, #271;
Price Patterns >>> Candlesticks Charts Explained, p.19, #273 et seq.;
Trend Lines >>> How to Draw Trendlines, p.15, #218; Forex Technical Analysis, p.15, #219; Trendlines > Links, p.15, #220; Die Trend Lines (ger.) #222; Forex Trading Tool - The Three Trendline Strategy, p.15, #223.
WellxAMA in process
etc.

Articles & Links
Why High Probability Forex Trading Strategies Are For Suckers!, p.3, #44; Forex Day Trading, Scalping and Swing Trading, p.4, #46; US Dollar Index, p.4, #50; Trading the Dollar with USDX, p.4, #51; Forex Lots, pips, risk, leverage. margin, spread, order types, swap, etc all explaine, p.7, #91; Trading Multiple Time Frames in FX, p.7, #92; Multiple Time Frame Analysen (ger.), p.7, #93; Multiple Time Frameanalysis Of The Spot Forex, p.7, #94; What Time Frame Should I Trade?, p.7, #95; Top 4 Fibonacci Retracement Mistakes To Avoid, p.10, #150 & p.11, #151; Forex Strategy "Flag + ABC", p.13, #185; A Beginner's Guide To Scalping In The Forex Markets, p.13, #186; How to choose the best combination of Forex indicators, p. 13, #195; Forex Money Management & Exit Strategies, p.18, #258;

Music & Songs
Michel Petrucciani - Take the "A" Train, p.9, #132; Michel Petrucciani Trio - Cantabile, p.9, #133;

More trades are published at:
http://www.fxbookies.com/showthread....-Cell-Trading&

Real Account
Trades should be done at an 250.-$ Real Account.
Note:
Normally I don't trade with a 250.-$ Account. The first trial was an absolutely crash down (see there, http://www.forexfactory.com/showthread.php?t=281021, please). I don't think that it's possible to trade with a 250.-$ Account seriously with 0.01 lot, nevertheless it should be a trier. Serious trades have to be done at minimum 1'000.-$ with maximum 0.01 Lot sizes or a 10'000.-$ Depot around 0.1 Lot with say 1% Profit per Day. Do you prefere a "Higher Risk Trading Plan"? Let's see the "Kooky K's", p.4, #66 (Target: 25-50% Profit per Month).
Last Result: See p.23, #339 at 2011 Mai 04.

Real Account, Deposit: 250.-$; Beginning Date: 2011 April 26
Target A-Level: 2.50.-$ a Day (1%) / Target H-Level: Kooky K's (25-50% Profit per Month, p.4, #66), see also p.20, #287;
http://www.forexfactory.com/forexcube

Trading the Forex Market?
I'm just explaining how I do it and why, nothing more.

I wish all of you success & happiness!
Kindest regards
FXcube

2011 Mai 4
It's time to say Good-Bye!
Enough has been said!
I wish you Success & Happiness!
FXcube

EURUSD, M5, 2011 March 21

M5 is forming a divergence & market price has reached a round number.

Enter short.

Profit: 11.90$

Forex Scalping - Scalpers Wanted

Forex scalping is in high demand nowadays. Many forex brokers frown upon scalpers, but not us. We are always looking for talented scalpers.

Definition of Forex Scalping
FX Scalping usually involves opening and closing a position in seconds or minutes for a few pips of profit. Even though scalping involves the use of leverage and higher leverage means higher risk, the short period of time a forex scalper is in a trade decreases the exposure risk that's inherent in trading or investing due to the holding of a position. If done correctly, scalping provides this additional degree of "risk control" that is not even present in regular day trading.

Why don't most brokerage firms like forex scalpers?
Because many brokers are making money trading against their clients through their dealing desks. Yes; this is still legal in the forex market. While this might not affect as much regular traders (even day traders) that stay in a trade for hours or days, scalpers are another breed of trader. The profitability of scalping currencies can be drastically reduced if the correct trading firm is not used. The small percentage of successful scalpers are usually "kicked out" by one forex broker after another.
If you have used a forex scalping strategy successfully in the past, you probably know the feeling (click here if you are a successful scalper that wants to be allowed to trade freely, whether for yourself or for other customers - we always have customers that are willing to fund scalping traders).

Forex Scalping Platforms - the Good, the Bad and the Ugly
Scalpers use all sorts of platforms to scalp currencies, but probably one of the most common is MetaTrader 4 (a.k.a., MT4). MT4 is made by a Russian company and has become sort of the "de facto standard" among many forex day traders. The problem in using MT4 for scalping has nothing to do with the platform itself, but with the unscrupulous brokers that license the software and offer it to their clients (see the explanation earlier on brokers that trade against their customers).
For MT4 to be used in scalping the forex market without any limitations or restrictions, an ECN- or STP-type feed must be used. We offer STP execution to accommodate extreme forex day trading or scalping.

Forex Scalping Robot - Automated Systems versus Manual Execution?
While many forex scalpers trade manually, advancements in computing technology and powerful trading platforms like MT4 have given birth to another breed of scalper: the system trader or automated scalper. Many scalpers create forex robots or trading algorithms that are fully or partially automated, increasing execution efficiency and available trading opportunities. ...

Forex Scalping System - How Does an FX Scalping Strategy Look Like?
Scalping strategies or systems in FX vary greatly. True scalping strategies all try to minimize losses to small amounts and they are all in the market a relatively short period of times. Some traders claim to have a scalping system, but instead allow losing positions to "bleed" for a long period of time with the hope of liquidating them at a future profit. That method of trading is not scalping and it's a sure path to disaster in FX trading.

Is Scalping Scalable?
One of the downsides of scalping in any market, not just forex, is a lack of scalability. Scalping systems and traders who scalp cannot continue to increase their trade size linearly as their account size or assets under management (AUM) grow. Eventually, the size of the trades taken while scalping will affect the overall profitability of the entire system, since more trade rejections and/or partial fills will be experienced.

Swing Trading | Currency & Forex Trading

http://www.swingcurrency.com/categor...o-swing-trade/

Margin
The one thing that makes forex trading a super thrill ride is that most brokers will allow you to trade on ridiculously high margins of 100:1 (or even 200:1). This means that if you want to trade a lot of $10,000 worth of currency pair units, you only actually need to commit $100. This gives you huge leverage over a trade. Your leverage on stocks options, by contrast, is usually in the region of 10:1. It is in the use of this leverage that forex trading can be so profitable. It also means that this leverage can do you serious damage if you do not use proper, automated stop losses on your trades. Remember that you are in effect borrowing the money from your broker, and if you lose out badly, he will want it back! You must be very careful to consider how much you will commit to a trade, so that if your trade goes to your stop loss, you will not exceed your capital.

Day trade vs Swing trade:
What is the difference in Forex trading?

by Grace Cheng
Day traders typically buy and sell currencies throughout the day, in the hope that the currency price will fluctuate during the day, thus providing them opportunities to make quick profits. A day trader can hold an open position anywhere from a few seconds to a few hours, but will close out his position before he goes to sleep. Therefore, the day trader does not hold any overnight positions.
On the other hand, swing traders have a a slightly longer time horizon than day traders for holding an open position. Just like day traders do, swing traders also try to speculate the short-term fluctuations of a currency price. Swing traders, however, tend to hold open positions for more than one day, but could also hold them for a few hours to several days, if that is necessary in order to capture a larger movement. I will highlight some differences between day trading and swing trading Forex below:

Frequency of Trades
One way of day trading is through scalping, which is the quick and repeated buying and selling of currencies within seconds or minutes. The objective of scalping is to gain a few pips here and there, but trading with a larger volume to make up for the small number of pips gained on an intraday basis. Do you like this hectic way of trading? If not, you may choose to swing trade instead, and place a trade only when you see the opportunity to do so and hold it for a few hours or for a few days.

Overall Costs
Since a day trader places many more trades than a swing trader would, he incurs higher fixed costs in the form of spreads for every trade he places. He must make sure that the currency pair that he trades has a very tight spread so as to increase his chances of profit for each trade. The quality of fills is extremely important to a day trader because he can't afford to suffer any slippage.
A swing trader, on the other hand, will incur less transaction costs due to the low frequency of trades, but may be subjected to rollover fees if he sells a currency with a higher interest rate against one with a lower interest rate, and holds that position overnight. However, the rollover fees are very little compared to the spreads and the potential profits.

Type of Analysis
There are day traders who trade solely based on intraday technical signals, and disregard fundamental aspects completely, and there are those who take the larger picture into consideration when deciding their intraday trades. This contrasts to swing traders who adopt a combined approach of longer-term analysis of technicals and fundamentals when trying to determine good entry opportunities.
Swing traders, whose aim is to capture a larger move rather than small tick movements, are thus more concerned with the overall fundamentals of the currencies that they are focusing on. For those day traders who ignore fundamentals, and trade only according to their tick-by-tick system, their myopic trading eyesight may adversely affect their overall trading performance, and this is due to the fact that it is primarily fundamentals that move the markets.
They could be entering in the market at a time when important news are being released, or when most traders are sitting by the sideline and nervously waiting for data releases, and such bad timing would most likely stop their positions out.
So, no matter which style you are trading, whether day or swing trading, it is definitely more beneficial if you take note of fundamentals in general.

Summary
There is certainly merit in both day trading and swing trading, and is up to the individual to select his modus operandi to suit his own preference, and making sure that he understands the unique differences of each trading style.


http://www.trading-plan.com/fx_trading_style.html

What is a Trading Plan?

Unfortunately for a lot of people who start trading, many will find success difficult to achieve. One wonders what the minority are doing right that give them the advantage over the vast majority who leave the market with less money than what they had when they started trading. Sadly, a lot of those who fail walk away with very little of what they had originally.
So what is it that separates the successful from those who fail? If you ask anybody who has studied trading for any period of time, they will answer ‘psychology’. They will add that ‘your psychology’ is what will make or break you as a trader. Essentially, your mental ability to manage losses and profits, the good times and the bad, your capacity for risk management, and the self-discipline necessary to avoid becoming too greedy are all subsumed beneath the heading of ‘trading psychology’, along with many other similar skills and abilities. If we are naturally inclined to break all of the time-tested trading rules, how can we overcome those natural tendencies and therefore control our mindset?One of the biggest reasons that our mindset is such a determinant of our trading success is that our emotions influence our actions. Irrational emotions have little place in our trading; however, removing our emotions from our decision making is easier said than done. It is our emotions that cause us to break the trading rules that have been proven to work over hundreds of years.

Must Suit You
First and foremost for a good trading plan is having a plan that perfectly suits you and is right for you. The best traders have discovered an approach that they are very comfortable with and confident in … however most importantly it suited them. None of them have found any magical solution nor have they found that perfect trading approach that gets it right every time.

Then of course, how can you possibly develop an approach that is right for you if you really don’t know yourself? I believe that the first part of assembling your trading plan should be to conduct a self-assessment.

A good trading plan suits who you are, and many other factors including even the seemingly unimportant things like how much time you have to commit to your trading, your level of computer proficiency, your environment and your tolerance to risk. The last one is important.

Most people have a different tolerance to risk and managing risk is a vital part of trading well consistently. So if we all have a different tolerance to risk, clearly we won’t all have the same level of comfort and confidence in the same trading plan. Therefore, we all have to discover that approach that suits us as an individual person.

Important Factors
Some of the more important factors include your personality traits like patience, confidence, decisiveness, emotional stability, mental agility, and probably most importantly, your attitude.

Another key ingredient to the trading plan is the ease in which you can execute it … over the years, I have had the pleasure of speaking to thousands of traders from many countries and during this time, I have learnt many things. Based on these conversations and my own observations, I am convinced that generally people fail at trading for two main reasons.

First, the majority of actions required for success are counter intuitive and if people are not aware of this, they often consistently make poor trading decisions. Second, and backing up my point here about ease of execution, when people realise that trading is not as easy as they thought it would be, they tend to overcomplicate their trading plans which often causes further problems. Software now available with a myriad of technical indicators probably doesn’t help this situation.

Keep It Simple
Whenever I speak to people, I mention that a trading plan needs to be simple as it makes it easier for us to follow it. Furthermore, simple approaches have proven over time to work.
When you think about it, the time tested trading rules like cutting your losses, letting your profits run, follow the trend and keep trade sizes small (just to name a few) are based on very simple concepts.

For example, after you enter a trade, if the price moves down to your pre-defined initial stop loss point, then close the trade and cut the loss. It sounds simple because it is. The others are just as simple. Don’t overcomplicate your trading plan – it doesn’t need to be.

Finally, some advice for putting one together … obviously having a trading plan facilitates your decision making by helping reduce the influence of your emotions from the equation and, therefore, will hopefully make you trade more efficiently. The best way to ensure you get the most from your trading plan is to write everything down. I believe your trading plan should take into account three broad areas (nothing new here), as follows:

 

1. your trading mindset (or psychology)
2. your money management (position size, pyramid strategies, and so on)
3. your trading method (requirements for trade initiation, filtering processes, daily routine, and so on)

One thing I have experienced over the years is many people who accept that a trading plan is an essential requirement to trading well, yet they don’t know where to start to put one together. I accept that it can be overwhelming at first to tackle this issue.

3 Key Decisions
So let me simplify this for you. There are three key decisions you need to make when trading and if we think in these terms and your trading plan answers each question, then you may have the makings of a simple yet robust trading plan. Despite what I listed previously as the three broad areas in your plan, your trading boils down to the following:

 

1. Under what circumstances will you enter a trade?
2. How much money will you commit to the trade?
3. Under what circumstances will you close the trade?

Never picture your trading plan as a detailed document containing pages and pages of information because then it will overwhelm you and may deter you from compiling one in the first place. Think in the simple terms above and once you have answered the above questions, then you can add some detail to it as time goes by.
A trading plan is simple, easy to execute, and most importantly suits you and your personality.

http://www.trading-plan.com/whatisatradingplan.html

Trading Indicators

Stochastic Indicator
The stochastics indicator is similar to the relative strength indicator in that it measures the momentum of the market and can warn as to when a market is perceived to be overbought or oversold. Any reading above 80 is considered overbought and below 20 is considered oversold. Swing traders use the stochatic indicator to buy [...]

Read the full article →


Relative Strength Indicator (RSI)
Relative Strength Index, or RSI, is a favourite amongst many bank traders. It is a momentum indicator that helps identify the trend and potential overbought and oversold areas in the market. The indicator’s scale ranges from 0 to 100. Usually, readings below 30 indicate oversold and readings above 70 indicate overbought. When the indicator is [...]

Read the full article →


Moving Averages
Simple moving averages are perhaps one of the oldest and most widely used swing trading indicators. Many traders use simple moving averages for trend identification. The most common for swing trading are the 150 and 200 simple moving average on the daily chart to identify the long term trend. There are other kinds of moving [...]

Read the full article →

http://www.swingcurrency.com/categor...ng-indicators/

Indicators might be a navigator tool for me, not more.

Open Trades - Swing Trading

EURUSD and USDCHF are hedged at different levels.

I waiting at higher timeframes H1/H4/Daily for a favored exit opportunity.

Swing Trades could run in a loss in the meantime. The most of them will turn in a profit trade sooner or later. The minus trades between -14.-$ and -20.-$ shouldn't make an advanced level trader nervous.

I'm waiting for a descending volatility and momentum parameter this week. If the market price would run south (bearish) in the next days then this will create an upcoming problem that the open buy orders should be balanced, e.g. with short time higher lotsized scalping trades.

See also #11, please.

Scalping Trades Today, 2011 March 21

It could be done a profit by over +6% by scalping trades today.

EURUSD, Monthly, 2011 March 21
EURUSD, Weekly, 2011 March 22

Global View:
Support & Resistance Line

USDCHF, H1, 2011 March 22

Trade Area
The potential trade area is where you believe you will have an edge that you trade with a high probability of success, and that reward/risk ratio is in your favor.

I have set three trading areas for USDCHF the next days and weeks. The inner ones (Scalping Room A and Scalping Room B) are for scalping trades and the outbreak zone more for swing trading and for trend trading.

Potential Trading Area

You need to have a valid reason for every trade you enter. This is also known as logic or rationale. You are not a caveman. Nor are you a gambler, right?
Why are you looking at this area to enter? This area is determined by whatever setup detection method you have written in your Trading Plan. An example might be the crossover of two moving averages or price hitting resistance on a Fibonacci retracement level.
Your potential trading area stands between current price and your entry trigger.
We strongly suggest you take a screenshot of your chart showing this area. Try to make a habit of taking screenshots of your charts.
When it's time to review your trades later, having the ability to see what happened visually will help train your eyes to see possible opportunities or traps to avoid on your charts in real-time.
This will help you remember the reason why you entered the trade, or make you realize some things that you may have overlooked.

The potential trade area is where you believe you will have an edge that you trade with a high probability of success, and that reward/risk ratio is in your favor. You must determine, for yourself, how you want to meet this requirement.
When you sat down in your chair in front of your screen, you were "ready" to trade. The potential trading area is where you "aim".
This will keep you from entering a trade without a plan and shooting from the hip.

http://www.babypips.com/school/poten...ding-area.html

Open the door!

Trades at 2011 March 21
250.-$ Real Account
(Target: 1% per Day)

Profit: + 28.35$

(11.34% within 1 Day)

EURUS @ Sell 1.4180

Silver @ Sell 36.40

USDCHF @ Buy 0.9033

Ger30Jun11 @ Sell 6798

Silver Daily, 2011 March 22

Silver Daily CCI(14) has formed a divergence.

Enter Short at 36.40/36.20 for long term

& trade some shorts at M5/M15 up and downs.

EURUSD, H4, 2011 March 22
EURUSD, Daily, 2011 March 22
EURUSD, Monthly, 2011 March 22

Swing Trade

H4 CCI(14) Top & Divergence.

Enter Short ~ 1.4200/1.4250

Trading with CCI(14) gives me excellent entry and exit levels in conjunction with a Multiple Time Frame Anaylse (MTFA).

Daily has forming a CCI(14) 200 Top with an indifferent daily candle (at 19:45 GMT+1).

Note:
Daily: If the resistance from 2010.10.31 H 1.42815 won't be broken it's the time for going south!
Weekly: The market price has touched the ascending resistance line just now!

EURGBP, Monthly, 2011 March 22

Waiting for an outbreak and trade M15 with EMA Lines interim.

Dear Forexcubes,
Congratulation for your great trading!
Could you pls share with method/indicator that you using to get this result?
Appreciate it!

Hi moneyrain

Swing Trading is based at Time Cell Trading mainly the CCI(14) Tops & Bottom Trading.
You could find it here, please.
http://www.forexfactory.com/showthread.php?t=249257

Scalping is more like this:
http://www.forexfactory.com/showthread.php?t=222387

Then I like trading with the pivotal points.

I take a look at all timeframes (Multiple Time Frame Analyse) before I go in a trade.

Hope it helps!

Good luck!

Kindest regards
FXcube