Trend Trading Truth About Trend Trading Systems

Post on: 1 Май, 2015 No Comment

Trend Trading Truth About Trend Trading Systems

If you are struggling to make money in online forex trading, maybe one reason is that you are not using a trend trading system.  This is a true saying: the trend is your friend. If you want to make money, stay with the trend and find a good trend trading system. Why is trend trading so important? There are 2 very important reasons:

#1: Trend Trading increases your odds of success.

#2: Money comes easy

Let me go in a little bit more detail on these 2 important points about trend trading.

Trend Trading Increases Your Odds of Success

When I was in university, we were taught a rule and in simple terms it goes like this: an object will stay in that state motion unless acted on by an opposite force.

In forex market, price will continue to move up if is already moving up or will continue moving down if it is already moving down until it meets resistance or support levels which may be cause it to change its direction. News can be another factors which causes prices to change direction.

In other words, if the forex market is in an uptrend, price will continue to move up. If the market is in a downtrend, price will continue to fall.

So what should you be doing then? Simple. Follow the trend. Can you paddle a canoe upstream easily? No. Same thing in online forex trading. When the market is in a downtrend and you take a short trade, you are increasing your odds of success. Same thing is you take a long trade when the market is in an uptrend.

Money Comes Easily When You are Using Trend Trading Systems

You probably have noticed that it is hard to make money easily  if the forex market is not trending or you are in a counter trend trade. If you are using a counter trend trading strategy, you will notice also that you wont make as much money as you would using a trend trading strategy. I am not saying you will not be successful in using counter trend trading strategy. I am talking about the “ease” of making money here.

Have you seen how surfers “catch the wave” and how “fast” they go when they do so?

That is the  picture I am trying to convey here. It reminds me of many trades I took using my simple trend trading system and how fast I start to see profits when the market moves in the direction of the original trend. It is surprising how the profits do come easily.

Finding the Best Trend Trading Systems and Strategies

I just want you to have a good look at the chart below. Notice when the market is trending nicely it goes a very long way and see how easy it is to make money if you were in the direction of the trend.

A best trend trading system should allow you get in at the earliest opportunity when a trend starts to change and also allow you to hop in along the way as the trend continues.

If you are using a trend trading system and still not making good money, it may be that:

  • Your trend trading system is just too complicated which means you either have too many lagging indicators to line up and by the time all the indicators line up signalling you to buy or sell, the market has moved a great deal and when you enter, you get stopped out leaving you so frustrated.
  • You just don’t have the discipline and consistency in following the rules of your trend trading system

That is the sad truth but many still do.

Trend trading systems should be simple. You should find trend trading systems that should at least allow you to enter just after a new trend has started or allow you to get in along the way.

Another important thing to consider using trend trading systems is the timeframe which you are using the trend trading system. You want to be using larger timeframes like 1hr or the 4hr timeframes and even the daily timeframe. Why?  Because big market swings happen in these timeframes and that also means big profits when market moves as anticipated.  What that also means is that your odds of success in using larger timeframes is greater and you will not trade as much but remember, less is more in trading and you will make a lot more money if you trade less.

Why not keep things simple. Follow the trend! Jump in for the ride and let the current take you where it wants to go and make lots of money in the process. This is what trend trading is all about.

What if you can find one of the best forex trading systems available today that would always make you excited to use it day-after-day? I know how hard it can be to try hundreds of forex trading systems that only leave you frustrated and maybe you need these 8 forex trading tips to get you back on the right track, but if you really want to achieve success in forex trading, you’ll need to learn one or two trend trading systems that work amazingly and this is what hundreds of forex traders have just found out with this   forex trading   system .

Don’t give up hope, Its NOT impossible.

So next time you are trading, ask yourself: am I trend trading? Am I following the Trend?

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