The Use of the Best Broker For the Best Forex Trading

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In terms of schedules, there are two periods conducive to trading on the Forex market, these are the time slots where overlap two sessions. During these periods, the number of transactions is much higher due to the opening of many financial markets in the world. As a result, prices are much more volatile and opportunities for earnings are high. The use of the top rated broker comes useful there.

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The overlap of the Asia and Europe sessions

  • The first period of overlap is in the morning between 6 am and 10 am in Europe, during which the European and Asian markets are open.
  • During this phase, the volumes treated are particularly important until 8 am. It is also time for the publication of the economic data of the day in Europe.
  • One of the primary crosses to be traded preferably on this time slot is the GBP / JPY as both currencies are active at the same time.

The overlapping opening of the Europe and America sessions

The second overlap period coincides with the simultaneous opening of the European and American markets between 10 am and approximately 6 pm European time.

This time slot is the most important with a trading peak of the dominant party of the Forex market: USD/EUR. In this phase, the most favorable trading time is between 2 pm and 4 pm during which the New York market is in full swing.

At approximately 14:30, most economic news in the United States is published, including data on economic growth, employment and inflation, and European markets are not yet closed.

To succeed in the foreign exchange market, it is recommended to establish a currency trading plan. The design, as well as the implementation of the plan, is an operation to be carried out by professionals. The majority of traders have a trading strategy. The plan helps determine the best investments based on the Forex trend. It is a particularly useful tool and allows you to choose the most profitable investments.

Establish a currency trading plan

The establishment of a currency trading plan helps to prevent errors by identifying trends in the currency market.

Prepare an effective plan

Different strategies such as swing trading, day trading or scalping can be applied when setting up a currency trading plan. A novice trader should use, for reading the graph, a single timeframe to prevent any confusion. By using several timeframes, the novice trader will have difficulty analyzing the data.

The currency trading plan is essential for new investors who must have a working method and thus develop the best reflexes when buying or selling securities or various products.

In order to be able to establish a currency trading plan, it is essential to determine the price trend in the market and to identify an upward or downward variation or price stabilization.

The indicators

Various tools such as monitoring indicators help to determine the market trend. Among the indicators are moving averages and the parabolic one.

In the context of moving averages, the investor may take into account the crossing of two averages or the value of the slope of an average. It will also be able to estimate the current state of the courses by comparing the data to an average.

In order to be certain of having correctly determined the market trend, the trader must observe the level of the oscillators. It is only possible to enter the market when the trend has been clearly determined.

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