A New Way To Trade Forex
Having now spent a year this month trading Forex, I have tried two approaches during this time and had only limited success. My first approach was to set up a robot and fine tune it using a demo account. This has been documented earlier in this blog. Although there are robots which genuinely do make a profit, there are many pitfalls you have to overcome. Picking the best broker, getting the settings in the robot right, and even then finding that most robots don’t deliver, let alone come anywhere close to the advertising claims. I can really only recommend FAP Turbo and Forex Megadroid. The FAP Turbo scalper strategy is able to do well on a Demo account, but on a real live account you need low spreads and a broker where the slippage is always small. This robot tends to gain regular pips by successful scalping, but then it can loose all these gains by making one big loss. Overall it did just about break even. The performance of FAP Turbo also appears to go in phases of extended wins and then periods where it makes no significant progress. This does depend on the nature of the price during the Asian trading session. There needs to be sufficient volatility accompanied with a degree of predictability for best gains to be achieved. September and October 2009 for example, were particularly poor, but February and March 2010 were very good.
In December I decided to learn Forex Trading and spent a fortune on courses which taught me a great deal. The main thing I learnt was how easy it was to consistently loose money. So much easier than making good gains each day. I had to find a solution. I decided to demo trade and so not deplete my funds any further. The answer is to have a simple method with fixed rules for entry and exit, then one has to stick with it knowing the odds are in your favour. I do this now and do in the long run gain a little, oh well lets say not loose money. From being on the various courses I realised it really takes 2 – 3 years to start to be a successful trader so I have two years to go, if I keep at it.
In the meantime, while I get better physiologically playing this game, I have been looking at other better ways of making the Forex market pay me an income. I hit on the idea that there are many really good consistent traders out there that are willing to give to me, for a fee, there knowledge and trades. The problem is still my belief as I execute these trades, can I trust the traders advice. I know the odds are in my favour now as these people do win overall, but somehow its still difficult to have faith in them when its your money and you have to interpret their signals.
I have been on the expert4x mailing list of months now and found that they were particularly good at explaining trades and getting winning results. This week they have joined Zulu Trade as a signal provider which is available to everyone for free so I investigated this company and found something new and exciting.
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