Simple Forex Trading Strategies That Truly Work

Sometimes, a significant amount of information and Forex Trading strategies that we find around trading can be overwhelming. As we know, our forex market is massively liquid, having a large number of players. Its popularity has led many of those involved to devise strategies that for the initiated may interfere more than anything else in their education.

Precisely, today's article goes back to the basics to start in this fascinating world, and once you have internalised the basics, it will be time to master complex actions, regardless of whether you choose a simpler or more complex one. Do not forget to use what works for you.


A Few Of The Simple Strategies A Beginner Can Deepen More
On the one hand, we have the consistent Forex Trading strategies to follow the trend, which is distinctly seen when the price moves in a specific direction, this trend may be bullish or bearish. A trend tracking system produces buy and sell signals, which align with the formation of new trends.

Following the Forex Trading trend can produce great benefits, but it also has its drawbacks because trends are difficult to follow, major trends are rare, although we will always have to adapt the possible trend to the time frame in which we work. In fact, it is very possible to see a micro-trend in graphics of 15 minutes and even 5 minutes, although that trend can be 30 or 40 pips.

The Market Support And Resistance Zones
A big problem with a trend tracking system is that you need more money than usual to use it correctly. Therefore, it may not be ideal for beginners with fewer resources. In any case, this should not be a determining factor in minor temporaries.

Another simple Forex Trading strategy is to look for breakages. It’s known that markets extend between support and resistance zones, which is known as consolidation. A break is indeed while the market actually moves away from the limits of market’s consolidation, and move to new highs or perhaps lows. As soon as a new trend happens, the first thing that must happen is a break.

A reasonable Forex Trading strategy of long-term break is possible when the price breaks above the maximum of 20 days, in the case of purchase. The sale signal is given when the price breaks below the minimum of 20 days. Anyway, always have to be alert to false signals, and for this, we have the use of stops.

The Forex Trading SMA Strategies
The use of simple moving averages (SMA) is also a simple Forex Trading strategy to get into Forex. SMA is a lagging indicator that uses price data older than most strategies and moves more slowly than the current market price. A longer moving average is often used in combination with a shorter moving average.

For example, you can use a 25-day moving average in combination with a 200-day moving average. The first will follow the price very closely, while the second will soften the movement. When the shortest moving average crosses the longest, it indicates a change in trend. If it moves above it indicates an upward trend and is our buy signal. If it moves below, it truly suggests a great bearish trend out there and is our selling signal.

Finally, both Forex Trading strategies here are very basic, but it does not mean that they are not powerful and appropriate at a beginner level. As we always remember, before launching this or any other strategy, try it before passing it on to real.