The Best Forex Trading Strategies

By Author: jessica smith
Total Articles: 18
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According to research, only 10% of forex traders make money in the first week of forex trading. The rest of the 90% of traders lose money in the first week of trading. Due to this reason, traders require the best forex trading strategies so that they can make profits.

What Is Forex Trading?

Buying and selling of currency pairs such as EUR/USD, USD/INR, GBP/USD, and more with a motive to earn profit. The currency pairs are exchanged with each other and the profit is earned with the change in exchange rates.

Why Do Traders Require the Best Forex Trading Strategies?
The best forex trading strategies are required to fetch the maximum profit from the trades. The strategies involve studying the foreign exchange market along with the future possibilities of price movements.

Without studying the price movements and charts traders can earn profits but it can be maximized with the best forex trading strategies.

Leading Forex Trading Strategies

Below listed are a few of the best forex trading strategies ...
... that can help you get better results from your trades. Forex traders should know these strategies and learn how to implement them in their trades to earn the highest profits.

These are proven strategies that are used by forex traders all around the world. You just need to learn how and which one you can implement in your trades. The strategies are:

Range Trading

Range trading is about finding the resistance line and the support line of the price of a currency pair. It is among one of the best forex trading strategies to earn profits. The support line is the level in the exchange rate at which the price starts increasing.

On the other hand, the resistance level in the exchange rate is the level at where the price starts decreasing. These two lines can be a strong indicator of the future movement of the exchange rates.

Price Action Trading

The most preferred and one of the best forex trading strategies. Price action strategy fits in all kinds of the market situation. The main job of this strategy is to study the historic price movements of the currency pair you are trading.

It uses market volatility to predict future price possibilities. Traders can use this trading strategy in any type of market condition. You can use it for the time frames you are willing to study the market such as short-term, long-term, or medium-term.

Position Trading
The long-term profit hunters use this position trading strategy to earn profits from the forex market. Traders require large capital with this trading strategy as well as investment for a longer term as compared to other strategies.

For getting the best results with this trading strategy, traders need to understand the technical and fundamental indicators in a better way. If you are using this trading strategy, you do not need to take stress for the daily price changes.

Scalping

Forex traders who want to earn quick profits from the market are known as scalpers. They use small price changes and make profits from the same. This trading strategy involves studying the factors and taking advantage of the quick price change.

The trades are placed in the market for a few seconds to minutes and no longer than this. For scalpers there are multiple opportunities in the market and the profits can be huge. You need to keep a close eye on the price movements and study all the factors along with.

Trend Trading

One of the most reliable and used forex trading strategies is trend trading. Traders see the market trend and then they place trades in the market. If the trend of the market is bullish your trades will be according to it and if it is bearish then according to it.

Sometimes, you will face a normal trend where it is hard to predict whether the market will upward or downward. In that situation, you have to see the condition and then make a trade to fetch the highest profits from the market.

Open Trading Account with The Best Brokers

There are various brokers in the market but to get the best results you have to make an account with the finest brokers. Below we are going to discuss some of the leading online brokers in the market:

ABInvesting
TradeATF
ETFinance

Traders can compare these brokers and also some of the other brokers to find the best for themselves. The perks of trading with these brokers are:

A free demo account is accessible to all traders with fake funds.
A huge collection of educational material provided by the broker.
Trading tools including market research and analytical tools are available.

Leverage is offered to each trader for trading and earning high profits.

Apart from these, there are many more benefits of trading with these brokers.

The Bottom Line

Trading in the forex market with the best trading strategies can assist traders to grab the highest profits from their trades. Use the most suitable trading strategies along with market indicators to get the best results.