Renko Charts - Why Forex Traders Prefer Renko Charts Over Candlesticks

For the last 12 months, Forex traders by the thousands have begun switching from "normal" Candlestick and Bar charts over to Renko Charts. This begs the question "Why do Forex Traders prefer Renko Charts over Candlesticks and all the other normal charting methods?"

The answer is simple: Renko Charts remove all the noise and confusion that are a common part of Candlestick and Bar charting, and allow Forex traders to easily spot the beginning and end of literally every short and long-term trend that develops on a Forex chart.

FOREX

One of the undisputed truisms about Forex trading is that the Forex pairs trend better than any other investment vehicle around. A key to successfully trading any Forex pair is to get into a trade when a new trend develops and ride it out until the trend collapses.

The problem faced by Forex traders is that Candlestick and Bar charts do a poor job of identifying trends 80% of the time. A choppy market can result in a half-dozen or more 15 minute Candlesticks with small bodies and large wicks on each end, with no trend visible.

For instance, if you were to look at a 15 minute Candlestick chart of the EUR/USD for the time period of 9:00 a.m. to 12 noon Eastern Time on July 12, 2011, you would notice that price remained in about a 40 pip range, with no distinct trend apparent. If you were trading off of the 15 minute charts, in all likelihood you would not have placed a single trade due to the lack of any strong signals being present.

Renko charts would give you an entirely different view of this same time frame. Because Renko candles only close once price has moved "X" number of pips in one direction (and you can set "X" to any pip size you desire) instead of seeing a period of erratic price movement you can now see several trade opportunities within the high and low prices that make up that price range.

Looking at the same time period from above using 5 Pip Boxes on the Renko Charts, you would have seen 8 trades develop, each one moving into profit from 5 to 25 pips before stalling out and turning around. Renko traders easily made more than 60 pips profit during the same time frame that Candlestick and Bar Chart traders deemed untradable.

No longer are Forex traders forced to sit for hours waiting for a single trade signal. With Renko Charts, traders can now find as many as 5 or 6 trade opportunities in a single hour, where Candlestick and Bar chart traders see none. For those Forex traders who have a limited amount of time to trade each day due to jobs and other outside time constraints, Renko Charting is the answer to their prayers.

Renko Charts - Why Forex Traders Prefer Renko Charts Over Candlesticks

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Posted in: Candlesticks,charts,Prefer,Traders

Statistical Arbitrage for Forex Traders - Trade Entry Triggers.mp4

Statistical Arbitrage for Forex Traders - Trade Entry Triggers.mp4 Video Clips. Duration : 8.40 Mins.

Overview of Indicator STD V2.5 package details of the trigger level adjustment for arb trades. www.fxalgotrader.com

Keywords: Stat Arb, Forex, Statistical Arbitrage, trading, software tutorial, Metatrader, MT4, Automated Trading

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Posted in: Arbitrage,Statistical,Traders,Triggersmp4

Traders in the volume - June 17, 2009 Retail 1

Traders in the volume - June 17, 2009 Retail 1 Tube. Duration : 5.98 Mins.

A long trade with the merchant VOLUME! These educational videos are a summary of his trades a 17th June 2009. This video is the # 1 trade

Tags: S&P emini 500, the volume trader, futures trading, rsi indicator, macd indicator, stochastics indicator, cci indicator, ninjatrader, chart trader, OHLC bars, trading strategy

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Posted in: Retail,Traders,volume

44 How successful Traders use indicators to Place Stops

44 How successful Traders use indicators to Place Stops Tube. Duration : 7.50 Mins.

www.informedtrades.com A lesson on how to incorporate the use of technical indicators are no longer with the ranking in futures, forex and stock markets. In our last lesson we have learned how many successful traders look for job opportunities that you can set their grip, so that there are one or more points of resistance between its start and stop level, and if all, only a few support or resistance points between their entry-level price and its target. In today's lesson we will seeAnother factor that many traders use when deciding where their attacks, the use of technical indicators, however. As it is hoped, by the observation of my previous lessons we have already gone through two indicators are covered and how specific strategies are used to remember people who are set to Average True Range and the Parabolic SAR. While these indicators were designed to measure the dealer where you stop, many of the other indicators we use to look like space designedPick-Commerce access points can also be used to decide when to exit a trade. In this context, the question is, then, with all the options available, how do you decide that if no indication on when deciding when to seek an outlet for trade. That if an indicator is finished in your money management strategy for the setting is largely dependent on the type of strategy and action. As a general rule, however, if you leave a screen in order to report, for example, with a buy-one voice...

Keywords: howto, trade, settingstops, daytrade, investing, money, finance, business, forex, futures, stockmarket, informedtrades

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Posted in: Indicators,successful,Traders

Best Forex Indicators - 2 Popular Indicators and Fatal Mistakes Most Traders Make

Many traders like to use pivot points and moving averages but make fatal mistakes and don't use them correctly, which ensures the indicators which can help their profitability actually causes them losses.

If you are using these indicators or thinking of using them, then learn now to use them correctly.

Technical Indicator

Here are some tips that will help you use these indicators correctly.

Best Forex Indicators - 2 Popular Indicators and Fatal Mistakes Most Traders Make

1. Don't use them on meaningless data

More traders than ever are day trading and their losing.

The reason why is simple the time frame is to short and all volatility in daily periods is random and therefore NO technical indicator will give you any advantage, pivot points, moving averages, or any other indicator can help you make profits.

Ever seen a day trading vendor who has real time track record of profits?

You won't!

Because it doesn't work, volatility can and does, go anywhere in a day and traders lose - it's as simple as that.

2. You can't time entries with them!

Moving averages define the longer term trend; pivot points indicate points of rotation by definition, so they are telling you where prices may find support or resistance - nothing more.

Many traders like to simply wait for prices to reach the levels and enter their trades and then hope prices turn in the direction they anticipating, but if you rely on "hope" you will lose.

Never trade on "hope" trade with the odds in your favour.

This means when prices move towards the price levels you are looking at, you need to get the odds in your favour and that means combining them with momentum indicators to time your trading signals with the risk to reward I your favour.

You need evidence that price momentum is indicating the levels will hold.

If for example, prices move to support and price momentum turns up, you have the odds in your favour that support will hold and you can execute your trading signals.

Good momentum indicators are ones such as, the stochastic and Relative Strength Index (RSI) and if used with pivot points or moving averages, you have a powerful combination.

It's all about combining indicators for profit - no indicator works on its own, so you need indicators that complement each other.

THE Biggest Mistake any Trader Can Make.

Is to try and "predict" market direction. Most day traders do this as standard and most people who use pivot points and moving averages, who try and execute trading signals with them are doing the same.

You can't predict turning points so don't try - act on confirmation and you will increase your odds of success dramatically.

Keep in mind trading is an odds game not a game of guessing, hoping or predicting - if you remember that and use it to your advantage you can avoid a fatal mistake most forex traders make.

Best Forex Indicators - 2 Popular Indicators and Fatal Mistakes Most Traders Make

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Posted in: Indicators,Mistakes,Popular,Traders

Trading the Fundamentals: The Trader's Complete Guide to Interpreting Economic Indicators & Monetary Policy (Tienima)

Trading the Fundamentals: The Trader's Complete Guide to Interpreting Economic Indicators & Monetary Policy (Tienima)

               

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Trading the Fundamentals: The Trader's Complete Guide to Interpreting Economic Indicators & Monetary Policy (Tienima) Overviews

Explains the significance reliability and market impact of 23 of the most widely followed economic indicators. Most important, the authors explain how each indicator behaves through every phase of the business cycle. This book is both an enjoyable read and enormously valuable reference tool. Specific topics include: Analyzing business conditions; The reliability and limits of each indicator; The relationships between various indicators; Economic indicators and the Fed Policy; Business cycle turning points.

Trading the Fundamentals: The Trader's Complete Guide to Interpreting Economic Indicators & Monetary Policy (Tienima) RelateItems

• The Complete Idiot's Guide to Economic Indicators

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Posted in: Complete,Economic,Fundamentals,Indicators,Interpreting,Monetary,Policy,Tienima,Traders,Trading