Forex trading systems are trading templates that you load onto your charts so that they can analyse currency pairs for entry and exit signals. They usually include a combination of technical indicators which must agree for a signal to be generated. Some systems will also suggest price levels to place the stop loss and take profit.
A forex trading system is a manual forex trading strategy that you can use to assist you with your trading. They are usually colour coded and thus can be easy to interpret, making them suitable for traders of all experience levels.
Trading systems can be used standalone or as part of another system. I prefer to filter the trading signals generated by them by using my own technical analysis, fundamental analysis, sentimental analysis and price action analysis.
You can run the trading system on multiple currency pairs and chart time frames whilst many can alert you to trading signals via platform pop-up alerts, SMS or email. This enables you to simultaneously monitor multiple charts without having to sit and stare at charts all day.
Whilst some forex trading systems can produce good trading opportunities, traders need to have good forex money management principles in place, a trading plan and strict trading discipline. I would also always practice on a demo trading account until I become familiar with a forex trading system and continuously make profit with it. Only then would I even consider trading it on a real live account.
In my forex trading system reviews I give you my honest opinion, only you can decide which is the best forex trading system for you. It is important to use a system that makes you feel comfortable.
In this post I will be reviewing the forex black cobra trading system which is a manual forex strategy that has been developed for trading currency pairs in the MetaTrader 4 (MT4) platform. If you don’t already have it, you can get MT4 free from most forex brokers. You can ..Read More
A double parabolic SAR strategy uses two indicators with different settings. First, a longer-term period shows the trend direction based on the direction of the parabolic SAR. Once the long-term trend direction is determined, trades can be taken on a shorter timeframe, but only in the direction of the longer-term ..Read More
The ADX indicator is great for identifying currency pair trend direction and momentum. It can also be a useful trading tool for spotting range bound market conditions when we may not want to use a trend trading strategy. That being said, the ADX trend strategy implements all of the different ..Read More
Bollinger bands are great for helping to identify market ranges and breakouts. Many traders use the Bollinger bands reversal strategy to try and pick the tops and bottoms of a range bound market, or the Bollinger Bands breakout strategy to enter when price breaches support or resistance. I like to ..Read More
The stochastic indicator can be a great trading tool for spotting market reversals and trend momentum. However, many forex traders just look for a stochastic crossover or extreme level, without even considering a stochastic divergence strategy. I think this can be a very useful way to get additional confirmation on ..Read More
The CCI divergence strategy can be very useful for identifying when to enter and exit the forex market. I think CCI divergence is often overlooked by forex traders who think the CCI indicator is simply for spotting overbought and oversold market conditions. Whilst it can do a good job of ..Read More
The simple moving average (SMA) was one of the first technical indicators that many forex traders will come across. It is often the core foundation of a forex strategy as it can help traders to decide if they will go long (buy) or short (sell) in the market. The simplest ..Read More
The RSI is a very popular forex indicator which can be used to identify the trend of a currency pair and help us to avoid getting in too late. The RSI trend strategy can be used on any forex currency pair and chart timeframe. We are looking to first identify ..Read More
The moving average indicator can be an excellent trading tool for identifying and entering trends on currency pairs. However, it is important to be able to time your entry and exit so that you can catch the most significant market moves and try to avoid false signals. For that reason, ..Read More
The MACD indicator is a popular tool for using in various forex trading strategies. It can be used to spot currency pair trends and momentum, as well as possible market reversals and price divergence. This makes it a versatile technical indicator that can be used standalone or in combination with ..Read More