Long-term way of trade eur-usd
Only having started to trade in the currency forex market, the trader gravitates to intraday trade more. It and is clear – after all intraday trade, at first sight less risk and demands much the smaller deposit on volume, than intermediate term or long-term strategy and allows to get profit much faster. We have knowingly mentioned that smaller risks at such trade – exist only at first sight. Really, short-term trade assumes much smaller levels of stop warrants, but many do not consider that fact that at such trade of positions opens much more – their time can be a little for one day, and not all of them, naturally, are closed in profit. The sum of positions closed in loss can reach three-value values at the active trader for a month! And not the fact that the positions closed in plus, will block them. Besides, even if to take the most modest values of a spread on steam EUR-USD which at the majority dealing the centres makes 2 points, and to assume that the trader for a month has opened 100 positions, we receive number in 200 (!) points which it has given to the broker for services. And after all it is 2 000 dollars at trade in the whole prize from forex broker. Thus, we have found out minuses of intraday trade so let’s talk about its alternative – long-term forex trading strategy. Again таки, among beginning traders the set of errors reigns. The main things from them:
1. Long-term trade demands the big deposit
2. Long-term trade brings much less profit, than short-term
3. The long-term position is difficult for conducting psychologically because of the big sizes of working feet-lossov.
Really long-term trade assumes presence of enough big deposit, some tactics assume after waiting working minuses in thousand points, and the deposit should be able sustain them without special hindrances, and really psychologically is difficult sustain supervision on the trading account movement against your position in one thousand points. But these minuses fade into the background at the main advantage of long-term trade – a rare input in the market. For a year it can be open only 3-4 positions, as a result possible losses will not be more than at intraday trade. Especially on steam EUR-USD which differs enough stable trending. And the eternal servitude to the broker – a spread – will make scanty values of 10-15 points for a year instead of 2000 points at short-term trade – actually – economy on a spread simply shaking. Whether long-term trade on less profit, than short-term brings? The fluent estimation of some long-term tactics allows me to estimate their potential in 2000-3000 points profit in a year on steam EUR-USD, figures as it seems to me, more than impressive for the market форекс. By the way, all trading tactics applied in intraday trade are applicable and to the long-term. Let’s consider on an example of breakdown of the basis of a fractal of Bill Williams on steam EUR-USD. In short-term trade similar tactics is applied on hour candles and is simple to impossibility – at fractal formation the warrant on breakdown of its basis is put, thus stop-loss is established on its top (taking into account a spread). At warrant operation opens either a long position, or short – not the essence important – such positions for a day can be open 2-5 pieces. Stop-loss draws near with each opening candle on a distant extremum of the previous. Adaptation of tactics for long-term trade looks as follows – instead of hour candles schedule EUR-USD with week candles opens, and tactics is carried out with the same conditions. As a result we have for 2007 8 open positions, 7 from them are closed in plus, one in zero. profit – about 5 000 points. So, we have found out that really there are reefs and at long-term trade. But they with interest pay off its pluses – a rare input in the market, it is ready smaller fee of the broker, at last – a large quantity of a free time which the trader can devote to self-improvement, studying of the literature or a family.