Trend Following in Forex - Most Traders Don't, But You Should, It Makes Huge Gains!

Trend following is actually very easy to learn and seem to hold the moves that take between a week more than a year. Of course, if the real trend can make a lot of money, so let's look at the advantages:

Any free market supply trends

currency trends, and so is any other free-market instrument and they can all be traded in the same way and you get bullish and bearish trends, so you can make money in any economic climate.

Retail Reality quotes

Trend after the decision does not involve forecasting, "gut" feeling or "shooting from the hip" and involves the study of the financial press. Trend following simply requires you to follow a simple set of rules that are fair and allow you to see changes in price momentum and lock in current trends.

makes huge profits

following the trend looks like a combination of absolute return. Do not shoot for a "small". or the average profit during the financial market turmoil, it can make big gains.

Take advantage of the mass of human psychology

currency prices are only subjective expectations of traders reflected objectively. People's reactions to the markets still remain the same - most follow each other and end up losing. People like to be social and to adapt, even if the group is wrong. When the traders to follow each other, they get caught up in the crowd hysteria, and that means losses. Trend following will always make money because most traders simply can not think of themselves.

do not have to win over retailers to make great gains

Trend following, a defined exit rules to control the losses in your account when you are rapidly losing trades to maintain capital at računu.Omjer win loss does not matter in trend following. If trends hold for a week or months, it will cover a lot of small losses. You can have more losses than profits when trend following, but the size of your profits can be sometimes 10 to 20 times greater than your losses, so you can see why they should not have a high ratio of winners losers make great profits

After big moves means low operating costs

If you day trade a lot you lose a lot of transaction costs in relation to the profits that are aiming for, but the trend following is not true. With this long way of trading, your operational costs are minimal, and increases overall earnings.

if you want to make a big profit good news is, this method is easy to learn

if you want to make a big profit good news is, this method is easy to learn