Forex Market Season | Forex Trading Articles and Tips!

Forex Market Season

Forex Market Season

Forex Market Season! The Forex technical charts are showing more movement. It looks like some of the big money institutions are back and ready to play. Now is the time to buckle down and dust off the brain. You may have gotten away with some lazy trading in the last couple months because of the lack of movement in the Forex markets and tight trading ranges, but now it’s back to reality.

And this is all good news. The frustration of finding new and creative ways to make money during the summer Forex markets is over. The chart of the EUR/USD is proof positive that things are on the move. The support level that was mentioned last week at around 1.26 held like a champ, and now it’s moving upward. If you started your buying at around that level, not only are you pleased, but you could be pyramiding and adding to profits.

You might have taken profits at the resistance level of around 1.289, and that’s okay. No one is going to argue about taking profits. It was a legitimate resistance level and should have been respected. Another approach would have been moving up your stop-loss, lightening up your quantities, and test the resistance line. If you did that, you’re smiling today. Now, stop smiling and consider adding on to your position. Yesterday’s accomplishments have nothing to do with today. That resistance line is now a support. Forex Market Season

The way the market busted through the resistance is an indication that there is some Forex institutional trading entering the market. The Forex market doesn’t make that kind of move on the backs of a bunch of mini-traders. This is where Forex fundamentals go hand in hand with Forex technicals. There is money moving the market upward, therefore this might be a trend you’re seeing and you might just want to jump on board. Forex Market Season

All these indicators show that the next area of substantial resistance could be as high as around 1.333, and if that’s the case, there is some nice trading to be had. Keeping in mind that in Forex, as is true in most things, nothing goes straight up. As long as you protect your profits, it looks like there’s going to be a nice move ahead. Forex Market Season

This is not the time to try to pick tops. If you are naturally a bearish Forex trader, then it might be time to consider a minor hibernation period. There is no such thing as “over bought” or “over sold” in any market. The market is always just right. Whether it’s in Forex, or commodities, the market is never wrong. Only the people that trade it.

Above all, remain calm. Remember that if you miss this move there will be others. This is the Forex market, not Halley’s Comet.

Forex Market Season

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