Forex trading floors
Have you ever imagined how the forex trading floor looks like and how the big players trades!? If you not, start to think about that now. Why? Well, soon as you realized how they trade, you will see the market clearer.
Many of you asked me, why my analysis are so simple and how can I so easy and accurate predict some moves which I am presenting here in my blog!? Well, this is the answer on all you’re questions, I see the market how they see it! With economic/fundamental background and with clear and simple technical analysis.
Most of the forex analysts, who are selling their knowledge to you as an education are trying to complicate their analysis much as they can, only to create the illusion on how hard is to analyse the market. It seems to you that this is imposible to learn from the start. If they will present the analysis and the market moves easy and simple how I do, they will not be able to charge for their services and educations, right!?
In fact, forex trading floors are the simplest as they can be. Do you know that they are actualy performing only 2-3 trades per week for their trading account? Yes they are. Do you know that only 5% of total forex traders are bankers? Yes they are. But, 5% of them are making more then 90% of all forex volumes. Wooow, that’s impresive, isn’t it!? Sure it is. Let me clear this up. Most of the time they transacting on behalf of the banks customers, as they say ,’clearing the flow’. They may have a housands trades a day, but none of these are for their proprietary book. When they trade for the bank, they make trading decisions when everything is lined up, technically and fundamentally and that’s what important is in every trading strategy. To know when is going to happen a long term trend, based on the clear fundamental decisions from the central banks and follow that move latter on based on clear and simple technical analysis.
This is the example on how they see the weekly chart on the trading floors. Clear and simple chart with trend lines and SR important levels. They are analysing on the high TF’s and opening the positions exclusively in the SR points. In my point of view, daily is the smalest TF in front of them and they are not trading in between the major SR levels. They determinate the key levels and trade like a robots with no emotions at all.
And that’s exactly what you should do as well, no matter that you’re just a small retail trader. To wait for the right moment and to catch just a several right trades per week or even per month. All other trades should be quick with small targets and reduced risk in minimum in between the ranges. Don’t use small TF’s for you’re analysis and trading, trying to catch huge trades based on them and remember this.
Sure, big market players are trading mostly on volume and that’s the most important thing for them while they trading huge amounts. But, they must be careful on that and keep the market technical picture in order.
There is no holy grail in technical analysis and if someone have a nice fancy expert analysis, that doesn’t mean that he is a great trader. You must understand the fundamentals, analyse simple as you can and see the market as you’re are on the trading floor, as you are the big player! You must feel the market and the market moves and it will looks like you’re moving the same. It’s not analysis what makes you a great here, it’s all together in one.
Fancy professional analysis doesn’t mean anything. Keep it simple like the trading floors does and you will succeed!
you have changed my complete chart reading… I have removed all crap from the charts and now have just 4 sma 50-100-200-800 with few lines which I try to connect everyday and belive me it has helped me a lot. I am still week on fundamental side but will try to improve that also……thanks a ton to share all this inside with us………..
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Nice to see that Hiren. Fundamentals are important for long term direction and it’s important to understand that on time. Latter on, you just need to trade in trend, based on short term technical analysis. Keep it simple. You’re welcome. 😉
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Fantastic article as always my friend. Keep up with this things.
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