Trading Journal - Your Trading Pillar for Success

If you are trader (whatever it is - stock/options/future/forex) and never had your trading journal started, this is my genuine advice - Start it now !!! And do not wait !!! 

Trading journal is one of the upmost criteria for a successful trader, of course, it is equally important for all the beginer trader. But from the start, you will be definitely facing discipline issue as recording down every single trade is not an easy task for every one, especially for a person that is not very well organized for his stuff.

But once you started it, you will start to see more results, it is just a like a journal, to understand yourself better. A trading journal will let you understand yourself more about your trading style and behaviour.  

Then why do we need to have trading journal? The reasons are simple:

1. First, it gave you more time to think before you enter your trade while you still entering data in your trading journal before entering the market. Many times, you realised that your trade is based on emotion more than analysis. Give yourself a valid reason why you enter the trade, and what is your exit strategy. 

2. Second, it provide reference information when you trace back why did you enter the trade in the first place. Whether the result is making profit or loss, your record is important for you to know what you did right and what you did wrong. 

3. Lastly, to calculate the profit/loss in a systematic way, as well as providing a performance chart for yourself to track your profit/loss, as well as your winning/lossing trade ratio, etc. 

If you are excel expert, you can make a simple trading journal by using excel.  If you are not, and would like to use what the expert promote - here is one for you. 

My friend Grag has introduced a trading log sheet to me which I find it very useful and comprehensive. 

You can find out more from here - http://tradingspreadsheets.com/

For all Stocks / ETF, E-mini Futures, and Forex (Fx) Currency Pair traders!

   Plan it... Trade it... Track it !!!.

 A glance at the "Spread`Suite's" 8-different sheets

This trading spreadsheet is basically created with excel, with all the necessary information to guide you how to use it. Like all the software you use, first thing first is to familiar with product you are going to use.

You want the excel do the rest of the calculation after you key in the necessary data, this is one for you. It allows you to record your "entry note" and "exit note" in the comment column, because the reason you enter and exit the trade is upmost important, it let you understand your trading behaviour bettter. 

It provides your performance chart based on your monthly profit/loss, and most importantly you can now track every single trade you entered. 

I would say it is basically a comprehensive trading journal package whatever you need to analysis your trading performance. 

To your successful ! Cheers ! Find out more about trading from http://www.traderwork.com/

http://www.traderwork.com/ - Reveal the Secrets of Options Trading !

If You are looking for free Options Trading Resources adn tips, this site is for you.  

Present to you, TraderWork.com  http://www.traderwork.com/. 

I would love to share more information about options trading, tips, articles as well as my trading journal. 

It is a wordpress theme with 3 column, 2 sidebar at the right with easier browsing other information I would to promote.

You can easily find the recent post, category and tag cloud at the right, or simply using the search box.
If you love articles, simply click on the article category, and my articles under Paul's article category.

Pages are all on top, just below the blog title, I have optimized it so user can find more useful information there. 

Trading is an art, as well as building a website. I hope you like the new appearance. 

Free free to stop by and give me some comments, both positive and negative, I welcome that! 

3 Reasons to Trade Forex and Not the Stock Market

This is a great time to start to learn about forex trading software. Why? Because with a little self discipline you can make money all day long when trading in currencies. Right now property is on the slide, stock markets are collapsing and you have probably missed you chance to get hold of some gold at a reasonable price for the next few years. But there is always money to be made with currency and the best forex trading software can help you get it.

And because of the global financial turmoil now is an even better time then ever to get your feet wet for a reason I will outline below.

Here are three reasons you should be trading forex:

1. Liquidity. No doubt you will have read how much is traded everyday so I won't repeat it, but maybe you didn't realise what it means to you. The fact that so much money is traded constantly means you can always enter or exit the market on your terms. You will never be stuck in a deal trying to find someone to buy your overpriced stock like you might in the equities markets. Because of the huge demand for currencies all across the globe from among others, central banks, you will always be able to take profit or cut losses when you need to.

2. Simplicity. You don't need to get yourself bogged down in company statistics and financies. You don't have to examine the financial health of a company and its history and profit predictions. You don't need to read the annual report or evaluate the price per earnings ratio and THEN have to go on to decide whether to buy or not. All you need to do is familiarise yourself with the characteristic movements of a few currency pairs and then watch them, which brings me to the final point.

3. Trends. Again you have probably heard the maxim "the trend is your friend" and it is true. Currencies have long periods where they are either in an upward or a downward trend. All you have to do is get on the right side of the trend and you are in the money and forex trading software can help you do this so you don't have to be in front of the computer constantly. Once you are in the market riding either an upward or downward trend, ride it all the way to the beach.

Get yourself some forex trading software that identifies trends, entry and exit points and get started. Apply good money management and you will maximise your profits and minimse your losses.

Forex trading software takes the pain out of forex trading. You are only human after all and so are subject to the emotional rollercoaster that goes hand-in hand with playing the markets. Try the Forex Autopilot System to help secure you financial future. Article Source: http://EzineArticles.com/?expert=David_Gregson

Online Forex Trading - Beginners Guide

When it comes to forex trading, understanding the terminology and the forex trading strategies before you begin is vital. There are many web based companies that provide online forex trading tutorials that revolve around real time forex trading. Using a forex tutorial will give you the beginner knowledge you need to take part in trading forex.

After you have completed your forex tutorial there are some basic forex trading tips that all beginners will find useful. The most important thing to remember when trading forex and the most important forex trading strategy is to remember to always place stop loss orders. Using this strategy in your online forex trading will help to prevent and limit your losses.

The next important step for online forex trading is to take profit orders at the same time as placing your stop loss orders. This is done by using the OCO order function that is available with most online forex trading systems. Take profit orders work on the same basis as the stop loss orders and help to eliminate the risk of locking into a profit too early.

Another beginner’s tip is to use a positive risk/reward ratio. This means that you should choose the amount you are willing to make on your forex trade beforehand and it should be more than or equal to the amount that you are willing to loose. This tip is essential if you want to be successful in your forex trading.

It is important for any forex trading beginner to note that successful online forex trading takes patience and is a long term investment. It takes controlled forex trading along with discipline and patience to make your forex trading profitable. Continued research and forex tutorials and guides will help you to learn more and remember as with all successful ventures; knowledge equals power.

We have made the most comprehensive Forex trading strategies research. Find it only on the Online forex trading strategy planet. All about forex trading onhttp://www.leandernet.com/Forex/Online_forex_trading.php Article Source: http://EzineArticles.com/?expert=Oliver_Turner

How to trade currencies

by Christina Pomoni

The daily trading volume of currency trading is a little bit over $3.2 trillion making forex trading the largest market in the world. Even compared to the New York Stock Exchange (NYSE), which is the stock exchange with the largest daily turnover reaching nearly $50 billion, the currency trading market is largest by far.

A currency's value is always estimated in relation to other currencies. What forex trading does is to leverage the fluctuations in a currency's relative value based on the purchase and sale of large quantities of currency around the globe.

The spot rates are the rates paid for delivery of a currency on the spot, which in real terms cannot be more than two days after the day of trade. It is also possible to buy or sell currencies for delivery at some agreed-upon future date, typically one to three months from the day the transaction is negotiated and this is the exchange forward rate. Typically, the amount of currency trading is one lot, which is equal to 100,000 of currency value.

Example of forex trading 
To illustrate how forex trading works, we assume that the current bid-ask price for EUR/USD is 1.0115/1.0120, meaning 1 (EUR) costs $1.0120 US dollars (USD). If investors feel that the euro is undervalued against the dollar, they would buy euros and sell dollars waiting for the exchange rate to rise. The trade would be buy 100,000 and sell $101,260. 
Now, we assume that EUR/USD rises to 1.0230. Since investors bought euros and sold dollars, they should sell euros for dollars to realize any profit. So, investors sell the 100,000 at the current EUR/USD rate of 1.0230, receiving $102,360. Since originally they sold $101,260, the realized profit is $1,100 ($102,360 $101,260). 
Now, assuming that the EUR/USD had fallen by the same amount, investors would have suffered a loss of $1,100 instead of a profit.

Investors prefer currency trading because the spreads are extremely low thus lowering the cost of the trade. Also, the volatility is extremely high and this may offer to investor enormous gains from one trade. To get an idea, the volatility over spread ratio for the forex trading market is 500:1, while the best stocks have 100:1. The main reason that the relative value of currencies fluctuate is because it is subject to conversion very often. Importers, exporters, tourists and governments buy and sell currencies in the foreign exchange market. Another reason is that investors speculate the future movement for a currency and they buy or sell accordingly. Speculation typically has radical consequences on a national currency and consequently on a country's economy.

Investors who favour currency trading typically avoid emotional trading. They set their original plan and they do not deviate from it. They are able to assess unfavourable swings and exit the market, but they base their strategy on market realities and not on gut feelings. Moreover, they follow the market trend and they apply strategies they understand how they work and, most importantly, what are the risks and benefits involved.

In reality, foreign exchange market is mostly open to bank conglomerates and large multinationals. However, ground-breaking technological advancements made it possible for individual investors to reap the harvest of forex trading. The only thing individual investors should keep in mind is that, if you cannot afford to lose, you cannot afford to win either.

Learn more about this author, Christina Pomoni.

Forex Trading - 10 Accepted Forex Wisdoms That Are Wrong and Cause Losses by Kelly Price

If you want to win you need to forget about the commonly accepted wisdoms about Forex Trading told to you online. Most people follow them and remember - most traders lose...

1. Forex Trading is Easy

Vendors continually tell you this and tell you that they can lead you to success with little or no effort; alas it's not true, as we said 95% of traders lose! Winning, depends on having a sound forex education and knowing what you're doing. You're in charge and if you accept this, you can win.

2. Forex Robots Work

A Small minority do - but not the vast amount of forex robots sold for $100 or so.

Why?

Because they have never been traded!

The track records look good but that's simply because they are a back test, on historical data, knowing the closing prices, well if you the exact prices its not hard to make a profit. If you want to lose, the majority of forex trading robots are great way to do it.

3. Day Trading restricts risk and Increases Rewards

This is a dumb way to trade, it's pretty obvious that all daily volatility is random and you have no chance of winning long term. Sure, vendors claim profits but like the robots earlier it's all simulated profits on paper not real cold hard cash you can spend at the store.

4. Complex Mathematical Algorithms Can Predict

This always makes me laugh - forex trading is a market of probabilities not certainties, so what is the use of complex mathematics?

If I ever see a system based on complex maths, by some nerd I'm off to the next one. The best way to make forex profits is with a simple, robust trading system which has fewer elements to break than a complicated one.

5. Risk 2% Only per Trade

This is ok on 100k account - but let's see on a small trader account that equates to $20.00 - well short term volatility will have that. Risk 10 - 20% and remember - this is not being rash, it's simply risking enough to make enough and if you take calculated risks, when the odds are in your favour you can win.

6. Always Diversify

Again ok for a big account - but on a small account diversification simply means you dilute the potential profit of a great odds trade, with a marginal trade.

Forget diversification.

7. You Need to be on top of Market prices all Day

I have seen people who think this helps them win - it doesn't.

You should check prices maybe once or twice a day and that's all you need. This myth is put about by day traders, who lose chase prices around in random volatility and lose. Don't join them and get caught up in the noise.

8 You Need to Constantly Educate Yourself

The more you learn the better a trader you will be - rubbish!

Forex trading has got nothing to do with this. You don't get your reward for your effort, you get rewarded for making money with your trading signal and that's it.

I have never changed my forex trading system in 20 years, it works, has losses but the profits are bigger. Sure its not perfect but no system is.

Saw someone giving forex advice that you should write down and learn from your losses really?

What use is that you lost! All trading systems have losses, if your system is soundly based profits come as well - there is nothing to learn.

9. Use a Demo Account

To see if you can win in real life use a demo account. Fact is most traders who win in demo accounts, don't win in the market - why? Because there is absence of pressure and forex trading is a pressure environment, money is on the line.

It can help you get familiar with the trading platform but that's it.

10. The More Leverage you Use the Better

Most people think that brokers give 200 or 400:1 leverage out of the goodness of their hearts. In reality, most are market makes i.e. they win when you lose and they know investors will over leverage and blow their accounts up. 10 - 20:1 is plenty of leverage on most accounts.

Final Words

So there you have 10 commonly accepted wisdoms, that most traders believe and there all wrong. If you want to win understand the majority lose and believe one or all of the above so called wisdoms - don't make the same mistake.

Get a sound forex education and focus on doing what the majority don't do and you can win.

About the Author

NEW! 2 X FREE ESSENTIAL TRADER PDFS ESSENTIAL FOREX TRADING COURSE

For free 2 x trading Pdf's, with 50 of pages of essential info on Making Money in Forex visit our website at:http://www.learncurrencytradingonline.com

It Is Crucial That Forex Traders Learn To Interpret A Forex Chart

Forex charts are a key component of the forex trader's toolbox and it is vitally important that any dedicated trader masters the skill of interpreting forex charts.

There are several different weapons in the forex trader's arsenal and one very important tool important is the forex chart. Simply put, a forex chart is a graph of the prices of a chosen currency pair over a given time period. Reading forex charts is critical to any forex trader’s business and so it is important to know how to read them and to understand just what they mean.A forex chart is plotted for a currency pair such as the EUR/USD or GBP/JPY and shows the movement of the currencies concerned against one another over a period of time. For instance, a EUR/USD chart tells you how the Euro and the US dollar have moved against one another during the period for which the chart has been plotted.Along the bottom of the chart you have the timeline that can for example be divided into 15 minute, one hour, one day, one week, or longer time periods. Then going up the right-hand side of the chart are incremental values that are generally set to run from just below to just above the lowest and highest prices reached during the period in question. For example, for a EUR/USD chart the values could run from 1.2534 at the bottom to 1.2566 at the top.Forex charts are helpful because they paint a clear and simple to read picture of just how a pair of currencies is doing and you can see at a glance if a currency is strengthening or weakening so that you can act as necessary. The choice of a time frame for a forex chart is also important as a short time scale can help you to see minor trends while a long time scale can help you to identify longer term trends.You can find free forex charts across the Internet on numerous different websites and many of these will even let you put charts on your own websites. These charts are alright for glancing at trends from time to time but serious traders will have to have access to much more detailed charts that are continuously being updated in real time. This is essence means having access to suitable forex trading software that is operated on a broadband internet connection so that you are always connected. Anything less than twenty four hour access to the most up-to-date forex charts covering a wide range of different currencies will make life very difficult for the serious trader.With dozens of the world's currencies being traded every day there are way too many currency combinations for anybody to track of them all in their heads and the beauty of the right forex software is that it permits you to see multiple forex charts to show at a glance exactly what your favorite currency pairs are up to. Of course you will wish to keep a close eye on those forex charts displaying currencies in which you have already made investments, but you are also going to want to keep track of other currency pairings which you might wish to open trades in if they move in the right direction.Being able to easily and quickly watch the progress of a wide variety of currency pairings means that you are much less likely to miss investment opportunities that you could easily miss without access to the right forex charting software.

About the Author

LearningForexTradingOnline.com provides information on currency trading and also includes details of the importance of real time forex charts