The market price in the forex market is very much related to the country bank interest rate.

If the bank of England cut the interest rate, what do you think about the economy in England? What if the Bank of England increase the interest rate? How would this interest rate affect the currency pair of GBP/USD?

Well, think of this way: Why does the bank need money? To invest in something to make profit right? If there is not sufficient money for investment, what would you do if you’re the bank CEO? Well, you want to have more people to put their money in saving account so that you can use that money to invest.

Therefore, when the bank of certain country increase the interest rate, it is a sign that the country is not having good flow of money to invest somewhere. So, the translation would be: weak economy in that particular country.

If you want to trade forex, you must know the pair you trade and the country news. If you know that the interest rate of England is being cut, then you know it’s good time to look for buy in GBP/USD.

Every month every country will announce their bank interest rate and that is a good indicator for you as a forex trader to know the direction of the pair that you want to trade with.

Go do some research and have some testing!

Have a great forex trading week!

P/S: No post for this week. Not around. God bless.

What I mean by facts in forex market? Facts are confluences and events during the forex market price moves up and down. You don’t want  to trade blindly with only your own confidence that the price will be up or will be down.

I would say that you need at least 3 confluences and events that prove your decision is right before you put your trade. After you put the trade, set stop loss and profit target and then don’t get hang with it when price is against you.

So, look for facts and have confidence in your decision.

Since forex is 24hours a day, therefore you can choose your own time to trade. However, there are certain periods of time that are more active in forex market.

Basically there are 2 sessions. First is when London market opens which is around 2am EST time to 6am EST time. The second period is when New York market opens which is from 8.30am EST to 12am EST time.

If you are a swing trader, you might want to capture the time of around 4am EST time(Tokyo Close) and 11am EST time(London Close) which will mostly turn the market price around.

If you would like to trade from 8.30am EST time onward, you have to be careful of the the news come out at that period of time. If you want to know what news will be coming up next, you can go to www.forexfactory.com and check them out.

Again, please remember that the best time you want to trade forex is very much depend on what strategy you’re using. Some strategy is not suitable for active market. Therefore, you must find it out first before you go for real.

Happy Forex Trading All The Time!

What I mean by that? Well, the best strategy for each trader is not the same. Some traders trade with one particular strategy and earn thousands but the same strategy may not be as effective as the former traders.

The best strategy is the one that you are familiar with and with good money management. So, if you don’t have any strategies yet at this moment, go and look for some and sort them out to 2 or 3 strategies. Then, set some time to test it out in demo account and choose the best for yourself.

But one thing you must remember: There’s no never-loss strategy. Forex Trading is a business. In a business, you will face losses but if you have a good money management and discipline, you are on the right track to profit more than loses.

An effective and profitable forex trading strategy is very much depends on the time period you trade and the money management(stop loss or trailing stop). Therefore, it’s good to demo trade in the same period of time to find out which time period is the best for that strategy.

As well, you need to know what trader are you. Are you a day trader? Or a long-term trader? Or a swing trader? Determine which trader are you will help you to identify what time to trade and how much you are willing to risk.

Go ahead and explore the strategy you learn now. Take one or two months to test it out to see if it is good enough.

Happy Forex Trading with your Best Forex Strategy!

Anyhow, we will see for next week price movement.

Remember that we are in the high probability of price retrace.

Happy forex trading!

I hope that this site will be beneficial to all forex traders to trade better. You’re most welcome to give feedback and suggestion so that this site will be more user-friendly and serve you better in trading the forex.

I will update site from time to time but it takes time too. So, just be patient while you’re trading forex.

Here is the list of what I will/might put in this forex trading community:

• Forex Trading Forum
• Forex Trading Live Chat for Live Forex Trading
• Forex Training Articles
• Forex Trading Signals
• Forex Review (Review about some forex trading services, books ects… )
• Forex Everything (What you suggest that might help…)

I would encourage you to subscribe to Forex Membership Newsletter. Once the site has new features or important announcements, I will email to you.

Hope you enjoy in this forex trading community!