Three Ways To Gauge Volume in the Forex Market

mprincipatoGeneral Comments, SMB Forex1 Comment

Volume is a key component in technical analysis and in momentum based trading strategies. Heavy volume usually leads to sustained price trends and higher quality intraday momentum. In contrast, lack of volume usually leads to a lot of broken keyboards, computer screens and accounts. So it can be very beneficial for a trader of any instrument to have a sense … Read More

Factoring News Into Your Forex Strategy

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News can cause major movements in the currency markets. Many newer traders like to believe that it is possible to trade news events profitably. That idea gets really old fast and/or your account goes to zero faster. Either way as the newer trader gains experience they realize news trading isn’t the most productive strategy. The question is how can we … Read More

S&P/FX Trade Example

mprincipatoGeneral Comments4 Comments

I talk a lot about the intermarket relationship between the S&P 500 Index futures, and the EUR/USD forex pair. The relationship is typically, S&P goes higher, EUR goes higher. There are fundamental reasons for this that I am not going to go into here. What I want to do here is highlight a particular condition that appeared in the S&P … Read More