Tips on entering the market at a better position
In this video:
0:36 Are you getting into a new trade too late?
1:53 Reversal trades and Continuation trades
3:30 Client makes nearly 50% this year in 10 months
4:18 How I can best help you with your trading
Would you like some tips and information regarding getting your entries better as a Forex trader? If you would, then listen up, we got some great information to share with you.
Hi traders, this is Andrew Mitchem here, the Forex trading coach in today's video podcast. I want to talk about getting you better entries into your new Forex trading positions.
Are you getting into a new trade too late?
The reason for this video on podcast comes about as a result of an email from a lady called Jane, who said to me, “Andrew what I'm finding I'm doing is I'm leaving my entries far too late, by the time I actually decide to take the position, most of the move has happened, and I'm getting in far too late, and the trades are reversing on me and I'm getting stopped out even though I'm jumping in on what looks like a fairly good trend.” It is a common problem with so many people. It tends to happen regardless of what currency pays you're trading, or even what time-frames you are trading.
The problem is, I believe this, that because so many people use lagging indicators, they have to wait for such a long amount of time for indicator A to cross over indicator B, or for it to change or paint a different color. Whatever that indicator does, or group of indicators do, the problem is that by the time that all that happens, and all those lagging indicators have finally caught up to show you there is a trend happening and an entry position. Then by the time that that has happened, then most of the time what you find is that the movement and that trend within the market has already happened. You are jumping in way too late.
Reversal trades and Continuation trades
Whereas the way that I like to trade uses price action and that generally gives you a far sooner entry. There is two different types of ways that I like to trade. One is called a reversal trade and the other is a continuation trade. They both have their pros and cons. A reversal trade on the chart is when you've had let's say a very strong uptrend and then there is a signal or an indication that the price is low to tip over and then start going short. That looks very good and very dramatic on a chart. It is a higher risk trade because you are trading against the main trend, or the main previous trend. When you see that happening on the chart and you get other things backing it up, reasons why it's bounced at that level and various other things that we are looking for. If you get that reversal trade right it does look extremely impressive.
The other way of trading is let's see, we've had that big uptrend and then you've had a pullback and there a retracement against that main uptrend. The trend is now moved back and then you are getting an indication to go along again to buy again. That's what I call a continuation trade and that in some ways is a lot safer looking trade. Not quite as dramatic to look at in the charts, but in some ways gives you a higher probability trade because you are trading with the main direction but after a pullback.
So if Jane is saying she is getting into the trade far too late, the answer really are to 1, use price action and look for that reversal signal or if you see that movement happening, then waiting for a pullback against that main trend and then look to ride the main direction again, as in the continuation trade. Whichever way you take, there is two really good high probability ways of trading there, which takes the focus away from lagging indicators and getting into a trend far too late. So I hope that that helps.
Client makes nearly 50% this year in 10 months
Just needed to tell you also that I held a live 2 hour trading room session for my clients in the European session yesterday and had great feedback from one client in Australia who has been with me trading live for just over 10 months and is almost up 55.0 % so 50 % on a live account in 10 months since he started with me. Pretty amazing result when you think about other investment options that you have out there. Not only is it a 50 % gain, it's the skill and the understanding which have been taught, which then can be used from now and onwards.
Amazing results. Really pleasing when I hear results like that of someone achieving such amazing trades as a result of being through the course.
How I can best help you with your trading
If you'd like to know more about how I can help you trade, what I suggest you do is keep a really good lookout for 5 excellent videos that I'm just about to make. I say they are excellent because I made them so I'm thinking that they are excellent. What they are is that they are feedback on subjects that people have given me as issues and troubles that they are having within their trading. I've made 5 videos across 5 various different topics and subjects that I'm going to be releasing in early December.
You may also be interested to know that in December I'm going to be holding what I'm calling my 12 days of Christmas sale where I'm going to be looking at offering my … Access to my membership side and trading course at a completely different way that I've ever offered it before at a reduced rate and also different ways of joining. If that's something that interest you keep a look out for access to that 12 days of Christmas sale and those 5 free videos that I'm going to be placing on my website in the first week of December.
So I hope that helps, and Jane if you are watching this hope that really helps you with your entry into new trade positions. Take that onboard because what that's going to do is going to get you far better entries into trades and the likelihood is of trades being stopped that far less, because you enter those positions at a far stronger position.
So this is Andrew Mitchem from the Forex Trading Coach.