Page 143 - Ultimate Guide to Currency Trading

Less Time Spent Trading

If you have decided that a low risk/low return Forex trading system is the way for you, then you will
rest assured that you will not have to spend a lot of time trading in order to meet your profit goals.
You can get very good results and earn enough to make yourself proud by trading just a few hours a
day in early morning or early evening only a few days a week. You can even design a trading program
in which you trade only when the best setups are avail-able, giving you the strongest possibility for a
gain on the trades. In fact you could spend much more time just keeping up on the news than by
actually getting in front of your trading platform and having to decide whether to go long or short a
currency pair.

In this type of currency trading system, you could live your normal life at your day job or with
your family and check in on the markets once a day. You could set up a routine of getting up in the
morning, getting the kids off to school, and then scanning over the stock market news that developed
during the night. If there is nothing of importance, you could then call it quits for the day, and not
trade at all that trading session.

On the other hand, if you got up in the morning and you noticed that the Asian and European
stock markets were doing especially well and were up over 1 percent, then you could just as easily
turn on your computer and enter into some long AUD/USD and short USD/SEK positions before the
New York stock markets opened at 7:30 A.M. You could set up your trades to buy in at the market
level, and then enter in a tight take-profit point. This would allow you to continue to get ready for
your day while the computer did the watching of the account for you.

Taking the safety one step further, you could check on your profit and losses at half hour
intervals. Once your position is showing a profit of any amount at all, click on the "Close All Positions"
screen and proceed to close out all open positions. When you check your account every half hour, you
are giving the market just enough time to move in a direction that will win or lose; this amount will
usually not be by much either way. The secret to the whole process is to click on the "Close All
Positions" with a profit as often as you can.

When you are about to close out all of your positions, it will be natural for you ask,
"Did I make enough at this trade?" The answer is always, "Yes!" You will never lose
by closing out your positions when you are showing an overall profit on your trades,
Essential
no matter how many trades you have open at the time.

If you have three, four, or five trades open, and only three (or fewer!) are currently profitable,
but your trading blotter states that your positions are net profitable then you are in profit, period. This
is the time to click on "Close All Open Positions," and book your profits.

In the situation that you have several trades open but only a few are gains, but your overall
value is profit, you have built a hedge, and the hedge has worked. In essence, you have lost some, you