It is well known fact that if you learn to use technical forex charts correctly you can make huge profits. Learning to use forex charts is an art which you can master with experience and patience.
Following forex charts is similar to following ocean charts. If you are the captain of a ship, you can navigate the ocean and discover wonderful things with the help of ocean charts, but you need to be extremely careful! If you use charts incorrectly you may land in some serious trouble.
Following are some of the tips to make use of charts correctly to make some serious profits:
- Use few indicators to keep it simple. If you make the system complicated with several elements it would be very difficult to handle the system and the whole system may break easily.
- Use only valid and reliable data to build your charts. Trying day trading is dangerous as data is too short and chances of projections going wrong are high. Short term volatility is completely random and all resistance levels and support levels can go wrong in day trading.
- Learning to use momentum indicators is extremely useful in mastering this business. Never do the mistake to try future market directions as predicting is guessing and it always involves the risk of going wrong.
- Being objective helps more in this business. Try to avoid being subjective. Avoid subjective indicators and always follow only objective indicators.
- If you want to taste success in this market learn to obey market rules. It is futile to try to jump in opposite directions. Instead learn to be patient and exercise discipline while you master this art.