Forex Day Trading: Is Forex a Fit for Day Trading?

Day trading is defined as opening and closing a position within a single trading session. Most day traders make use of leverage and short-term trading strategies to take advantage of small price movements throughout the day.

Day traders typically trade frequently as they attempt to take advantage of short-term market moves. This accelerated approach helps new day traders gain experience quickly while also developing a consistent approach without long-term risk or exposure.

As long as appropriate risk management measures are in place, day trading can be a viable approach to the forex markets.Read More

Identify Market Trends & Cycles with Moving Average Indicators

There are two types of Moving Averages that technical analysts use to identify overall market trends and potential cycles, the Simple Moving Average and the Exponential Moving Average. Each technical indicator is designed to smooth out fluctuating data to show an average value of an instruments price over a user defined period of time.Read More

How to Identify Double Top and Bottom Patterns

Double top and bottom chart patterns are used to predict bottom and top reversals in futures markets. Identifying this pattern in a trading chart could indicate the beginning or end of a market trend. By showing both the ‘bottoming out’ and ‘topping out’ of a trend, double top and bottom chart patterns can be helpful in finding a potential trade setup. Read More

What is a Tick?

A tick is the minimum increment that an instrument can fluctuate. Whether the instrument price is moving up, or down, its tick value represents what each movement is worth in terms of dollars.

For example, the E-mini S&P 500 (ES) futures contract has a tick size of 0.25 with a tick value of $12.50. Thus, each time the instrument moves, it will do so in 0.25 increments, and each movement represents $12.50.Read More