Forex is a global and decentralized financial market for trading currency. Basically it trades in different types of currency and in doing so determines the relative value of one currency over another. For example Mr A trader in America trades $10,000 and exchanges it for Euro’s.

1. A Beginners Guide: Simple Forex
Trading System
By James Taylor
http://www.FishingForexPips.com
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

2. Forex is a global and decentralized financial
market for trading currency. Basically it trades
in different types of currency and in doing so
determines the relative value of one currency
over another. For example Mr A trader in
America trades $10,000 and exchanges it for
Euro’s.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

3. The exchange rate of US dollars to European
Euro’s is determined by the foreign exchange
market, more commonly known as Forex.
The goal of this article is to provide beginners
with a brief explanation on simple Forex
trading systems in the hopes of tickling the
interest of more consumers to participate in
Forex trading.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

4. The first thing a consumer has to know about
simple Forex trading system is to determine
the type of market. Is the market a bullish,
market or a bear market, meaning is it a rising
market which will continue to rise or is it a
falling market which may continue to decline.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

5. Second, keep a close watch on your charts and
look at the trending. Is there momentum, Is
the momentum one that favors a rise or a fall?
If you want to sell then it is best to look for a
sudden spike from the market, refer to
momentum indicators like RSI, MACD and
stomachastic.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

6. Now while the price is still spiking up but the
momentum starts to slow then it is time to
sell. This is what is known as bearish
divergence which is basically the time frame
from which the price and demand is at its
peak but is about to fall.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

7. Third, always have stop loss protection in
place, regardless of how good a time it is to
sell or even buy. Basically a consumer/trader
has to patiently wait for prices to plummet
then while it is at a decline it is time to move
your stop to break even. By doing this the
consumer/trader is able to take profit by
setting a downside target.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

8. Fourth, watch for trend reversals. Basically
when a rise or spike in the market ends and
starts to plummet there will almost always be
a short burst or spike upwards. This usually
lasts a day or a week at most.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

9. That is the time a consumer/trader should
watch the market very keenly and time unload
within those short spikes. Now if the
consumer/trader is lucky enough he or she
may even time it to coincide with a new trend
which can last at least a week and at most a
month.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

10. These are just some of the many simple Forex
trading systems which can be learned by
consumers thru proper reading materials,
careful supervision, and a lot of patience.
Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.

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Copyright by James Taylor - http://www.fishingforexpips.com/ All rights reserved.