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Showing category "Money Management" (Show all posts)

How To Manage Your Money When Trading The Forex Markets

Posted by James Woolley on Thursday, November 26, 2009, In : Money Management 
Forex trading can be a very rewarding profession because you can start off with a relatively modest amount of capital and turn it into a considerable amount of money. However it should be pointed out that it's definitely not a get rich scheme.

Of course it is possible to make a lot of money in a short space of time if you use a large amount of leverage and take out a large position or two. However you can do exactly the same at the races or at the roulette wheel. The fact is that forex tradin...
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A Way to Avoid Overtrading

Posted by Shawn Cannon on Tuesday, September 8, 2009, In : Money Management 

Despite the hundreds of currencies in existence, only a handful is heavily traded on a daily basis. The currency pairs that see the most activity are considered the Majors. The Majors consist of GBP/USD, EU/RUSD, USD/CAD, USD/JPY, USD/CHF, and USD/AUD.

Do you see one common denominator amongst the majors? The United States Dollar is traded in every major currency pair. Currency pairs that do not include the USD are considered to by cross rates. And example of a cross rate would...


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Breaking Even: How to Preserve Your Bankroll

Posted by Shawn Cannon on Wednesday, September 2, 2009, In : Money Management 


By Shawn Cannon From FX Trading Network


Breaking Even: How to Preserve Your Bankroll 

Price does not care about you.  Nor does price care which direction you want it to go. Price does not even care where it once was. So if price is running away from you, do not just let it get away with bankroll. Put a stop to it. More importantly, when the market has rewarded you with pips, take them before price turns and takes it all back. Protecting your bankroll is the number one priority in tradin...


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