Trading Strategies

Trading is a system of buying and selling with a lot of risk, only suitable for the most qualified. It is not properly an investment, but rather speculation. Apparently it is very attractive and gives the option to earn large sums of money in the very short term, but also to lose it. The amount of commissions to be paid, added to the high probability of performing erroneous transactions mean that only 10% of traders earn money and few of them do so during the first months. However, when the rules of the game are well known, the performance of trading operations is usually very high, with benefits of dizzying figures.

It should be noted that to be a successful trader it is not necessary to know the market thoroughly and the rules of the game specific to trading. A curve, a simple drop or momentary rise is more than enough to generate profits, even ignoring the direction in which markets move. For this there are a number of strategies with which the risk of launching this adventure is relatively small. Combining a good trading psychology, an adequate risk management and a good strategy, success is assured.

There is no 100% infallible strategy and it is strongly recommended to study and test them all before carrying them out. A good training is the key to be able to squeeze these strategies to the fullest. The list is endless and ranges from simple easily assumable models with basic parameters to complex combinations in which it seems necessary a broad knowledge of the operation of trading and all its terminology.

Below are some examples of these strategies whose detailed development would give for several articles like this:

– Intraday Fibonacci Strategy: One of the most used strategies. It plays with the numbers of the Fibonacci series to find support and resistance levels. It is recommended to rely on some additional indicator.

– Technique to operate with false Breakouts: One of the most profitable. When a price is in a consolidation zone, a breakout is usually produced by shooting these prices out of the consolidated area.

– Technique of master candles: It is important to know the concept of master candles well. It is primarily intended for volatile financial instruments and the time frame is greater than one hour.

– Scalping: This technique is played with specific financial instruments, such as stocks, futures, forex or CDFs. It is a strategy with which, in very short terms, small benefits are generated while minimizing the risk. There are many versions: Inram Sait, with stochastic, for the S & P 500, with Keltner bands and a long etcetera.

It is important to insist on how important or more than a good strategy it is to have a good trading psychology, controlling emotions and not being influenced by the mood. In the same way, a good risk management that combines the survival instinct with perseverance is necessary. That’s when you can really have success options.

Deja un comentario

Tu dirección de correo electrónico no será publicada. Los campos obligatorios están marcados con *