Forex Education Articles for Beginner and Experienced Traders
The main objective of Forex Dominion is to educate all those interested in Forex trading about the most important aspects to succeed in investing in the currency markets. Undoubtedly, the Forex market offers excellent opportunities to obtain high incomes in a short time, but it also entails significant risks that must be taken into account. Therefore, it is essential to have deep knowledge about the markets, especially about the currency pairs in which we trade, in order to have a clear picture of what we can or can not expect. Many people get carried away by the promises to earn a lot of money in a short time, which are mainly used by brokers and other related companies that seek to attract new customers eager to invest. However, the reality is that many people who open a trading account in a broker specializing in Forex trading end up losing their money in a short time because they believe that everything comes down to buying and selling when the reality is something more complex.
The fact is that like in any other occupation in life, trading requires study, practice, and patience. It’s not just about opening an account and becoming a millionaire overnight. The most successful traders, usually are studious people who are dedicated to learning everything related to what is for them, their modus vivendi. They are people who study the market, know it deeply, and master all aspects that can influence their chances of success. Some even spent months and even years learning about the market before risking their money without further consideration.
Therefore, it is clear to the naked eye that education in trading is basic if we want to have any chance of success as traders, whatever the market in which we are trading, be it the Forex or the stock market for example. For example, we can have the best trading system, but if we do not have the right psychology or a good money management plan, in the long term we will end up failing.
The lack of education of many beginning traders is evidenced by the simple fact that most traders do not know that a money management plan is essential if you want to stay alive in the market. In fact, a good trading strategy without a good money management plan is less likely to succeed than a regular trading strategy without a sound money management plan. It’s that simple!
Therefore, much of the educational content of this site focuses on basic aspects related to trading, mainly the following:
Technical Analysis
- Bull Power and Bear Power Indicators
The purpose of this article is to provide traders with a detailed explanation of the use of Bears Power and Bulls Power indicators, their calculation and their signals with a … Read more - Chande Momentum Oscillator (CMO) – Definition and Signals
The Chande Momentum Oscillator (CMO) is a price momentum technical indicator invented by Tushar Chande. Chande introduced the indicator in his 1994 book “The New Technical Trader”. This indicator is … Read more - Money Flow Index Indicator | Overbought and oversold zones
The Money Flow Index Indicator, or MFI indicator, is a technical indicator used to identify overbought and oversold zones. To understand the importance of this indicator, it is necessary to … Read more - Moving Average Envelopes Indicator
Envelopes, a trend following indicator Channels moving averages or Envelopes (Moving Average Envelopes) are channels whose lines, upper and lower are calculated as a deviation percentage of a simple moving … Read more - RSI Signals Indicator for Metatrader 4
In this article, we present a custom dashboard indicator for Metatrader 4, called RSI Signals, which displays multiple signals from the RSI indicator on different instruments and time frames. It … Read more - Matching Low Candlestick Pattern – Definition and Guide
The candlestick pattern Matching Low is a formation of two bearish candles presented in markets with a downward trend. It has moderate reliability and indicates that the price is likely to change … Read more
Fundamental Analysis
- Stagflation – Definition and Effects on the Economy
Stagflation in a country is the combination of inflation and economic stagnation. This phenomenon unites these two concepts, which when they occur at the same time are devastating for the … Read more - Central Banks – What are they, Definition and function
Central banks are the entities that have a monopoly on the production and distribution of official money in a nation or bloc of countries. In turn, it is the institution … Read more - What is a K-shaped economic recovery?
The outbreak of the COVID-19 pandemic brought an unprecedented slowdown to the world economy. Now, economists wonder what kind of economic recovery awaits us. With COVID-19 spreading around the world … Read more - Effects of Macroeconomic Events in the Forex Market
The traders and investors that trades in the Forex market in the short term focus mainly on the most important economic news of the week and how they can affect … Read more - Personal Income and Consumption Index Indicator
General definition The Personal Income and Consumption Index is a report from the United States that includes both personal income and consumption expenditures from all sources. This is a monthly figure, which … Read more - Economic Cycle – Concept and Definition
The economic cycle is a series of phases that the economy goes through and that happen in order until reaching the final phase in which the economic cycle begins again. … Read more
Forex Systems
- Recovery Factor in Trading
What is the recovery factor? The recovery factor is an important indicator of the health of a trading system, which is calculated as the ratio of absolute profit to maximum … Read more - Trading System with Three Bars and a Stochastic for S&P 500
The trading strategy that we are going to present below was initially created to trade the S&P 500 index, but it can also be applied in other markets such as … Read more - Chande Oscillator and RSI Trading SystemThis is a simple trading system that looks for overbought and oversold conditions in the price to enter the market, so it works best in non-trending markets, but still offers … Read more
- Forex Trading System Scalping Gold
In this article, we are going to introduce a scalping trading system designed for trading spot Forex and precious metals which can be quite profitable if the trader follows the … Read more - Intraday Trading System Using Moving Averages and Stochastic
This is quite simple intraday trading system for 15 minutes candlestick charts which is based on exponential moving averages (EMA) and the stochastic oscillator. The rules of this strategy are … Read more - How to calculate the mathematical expectation of a trading systemCalculating the mathematical expectation of a trading system is one of the first things that should be done to know if the system is capable of making money in the … Read more
Forex Analysis Tools
- Moving Average Crossovers Dashboard Indicator For Metatrader 4
Moving average crossovers are one of the most used trading signals in technical analysis systems to determine the trend direction and possible changes in the direction of the market. Many trading systems base their buy … Read more - Guppy Multiple Moving Average Indicator For MT4
In this article we present a custom indicator for Metatrader 4 that displays the Guppy Multiple Moving Averages (GMMA) indicator on any price chart. The indicator can be modified to calculate moving averages with different … Read more - VIDYA Moving Average Indicator for MT4
In this article we are going to present a custom indicator for Metatrader 4 that is designed to display a VIDYA adaptive moving average overlaid on the price action on the price charts. This indicator … Read more - RSI Signals Indicator for Metatrader 4In this article, we present a custom dashboard indicator for Metatrader 4, called RSI Signals, which displays multiple signals from the RSI indicator on different instruments and time frames. It is a free custom indicator … Read more
- KAMA Adaptive Moving Average Indicator for Metatrader 4
In this article we present a modified indicator for Metatrader 4 designed to plot the KAMA Adaptive Moving Average on any price chart of this platform. It can be modified to show the moving average … Read more - Indicator of Balance of Forces Between Buyers and Sellers in All Time Frames for MT4
In this article we are going to explain a modified indicator for Metatrader 4, which measures the balance of forces between buyers and sellers for each time frame, from M1 to D1, in the form … Read more - Renko Chart Indicator for Metatrader 4
The MT4 platform is undoubtedly one of the most popular trading platforms among retail traders who regularly trade Forex, CFDs, and precious metals. Despite the popularity and numerous reviews of the MT4 platform, there has … Read more - Kagi Chart Indicator for Metatrader 4
Kagi Charts for MT4 In this article, we present a modified technical indicator for Metatrader 4 that allows displaying Kagi charts on the regular price charts of this platform. Therefore, it allows traders to correct … Read more