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:
- Bull Power and Bear Power IndicatorsThe 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 SignalsThe 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 zonesThe 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 IndicatorEnvelopes, 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 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 … Read more
- Matching Low Candlestick Pattern – Definition and GuideThe 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
- Stagflation – Definition and Effects on the EconomyStagflation 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 functionCentral 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 MarketThe 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 IndicatorGeneral 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 DefinitionThe 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
- The SQN ratio (System Quality Number)Introduced by Van Tharp in 2008 in his book The Definitive Guide to Position Sizing, the System Quality Number, abbreviated as SQN, is an indicator designed to evaluate or measure … Read more
- The win rate in ForexThe win rate is a popular performance indicator used in Forex trading to measure the success of a trading system or strategy. The win rate is the percentage of winning … Read more
- Recovery Factor in TradingWhat 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 500The 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 GoldIn 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
Forex Analysis Tools
- Multiple Moving Averages Indicator For Metatrader 4 – Magic MAThe multiple moving averages indicator Magic MA for Metatrader 4 is designed to draw more than 30 different types of moving averages on any price chart on this platform. The most popular types of averages … Read more
- LSMA Moving Average Indicator For Metatrader 4In this article we are going to show a modified indicator for Metatrader 4 that allows to visualize a LSMA moving average (Least Square Moving Average) in any price chart of this trading platform. This … Read more
- Moving Average Crossovers Dashboard Indicator For Metatrader 4Moving 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 MT4In 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 MT4In 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 4In 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 MT4In 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