Hello, Trend finders, this post for you. Drink some water and read this post till the end. I am Going to give you the biggest real Trading tip. The title is “How to Predict Forex Charts”. From here you can learn How to Find and Analysis the Trend in Forex Trading. And this is the Bad Truth About the Trend on Forex.
. In this post, you will learn about these topics.
What is the Trend in Forex Trading
Trend Trading Pro and Cons
Why Trend is important?
How to identify a trend in Forex
Nine Types of Trend on Forex.
How To Find the Trend using Fundamentals?
How To Find the trend using sentiment?
How to find the trend using Technical?
Understanding trend lines in Forex
How to use trend lines in Forex
How to draw trend lines in Forex trading
How to trade trend lines in Forex
Forex Trend Patterns
How to catch a trend in Forex
How to ride a trend in Forex
How to analyse trend in Forex
How to identify trend change in Forex
How to identify strong trend in Forex
How to know the end of a trend in Forex
How to identify trend reversal in Forex
Trend Trading Strategy for Forex Market
How to Be a Successful Forex Trader using the Trend?
What is the Trend in Forex Trading?
The most straightforward answer is the direction is the trend. It may be up, down, or sideways.
The Biggest Question that every new trader asks, what is the trend. Big players say the Trend is the Friend. Many Forex traders use the direction to get their trading Entry.
Why Trend is Important Trend in Forex Trading?
It is no matter you are a Scalper, Inter Day Trader, Swing Trader, or Position Trader. If you had understood the Real trend, then nobody can beat you in the Forex market.
But the important thing is the money and risk management. I was written about the Stop loss post. Read it too.
If you know, what is the real trend using all fundamental sentiment and technical analysis? Why should you Lose anymore?
How many Trends in Forex Trading have in Forex to Analysis?
I will ask a question from you, how many trends in the Forex market? Many persons will tell there are three types of a pattern here.
On the Forex Trading Technical Chart, we can quickly identify the trend using a Single Moving average indicator. Here are the main three types of patterns. It calls,
For these three types of trends, we can break another nine parts using the Fundamentals, Sentiment, and Technical.
All these nine types of analysis are not crucial for every trader. But if you need to become a genius, then you have to learn about these pieces of stuff.
So here are those Nine types of trends.
Fundamental Up Trend
Fundamental Down Trend
Fundamental Sideways Trend
Sentiment Up Trend
Sentiment Down Trend
Sentiment Sideways Trend
Technical Up Trend
Technical Down Trend
Technical Sideways Trend.
Fundamental Trend in Forex trading
I think you had to learn about the Fundamental Analysis on this blog. If you need to see the Big Picture in the Forex market, then you need to think about the central Fundamental concept of your mind.
This is a Longer-term process. That’s why I mentioned the experience in my Account Management explanation Post.
Read this Story carefully.
Fundamental Down Trend in Forex Trading
With the Brexit deal and other economic weakness, The EUR currency had Moved Down. Because no one likes to buy a weak Currency as a Forex Trader.
So at this time, we can understand the EUR fundamental is weak.
Fundamental Sideways Trend in Forex Trading
So the European Government thinks to change its economic plan to grow its economy. They do some works to be healthy. When the Monetary policy meeting, they are tells we are going to do this kind of change in their economy.
If the speeches are Hawkish, then we can think the Fundamental trend of EUR is now in a sideways direction. If Speeches are Dovish, we can understand the weaker EUR economy is continuing.
Fundamental Up Trend in Forex Trading
After the Hawkish speeches, other their upcoming news event forecasts are, if reliable, we can understand the European economy is now in an uptrend.
So the Big Traders will try to Buy. But as Small traders, we should not get in to buy trades with EUR currency without any Confirmation.
The Sentiment Trend in Forex Trading
I think you had read the Sentiment analysis post in this blog. As a small Trader, you need to Do the Sentiment analysis. Simply, the sentiment analysis does to identifying Trader’s Behavior.
Downtrend of Sentiment.
Many traders currently not buying the euro currency. Try to understand what I am saying using the COT chart.
The Greenline shows the movement of large speculators. For the last three months, euro traders going down and down. That means they just oped sell trades using the Euro currency.
So, we can understand with the sentiment tells us, the euro is the weak currency for now. As small traders, we do not need to buy the euro for now.
Sideways Sentiment Trend in Forex Trading.
After the stronger or weaker trader’s behavior, if you saw some little stronger or weaker, to the opposite side. Trader mood, then you can think it was a Sideways Sentiment trend.
The Canadian Dollar Traders sentiment is now on the sideways trend. You can see that in this image.
Sentiment Up Trend in Forex Trading
Every Small Trader needs to buy a Currency in a Bullish Sentiment.
In this image, you can see the United States Dollar Currency had moved upside firmly from the last year.
The Technical Trend in Forex Trading
The most popular trend is the Technical trend. This trend we can identify using the price chart and trend finding indicators. Many traders like to use the Meta Trader 4 Platform. The moving average is the most popular Technical Trendspotting indicator. Also, we can understand the Trend using the Tools in the Trading Platforms.
Technical Up Trend in Forex Trading
On Market price moving up, then we can think the market is now on an uptrend.
You can see in this image, the market price is going up. It is now on an uptrend.
Sideways Technical Trend in Forex Trading
If the market price moved within a range, we call the market is now at a Sideways Trend.
You can see this Technical Price Chart shows us the market is now on a Sideways Trend. The moving averages also tell me that the market now in a range.
Technical Down Trend in Forex Trading
If the market price going down, then the Tools and the moving averages tell us the market is now in a Down Trend.
How to Predict Forex Charts using Real Trend
The market is fresh every day. The market price changes every time for economic or macroeconomic reasons.
The Fundamental event can show you a fake movement. One sentiment movement can give you a false signal. The Technical chart can show you phony move by fake outs.
So, in My Vision, The Real Trend is not an Event or Day Performance.
How to Be a Successful Forex Trader using the Trend on Forex Trading?
Do Fundamental Analysis and understand the current Fundamental Trend. Then Do Sentiment analysis and identify the Current sentiment trend to confirm the big traders behave to support Fundamentals. Finally, Do the Technical Analysis and Confirm the Current Technical Trend.
Because the market players don’t care about just fundamentals. But, this is correct that fundamental can drive the market.
Because big traders like hedge funds mostly like to buy currency with cardinal direction and with interest rate.
If you can get the same view of Trend, analyzing Fundamental, Sentiment, and Technical, you can get a Perfect Entry for a Trade.
What is the Accurate Way to Predict a Forex chart?
We all know who Drives the Forex Market. So, in my vision, Fundamental is useful for identifying the Big buyer’s Reasons. The sentiment is the Best to identify the Trend. Technical is best to Find the targets.
In just that way You can be a Successful Forex Trader using the Trend.
Still, you could not Make a Trading Strategy, then you can buy my Fuel Forex Trading Strategy to start making money as soon as possible.