Ask the Forex Expert

Hi Raul,

I will mapping all major, medium, and short term support and resistant since many years back, of each major currency and cross. Do you think it will helpful or it's just not necessary? And Why? Please explain.

Thanks.

Hello Budi,

I dont think it is neccesary. You need to chart what matters to the market today, what was significant before, might no be significant today.

The rule of thumb is, take in consideration the levels that the market is taking in consideration today. There is no point on having an important resistance level if the market already broke that level a couple times (if it is not important for the market, then it is of no use for you).

Let me know if you have more questions.

Cheers,

Raul

Hi,
sir i used the PIVOTPOINT formula to analysis the trend,but i am unable to predict the where to go short and long position,where to maintain the the stoploss,

Hello Sathyan,

In order to predict where the market will go you need to use the longer time frames (4H and 1D charts). The shorter time frames are used to pin point your entry.

Most of the times HOPS and LOPS levels could indicate possible entry levels.

You can download and expert advisor for MT4 from the Forex Tools section which will automatically chart all PP, HOPS's and LOPS's levels for you.

Cheers,

Raul

When do you think the Iraqi Dinar will revalue and at what rate ?

I dont know Joe... that would be a very risky investment, I wouldnt recommend you even to try it, because it is not likely to revalue at least on the next 10 years...

Why dont you try trading Forex, regular currency pairs?

Cheers,

Raul

pls how wi i know time to buy and how sell on forex mkt

Hello Sola,

Looks like you are a new trader, please take a look at this guide, it's 100% FREE and it will guide through every step of trading forex:

http://www.straightforex.com/forex-trading-guide-forex-course-for-beginner- traders.html

Let me know if it helps.

What money management technique do you recommend?

Hello Rich,

I use the fixed fractional technique. I risk 1% of my account on each trade and it gives me good results. But it all depends on your risk profile, I feel comfortable with the 1% rule, but others might use 0.5% or eveb 2 or 3% per trade.

I'd say 1% is conservative, but still has good potential when the market moves on your favor.

Regards,

Raul

give me a good system to trade profitably

Hello Angy,

Try this one:

http://www.straightforex.com/perfect.html

Regards,

Raul

Is forex riskier than trading stocks?

I dont think so, both of them are risky. I guess it all depends on the risk management you use. If you dont use any, you'll probably blow out your accounts.

The only difference is that you have more leverage on Forex, but if you use a tighter money managament technique (say risk only 1% of your account per trade) you'll be alright...

Let me know if this helps.

Raul

Do you ever move your SL levels?

Hello Fxfan,

Yes I do... once the market breaks the previous high/low I always move my SL levels... The reason behind this is that if the market doesnt manage to continue in the direction of the breakout it might not have the momentum I was expecting it to have... So I'm better out of the trade.

HTH

Raul

Hello, Thanks for the opportunity.

Which sessions do you recommend to trade?

Hello,

I like better the European session, because it has cleaner and smoother swings, there are not as many fundamentals announcements than in the US session... But also trade the American session, sometimes you need to combine both sessions...

HTH

Regards,

Raul

Any advice for a newbie trader? Where to start, etc...

Hello Michael,

Well, my best advice would be to demo trade until you are completely sure you are able to get consistent results (if you are not consistent in a demo account, you are not going to be consistent in your live account).

Try to read, read, and read...

Here are a few resources you might want to check out:

Free Basic course
Free Advanced course
Free Learning Center

Do you have a strategy for news trading?

Hello Jeff,

No I dont... And I dont recommend you to trade based on fundamental announcements. 3 or 4 years back it was probably the way to go, but now, the market could spike down or up without prior notice... If you are looking for consistency on your trading results, dont trade the news...

Regards,

Raul

Hello Raul, Do you recommend to leave your trades open over the weekend? Ahmed

Hello Ahmed,

I guess it depends on your trading strategy and style of trading. If you use the short term charts to enter your trades, I wouldn’t recommend it because anything could happen during the weekend, the market could gap and stop you out right away... However, if you use long term charts to determine which currency pairs to trade, sometimes you need to hold your trades over the weekend to help them reach your take profit order.

Myself, yes, I do leave my trades open over the weekend if certain conditions are met.

For instance, last week I had a GBPNZD Trade open, but since it didnt break the previous low (I was short), I decided to close it. What happened yesterday when the market opened? It gapped up, against me...

So, if you are going to leave your trades open over the weekend, you need to give the market some room, if you don’t have that room, just close your trade!

Hope this helps.

Raul

I see the word price action on several websites, exactly what is price action?

Thanks

Hello Jim,

When you trade based on price action, you take all the information you need to trade the market based on the market itself (there is no use of technical indicators or other tools such as Fibonacci or Elliot Waves).

There are several ways in which you can apply price action. Our methodology is explained here:

http://www.straightforex.com/perfect.html

Regards,

Raul