Key Forex Components

I will now list some of the major items hat will be required to build your Forex Trading system.

To read any of the Hubs listed, please visit 'Your Forex Library',
completely Free, by clicking the following link:

http://www.hubpages.com/hub/Your-Forex-Library

Entry and Exit conditions - see Hubs, 16, 17 and 18

First, you will need to select a Forex technical indicator or Forex strategy that will enable you to define when you will Enter and exit a Forex trade. Examples are shown in Hubs 16, 17 And 18. In addition, the scalping strategy which is used in many Forex Robots is explained in Hubs 20, 21 and 22.

You can choose from a very large number of Forex indicators and strategies. Just remember that not one of them on their own will guarantee you success unless developed in conjunction with the following concepts.

I will also detail other ones including my particular favorite as part of this process.

Forex Currency Pair

Again, there are many choices as outlined in Hub 11. I will explain that I have found that longer time periods require larger bank balances whilst very short ones need constant serving and are more adaptable to automation.

Money Management

You must gain a deep understanding of this subject - see Hub 8 plus a future Hub. If you do not that you run the risk of losing your entire budget as a consequence of leveraging.

You must always remember that without a bank balance, you can no longer play the Forex Trading game.

Expectancy Value.

You must approach Forex Trading with a professional attitude and not that of a gambler as explained in Hubs 7, 22 and 23.

To do this, you must first learn how to calculate the Expectancy value of your Forex Trading System and then how to improve it until you obtain a positive value.

Drawdowns

You must ensure that you minimize losses as a priority as explained in Hub 12. This is because losses compound just in the same way profits do.

Also remember that the best Forex Experts are first great survivors and then great earners.

Back-Testing and Demo Testing

These subjects will be discussed more thoroughly in later Hubs. However, they are very important processes that will help you calculate your Forex Trading System’s expectancy value accurately.

Consistent Forex Trading

Hub 13 explains that, in order to ensure Forex profits, you must adopt a consistent approach to trading using your proven Forex Trading System.

Maximizing Profits

Hub 25 explains this technique which is essential if you plan to trade using longer time periods.

Expert Mindset.

Hubs 3 and 6 point out that you must develop your mindset to that of an Expert’s in order to optimize your chances of Forex Success.

To read any of the Hubs listed, please visit 'Your Forex Library',
completely Free, by clicking the following link:

http://www.hubpages.com/hub/Your-Forex-Library