Forex Strategies For Part-time Traders

By Author: alexander
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Forex Strategies for Part-Time Traders

Not too many folks are free enough to trade forex full-time. Traders, compelled to make their trades at work, lunch or night, feel that with such a flowing market, trading intermittently throughout the day leaves them with missed opportunities. For the part-time trader, these missed opportunities could be catastrophic. Forex Strategies for Part-Time Traders help you work within the framework of a part-time schedule.

At first reading, part-time traders ought not to have many problems at all. Those trading at night could be limited to currency types they trade on the basis of volume during the 24-hour cycle. These night traders ought to use the strategy of trading particular currency pairs that are most active overnight. You have the instance of the Australian Dollar/ Japanese Yen pair or the New Zealand dollar/JPY OR AUD pair. It becomes essential to understand the correlation between currencies when going for a pair since having time during the day to follow the market and place trades can make ...
... for a successful strategy.

The part-time trader’s FX markets

If you work nine to five in the US, you could trade before or after work. Such time blocks dictate that you opt for the most active currency pairs(those with the maximum price action). Knowing the times the major currency markets are open will help in going after major pairs.

NY 8 am-5 pm EST;
Tokyo 7pm -4am EST;
Sydney 5pm-2am EST;
London 3am-12 noon EST.

When Japanese and European markets are in full swing, part-time traders may go for major currency pairs. These encompass the EUR/JPY pair or the EUR/CHF pair for major pairs that concern the Hong Kong dollar (HKD) or Singapore dollar (SGD). The AUD/JPY pair could also be in sync with part-time traders free during the 5 pm to midnight timeframe. Even as it is vital to understand the best FX pairs compatible with your schedule, the trader has to conduct further examination of said FX pairs and each individual currency’s fundamentals prior to placing bets.

Stop-loss orders

Allow your computer to be your trading partner. The capacity to use a trading program where you may permit the IT work for you could be advantageous since the FX market is in so much flux as to be beyond consistent monitoring. The part-time trader could use stop-loss orders, implying that your money is protected even when the market makes an abrupt move against your position.

Forex price action

There’s even a strategy for part-time traders popping in and out of work. These brief but regular trading periods can be compatible with a price action trading strategy implementation. Price action trading implies minutely studying indicators and charts concerning currencies under focus to better impact the trade. For example, the part-time trader may analyse up bars and take note of down bars.

While up bars point out an uptrend, down bars pinpoint a downtrend. Still, other price action indicators may be located inside/outside bars.