The best way to gain with the trading on line on forex or on other financial markets is following a trading system. There’s no trading systems absolutely valid for everybody, but the largest part of school of trading recommend us to build our own trading system.
How a trading system works? How can I build my own trading system? We can start from these 3 questions:
1) How much time can I dedicate to the analysis and to the trading?
2) What’s my favorite patterns?
3) What’s the best profitable strategy?
How can I build my own trading system?
Am I a daily trader or a middle-long term trader? Can I spend many hours a day to the trading, or only few minutes? It doesn’t matter, the trends and the patterns evolve themselves day by day, in every timeframe. We have to avoid the anxiety and to realize our technical analysis in line with our works and commitments.
Everyone has got his favorite patterns or his favorite way to enter and exit the markets. Well, you have just to choice the moments, the patterns or the configurations that, in your experience, had the best profitability and the best risk/return rate.
When you chose the configurations which represent an opportunity for you, you just have to be patient and wait for them. Now, you know that you don’t risk money until you enter the market, and when you will open your operation, you will know what to expect from the market, how much can you gain, how much can you lose, what success rate you have.
How a trading system works?
If you created your trading system with correct stop loss and take profit, the anxiety will be less influential. Looking for your configurations in the past on the charts, you will know how many opportunity you will probably see on the market in a range of time, and how the market reacts to them.
The news and the fundamental analysis, for sure, continue to have their impact on the markets: your system will never be perfect and you have to decide if enter the market or not, during the day full of macro economical news. Generally, a system based on the daily trading is more influenced by the macro economical news then a long-term trading system.