The Frontiers Of Trading

By:  Ivan Cavric Bollinger bands will help you to predict big trending moves, act on big trend reversals and finally, time trading positions with greater accuracy for bigger profits.   Here we have related Bollinger bands to the currency markets (as it is here that they are most useful) - but they are useful in all financial markets. What are Bollinger Bands ? Developed by John Bollinger , Bollinger bands are volatility bands drawn around a simple moving average.   You calculate Bollinger bands using the standard deviation of price over the same period as moving averages and plotted as lines above and below the moving average. As moving averages have been traditionally used to identify the underlying trend, Bollinger bands combine this with the volatility of the individual market (or the standard deviation) – to plot a trading envelope.   The distance between upper and lower Bollinger bands reflects the volatility of the market traded.   As p...

By:  Ivan Cavric If you were wondering; forex trading is nothing more than direct access trading of different types of foreign currencies. A few years ago, foreign exchange trading was mostly limited to large banks and institutional traders however; today technological advancements have made it so that small traders can also take advantage of the many benefits of forex trading just by using the various online trading platforms to trade. The currencies of the world are on a floating exchange rate, and they are always traded in pairs Euro/Dollar, Dollar/Yen, etc. About 85 percent of all daily transactions involve trading of the major currencies. Four major currency pairs are usually used for investment purposes. They are: Euro against US dollar, US dollar against Japanese yen, British pound against US dollar, and US dollar against Swiss franc. Right now I will show you how they look in the trading market: EUR/USD, USD/JPY, GBP/USD, and USD/CHF. As a note you should know that no divi...