Thursday, 3 March 2011

Using Forex Charts - How Using Forex Charts Can Make You Bundles of Money

By Nick Schuster Platinum Quality Author

Predicting the way profits will come and how they will move in the future using Forex charts can be very tricky business. Using a chart requires a bit of skill and a bit of competence that many people don't possess. But if you simply learn some fundamental understanding about using Forex charts and how to use them then you will succeed. Trust me. 
  1. There is a right way and a wrong way to use technical analysis. Using Forex charts allow you to use fundamental technical analysis the right way. With the use that it affords, you're able to see how the fundamentals affect the market and also how human emotion and human psychology affect it as well.
  2. Fundamentals and human emotion dictate what the price will be. An advantage of using Forex charts is that it allows an investor to gauge the price of anything because it relies on the consistent nature of the human psyche. This human psyche will show up in price patterns and make it possible to predict where prices will go in the future.
  3. When using Forex charts you have to begin making basic lines of trends to uncover lucrative opportunities. A lot of traders don't bother to utilize trend lines but they are very important when using Forex charts.
  4. There's also something called support and resistance. Once you understand this it will be almost impossible not to make money. What this concept does is tell you when prices move and when they turn back. Bull market prices rise to the resistance and then fall back down. In bear markets, the prices will do the very opposite. They will fall to support and then move back up.
  5. Whenever you notice that prices go above or go below substantial support and resistance then you can pretty much bet that something big is going to transpire. This can easily be detected by using Forex charts. This is the critical key to making money and being your own boss someday and all you have to do is understand this and that is virtually no way you should fail.
This article is about Forex basics but you can learn more about a specific Forex systematic method that I personally use to make gains upwards of 300-500% weekly on every trade with very minimal losses in between at my Forex Trading website freely and I recommend stopping by if Forex trading sounds of the slight bit interest to you or if you are serious about making money right from in front of your computer.