Day trading secrets exposed

Today I will expose some day trading secrets. 

3 essential tools every traders need

Every novice trader is looking for day trading secrets. They think there must be a simple day trading rule to make money easily. As a matter of fact, "success comes from hard work".

So, many veteran always continue to write a day trading plan, keep a day trading journal and practice trading with a demo account. 

Day trading system revealed

First, let's set the day trading rules:

1. You have to pick one currency pair with a depth of liquidity and volatility.
2. You have to trade with the grid trading strategy.
3. You have to protect your trading capital in the Forex market.

Second, I will develop a solid, profitable day trading system. For instance, lazy grid trading system.

• Forex trading indicators: the Relative strength indicator, the Average directional index, 
• Forex trading sessions: any
• Preferred Currency pairs: majors. For example, USDJPY

I will use a trend line to identify the direction of the trend on the four hour chart. I think that it is very important to start the trade.

Notice that the 4 hour chart of the USDJPY could breakout through the trend line. So I will only set the sell limit orders on the 30 minute chart.

1. I trade USDJPY on the 30 minute chart
2. My grid spacing is 21 pips
3. My grid lot size is 0.01 lots
4. My take profit is 42 pips and can't set stop loss order.
5. I place sell limit orders near resistance lines 
6. Every day I will set new forex limit orders
7. When the forex market is trending, I will use a buy-and-hold strategy.

There is no a 100% winning day trading strategy. You have to open a demo account and test the new trading strategy.

At last, what follows is a brief summary of the day trading secrets

1. Identify the general trend on the four hour chart.
2. Protect your trading capital in the Forex market.
3. Just pick the one currency pair for day trading.
4. Use the Buy low, sell high strategy
5. Ride winners, cut losers
6. Day trading is a business and run it on business principles.
7. Keep day trading journals and track records.
8. Create a Day trading plan and analyze the day trading track record.
9. Use the grid trading techniques or Martingale trading strategies.
10. Use multiple time frames analysis to find the entry and exit points.

    

    day trading secrets exposed

Further reading: How to Use Multiple Time Frame Analysis to Find Better Entry and Exit Points

Day trading success secrets

We will continue to look for more best secrets to successful day trading.

Choosing your trading style to suit your personality

Why 90% of day traders lose money? I think day trading might not suit all traders. You must open a demo account and test your day trading systems. Then you can start day trading for a living.

Selecting the right currency pairs to match your trading systems

There is an old saying that break a fly upon a wheel. So we have to choose the best currency pairs to trade. 

• If you want to trade majors, you had better to use the moving average strategy
• If you want to trade GBPUSD, you could use the grid trading system

A lot of professional traders suggested you stick with the major pairs when day trading. Because they have plenty of liquidity and less chance of erratic moves and spikes.

Choosing the best chart time frame for day trading 

  

Generally speaking, I will check out one hour and four hour chart. Because I'm used to multiple time frame analysis to find day trading entry and exit points.

I suppose you should practice forex trading with a demo account. It's risk free!

Now you must have been aware that my best day trading secrets, practice new trading systems with a demo account.

Best three trading indicators

I will choose three day trading indicators, Average Directional Index, Relative Strength Indicator and the 20-period Moving Average.

I am going to keep my trading as simple as possible!

Developing a trading system that fits your personality 

I am used to grid trading forex systems. I feel comfortable while using it.

I believe you must find a best day trading strategy that are right for you. The only way to do this is to trade a demo before you dive in. 

Tailor your position size to fit the risk of the trade

I will use the position sizing strategy and improve my risk management principles.

Maybe in beginner eyes, day trading is always full of mystery. They want to know the best day trading secrets. As a matter of fact, success comes from hard work and execution!