Trade in the market assumes Forex not only knowledge of analysis tools, more value has existence of own strategy. Strategy develops from consistently or more often in parallel than the used methods of trade based on data of the analysis of the market, in other words, from trade tactics. Use of various tactics first of all promotes data of possible losses to a minimum, and is frequent and to increase in total amount of profit.
In this material on InfoAdvisor.net some main tactics for the situations which are often found in the market will be considered.
Work in a trend
The first tactics – work in a trend. It is quite simple but who told, what it is simple it is bad? The most important that on graphics there was a good trend with which it is possible to work. We expose levels of support and resistance, thus you should not forget about so-called "a confirmation zone". It approximately on 10% of channel width from each party. It is started working after the price approached trend border, made a start from it and moved towards the opposite line, i.e. the trend proceeded and confirmed. Basic rule: if the price moved from support level – we buy, from resistance level – we sell. Your profit will make 70-80% of trend width.
InfoAdvisor.net reminds that even if there are neither trends, nor figures , at the exit from which it is possible to work (double top or a bottom, the head shoulders), always for the current price there are . The same principle, as during the work in a trend: from support – we buy, from resistance – we sell. And here we have two opportunities: to wait until the price makes a start from level or level is punched. If you work for breakdown, the movement of a course can be prompt and on a large number of points, it is plus. Minus – the is stronger level, the more long it will be necessary to wait a probitiya.
Work option – drawing of the postponed warrants. If you have no opportunity to be in the market when the good movements, use of the postponed warrants begin will help you not to pass the moment of a good entrance.
Tactics of addition (Adding Position) is used for maximizing profit, it should not yield losses. If in the market accurately expressed trend is observed, the probability of its continuation with small kickbacks of a course is high. We open a position A in the direction of the movement of a trend, after the next kickback we open one more position B in the same direction. Thus the position A can continue to be held opened or it is possible to close approximately at the level of a position B.
For insurance of risk of opening of each subsequent position a point of restriction of losses – Stop Loss – is established at the level of opening of the previous position. And then, when the price passes not less than 50 points from the moment of opening of the second transaction, Stop of Loss is tightened approximately on the middle between two transactions.
InfoAdvisor.net emphasizes that as a result of timely application of tactics of addition the worst for you option of succession of events – the position will be closed on Lossu's Stop, the profit according to the first transaction will block a loss on the second, and you will remain at the level a bezubytka. If the trend proceeds as you and predicted, with each addition your profit increases.
The quantity of positions can be more than two, and remember that Lossa's Stop needs to be tightened constantly to limit the risks to lose profit in case of a prompt turn.
The locked position
The following tactics – "lock" or the locked position (Lock Position). It is used if the open position becomes unprofitable more than on 50-70 points and thus volumes of trade increase and intensity of the movement of a course amplifies. For minimization of losses the counter-transaction is in parallel carried out, and the point of opening of the second position has to be most approximate to a point of opening of the first position.
For example, you predict that the price will grow, and open a position on purchase. Some time you in plus, and then a course is developed against you. And when the transaction is at a loss, you open an opposite position. I.e. the price grew – you bought, was developed – and you opened the second position for sale.
In "lock" there is a number of points making a difference between opening levels. Now where the prices went, more you will not lose any more because the increasing plus according to the profitable transaction blocks the growing minus on the second. But you have an opportunity to get out of this situation without loss or with profit. After you made the lock, define the further direction of the movement of the price and close a position which will become further unprofitable.
The second option of use of "lock" when you made the right forecast, and the price goes in the direction necessary to you, but at some point there is some strong news, and the course is temporarily developed. It is possible to become in "lock", first, to make secure, and suddenly then the price will not be developed in other party any more? Secondly, so far the first position temporarily at a loss, you can get profit, having played on this news.
Complexity of this tactics – at statement in "lock" are not put Lossa's Stop. And the second moment – sometimes inexperienced traders in that situation where it is necessary to wait a little, hurry to use "zamkovaniye" and as a result receive unnecessary minus and where "lock" it is possible to get additional profit or to compensate a loss, hesitate and besides remain in minus. Therefore InfoAdvisor.net does not recommend to use "lock" a beginner, it is better to put at first emphasis on the analysis of the market, and only then, having a certain experience of supervision over the market, to use "lock".
Tactics of averaging or with the divided loss – Average Buy/Sell Position: if after opening of a position A for sale the market is developed in an opposite direction, but there is a high probability of a repeated turn, one more position B for sale opens. The position B is advantageous initially, the position A can become advantageous. Both positions can be closed with profit, or to minimize losses on a position A. In the middle between levels of opening of both transactions there is a profitability level for this reason this tactics is called averaging.
InfoAdvisor.net cannot but tell about certain minuses which are available in averaging tactics. First, it is difficult from the psychological point of view because are not put Lossa's Stop. Secondly, if after opening of a position B there is no the predicted turn, the trader remains with a double loss. Therefore averaging strictly is not recommended to beginners. Here the psychological moment is very important – to sit out, wait until transactions do not reach level a bezubytka and will not go further to profit. The trader has to be confident in the endurance and the forecast.
Position with the return turn
One more tactics – a position with the return turn (Reversal or Switching Position): it is used in case of a probable turn of the market.
To minimize losses at a turn of the market in the direction other than the direction of an open position A, the counter-transaction on 2 lots is carried out at once: the first lot closes a loss on the first on a position A, the second lot opens a new position B in the direction of the operating trend. Thus, the profit on a position B blocks losses on a position A. This tactics combines the zamkovaniye elements and additions.
One more option of possible work in the market Forex – a pipsovaniye or a skalping. Usually work as Pipsovshchiki at very small taymfreyma (minutes, five-minutes), do not put limiters profit, risk. The course promptly goes up – they buy, there will be a turn in the opposite direction – the pipsovshchik will open a position for sale. In day it can be till 15-20 transactions.
Lack of this tactics of need constantly to sit in front of the computer and to watch transactions. InfoAdvisor.net has to warn you that often it turns out so that five profitable transactions till 15-20 of points, and then one unprofitable, but on 50-60 points are closed. Here play the psychological moments – when the transaction is profitable, the trader hurries to close it not to lose that already has. And when the position at a loss, the person pulls and pulls the closing moments, hoping after all to wait for a turn. As practice shows, under "the law of meanness" the turn comes not soon. By the end of the first year of work in the market there are about 5% of pipsovshchik. But! There are rather serious strategy of a skalping which are written out to trifles and carefully checked. If work goes at such serious level, it is the key to success.
We described the most widespread tactics, a choice for you. Perhaps, first you will adopt only one of tactics, over time you will master already a little, the most convenient and productive for yourself. But anyway surely check all innovations for a demo account before passing to real money. Also remember, for approbation of new tactics objectively to analyse results and to estimate profitability, not less than two weeks are necessary.
Progress in trade!