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HFT_tradingHigh-Frequency Forex Trading

High-Frequency-Trading or HFT is a trading technique using sophisticated numerical algorithms implemented on high-end computers that run the trading orders within milliseconds. The term high frequency originates from this. Compare that to traditional trading houses and banks. As a matter of fact, HFT is still a buzz word and still the term is a mystery and extravaganza.

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fibonacci forex time zones

Fibonacci Time Zones in Forex

The Fibonacci intervals, is a set of vertical lines drawn from each other on intervals, which correspond to the so called Fibonacci’s sequence. According to a popular but unproven theory the Fibonacci time intervals forecast the most significant market events. Therefore, the traders often use the Fibonacci time intervals in their forex trading strategies.

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carry_trade_happyCarry Trade Forex Strategy

Carry Trade strategy is one of the most popular fundamental Forex trading techniques. It's used not only by the individual traders but also by the big hedge funds.

The main principle is that the trader sells currency with a low interest rate and at the same time buys a different currency with a higher interest rate. The trader exploits the difference between the rates and make profits, based on the leverage used.

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The Average True Range

Developed by J. Welles Wilder, the Average True Range (ATR) measures volatility of the forex market. Originally Wilder derived the True Range index for commodities and daily prices. Later Wilder realized that a simple range calculation was not always efficient as applied to market volatility trends. Consequently, he smoothed the True Range using the moving average and obtained the Average True Range (ATR). In other words, ATR is the moving average of the TR for a prescribed time period (usually 2 weeks).

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 Stochastic Oscillator Forex Strategy

Large volumes of currencies pass through the Forex market every day. The currency pairs usually move in small increments and often remain in certain limits called the trading range. Forex traders use this in a forex trading strategy called the Stochastic Oscillator. The idea is somewhat similar to Bollinger bands, namely, once the market reaches the overbought or oversold position, it will return back to the mean position. This strategy is relatively easy and can be used by the beginners of forex as well as by the professional traders. However, the exact time when the curve begins its movement to the original position requires some simple math.  

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