Forex Traders Should Have Proper Psychological Condition

Hi Forexoma,

Please Keep Posting the signal everyday. All of us here always in Indonesia follow you in fact since those are very useful. We make about 200 pips yesterday since we were late. Thanks much Forexoma. What you have done is a fantastic Job which is very valuable for the world community.

God always blesses You indeed.

Thanks
Priawansyah

Forexoma for the GPB/USD is the stop loss correct ? Seems a bit far.

I wondered that too, but i’ll go with the tighter stoploss.

Thanks for last night, made 300 pips, I’m sooo happy beyond euphoria !

Why the big stoploss btw?

Hey, Your signals are wonderful! I have a question though…how often do your positions move against you and then come back to hit your Profit Target and how many pips do they usually go against you? Also, I notice that you never let yourself get stopped out, but you rather close your positions manually when they are going against you…if you let yourself stop out, you may be holding onto a position for days in negative standing or get stopped out by up to 800 pips since your S/L are so big. How do you decide when you close your position early with a loss and how do we know when to look to take a loss?

Appreciate all your services and hope you continue to provide them!

Thanks!

Hi Forexoma,

I appreciate your good work and your willingness to share….can u comment on my only concern which is that sometimes the stops seem very far…making the R:R quite skewed……i know u probably have a great win rate, and i am in no way complaining or anything like that…just wanted to know your thoughts on that….best regards….y

Great tip Forexoma, especially about the timeframe a trader should use.

Could you explain what “trailing stop” means

Thank you Forexoma, this is my first day using your signals.
Regards,
Reg

Hi Forexoma,
Do you know anything about Expert 4×4 signals, as I have just received their email offering their service, but I don’t want to waste my
time if their signals are not accurate.

Thanks

Best Regards

Isaac

Hi Forexoma,

Thank you for posting the signals! They work really well! Great job! I have a question though. I noticed that in your today list you omitted any EUR… related signals. Could you please share if there any reasoning behind it?

Thanks again for the signals!
Alex

Deares Forexoma,

I Really agree with Ajay. In Addition to regularly posting the daily Signals of BUY/SELL, Could you also show us how you decide about the daily Signals so that you can predict that GBPJPY will be Bullish today and so on. If taking much time, could U provide at least 2 Currency pairs only. Hope little by little, we will learn also and all of us will benefit a lot from you as the REAL MASTER OF FOREX TRADING. I really salute your Brilliant Analysis.

Thanks much Forexoma for your kindness. Keep posting the signals though. I ran with a profit of 200-250 Pips TODAY. THANKS AND THANKS

Pria

I come across your site just a week ago, and I am impressed
Keep going sir
Thank you
Hector
Madrid, Spain

Forexoma, If you are serious about continuing to offer your signals, analysis, and advice to everyone for free, I would recommend you put a Donations page on your website and allow your followers to show there gratitude for what you give to us. I would definitely be one of the first to donate!

Oh yea, what do you think about the GBP/CHF trade? It barely missed the profit target by a few pips and came back down to entry…

Oh my Gosh !!!

I awoke at 10:00 am GMT to find all trades had hit take profit and got me over 250 pips that night !

THANKYOU SO MUCH !

Dear Forexoma

Please permit me, at your discretion, to provide some assistance for those who may be having some issues with position sizing and trade management.
I would be happy for you to edit or provide guidance where necessary.

Today we had three trades for three wins, and out of the three, two were straight forward entry-and-exit profits of 100 pips each.
The third trade – the GBPCHF was most interesting.

After entry at 1.6168 at 0030 hrs 28th January 2009 GMT, the trade went to within 3 pips of target, before retracing to hit the trailing 80-pip stop loss.
The price then dropped to 1.6130 before rallying to more than 1.6340 as I write.
The trailing SL ensured we made 17 pips on the trade. I am talking paper trading, so spread may not be included – examples only.

Today therefore, delivered to us a 217-pip profit. But how do you manage to trade these to best advantage?
May I suggest the 2% rule is very good to maximise your profits, and protect and preserve your account.

More aggressive traders, who know what they are doing, and understand the accuracy of Forexoma’s selections, might prefer to work on higher percentages – such as 4% or 5%.
I personally do not recommend such an aggressive approach until you have been trading successfully for some months.
Patience will not only keep you in this business safely, but your account will also STILL prosper.

At the same time you are building experience. Traders should not be sitting back simply taking the signals.
They should be using this gift of time and mental peace and relaxation to thoroughly read this site through from beginning to present day, and discover how to trade these currencies independently.

This is the gift that is being handed to you right now … today.
Do not neglect your own instruction and education. In time you should be able to choose your own signals with the same accuracy as Forexoma.

So theoretically let us choose a $5000 account – I will use percentages, so you may apply the figures to whatever size account you have.

2% of $5000 is $100, and this is your risk.
Your risk is the amount of money you will lose if the Stop Loss is hit.
Your SL needs to be calculated so as to allow you to maximise profits and minimise risk.
Your total risk today would be $300 which is the total for the three trades offered. But this will be true only if you place your SL within 100 pips of entry.
In reality you may need to risk double that amount in order to keep your trade safe.

There is also no need to sit by and watch as a failed trade goes right through to your SL.
If you learn how to manage a trading position, you will be able to exit much earlier, before the price hits a SL.

Using a standard $10-per-pip account, you are only able to have your stop loss placed 10 pips away.
This is not practical nor within the rules of this strategy, so for small accounts there are two choices:

a) Either increase the percentage at risk which is highly dangerous to your account and not recommended … or …
b) Move to a mini or account at which each pip is worth $1.

Even then, the SL will only allow 100 pips, so although Forexoma has recommended much longer SL placement, this method could be very suitable provided you are willing to monitor the trade.

One further option is to move to a micro account – and many people already utilise this strategy with small accounts available.
Keep in mind that this is not a scalping strategy in any way, and therefore you should expect to need much larger SL.

Forexoma may not agree but it is possible to use the ATR indicator to calculate SL, if a factor of 1.5 times ATR (Average True Range – or Average Trading Range for the Time Frame traded) is used.
There will be times when even this is not large enough, and your trade will still be stopped out.

Let’s look at the interesting trade today - the GBPCHF.

The ATR on the 4H TF at the time of trade placement was 128 pips.
1.5 x ATR = 192 pips.
Forexoma recommended a SL of 491 pips or 3.3 x ATR.

You may be thinking: “I can use leverage to make more money” but the use of leverage only allows you to trade MORE LOTS – it does not allow you to place cheaper SL.
This happens because brokers usually require you to trade a minimum 1 lot, and you can add fractions of a lot to the minimum – eg 1.3 lots, but not 0.7 of a lot.

The alternative would be to trade micro lots and then trade 5 lots of micros.
This equals 0.5 mini lots, and is one way around the problem of trading less than one whole mini lot. I hope that can be understood.

Whichever method you select – use it all the time – do not chop and change around, or your trading will become erratic and very inconsistent.
Find something with which you are comfortable, and stay with it. Before you decide to change something, test it thoroughly first.
It may well be that your method is not perfect, but still does safely bring in the pips.

Preservation of your account is more important than profits, so this situation highlights the need to be properly funded if you expect to trade Forex successfully.

Let’s continue for now with these figures, and we can perhaps discuss the way around this problem as we proceed, and some feedback from Forexoma or other members comes to us.

If we enter this trade on a $5000 mini account with a SL of 491 pips we are in fact trading with a risk of 9.8%.
Even using a SL of 192 pips is a risk of 3.84% and the trader will either need to fund the account with more money, or drop down to a smaller SL or trade a micro account.

The GBPCHF went to within 3 pips of our target today, before retracing to be taken out at 1.6185, delivering us 17 pips.
We could only watch while the retracement went below our entry to 1.6130 – hopefully members took Forexoma’s advice and used the trailing stop to prevent this situation.
Otherwise losses would have been around 38 pips. The trade later recovered, but it would not have been consistent with our strategy to have taken advantage of this recovery.

Experienced traders may have managed their trade using their own methods, and made an exit before the trailing stop was activated.
That is why I emphasize the need for traders to properly educate themselves, and not rely totally on being spoon-fed.

The education you give yourself will repay you many times over, for your effort.

Ivan
Australia

Great Article Tanks You!

I don’t know if I’m being too hasty or not but can any members or Forexoma himself help me out with the
membership section? I just spent 99$ and I see nothing in the membership site. I’m afraid if I’ve
been scammed.

I placed a help ticket hoping that I just need to give it more time.

Please help me. thanks