Forex Blog

Update 2021-01-13: This tutorial has been updated to provide accurate information regarding 90% vs 99.9% modelling quality and to present a simpler method of getting quality historical data in your MT4 platform.

Backtesting MetaTrader expert advisors on historical data is a good way to test a strategy. But testing on the default …

Another feature update of the Market Profile indicator has been released today. There are three main big changes in the new version of the indicator:

Right-hand drawing of the market profile histogram is now available. To enable it, you have to set RightToLeft input to true. For all trading …

With no updates in almost 6 months, it is time to announce the latest version of Position Size Calculator — 2.32. It includes 24 changes to this MetaTrader indicator. The most exciting upgrades are listed below for your information:

Stop-limit orders are now supported in MetaTrader 5

If you ever wanted to trade using Tom DeMark’s TD Sequential methods on a MetaTrader broker but found the currently available indicators lacking, you will be delighted to get hold of my latest creation — TD Sequential Ultimate. It is a free open-source indicator available for MetaTrader 4 and MetaTrader …

Have you ever wanted to set up a schedule for your MetaTrader platform to turn off AutoTrading at a given day and time and then re-enable it at some other day and time? Me neither! But I am quite sure there are many people who need something like that. AutoTrading Scheduler…

Price Alert indicator has got a complete overhaul today and is now equipped with a small but very functional panel. You can use it to set price levels, enable and disable alert types, and quickly remove the indicator. Push-notification alerts are now supported by the indicator. Additionally, input …

Today a new version of Market Profile indicator for MetaTrader 4 and 5 has been released. There are three main additions to the indicator this time:

The biggest one is the rectangle sessions. They are enabled by setting the Session input parameter to Rectangle and adding any …

Another major release of Position Size Calculator is out today — version 2.29. Its biggest highlight is the possibility to create multiple trades based on a single calculated position size by launching the PSC-Trader script (which also got updated to version 1.08). The list of changes is available below:

Divide

Our Account Protector is a powerful expert advisor, but not in the sense it is often understood by online Forex traders. It doesn’t trade for you by opening buy or sell positions automatically. Account Protector manages your trading account’s risk by enabling you to select a set of actions to trigger when …

Trading off round numbers is a rather popular technique in Forex and other financial markets. Although round price levels rarely hold any meaningful fundamental value, they provide solid psychological points of reference to human traders. This makes them quite effective when trading psychology-dominated markets. That …

The New Trading for a Living is the revised and updated version of Trading for a Living by Alexander Elder, one of the most popular and best seller volumes in the trading scene of the last two decades. The book covers very well important topics including, trading psychology, discipline, risk control and trade management. In this new version …

You have probably already heard about such terms as black box, expert advisors, quant (quantitative) trading, and if not I would suggest you to do some research about it. When talking about black box in the domain of trading people refer to tools, usually …

FX Trading: A Guide to Trading Foreign Exchange is not one of the most popular books about currency trading and honestly I wonder what is the reason. The book contains all the basic information and terminology a beginner must know to get started. Furthermore the authors included topics that often are not …

As you may already know scalping is, in the trading world, a strategy focused on making small profits frequently. Scalping strategies are executed using short time frame charts, typically no longer than 15-minute charts, and they are not suitable for everyone, they require great discipline, speed and effective …

Are you a beginner? You don’t know the fundamentals of Forex trading? In this article, I will review the book Forex for Beginners, by Anna Coulling. This is a very good book to start learning about currency exchange and the content will definitely satisfy you.

Title: Forex for Beginners

Published: 2013

Authors:

Forex for Ambitious Beginners  may not be the most popular among the  books for beginners, however, it is a great book for people that are moving their first steps in the Currency Exchange world. The book gives a concise but explanatory introduction of all the main areas involved in trading currencies, including …

If you have some interest in learning foreign exchange or you are thinking about becoming a Forex Trader probably your attention has fallen, for at least once, on Currency Trading for Dummies. Currency Trading for Dummies is now at its 3rd edition and it explains to the beginners the concepts needed to understand how the world of Forex works: terminology…

This is not a new book, so the chances are you have probably already read it or at least read about it. The Quarters Theory: The Revolutionary New Foreign Currencies Trading Method^(ad) was written by Ilian Yotov and published back in 2010, but I have got my hands on it only …

Locked-in Range Analysis: Why most traders must lose money in the futures market (Forex) is the name of the e-book by Tom Leksey. It teaches the Locked-in Range Analysis (LRA) method developed by the author. The book is available for free download in two languages — English and Russian.

The e-book was first published in 2017. …

Lehman Brothers was a titan of financial trading before going bankrupt in September 2008. In March 2010, Anton R. Valukas and his law firm Jenner & Block produced a 2200-page report on the company. It was used in the bankruptcy court hearings. Consequently, the report has been made public. Yesterday, …

Last week, I posted a bullish flag pattern on the long-term weekly timeframe of EUR/USD. Even though today’s ascending channel on the daily chart seems to contradict the previous formation, in fact, it serves to reinforce it as the current trade setup (if triggered) will play out entirely inside the flag’s consolidation area.…

The EUR/USD currency pair has been trading in a strong uptrend since March 2020. Noticeable on the weekly timeframe chart are two previous consolidations that had been followed by trend continuations: a bullish pennant in July and a bullish flag in September-October. Both resulted in strong bullish legs for the FX pair. The current consolidation …

The US dollar has been correcting against the Japanese yen since February 17, forming a descending channel pattern. Now, the pattern can serve as a continuation trigger for a greater long-term uptrend in the USD/JPY currency pair.

The image below shows the channel as two declining parallel yellow lines. My potential entry level is …

Two very similar chart patterns have become evident on the weekly charts of two closely related and correlated currency pairs — AUD/USD and NZD/USD. The trades should be approached with caution as taking them both doubles your risk exposure to the US dollar appreciation. This is even more dangerous for my own …

Even though the pattern is far from being a perfect example of a classic inverse head-and-shoulders formation, what we now see on the daily chart of the USD/CHF currency pair still looks like an opportunity to trade a trend-reversal breakout setup. The pattern began forming back in early December and is now fully formed, …

Following a successful bearish pennant setup that had appeared on the daily timeframe of the EUR/AUD chart, the currency pair entered another consolidation that took the shape of a continuation bearish flag pattern. Now, a pronounced close below the lower border of the formation may signal a further weakness of the euro against the Australian dollar.…

With 2020 finally coming to its long-awaited end, it is time for me to check up on the performance of my Forex trades during the year. Fortunately, my overall trading results in 2020 were positive and much better than they had been in 2019. Although I still have three trades (AUD/JPY…

The long-term rectangle formation that you can now see on the weekly chart of the GBP/CHF currency pair can be dated back to March 2020. Since then, the pair has been trading inside a horizontal channel that can be used for a breakout setup to the upside as well as to the downside.

You can see …

Not one but six chart patterns are now ready to be traded in major and minor Forex pairs. Although they all are flag and pennant patterns, they provide trading setups on different currency pairs and different timeframes. And due to the fact that some of the pairs are correlated, it …

My previous attempt at picking a trade using a nearly identical pattern on the CAD/CHF weekly chart ended without any trade at all because the formation had been invalidated by a bullish breakout. This symmetrical triangle is a reformed pattern with a different upper border and a bit more body to it.

The borders of the triangle …

I asked this blog’s readers a similar question 8 years, but back then, we only had just several indicators with alerts available for download and none of them supported push-notifications to mobile devices. Since then, EarnForex.com enabled all sorts of alerts on nearly all of our indicators …

According to one of my old polls, two thirds of traders trust online reviews about Forex brokers and one third of traders don’t trust such reviews. Since that time, the overall trust in the industry and reviews has probably deteriorated significantly, but nevertheless, they likely remain an important factor …

With 2020 finally coming to its long-awaited end, it is time for me to check up on the performance of my Forex trades during the year. Fortunately, my overall trading results in 2020 were positive and much better than they had been in 2019. Although I still have three trades (AUD/JPY…

Forex trading is inherently risky. And where there is risk, there is also stress because it is natural for humans to feel uneasy when involved in risky behavior. However, levels of stress probably vary a lot between different traders. It is also likely that different types …

While things are usually relatively simple with your relatives and close friends, speaking about your Forex trading job with people you’ve just met is for the most part rather hard.

The poll below is intended for people who are already earning their living …

According to many authors and my own experience, achieving success in Forex is nearly impossible without a great deal of automation. Such automation can involve market analysis tools, signal indicators, execution automation (expert advisors), and performance analysis tools. Automating any of those components, brings about verifiability, repeatability and, …

EUR/USD remains the most popular currency pair on Forex. Unsurprisingly, retail traders are interested in its future. Like many others, you might be asking a question — how far can it still go? On the one hand, we have a breach of the massive long-term trendline running since 2008. On the other …

Our timeframes poll from 6 years ago has shown that the majority of traders prefer daily timeframes in their Forex trading. Nowadays, the diversity of timeframes offered by modern trading platforms is astounding, with some platforms allowing unrestricted customization of the period. Still, analyzing timeframes that no one …

Repainting indicators are technical indicators that change their output values on past candles based on the candles that came in later. Some traders also consider indicators that change their current candle’s value based on the updating High/Low/Close values repainting, but this is hardly an issue that results …

There are innumerable ways to approach Forex trading and to base your entries and exits on. Traders who aim to reach profitability upgrade their trial-and-error ways into a sort of a trading system with a specific set of rules. In most cases, these trading systems (or strategies) use some main foundation …

Following our detailed infographic explaining the basics of VPS application in Forex trading, the IT specialists from Swiss Artmotion offer their own interpretation of the trading infrastructure problem. The infographic explains how the trader’s choice of server hardware (and software too) impacts the profits earned and lost. The main idea is that a meticulous …

Since my explanation of how VPS can enhance automated Forex trading was quite popular among this blog’s readers but lacked an easy-to-understand visual explanation, we have created this infographic. You can learn about hosting your MetaTrader expert advisors on a virtual private server in just …

The final piece of Forex infographics that is presented to you by EarnForex is the visualized statistics of the currency and currency pair popularity in Forex trading. Although London still hosts the largest volume of daily Forex transactions, the Great Britain pound is only 4th by popularity, the same as GBP/USD among the currency …

Despite the fact that the US dollar is the most popularly traded currency in the modern FX market, the worldwide leader for the currency trading is not the US but UK with its capital city of London. The presented infographics displays the geographical distribution of global Forex trading turnover. The data is from April, …

According to the latest reports, the Forex industry is growing rapidly. For a better picture of the current state of the foreign exchange market I’ve decided to create a set of infographics. The first one shows the global FX turnover along with the biggest participants — the financial institutions that provide liquidity to the retail Forex brokers. The data …

While things are usually relatively simple with your relatives and close friends, speaking about your Forex trading job with people you’ve just met is for the most part rather hard.

The poll below is intended for people who are already earning their living …

The regulation of Forex brokers is one of the most discussed topics in trader communities. It is also a topic of considerable importance because the safety from non-trading related risks depends mainly on the supervising authorities. According to a poll we had a few years ago, the vast majority of our …

This is another post about one of the many Forex scams being run by unscrupulous individuals online who are taking advantage of unsuspecting victims with lofty promises of guaranteed profits from the Forex markets.

The US Commodity Futures Trading Commission (CFTC) announced on August 9, 2019, that …

On July 19, 2019, the Commodity Futures and Trading Commission (CFTC) announced that Kelvin O. Ramirez had been fined over $2.9 million for soliciting money from clients using fraudulent claims and then embezzling the money instead of trading FX on behalf of his clients as he had promised.

Ramirez …

Forex traders and professional investors in general would be well aware of the numerous currency trading related scams that are being unearthed every year. While the underlying principle behind a Forex scam is always the same – to prey on greed – the modus operandi changes according to the circumstances. In the recent …

The tactics employed by the perpetrators of investment frauds had undergone little change in the past century. However, there is no dearth of unsuspecting investors who fall prey to such Ponzi schemes. The reason is that crooks have a clear understanding of the human psychology. Whileon Chay, a New York resident, is one …

Unlike other financial markets, the Forex market has very little legal and capital restrictions. Thus, it is a blessing for a beginner who lacks financial strength. However, con artists misuse the FX market for their personal gains. Thus, it is a must to scrutinize the schemes related to the foreign exchange trading. …

A conservative estimate of the amount lost by the American public, between 2008 and 2014, in Ponzi investment schemes stands at $50 billion. The estimated value does include the sum ripped off by con artists through stock, real estate, and commodity schemes as well. However, the majority of the investors lost their hard-earned money in Ponzi …

We continue our series about the notable Forex scams with an article about an enterprise called Botfly LLC, which operated from 2005 through 2010.

In a calm state of mind, a close look at the promotional materials of any scammer will quickly reveal to any layman that the offer is too …

The Forex market stands apart from other financial markets in terms of liquidity, capital requirements, trade timings and leverage. However, much like other businesses, scammers do operate in FX markets as well and always look for an opportunity to prey on unsuspecting investors. Even though authorities continue to expose extensive and long-running Ponzi …

Update 2021-01-13: This tutorial has been updated to provide accurate information regarding 90% vs 99.9% modelling quality and to present a simpler method of getting quality historical data in your MT4 platform.

Backtesting MetaTrader expert advisors on historical data is a good way to test a strategy. But testing on the default …

Many think of Bitcoin as an investment and rightly so, it has grown from being worth fractions of a penny to being worth thousands of dollars in mere years. Price fluctuations have made it a popular commodity to trade both in the futures market and in real time. Bitcoin now easily surpasses $100 million …

You might already know how to copy input parameters for a single indicator across different charts and platforms. You also might have mastered the power of copying the whole account profiles from one MetaTrader instance to another. However, sometimes, what you need is just to copy one chart — …

Many MetaTrader users are struggling to work with indicators on multiple charts. They pose a reasonable question: “Is there a way to save indicator input parameters from one chart and easily load them on another?” The answer is: “Yes, it is definitely possible!” Traders often ask me about …

Originally, I intended this post as a do-it-yourself guide on how to add alerts to MetaTrader indicators without knowing how to code at all. But writing it, I came to realization that even if a trader knows nothing about MQL language and coding he will have to learn some basics through this …

If you have thought that trading based on the accurately calculated position size cannot get any better, think again. Now you can use a MetaTrader script to place orders based on the calculations of the Position Size Calculator indicator. The script will detect the position size calculated by the indicator …

There are two different ways to get price alerts in your MetaTrader Forex trading platform. The first one is to use the built-in Alerts system. The second way is to use the special Price Alert indicator. The former is much simpler and more customizable, while the latter allows setting visual …

Update 2016-05-09: This tutorial is now obsolete. Please refer to MetaTrader Indicators — User’s Tutorial for MT5 indicators installation instructions.

This tutorial covers only MetaTrader 5 indicator installation. If you need info on MetaTrader 4 indicator installation, please, refer to my previous tutorial…

Sometimes, it is necessary to copy all your MetaTrader chart settings to another PC or save them while you are reinstalling Windows on your current PC, or in cases when you are moving to a new broker and have to …

Trailing stop is a stop-loss method that allows you to automatically protect the profits with your positions. It adjusts itself according to the current market rate and the amount of pips you give it to trail behind. Trailing stop is a great tool for the conservative and long term traders as it easily creates protective «airbag» for the trades. …