Thread: Forex Currency Trading System - Which One is the Best?

If you're one of the many people who want to jump into the
forex bandwagon, you should be on the lookout for the best forex
currency trading system that can help you start out.

But, before anything else, you should get yourself familiarized
first with the basic concepts of currency trading and how it
works. The most basic item on the list is the definition of
currency trading, also known as foreign exchange or forex.

Forex is the exchange of currencies based on how strong or weak
one currency performance is from the US dollar (USD). The
currencies that are usually paired with the USD for trading are
the Euro, Yen, British Pound, Canadian Dollar, Swiss Franc, and
Australian Dollar.

When an investor speculates that there will be significant
changes or fluctuation in currencies he choose to trade, he can
either buy or sell. This buying or selling will spell out if he
has gained profit or lost.

Forex currency trading system should one follow

All forex currency trading systems have different indicators
and styles in trading but there are a lot of similarities that
helps their user succeed in trading.

Simple is best in any forex currency trading system since it
can easily be adjusted in case of any market changes. Too
complicated systems will be difficult to break down to pieces in
case there are any adjustments needed.

Forex system should be able to logically adapt changes

The forex market is one that may experience drastic changes
every now and then. The currencies' values fluctuate too, from
time to time. A very good forex currency trading system should
be able to adjust to the changes that are happening and be
logically efficient to react accordingly so that losses are kept
to a minimum.

System must allow drawdown and recovery

The natural cycle in forex trading is that one profits and gets
rewarded when he takes the risk or loses as a hurtful
consequence of the risk. Trading systems should be able to
follow this natural cycle by allowing 20 to 30% loss and
allowance of a few weeks or months for drawdown.

System must have firm rules of money management in place

Money management in forex doesn't just mean putting a stop when
about to lose a lot. Money management means having a grand plan
that has been prepared in advance to counter any obstacles while
trading. A trading system should have rules set to protect the
user from losing a lot during trading.

The best trading system is easily operated by anyone
If one knows how to play the forex game, the forex trading
system should be easy for him to use. It should be able to
detect signals and perfect timing to help the user execute a
good trading move.

These are some of the common factors among the many forex
currency trading systems now available. It is up to the user to
choose which one he thinks will best suit his trading style and
his skills.

There's a lot of systems out there, finding the best one is key

I wish you would email me and tell me of the systems you've found that are better than PremiereTrade (PT).

But then, I'm not sure what you mean by "better." I've seen quite a few with more indicators and others with better trading platforms, but there are many things the outsider doesn't see.

They give you direct access to their traders, via phone, via the Message Board, and via a Live Commentary. They not only keep you well informed of what's going on and what's moving the markets and which pairs are doing what, they have 6 hrs a day of classes, help shops, commentaries, and a slew of worksheets, data sheets, trading systems, etc., it's endless.

The Green Light, Red Light thing is fairly simplified so almost anyone can trade it, but they are adding stuff all the time, and you can almost get as complex as other systems now. But I'm a nuts and bolts kinda guy, and I like to use lots of technical stuff, so I have a backup system to trade currency futures, and a very powerful charting package and trading platform called RealTick, from TerraNovaOnline. I can trade Forex spot or futures through them. It's always a good idea to have a backup datafeed and trade desk anyway.

I've been trading stock index futures for 17 years, and I write my own systems and indicators, but I'm real surprised how well the signals work in PT. Green Light/Red Light, yeah it's simple, but it works.