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How To Make A Full-Time Income Trading Less Than Part Time

Big Dogs Exposed

Sound familiar? You have spent years surfing the 'Net, and studying books and charts in search of commodity trading rules, a currency trading strategy, stock market successful trading strategies, or information on how to use commitments of traders data. All you really want is the 'Holy Grail' of entry techniques. You usually end up adding one indicator on top of another, switching from one guru to the next, until you are so confused and unsure of your entry system that you are unable to make entry decisions and stay organized. You get so distracted and frustrated that you quit watching the markets all together!

Shows you how FAST you can make money when the BIG DOGS make their move - by shamelessly copying this winning group . Even I am STILL surprised by how much power they have over ALL markets - not just commodities futures, currencies, and stocks.G

Other Editions

Commodity Trading Rules

Currency Trading Strategy

Stock Market Investing Basics

Stock Market Successful Trading Strategies

For those of you who missed other issues of this Newsletter, you can read them online by going to: Other Issues

Those issues deal primarily with commodity trading rules, a currency trading strategy, stock market investing basics, and stock market successful trading strategies.

If your trading is all foam and no beer, then be sure to read my Newsletter on a regular basis. And, please send me suggestions for things you want to hear about.

This is an exact copy of the Newsletter e-mail-out.

Greetings! First of all, my thoughts and prayers are with those in combat and their families. I wish them whatever comfort is possible at this time, and hope for their safety and a speedy resolution to the conflict – with as few casualties as possible. May peace be the eventual outcome.

This edition of the Newsletter was originally set to go out during the month of March, but I chose to delay its release respecting the fact that your mind is probably on more important matters.

You are receiving this Newsletter because you subscribed to it at my site. It is e-mailed only to those subscribers who opted in voluntarily, and is not sent to unwilling partners. Your e-mail address will never be given away to a third party under any circumstances.

This Newsletter is issued on an if-as-and-when basis – at least once a quarter, but not more often than once a month.

This Newsletter is dedicated to traders around the world who have interests in commodity trading rules, a currency trading strategy, stock market successful trading strategies, or information on how to use commitments of traders data. Obviously, I can’t cover all four bases in any one single edition of this Newsletter due to space considerations and also out of respect for your time.

In this particular issue, I am going to focus on the forex, which is seeing a steady influx of traders from the other markets. In future editions of this Newsletter, I will cover tips, techniques, topics and strategies of interest to traders in the other markets.

I do have a brief update on my pick for commodities futures enthusiasts towards the end of this Newsletter.

Don’t click away or delete too soon as you will miss the trading tip half way through this Newsletter.

22 Reasons Why Traders Are Now Trading FX Currencies Versus Commodities/Stocks

Leverage

Demo. accounts

Full- or part-time

Seamless 24 X 7

No up-tick rule on shorts

Split-second response time

Most profitable market to trade

Real-time profit and P&L analysis

Best trending market; tight ranges rare

No price shading, as with phone trading

No clearing/transaction fees, commissions

Instantaneous deal execution and price certainty

Lower dealing spreads than commodities futures

More aggressive pricing than commodities futures

No forward exposure as with commodities futures

Better price transparency than commodities futures

Free execution service (software and trading platform)

Reduced slippage (95% of major currency traders here)

Liquidity/size/volume: the largest financial market to trade

10+ trades/day on average made possible by no commissions

Ideal day trading market (24 hours, leverage, liquidity, good trends)

Lower transaction costs than before deregulation and Internet trading

The forex market used to turn over US$70 billion per day in the 1980s. That figure is now US$1.5trillion per day and rising! This represents 30 times the volume of all U.S equity markets – 50 times larger than the NYSE alone! This makes the forex the most efficient market to trade. It is always liquid – and can’t be engineered by any one entity!

And, then there’s the futures market that comes in at US$30 billion per day. In addition to which, the currency futures market is shrinking. As much as 95% of all currency trading is conducted on the forex, of which 85% is in the major currencies.

Clearly, there is no other market that can compete for traders’ dollars. The forex trading volume and transaction sizes dwarf the others in sheer size alone.

To repeat some of the key advantages of the forex over the other markets, these include leverage, liquidity, a seamless 24X7 market, and the best trending market. This is a very efficient market where you will not find any gaps in trading from one session to the next, as it is a truly seamless 24X7 trading environment.

As with commodities futures, leverage is the big deal here. You can control US$100,000 with only US$1,000 in your trading account. And, every point move represents ~US$8.93 on average. It doesn’t take much of a move to generate a tidy profit. Just recently, two moves in the EUR/USD resulted in gains of US$640 and US$1,115 per lot. Not as easily accomplished in other markets I might add.

Also, let us not forget that there are no clearing or transaction fees or commissions when you trade the forex. The number of trades you take is limited only by your trading ability and desire to trade on any given day (or evening). It is further enhanced by the tools you use. And, you only need ~US$500 to start your account off with – although I recommend nothing less than US$2,000.

To take advantage of the trading opportunities afforded by the forex, people are buying my book “How To Trade Like A Pro In One Hour” and “Pivots Program” that does all the buy and sell entry and exit point calculations. They are using these resources for commodity trading rules, a currency trading strategy, stock market successful trading strategies, or information on how to use commitments of traders data.

Hear what my customers are saying:

Rod B., Australia: “Since you have been training me upon purchasing your book over six weeks ago, I have been averaging 250 to 350 pips per week simply by adopting your strategies.”

Pasquale G., Great Britain: “I couldn't possibly trade the Forex successfully without the pivots program.”

Mark van G., South Africa: “I must THANK YOU for introducing me to your Pivots Trading System, as this is one of the GREATEST EDGES any trader will see and obtain, yet it is so simple to apply and to follow.”

Francois van S., South Africa: “Thank you, I have received your book in the mail, quite impressed with it I may add. I am only trading in the spot FX market, and have read through, and appreciate the e-book you mailed me. What an amazing piece that is ... WOW!!!!)”

Hear what one of the largest non-bank online foreign exchange market makers in North America has to say: “I like the system ... very easy to use. I have taken a look at your program and it looks very good. I like systems such as this, which are easy to implement and get the job done. I will definitely mention your book and program to any clients who ask me about good trading systems. ”

Let me show you how you can make US$1,115 in just two hours from your home computer using this currency trading strategy…

Trading Tip for this Newsletter

You will notice in the EUR/USD chart below two different types of bars that I will talk about in this edition of the Newsletter: “Outside Bars” and “Price Rejection Bars.” They both apply to all markets, not just the forex. I will also briefly touch on stops and trendlines. First, let’s have a look at “Outside Bars.” You will notice such a bar at the spot marked X on the 5-minute chart below.

Outside Bar

Here is the technical description for such a bar:

It develops after both down- and up-trends and represents a strong exhaustion signal.

The closing price of the outside bar closes below the lowest point of the previous bar.

It encompasses the trading range of three or four bars, not just the previous one.

Price Rejection Bar

Next, we go on to the “Price Rejection” bar seen at the spot marked Y in the chart below.

Here are the rules for such a bar:

The trading range is considerable.

It develops after both down- and up-trends and represents a strong exhaustion signal.

The closing price is close to the previous bar's close.

However, in the meantime, price heads south, in this case, to an extreme level before recovering – hence, the label “price rejection.” It reaches a point far removed from the low of the previous bar. The low of the ensuing bar roughly equates that of the bar to the immediate left of the price rejection bar.

In each case, be it an “Outside Bar” or a “Price Rejection” bar, price WILL reverse its course from whence it came, as you can see below.

You may notice on occasion that price exhaustion bars like the “Outside Bar” and “Price Rejection Bar” occur coincidentally with my pivot points. This is no coincidence as the laws of support and resistance really do work, and such bars are just a reflection of traders’ cumulative reactions to these levels. They are automatically calculated by my Pivots Program.

There are a couple other types of bar patterns that are equally powerful as predictors of price direction. If you would like free details just for the asking, please send me an e-mail: prbain@tradingsmarts.com

And now a brief word on trendlines. Anything more would take more space than I have allotted here. In the chart below, I have drawn a blue trend line pointing up to the right on a 45-degree angle. This is significant in that it contains the lows of the trend being depicted. In such an up-trend, you will notice that each successive low is higher than the previous one.

However, the main point here is that you want to watch for a major break in this trend to the downside, which denotes time to sell and/or go short. You can see that such an event took place at the spot marked X, which just happens to coincide with the formation of the outside bar. Price breaking below the trend line at the same time the outside bar forms is truly a bearish combination. Pretty easy decision to make to exit your long position and/or initiate a new short position I would think.

A common question I get relates to when to exit a trade. In the case of being long in the above scenario, money management dictates that you use a stop-loss to begin with, and then move it up as a trailing stop along the way. It will take you out of the trade when the trend is over. So, you really don’t have to worry about an exit strategy, although if you are in tune with the mechanics of my discussion in the above paragraph, you certainly have the ammunition to pull the trigger yourself at the right moment in time.

Price chart courtesy www.cbfx.com

If there is any part of this Newsletter than you cannot see because of the browser you are using, please view it online at currency trading strategy or send me an e-mail, and I’ll send you a Word doc. version of it: prbain@tradingsmarts.com

If you don’t already have a copy of my now-famous book “How To Trade Like A Pro In One Hour” and “Pivots Program,” you can get your very own copies for the price of a dinner and a bad movie! All you have to do is click here to get the latest on commodity trading rules, a currency trading strategy and stock market successful trading strategies.

The book and program are for traders who trade any market, not just the forex.
If you would like a free compilation of forex trading examples and/or if you would like a free assessment of your favourite currency pair(s), again all you have to do is send me an e-mail: prbain@tradingsmarts.com

I have studied most of the market makers providing forex trading platforms to the general public, and have concluded that there are only two that I would be prepared to recommend to you. If you would like this free assessment, just drop me a line: prbain@tradingsmarts.com

Commodities Futures Update …

Although this Newsletter is committed to commodity trading rules, a currency trading strategy, stock market successful trading strategies, or information on how to use commitments of traders data, I have devoted this issue to commodity trading rules and a currency trading strategy.

According to my interpretation of recent COT data and research, cotton is not far off from being a good short as at March 23, 2003. The commercial traders are extremely short with their positions, and there is no premium on the front month – i.e., no backwardation in prices from contract month to contract month.

If, by the time you receive this Newsletter, cotton has already made its move, it could still represent a good trading opportunity for you. Like I said up front, I intentionally delayed sending out this Newsletter respecting the fact that there is a war going on and that you are probably more concerned about it and preoccupied with its unfolding. My prayers and thoughts go out to you and your loved ones during these tough times. May you and your loved ones be safe and secure.

DMI is a good indicator to take you into this trade. If you don’t know how to use it, please let me know and I’ll send you a description of its use: prbain@tradingsmarts.com

Another good indicator to use is MACD. For a description of its use, please go to commodity trading rules

Please feel free to pass this Newsletter on to your associates, family members, friends, neighbours and relatives, or people in general who might also be interested in commodity trading rules, a currency trading strategy, stock market successful trading strategies, or information on how to use commitments of traders data. You are encouraged to do so by sending it along in its entirety, but portions may not be reproduced or disseminated separately as it is copyright protected. Thank you for acknowledging this!

Please feel free to send your inquiries, be they comments, feedback, questions or suggestions, to me at prbain@tradingsmarts.com

If you have any ideas or suggestions for future articles, these would be most welcome. I especially invite any trading tips, strategies or techniques you may have that you wish to bring forward and share with others. If I include them in future editions of this Newsletter, you will most certainly get proper credit and recognition. You will also receive a free bonus for your time and trouble.

Happy trades to you, and here’s to your health and happiness and good relationships!
Thank you for reading this Newsletter!

Sincerely,

Peter R. Bain
www.TradingSmarts.com

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How To Make A Full-Time Income Trading Less Than Part Time

Have a day job; can't watch the markets; want to trade?
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