Even if you’re an experienced trader, you won’t be able to keep an eye on the prices of your currency pair.
Forex recommendations are a notification service designed to alert the trader about the chances of entering or exiting trades on or out of a particular currency pair. For example, you may need to exit the deal quickly, or open a new deal to hedge (protect) your current position. Or you might also want to make some profit from your current position, based on your data.
Automatic mode of orders
When trading currency pairs, you’ll need to consider the exchange rates of the currencies you trade. You may also want your orders to be executed when the currency pair reaches a specified price.
With plus500, you can set automatic buy and sell orders to open a position when the price of the instrument reaches a certain level. Sure, you can also manually open new positions when the price reaches the level you want. To subscribe to push, In-App and email alerts and notifications, just go to “My Account”> ‘Set notifications. Plus500 notices of market events should not be relied solely on the decision to start a deal because they are just general information that does not take into account your personal circumstances.
Technical indicators to confirm the trend
There are a lot of technical indicators that tell us when to start a buy or sell position on any currency pair. The following four indicators are the most credible in determining when your position begins or ends: the Simple Moving Average Index (SMA), the Exponential Moving Average Index (EMA), the Relative Strength Index (RSI), and the Mobile Convergence/Divergence Index (MACD) or MACD.
In the following lines, we will define each of them separately:
SMA – The Simple Moving Average Index is specifically designed to identify rising trends in currency pairs. It gives us average price data over a specified period of time.
EMA – Exponential Moving Average Index is very similar to the SMA index. However, the main difference between the two indicators is that the EMA index pays more attention to recent data.
RSI – an indicator that tracks the currency pair and shows that the pair has reached the overbought or oversold area, and can be used to predict price movements.
MACD (MACD Index) – This is another indicator designed to measure the momentum of the currency pair. It is used to determine both up and down, and is also used to measure the strength of the trend as well.
Based on your individual trading strategy and what you see, you may want to be notified of changes through one of these technical indicators, you are designing your trading strategy based on the data these indicators give you.
You may want to know when it’s time to get out of the deal and just make the gains. To do this, you have to use some of the aforementioned technical indicators. For example, you might consider taking profits if the three-day RSI rises above 90. Or you may want to make a profit if the RSI is less than 10 (by selling a currency pair). You can also use the Bollinger Band, another technical indicator that helps you analyze the situation and decide on taking profits at a given time, along with a host of other indicators.
The economic diary is a great way to get to know the latest economic events around the world at any time. Economic data are very useful for traders who tend to use fundamental analysis, and who usually focus on long-term trades.
Economic data may include employment reports, inflation rates, and changes in interest rates. Political data is very important for forex traders belonging to the School of Fundamental Analysis.