Article Library

The goal of a successful trader is to make the best trades. Money is secondary. – Alexander Elder
Hello, my dear friends and fellow community members.
To make sure that we, the members of the Dukascopy Community are profitable each and every month I want to share with you an idea that if we put into practice then we will definitely be in profits at the end of each month. We have to find out a system, in which our stop loss and take profit is predefined. Also, we have to make sure that our take profit level is at least 3 times from the traded price as much as the stop loss is.
We will put 1% of our account at risk on every trade. And we will aim for 3% of the account if we are right. To understand what I am talking about, we need to do a simple mathematics. Let us say that we took 10 trades in a month in this manner, where we risked 1% to gain 3%. And let us say that 5 trades were not in our favor. In other words, the stop-loss was triggered. The price hitting stop-loss 5 times means we have lost 5% of our entire capital(as we had 1% at risk on each trade and 1*5=5). At the same time out of 10, we have also won the five trades. Winning 5 trades mean that …
Read article
Translate to English Show original
chytry_dziad avatar

Well done!

Verona888 avatar
Verona888 12 Mar.

nice work!

killer195175_reborn avatar

Thank you all for your support and kind words. I hope that my ideas help you in executing your trades with confidence. I wish you all a very profitable year.

Vlad73 avatar
Vlad73 16 Mar.

good article

WizWiz avatar
WizWiz 20 Mar.

impressive article!!!!

orto leave comments
What is Risk Management ?
Risk Management is The Analysis and identification For Make Decision of uncertain Investment at Forex Market ,By Using Risk Management We can Control Our Investment Risk and Control Our Profit ,So Risk Management not only Important But also Require For our every Entry.By using Risk Management We can Control Our Live Trading Risk At Forex Market For Safety of Our Trading Fund But Without Risk Management We Are Here Like Gambler ,Our Trading Behave to Market Unjustified,So We Face Lose,Always Remember ,Risk Management reduce Our Trading risk .
Why Risk management?
The main objective Of Risk Management are Below :
Minimize Trading Risk.
For Protect Our Trading Account and Make Money Long Time.
Identify Future Trading risk .
Identify Future Trading Problem.
For Long Term Trading plan.
To Ensure That Risks are identified .
Improved Our Trading Portfolio .
For Stable Trading Career At Forex Market .
Risk Management Process Method
Risk Management Apply For Minimize Trading risk ,Risk Management identify Trading risk and Predict Future impact of all of our Trading.
First_We Should Be Review Our Previous Trading record And Analysis What Type Problem was found and W…
Read article
Translate to English Show original
VictoriaVika avatar

Thanks for your article, there is many useful information, really good strategy and detail explanation. Well done! Go ahead! :)

brilliant avatar
brilliant 25 Jan.

I think there is no high risk limit. but it should be calculated carefully and accepted.

orto leave comments
TREND IS YOUR FRIEND we all know this,
But when I see an UPTREND or DOWNTREND that has already started how should I enter in the trend with least possible risk and maximum reward?
Risk and reward is the essence of money management. For a good money management you must manage your trades efficiently.
In this article I will show you how I manage my trades.
When you see a reversal of downtrend in the daily chart and you are a swing trader and you want to capture the swing then it is better to zoom the chart to 4 hour or 1 hour to enter a trade. when you see a pull back then open the lower time frame and draw the trend line joining lower highs against the major trend. When the candle breaks this trend line and closes on the other side that is the time when you have to enter the trend and keep the stop below the swing low by a difference of 5 pips.
In the charts above you can very well see that there is a change in daily trend so I opened 1H chart and during a pullback joined the highs of the hourly chart and I got a falling trend line. Remember that the main trend is UP. When I see a candle closing above the trend line drawn on 1H
Read article
Translate to English Show original
galjasen avatar
galjasen 6 Dec.

good work

Teo avatar
Teo 12 Dec.

Good luck !

Adel55 avatar
Adel55 17 Dec.


mcquak avatar
mcquak 17 Dec.

Ok, trend is your friend as well as mine :-)

Helena_Prekrasnaj avatar

a good strategy with a detailed description ... thanks for the work))

orto leave comments
My name is Eugen, I'm from Romania and i've been learning about trading in the last 4 years.
I'm not trading for a living yet because i wanted to learn all the aspects and test everything until i completely understand the market dynamics through the reading of price action so i could eliminate most of the emotions that come with it.
This article is about money management and compounded interest, which in my opinion is the most important part of trading, and can turn even a small account (1000$ starting equity) using a mediocre strategy and trading plan but with solid discipline into a small fortune that would assure our financial freedom.
The best advice i ever heard abut trading was to treat it as a business because if you think of it, trading is the last piece of true capitalism left, where every person is in charge of their own financial fate.
The business we are into is about managing risk and after we define our risk appetite (how much we are willing to risk on a single trade) we use that to calculate the position size we are willing to enter in the markets and more important how much we are willing to lose.
Let's say we have …
Read article
Translate to English Show original
Omela avatar
Omela 17 May

it is great!

lupyyyy avatar
lupyyyy 26 May

Thank you Elani & Omela

lupyyyy avatar
lupyyyy 26 May

Khalidamassi Thanks for reading ..Good luck to you too;)

doctortyby avatar

Compound Interest is a good idea but sometimes the calculation you make at home isn't the same like the one you make at the market. It all comes down to emotions... if you want to get out of the crowd

lupyyyy avatar
lupyyyy 31 May

Indeed ..the whole market is moved by emotions ...fear&greed and the better we balance them the better we get.Thank you for the feedback !

orto leave comments
There are many structural reasons that support a dollar bullish trend in the coming years but like anything else timing is the key.
Currently the outstanding US Dollar short positions are enormously and usually when everyone is on the same side of the boat the market goes in the opposite direction. But this current bearish trend will not reverse just because there will be a mythical big buy position that will reverse the trend.
A bearish trend will reverse when all the sellers who wanted to sell are in the market and there is no one left to sell. The same is the case with a bullish trend which will not reverse because some huge sell will come in the market but because there are no more buyers to lift the market.
So in our case it will not be a bullish dollar trend because some positive reasons. It will be the outstanding US Dollar short positions which are going to create the bullish trend least expected. It will be the biggest squeeze of our lifetime and when this short position will feel the pain of market going against them they will fuel the market new trend as they will be forced to buy back their shorts, which in turns will add more power to the new bullish trend.
The his
Read article
Translate to English Show original
Jignesh avatar
Jignesh 22 May

Well written Daytrader21 , although my view calls for a weaker USD.  Take a look at the weekly DXY Chart, there is a good case for a bearish triangle from 2008,  Most likely making a low sometime this year around 75, bullish 2015 inline with your analysis.  But would probably only retrace to current levels before turning lower to breakout.  Let me know what you think.

Daytrader21 avatar

Jignesh I move towards 75 DXY is quite a dramatic move and we really need a strong catalyst for that to happen, which at this point I just can't see it. The return of fx volatility will be a strong sign for a directional change in the dollar, so until that happen I see further consolidation. We need a really strong catalyst to break from current low volatility and consolidation zone and this can't happen in isolation, we need to look at credit markets and equity markets as well. Time will tell how it will develop I only hope I'm smart enough to see when I'm wrong:). Thx

doctortyby avatar

Just one article from you this month my friend? I want to see more useful info from you :D

Daytrader21 avatar

doctortyby Well, unfortunately I only have time for 1 article/month and I'm also running out of subjects:) so I'm not even sure I'll have something to write for the next month. I hope at least you enjoyed this one:)

doctortyby avatar

A good subject can be the ECB future Monetary Policy ;) ... I always enjoy your articles

orto leave comments
Recently, both - B. Bernanke and J. Yellen stated, that they don’t have a clue what drives gold markets. I would say that either, they really are a clueless muppets (as they never speculated in the financial markets, but managing these now with great confidence) or they simply just lie to the public. Hard to choose which option is worst. Gold market, as all the other markets, is driven by dynamics of liquidity and risk to reward game of market movers and the crowd. Fundamental side of the reasoning, sometimes have bigger impact and sometimes don’t have any at all, but technicals play they role at every pip of the range. Someone say technicals give the levels to enter and fundamentals give the direction, I say – technicals give entries and the direction and fundamentals give the timing.
What technicals are the most important and how one should trade these? The answer is fairly simple, but practical usage (trading) is a complex and multi-angular process. First of all – I must remind my stubborn conviction, that all the trend lines, moving averages, most popular technical indicators and other widely used traditional technical analysis tools are not only just useless, but intentionally…
Read article
Translate to English Show original
Metal_Mind avatar
Metal_Mind 22 Jan.

Well i must agree with you on this articles. Indicators may be bad ,but if you work for some time with 2 3 indicators you will observe the real movement. Yeah indicators are misleading, but each trader has its own conscion. For example recently i succeded in filtering indicators signals by also takin in consideration my personal wiew and price action.If you take only indicators in account you will surely fail, but with your own wiew you could experience great succes.
@Daytrader : I do agree with Likerty here. You can use fundamentals to time the market and have top noch results.

Metal_Mind avatar
Metal_Mind 22 Jan.

I have also study lately the efect of fundamentals, and i discovered a very good way to profit ahead news only from positioning before news and trade before the relese.Of course this method implies some great reserch and vast reding but i think it worth it.

MUSTANG avatar

nice article tnx

Altankhuyag avatar

good luck

Likerty avatar
Likerty 28 Feb.

Thank you all for feedback! You can fallow me on twitter: @VenasEdvinas

orto leave comments