Forex trading Signals: The most important concepts

Forex trading is now open to everyone and many private traders start trading in the forex market. The market is extremely liquid and can be traded around the clock, so there are countless trading opportunities every day.
It is all the more important to focus on a few effective strategies to act successfully. Successful trading strategies generally take into account the areas of entry, exit and risk management. We present some Forex signals with example, which can be used for entering a trade.

 

The most popular forex trading signals and strategies at a glance:

The trading signal moving average crossover
Support and resistance, also known as outbreak strategy
Oscillators as a trade signal
1-2-3 Formation Strategy
Break-out and range strategy
Forex Trading Signal 1: Moving average crossover

Forex trading Signals: Moving average crossover
Forex trading Signals: Moving average crossover
Moving averages (MA) are a classic among the indicators used for trend analysis. Combining two moving averages with short and longer time horizons, these moving averages can provide forex signals – always when the faster (shorter period) of the two Mas crosses the slower MA (ideal typical example of forex trading signal).

The EUR/USD chart shows a 7-day average (red) and a 17-day average (blue). If the ma7 crosses the ma17 from above, this offers a forex trading signal for a short entry (trading on falling prices in the EUR/USD), at crossing from below for a long entry to rising prices. It is also clear that moving averages work best when there are clear upward or downward trends. In sideways phases they tend to produce more false signals.

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