فوركس ساتو

OPPORTUNITY 2 – TRADING SESSION MOVES
There are two primary trading sessions each trading day (Monday to
Friday). Actually there are three, but I’ll explain what I mean to be
a “Trading Session” (of which there are two). Let’s discuss “Market
Overlaps”, and then we’ll return to this trading opportunity.
Market Overlap – Because the world is round, different places
around the world experience different times. Half way around the
world from somewhere where it is daytime is nighttime. This is
obvious. Now there are three major markets that trade FOREX, the
North American market, the European market, and the Asian market
(including Australia & New Zealand). The Asian market trades
between 8pm and 4am EST (convert these times to your own time
zone), the European market trades between 2am and 12pm EST, and
the North American Market from 8am to 5pm EST. You will notice
that there are two times when two of the major markets overlap in
trading times; between 2am and 4am EST (Asian/European) and
between 8am to 12pm EST (European/N. American). Generally
speaking, those are the best times to trade, and all other times simply
close your computer. Most significant price moves happen only
during these times, and outside of these times the markets mostly
“consolidate”, meaning very little price action happens, just some
narrow bouncing sideways movement, and it’s usually a big waste
of time trading then.forex sato
FOREX Surfing Draft
CLOSE ALL ON FRIDAYS – DANGER! DANGER! This point
is huge. Never, and I mean NEVER leave a trade open through the
weekend. During the weekend the markets are closed, but world
events still happen that affect the price of a currency pair. When the
markets reopen on Monday morning (Asian times), Sunday evening
in North America, the price usually gaps meaning your stops could
be completely missed resulting in huge losses. So never ever EVER
leave a trade open through a weekend. If you have any open trades
simply close them manually around noon or 1pm (EST) on Friday.
Yes, following this advice may result in lost profit opportunities, but
it far more than compensates for lost money in your account if you
are on the wrong side of a big move. (The only exception with this
is if your broker guarantees your stop without slippage over the
weekend. Most brokers don’t, though there are a few that do, but
generally it is a “best practice” to avoid leaving trades open through
a weekend.)
Overnight Interest – Remember, if you leave your open position
over night then you are charged interest. Your brokerage should
explain this in more detail for you (check to find out at what time
the rollover happens for you). Remember that leaving overnight
positions open on Wednesdays cost you triple interest. This is just a
reminder about interest charges, however if you are in a profitable
trade then this is negligible.forex  ssato
As you have learned from the above paragraphs is that there are two
main trading sessions each day when the markets overlap
(Asian/European and European/N.American). For sake of
convenience we’ll call these trading sessions “T-AE” (first session
with Asia), and “T-EN” (second session with N.America).
It is best to focus on currency pairs that have their parent country
actively trading during the session. For example, during the T-AE
session focus on the Asian currencies such as JPY, AUD, and NZD
traded against the USD (the only exception to this general rule since
most currencies are traded against the USD) or even the EUR (as
long as your broker’s spreads are 5 or less pips on the pair, such as
EUR/JPY, but most other pairs it’s best to stick with USD). It
would not make sense to trade USD/CAD during this time since
most Canadians are sleeping (except for some dedicated FOREX
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traders – wink). Since Europe is active at this time then you could
also trade EUR/USD, GBP/USD, and USD/CHF.
During the T-EN session focus on the European and North
American currency pairs such as EUR/USD, GBP/USD, USD/CHF,
and USD/CAD. As a general rule (but you can break this rule) stay
away from the Asian currencies during this time.
Ok, back to explaining “Opportunity 2”.
What you will notice is that often a currency pair will trend in a
particular direction (up or down) through a trading session (T-AE or
T-EN). Sometimes it will just move sideways within a narrow range
(say 50 pips) particularly if the market is waiting for some
upcoming Fundamental Announcement. Sometimes it will move in
a particular direction and then midway through the session it will
reverse (usually due to a Fundamental Announcement).
What you are looking for is a Micro Trend to establish itself during
the early part of the session. The trend may be moving fast or slow.
Look for a suitable wave to jump in on (one of the three Variations
you learned early in this eBook). Go for small pips (say 20 pips)
once, or even twice, during this trading session to make your profits
and get out.forex sato
With this strategy it is imperatively important to remember “Trading
Rule #2”, to be aware of when Fundamental Announcements are
expected to occur and to not be using this trading method at that
time. Use the techniques you learned in eBook #1 “Explosive
Profits” to capitalize on Fundamental Announcements.
forex sato