The main secret of short-term trading

That's sad but true. Ever think about the investment you've ever done. Are you able to get the job done in one day? And if you think you are very lucky, how many times you can do it again? No doubt, things like that are very rare. This is because it is applicable in universal speculation similar to that prevailing in the growth of the universal.
We need time to be able to increase profits.
The traderyang found out that the market in a minute to move a bit forward, within 5 minutes the market will move a little further, and within 60 minutes further away again and who would have thought going as far as what the market will move in a day or a week. The trader who lost just like trading in a short period of time, which reduces the potential for their benefit.
In other words, they deliberately limit their profits and losses along with unlimited. No wonder many who have negative results in short-term trading. They locked themselves in a situation of despair, thinking that making money may be done in a day just to get an increase and decrease in the market. This theory seemed rational, because when you trade in one day and never leave the position open in the evening, and you do not need to depend on events in the news and then it changes the changes that minimize your risk. But this is not true because there are two reasons
First, your risk is under your control. The only control you have in the trading business is to control the stop loss points-points where you close the position. Yes, it is likely that the market will open tomorrow morning with a difference that exceeds your stop (stop by from you) if the case is very rare, but you can limit your losses, with a stop loss points and away from harmful transactions. Those who survived lost with the loss and not the same as the winners.
As soon as you set the position of the stop-loss points, you will lose some money that has been ditetapkan.Sampai whenever you open a position, stop loss points you limit your risk. Your risk is the same as when you buy any high points or low points in the market every time.
By not setting the position of one night it will limit the amount of time it took investment growth. Sometimes, even though the market may open up against us, we still are in the right direction because the market is often open to support us
And more importantly, when you end the trading at the end of the day, or a worse time when, say in the interval 5-10 minutes, you minimize the potential for your own benefit. Remember when I explain the large difference between the winners and the losers are the losers stuck with their losses? Another difference is the winners maintain their winning position while the losers away from the market as soon as possible. Because for those who lose, they do not wait for the position of victory: they are very happy to benefit as soon as possible and away from the market (almost in a day)
You do not have a lot of money until you learn how to maintain a position of victory, and the longer you keep it, the greater the potential returns. When farmers sow the seeds, they do not just plant it in every few minutes to see how the crops they grow. They let the plants grow and the rose. The trader can learn this natural process. Trader's success is no different with bercocoktanam success. To grow a successful transaction, the trader also takes time.

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Factors that influence the news fudamental

1. Data of economic growth• GDP (gross domestitic product) measures the value of goods and services produced in a State• GDP deflator inflation =• Factor that affect the GDP
 consumer spending
 Data on foreign capital, or the amount of infestation in the State, and the net long term TIC trasaction
 Government expenditures related to services barangdan prices, inflation or the CPI (consumer price index) and PPI (producer price index)
 export trade balance = difference with inpor
 employment data: NFP (non farm payroll), claim unemployment, claimant count change.2. The survey data• Consumer confidence• Condumer sentiment• CCI (cansum, er confidence index)• PMI, Chicago PMI• Ivey• Manufacturing and service PMI3. Inflation data• CPI (consumer price index)• PPI (producer price index)• Core PPI4. Interest rates among other news: hawkish (raising policy interest rates) and dove (lowering interest rates)• IRD (interest rate decision)• FOMC (Federal Open Market Committee)• Federal fund rates5. Housing data• Housing start• Building permit• Building approval• HPI (house price index)• Mortgage approval• National home price index• New home salesThe guidelines deal with news eventsA. Fudamental news affecting the global price movements. And determinants of long-term trends.• Economic news• Politics• And Security

 Hudamental news comes atCurrency at the quality of news16:30 GBP medium impactHogh impact 16.30-1945USD medium & high impact 20:30 to 22:00EURO

Fuda announced the news on the mentalActual value> forecast (green) then the currency will strengthenActual value <forecast but are still in the previos (black) then the currency will be a little weaker or no response at allActual value <and the previous forecast (red) value of the currency will weaken rapidlyThe opening hours of the world financial markets1.aussy market: 5:00 to 14:00 pm2. asia market: 7:00 to 16:00 pm3.euro market: 14:00 to 22:00 pm4. U.S. market: 19:00 to 4:00 pmNews affecting currency price movementHigh impact• Non-farm payroll - 193 pip• FOMC rate decisions (federal open market committee) -140 pips• TIC (Treasury International Capital) Data - 132 pips. Net foreign purchase of longterm security• Trade balance - 129 pip• Current account -127 pips• Durable goods -126 pips• Retail sales - 125 pip• Inflation / CPI -123 pips• GDP - 110 pip• Data residential property (home sales, building permit, mortgage.etc) -75 pips 

If the bullish news

1. By placing a buy order T / P 100 pips or more without the S / L, if the price action in the area sell.2. Pending sell order 10 pips below the running to install the S / L 5 pips and T / P 100 pips or lenih dependent effects of news3. If you are in the pivot area, then do hedging without the S / L with a 100 pip TP, because usually the price will pull back again to continue the trend after the news effect is complete. 

Bearish

1. By placing a sell order T / P 100 pips without S / L, if the price action in the area sell2. Pending buy order 10 pips above the hedging running without S / L 5 100 pip pip and tp3. If the pivot area, then do hedging without denganTP 100 pip SL, because usually the price will pull back again following the direction of the trend after the news effect is complete.

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Classical Technical Analysis Using Forex Dow Theory

PROLOG

Developments in the investment world financial markets and derivatives in recent years increasingly widespread, both in stocks, bonds, stock index, commodity futures, and do not miss too in the forex market and others. Along with the development of investor and trader in this sector, growing methods and systems are used in an attempt to gain an advantage, both fundamental and technical. Among the many options that exist, on this occasion, I tried to brush up on Classical Technical Analysis Using the Dow Theory.

This discussion merely trying to reinvigorate one of the classical analysis techniques have been developed since more than a century ago, as well as an attempt to bring the choice of many options trading systems and techniques that exist, particularly for visitors indo forum MT5. My hope would be a benefit to us all.

Although the discussion on this trit mostly use the Dow theory, however, there will be some additions. The following topics bahasannya:

A. Brief of Dow Theory
2. Performance Dow Theory
3. Criticism of Dow Theory
4. Trend (trend) Price Movement
• a. Trend Movement Phase-Phase
b. Reflecting the movement of Everything Has Price
c. Inter-sector linkages Price Movements
5. Volume relationships and Trend
6. Analysis of peak and valley in the Trend
• a. Up Vs Trend Trend Down
b. Sustainability and Trend Reversal
c. Support and Resistant
d. Entry Entry Buy and Sell
e. Target Take Profit and Stop Loss
I'm sure many who visit here who have first to understand and apply the dow theory as analysis techniques in conducting trading, because it's storming and the correction you would add the benefit and good of this trit.


DOW THEORY OVERVIEW

Dow Theory Dow Theory is a theory or the basis of technical analysis which was first published by Charles H. Dow (1851-1902) at 255 Wall Street Journal, Dow was a journalist and editor of the Wall Street Jornal and the founder of Dow Jones and Company. The first study carried out by dividing the Dow stocks on Wall Street into two groups, namely trasportation Industrial Index and the Index. He said that the development of automated manufacturing industry will be followed by the development of the transport industry, since manufacturers need transportation to distribute the goods of production.

Departing from the assumption that if the gains in the transportation industry increased, indirectly also show that the production of manufacturing industry and increased demand from consumers as well, which in turn may encourage the growth of each company's earnings. Globally it can be used to measure the level of a country's economy.

After Dow's death there are some people who had a role in developing the Dow Theory is based on the text written by Dow in the Wall Street Journal, they include, William P. Hamilton, Robert Rhea and E. George Schaefer.

Basic Dow Theory
A. The market has three movements
2. Trends have three phases
3. The stock market has absorbed the (discounted) all news
4. Average stock market will have to confirm each other
5. Trend should be confirmed by volume
6. Trend is assumed to apply to give a definite signal

The points above are used as the basis in the science of Technical analysis. These rules are proposed by Dow and later refined by his successors.

DOW THEORY OF PERFORMANCE

Several studies have shown that the Technical Analysis can be used as one method to build a portfolio using market timing. Simple research conducted by Norman Fosbeck shows that "market timing" is better in generating profits than Buy & Hold. The simple problem is that we need to really master the technique.

In maanagementfile.com, Arman Manullang Boy tells the story of his success to invest in the stock market by relying trend analysis of the Dow theory as follows: "A friend of mine in college used to purchase shares of PT Bumi Resources Tbk (Bumi) when the price sank to the level USD 400. Then he sold the shares at the price of Rp EARTH 3000 at sometime in September 2009. One type of shares held is increased to 650% within less than a year. Amazing is not it? And just rely on a simple analysis and a little courage to EARTH into shares when selling pressure is very great. rest, he just wait until you see the signal reversal occurs. "

Here are the results of research conducted Norman fosbeck of the year 1964-1984

Other research conducted by conducted by Jacquiline Doherty (The Truth About Timing)
and published in Barrons (November 5.2001)

And research by Martin Pring using the Dow Theory

- By investing $ 44 in 1977 and followed all the buy and sell signals of the Dow theory, it is in 198 result in a gain of $ 18,000

-Meanwhile, if you invest $ 44 and hold portfolio, then in 1981 only $ 960 profit.
DOW THEORY OF KRTIK

Dow Theory is not free from criticism, as a theory there are disadvantages that accompany the benefits. Criticisms of Dow Theory that should not be overlooked is that in every market movement is trending, on average when using this technique we have been up nearly 20% of the market's movement. Indeed, in some recent cases have developed a method of optimization in order to reduce the lag movement. One was done by minimizing the time frame.

In the subsequent development of Dow's theory began to emerge the Elliot Wave Theory is divided into three parts, namely the trend wave 1.3, and 5 Elliot Wave tried mengeleminir weaknesses of the Dow Theory. In addition to successful use of this theory is to know our own investment horizon. If our target is for a rather long time, we can see the major trends that occurred in these stocks. But if we are daily targets, a trend we have seen is a short swing. Sure it takes consistency and patience as well wait until the trend is to give a clear direction.

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How to read news and also an important moment to take positions

Used 1.News
I recommend just playing in the news AUD, NZD, GBP and must be the same as its market session, so just play in the news AUD and NZD at 4-12 am and noon news GBP which came out in the European session between the hours of 2-6 pm.
At the session of asia, aud and NZD can move freely as possible usnya market is not open yet, so when news release CMIIW movements can often be up to more than 50 pips
This also applies when the European session where the motion is only affected slightly by the GBP USD to GBP when news releases can move freely and even sometimes even up to about 100 pips at the news release.
News that used only the news that red marked, can be seen in the f * on the schedule and impact rexfactory newsnya
2.Jangan pairs trap batman news release when not in session
Especially for USD and CAD news that occurs when the intersection of Europe and the U.S. session at 7 to 9 pm.
At that hour, market movements are usually more wild and more difficult to guess, This is because at that time there were two open market all together, the U.S. and Europe. Suppose there is a release of U.S. news, results were good, but sometimes GBPUSDnya gk down (when positive results are usually American news GBPUSD will go down) or even remain constant movement, was probably caused even stronger USD, but on the other side in the European market GBP was being strengthened, so when news of U.S. release USD is not absolute against the European currencies due to the pull of that movement newsnyapun very rarely reaches 40-50 pips when release
Likewise for CAD news, because U.S. and Canadian market sessions often coincided at the news release, influenced USD CAD moves as well so that its movement is not good pair USDCAD danabsolut, often formed shadow or CAD spike when news releases, not good for ditraping
3.Sebaiknya not maen traping U.S. and Canada when the session
Especially for USD and CAD news that occurs when the intersection of Europe and the U.S. session at 7 to 9 pm.
At that hour, market movements are usually more wild and more difficult to guess, This is because at that time there were two open market all together, the U.S. and Europe. Suppose there is a release of U.S. news, results were good, but sometimes GBPUSDnya gk down (when positive results are usually American news GBPUSD will go down) or even remain constant movement, was probably caused even stronger USD, but on the other side in the European market GBP was being strengthened, so when news of U.S. release USD is not absolute against the European currencies due to the pull of that movement newsnyapun very rarely reaches 40-50 pips when release
Likewise for CAD news, because U.S. and Canadian market sessions often coincided at the news release, influenced USD CAD moves as well so that its movement is not good pair USDCAD danabsolut, often formed shadow or CAD spike when news releases, not good for ditraping

4.Hindari news lined (3-4 once news release) (low impact ignored anyway) at the same time
This is especially when the American news and sometimes also in the GBP, it is to watch out for, if the results of the third / fourth the result is the same news, all positive or negative all the pair's movements can be very crazy
But if the opposite, eg 3 news, two positive and one negative result, sometimes there is shadow and very dangerous for the spike trap yangpasang Batman, because it could happen spike or a shadow that can actually make the pending order and hit SL kebuka dua2nya (personal experience) , be more alert when there are 3-4 unison news release
Rule 5.Perhatikan your broker
Usually at some brokers have a rule that says the position should be open / open a minimum of 2 minutes, while maen traping TP sometimes we can kehajar within 10-60 seconds klokebetulan pair movement is good, and if the broker agan have rules, it could certainly profit agan will be canceled

6.Penentuan TP
To determine TP, ane there ya tips, go to n * wsimpact.com try and open the menu economic indicators, there daftar2 diositu later news of all the pair, now click on clay like the movement of history is what the news, the future can we see how the movement of the pair when news release a month ago, for example, last month after the news release movement only 30 pips, ane pair of TP is only between 30-40 gk may 80
This is not absolute but can be a tool to determine the TP is logically
other than that there can be seen at releasenya precisely, because there are some who like to release news GBP 2 minutes faster
7.News JPY, EUR, and CHF
The third pair was newsnya also likes big impact, but not suitable ditraping. eg ya, European retail sales results were good, and eventually rose EURUSD 70 pips say, well it usually increases occurred in a long time, can be as long as 1-2 hours of news releases and occur gradually, as well as for the CHF and JPY, so thx maen news in all three currencies should master the pair correlation problem klo mentor said ane, and not too good for ditrapping
Note 8.Tetap Main Trends
Do not forget to note the trend remains the primary, please keep in mind sometimes the news is highly subjective. The possibility of a trend after the news was as follows:
1.News direction of the trend and the trend will semakinkuat
2.News bucked the trend and created a new trend
3.news bucked the trend, but only as a correction of the main trends and then make it back to the beginning of a trend that is happening. (As such inikadang often formed shadow or spike)

9.Gunakan MM
Well do not forget to also use the MM
Personal Ane heck klo maen trap batman each lot orders are essentially resistance ane pake 1000 pips, with the SL 15 pips, so it's good, just 15 pips risk but the potential could be 50 pips

10.Hanya shock aja take effect
GBP
Construction PMI
CPI
Current account
GDP
Manufacturing PMI
Manufacturing Production
Retail Sales
PMI Service
Trade Balance

AUD
CPI
Current Account
Employment Change
GDP
PPI
Retail Sales
Trade Balance
RBA Cash Rate

NZD
CPI
Employment Change
GDP

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Balance Sheet Works

A balance sheet, also known as a "statement of financial position," reveals a company's assets, liabilities and owners' equity (net worth). The balance sheet, together with the income statement and cash flow statement, make up the cornerstone of any company's financial statements. If you are a shareholder of a company, it is important that you understand how the balance sheet is structured, how to analyze it and how to read it.



Watch: Balance Sheet


How the Balance Sheet Works
The balance sheet is divided into two parts that, based on the following equation, must equal each other, or balance each other out. The main formula behind balance sheets is:

Assets = Liabilities + Shareholders' Equity

This means that assets, or the means used to operate the company, are balanced by a company's financial obligations, along with the equity investment brought into the company and its retained earnings.
Assets are what a company uses to operate its business, while its liabilities and equity are two sources that support these assets. Owners' equity, referred to as shareholders' equity in a publicly traded company, is the amount of money initially invested into the company plus any retained earnings and it represents a source of funding for the business.

It is important to note that a balance sheet is a snapshot of the company's financial position at a single point in time.

SEE: What Is A Cash Flow Statement? and Understanding The Income Statement


Know the Types of Assets
Current Assets
Current assets have a life span of one year or less, meaning they can be converted easily into cash. Such assets classes include cash and cash equivalents, accounts receivable and inventory. Cash, the most fundamental of current assets, also includes non-restricted bank accounts and checks. Cash equivalents are very safe assets that can be readily converted into cash; U.S. Treasuries are one such example. Accounts receivables consist of the short-term obligations owed to the company by its clients. Companies often sell products or services to customers on credit; these obligations are held in the current assets account until they are paid off by the clients.

Lastly, inventory represents the raw materials, work-in-progress goods and the company's finished goods. Depending on the company, the exact makeup of the inventory account will differ. For example, a manufacturing firm will carry a large amount of raw materials, while a retail firm caries none. The makeup of a retailer's inventory typically consists of goods purchased from manufacturers and wholesalers.

Non-Current Assets
Non-current assets are assets that are not turned into cash easily, are expected to be turned into cash within a year and/or have a lifespan of more than a year. They can refer to tangible assets such as machinery, computers, buildings and land. Non-current assets also can be intangible assets, such as goodwill, patents or copyright. While these assets are not physical in nature, they are often the resources that can make or break a company - the value of a brand name, for instance, should not be underestimated.

Depreciation is calculated and deducted from most of these assets, which represents the economic cost of the asset over its useful life.

Learn the Different Liabilities
On the other side of the balance sheet are the liabilities. These are the financial obligations a company owes to outside parties. Like assets, they can be both current and long-term. Long-term liabilities are debts and other non-debt financial obligations, which are due after a period of at least one year from the date of the balance sheet. Current liabilities are the company's liabilities that will come due, or must be paid, within one year. This includes both shorter-term borrowings, such as accounts payables, along with the current portion of longer-term borrowing, such as the latest interest payment on a 10-year loan.

Shareholders' Equity
Shareholders' equity is the initial amount of money invested into a business. If, at the end of the fiscal year, a company decides to reinvest its net earnings into the company (after taxes), these retained earnings will be transferred from the income statement onto the balance sheet and into the shareholder's equity account. This account represents a company's total net worth. In order for the balance sheet to balance, total assets on one side have to equal total liabilities plus shareholders' equity on the other.

Read the Balance Sheet
Below is an example of a balance sheet, circa 2011 of Walmart:


Source: http://www.walmartstores.com (2012)

As you can see from the balance sheet above, it is broken into two areas. Assets are on the top and the below them contains the company's liabilities and shareholders' equity. It is also clear that this balance sheet is in balance where the value of the assets equals the combined value of the liabilities and shareholders' equity. Another interesting aspect of the balance sheet is how it is organized. The assets and liabilities sections of the balance sheet are organized by how current the account is. So for the asset side, the accounts are classified typically from most liquid to least liquid. For the liabilities side, the accounts are organized from short to long-term borrowings and other obligations.
Analyze the Balance Sheet with Ratios
With a greater understanding of the balance sheet and how it is constructed, we can look now at some techniques used to analyze the information contained within the balance sheet. The main way this is done is through financial ratio analysis.

Financial ratio analysis uses formulas to gain insight into the company and its operations. For the balance sheet, using financial ratios (like the debt-to-equity ratio) can show you a better idea of the company's financial condition along with its operational efficiency. It is important to note that some ratios will need information from more than one financial statement, such as from the balance sheet and the income statement.

The main types of ratios that use information from the balance sheet are financial strength ratios and activity ratios. Financial strength ratios, such as the working capital and debt-to-equity ratios, provide information on how well the company can meet its obligations and how the obligations are leveraged.

This can give investors an idea of how financially stable the company is and how the company finances itself. Activity ratios focus mainly on current accounts to show how well the company manages its operating cycle (which include receivables, inventory and payables). These ratios can provide insight into the company's operational efficiency.

SEE: Ratio Tutorial

The Bottom Line
The balance sheet, along with the income and cash flow statements, is an important tool for investors to gain insight into a company and its operations. The balance sheet is a snapshot at a single point in time of the company's accounts - covering its assets, liabilities and shareholders' equity. The purpose of the balance sheet is to give users an idea of the company's financial position along with displaying what the company owns and owes. It is important that all investors know how to use, analyze and read this document.

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