Trading Strategies
If you are looking for trading ideas or are simply looking to enhance your current strategy, then you have come to the right place.
Introduction |
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Risk Management and Trading Psychology |
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Taking a Fundamental Approach to Forex Trading |
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Taking a Technical Approach to Forex Trading |
Suggested Strategies to trade the US dollar with this economic release
• Before the decision: buy the rumors sell the new strategy:
*If the market expects the Fed to hike, traders may buy the US dollar for some time before the announcement and square their position right after the decision.
*If the market expects the Fed to cut interest rate, traders may sell the US dollar for some time before the announcement and square their position right after the decision.
• After the decision: Surprise strategy
*If the Fed decision comes in line with expectations, traders may prefer to stay on the sideline.
*If the Fed cuts interest rate while the market was expecting it to hike or to stay on hold, traders may sell the US dollar in a very swift trade (1-2 hours).
*If the Fed increases interest rate while the market was expecting to cut or to stay on hold, traders may buy the US dollar in a very swift trade (1-2 hours).
*If the market expects the Fed to cut interest rate, traders may sell the US dollar for some time before the announcement and square their position right after the decision.
*If the Fed cuts interest rate while the market was expecting it to hike or to stay on hold, traders may sell the US dollar in a very swift trade (1-2 hours).
*If the Fed increases interest rate while the market was expecting to cut or to stay on hold, traders may buy the US dollar in a very swift trade (1-2 hours).
