You know there have been many people that have said that they have got the best day trading system that is out there and that it is proven to be a winner but if you are someone that has heard that you should not even think about taking that information into consideration because of the fact that there is no system out there that is labeled the best because the best system is yet to be found because there is not one out there on the market today. However, when you are relating to the way that a system works, it may do you some good to take into consideration that the way that a system works relates to the personality of the trader individually. If you want to be a successful trader you need to make sure that your system matching your day trading personality. However, there are a couple of systems that you are going to want to take into consideration so I would like to take the time to tell you about them.
A Day Trading System
Now that you know how important that it is that your day trading system matching your individual trading personality, I am going to take the time to tell you about a day trading system that you may be interested in taking into consideration. The type of day trading system that I would like to tell you about is the bounce trading system that has a moving average. It is known that this particular type of day trading system takes the time to use what is known as a timeframe that relates to the short term and it also using something that is known as the single exponential moving average as well, in all actuality this particular type of day trading system normally trades the actual price that is moving against it which is referred to as reversing and then it bounces back from the moving average. The moving averages are known to level out and the results are that the fluctuations are short term and then they are removed and the overall direction is then shown. The price normally enjoys a move that is strong and then in return it will take the steps so that it is able to retrace the movement back to the average of movement. However, it is then that you will see that the price continues with the original moves and is transported by the moving average to the bounce trading system. With this day trading system you will find that the default trade is normally a one to five minute OHLC chart which is referred to as a bar chart.
Another Day Trading System
The other day trading system that I would like to tell you about is the Zero Line Cross. The Zero Line Cross system is related to a short time frame in which it includes a CCI that is relatively long term as well as a moving average that has a single exponential. The whole system in general is known to refer to the CCI that crosses over the zero line and the price is normally located on the side of the actual moving average. The CCI in turn shows the momentum that accompanies the actual price which has a value that is located below zero or above zero. When you see that the CCI is located above the zero it is then that the CCI rises upwards and then in the cases where the CCI is located beneath the zero line you will see that the actual price is in a fall downward. With this system you will find that it uses the actual switching of the direction to place an entry point and then it uses the price in comparison to the moving average to that it is able to complete the confirmation of the actual direction.
Day Trading System and the Importance
When it comes to the importance of having a system you will find that there is no system out there that is rated the best, you are going to have to find a system that works the best for you and relates to your individual trading personality. When you are taking the time to choose from the systems that are currently on the market you are going to want to make sure that you take the time to study them so that you are able to fully understand how they work and how they are going to help you be successful.
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Forex System Posted by Sheila Sandford, May 14 2007, 18:06 - 0 Comments