What do you understand by trend trading?

[cozard007]

It is in my notice that many traders are saying trend trading, but they do not know how to trade the trend really. Trend is the main thing traders should aim for in the market, this is because market moves is the nature of trend traditionally. Except there is a reversal, then another trend would form immediately. But traders do not do this because they do have other alternative, and thereby gambles more in trading. I hope this thread will shed more light and understanding to such trader`s knowledge of trading the trend.

What is trend? Trend simple means "direction". In other words, the trend of the market is the direction the market follows. While trend could be short term, medium term or long term.

AUD TREND TRADING.jpg

HOW TO TRADE THE TREND: Looking at the above chart picture on EURAUD of 1 hour, Although in the picture market is trending for a long term (Based on the candlestick count), But it did not do this trending all along in a straight/smooth line. The market started from 1.45917 and finished the trend at 1.42245. But along the line, there were retracement, some of them were marked with the white arrow on the chart above.

This simply means that; the trader have to be strict in trading the trend. You will not mind the side attraction of the retracement, but the long enduring trend of the market; until you are satisfied that a reversal is observed.

INDICATORS AND SYSTEM FOR THIS: Although, it is tactical to know if a trend will continue or not, but indicators like moving average, MACD, Bollinger bands etc. are effective in knowing this. Also, trading system like trend-line, price action etc. will help the trader to know at intermediate trading whether a trend is continuing or not. And by this, the trader will know if to continue or exit

NOTE: The best time frame to enjoy the trend trading is on the larger time frame. By this, i mean from 4 hours to 1 month time frame. This is how you will have the full benefits trend trading could give you. This is the way the large firms and banks trade. If you can be patient with trend trading, it really worth it more than any system you may adopt. HAPPY TRADING!

[silverlady]

Whaoo, its quite a thread. One thing I believe to be the issue facing many traders is the fact that they are not patient about the trading of the trend, if they see a little retracement, they give up easily, but trading of trend should not always be like that. You will see a long term pattern coming and you will give in to it all the way to almost the end.

[newentry]

the trend is something important for traders and follow it, and this is the safest way for trading, and to see the trend, we can use the higher time frames. so we have same concepts here, and almost all traders too,
we can indicate the trend with draw the line between top to top or bottom to bottom, or also i used channel for it. or there are some indicators to read the trend as you have told above, i do really agree
but let me please to share my experiences with channel,
there are some advantages that i got with channel
1. i got the trend
2, i got support resistance
and if the candlestick cross the line, means, there will be a new direction or movements

[silverlady]

trend is a way of market directions that you can see a simple way to run a market price.there are a many trend in our market like uptrend,downtrend and other trend

Trend is a god thing, which is the direction of the market, but the market will never go towards the trend all along, it braches one steps at the other, this is where I think its confusing to some traders. Doing the trend trading is like a great means of making a better results in the market that bring stability to the income of the trader with little risk.

[cozard007]

Trend is a god thing, which is the direction of the market, but the market will never go towards the trend all along, it braches one steps at the other, this is where I think its confusing to some traders. Doing the trend trading is like a great means of making a better results in the market that bring stability to the income of the trader with little risk.

Having your mindset fixed towards the trend trading will make you to enjoy forex trading more than ever. It might not be the way you plan it at first, but it will surely worth it if you have the patience in trading the trend. I have never seen another trading means that is better and safer than the trend trading, provided the trader have a good trending system to follow.

[silverlady]

Having your mindset fixed towards the trend trading will make you to enjoy forex trading more than ever. It might not be the way you plan it at first, but it will surely worth it if you have the patience in trading the trend. I have never seen another trading means that is better and safer than the trend trading, provided the trader have a good trending system to follow.

Well, as you have explained, I know that the trend trading will not be easy for nay set of trader, it will be a very hard thing to do because of the fixing you said. You will need to have the determination on this, and by that; one will be successful trading the trend. Also, it is better to use 4 hours time frame if you know that you can not wait longer.

[hosny55]

trend trading is very comfortable trading way . it may not find any labour with it . all strategies has right points and bad points . all the strategies has percent of success and a little percent of failure . also the trend will have a good percent of success and a little percent of failure . but i think that the thing which go and confuses us in which trend w may be sure of its trend ?

[silverlady]

trend trading is very comfortable trading way . it may not find any labour with it . all strategies has right points and bad points . all the strategies has percent of success and a little percent of failure . also the trend will have a good percent of success and a little percent of failure . but i think that the thing which go and confuses us in which trend w may be sure of its trend ?

One thing I love with the trend trading system is the comfort one can see in it. If a trader likes it or not, the trend has the move power, it might only seems weak during the time of retracement, and that one is normal. What matt5ers is how patient is the trader towards the trend trading, many wish to trade trend, but they do not have the nerves.

[lawners1791]

trend trading i guess those to calls of the better on preparing of the different challenge as quoting of the series on customs to calls of the finale on options to put with the good decision on spending of the good focus to enter with the less on request to closed of the number with the good pips to complete with the order.

[zulfiqar iqbal khan]

with 200 day moving average we get good trend direction. if market is above 200 day moving average we know market is in buy position and if market is down 200 day moving average we know market is in sell position . so if we use this indicator properly we get good trend of the market