Forex Trading For Beginners In 2025. (The Complete Step by Step Course)

now to be honest with you we are currently living in the best time to ever get rich online and well I assume that's why you're watching this video now to some of you who may not know who I am well I'm Daniel as a 24 year millionaire day trader and I've been trading close to 5 years I have generated hundreds of thousands of dollars entirely through trading and most that I've been able to teach thousands of students to make money trading now my purpose of doing this video is to teach you on how to start trading completely from scratch I'll show you what to do straight from the beginning and I'll also take you through the intermediate and lastly how you can actually be able to make money and by the way I'll also show you on how you can start with as less as $50 now without any further Ado let's get started with our course so what's Forex Trading well Forex Trading is the exchange of currencies you could also call it buying and selling of currencies now this time around we have it online and we definitely call it online Forex Trading un likee Forex bureaus everything is entirely done online and that means if you do have your phone or your laptop well it's all good you do not need a Forex Bureau to be able to make money now let me give you an example so this is $100 and then this is 100 Kenyan Shilling so if say I went to a Forex Bureau with say the $100 bill and I wanted some Kenyan shelling there's always a difference in between here because in actual sense what I'm doing doing is I am selling the dollar and in return buying the Kenyan Shilling and well that's why the money is made un like as we mentioned you're doing it physically this time around it's on your phone and that means whenever you are transacting say you're buying someone out there is probably selling or say you are selling there's someone out there buying so the Forex Market is a huge Global Market with over $6 trillion traded per day I know that's crazy now think about it different countries different currency say you're in the US well the US has the dollar say you're in the UK that's the pound say you're in Kenya you have the Kenyan Shilling so we have different currencies that are always exchanged every day and that means there's always money in circulation and that's what we have to tap in into our profits I'll quickly show you some of the results from myself and then people just like you that have actually been able to learn and they now make consistent profits so you can see this is an account and I made over $6,000 now this is crazy just a few online businesses will actually generate this much and then more to that this is an account of just $100 and I was able to make up to$ 350 so you can imagine you're trading off with just1 and you have tripled it up in just a few trades of here now that's actually 300% Returns on just that account now this being my results let me show you results from people other Traders just like who you are going to be come well over here we can see this is actually inside Myan community and this is an account of about 3,000 is person made up to uh that's about $600 and then we also have more so you can see we also have an account of $28 and is able to make 42 I know that's crazy now just a quick disclaimer your trading results will always vary more to that I'm not a financial advisor I am just sharing with you what I have learned along the way and what has actually worked for me now when you are trading you need access to the Forex market now if I could do an illustration say you are the trader and then we have the financial Market here we need an intermediate in here and that's where the Forex broker comes in choosing a broker really comes down to you as a Trader but they are very important conditions that you must consider before choosing one and firstly off here we have regulation all Brokers must be regulated unless it's un legitimate but think about it I don't think you would want to deposit your money or transact with a broker that's not regulated honestly then next up to that the types of markets that You' want to trade now in this example we are trading the Forex Market but then there are also Brokers that do offer the stock market and then the crypto market so it does come down to you as a Trader will I need to trade the Forex Market only or I would also want to trade say the crypto and the stock and then more to that we also need to look at initial deposits now I was interacting with a Trader and he was asking how much money am I supposed to start off with honestly it's up to you but then the broker is always going to play something big in here now let's assume you wanted to start off say with $100 only and then for this broker the minimum deposit is say 500 well more than enough they won't allow you to deposit and they won't allow you to trade personally I only recommend using a broker that allows even the least deposits because you could want to start off say with $50 or 100 the next up we have spreads commissions and then other fees well the broker being the intermediate they only make money when you are transacting whether you're buying or selling they always have the differences in there and actually as we shall discuss in the next minutes I'll show you what spreads are but when you are choosing a broker go for one that does have tighter spreads because that's why the broker makes money if the spreads are too wide for you as a Trader well more enough these guys are actually making more money off you than you making return return and then the next one is transaction rates among others there actually so many now I did all the research I don't want you to go through all that confusion of having to research and all that so I did attach a link down to the broker that I personally have been using for the previous two years now that's how you choose a Forex [Music] broker now having understood what a Forex broker is and what to consider when choosing a broker now we shall go over to open opening up an account now once you click the link just down in the description you'll come over to this page now offia you have sign in but for our case we shall go over to create an account okay so you have counter residence email address password honestly this is pretty easy you just have to fill in your details from your email your account of residence and if I could give an example by the time of recording this video I am currently in Uganda so i' come over here to country of residence and choose Uganda pretty easy and then once you're done with all that you'll come over to continue and now when you are done with all these details your account is fully ready now at a later stage you'd have to verify your identity well this is done to honestly prevent fraud and all that and it's really easy you just have to submit your national ID or your passport and honestly that's pretty easy now once you're done with that you can finally sign in because once you have an account over there you could open up a demo account or real account and I'll show you that in a minute so once you come over here now you have the option of signing in so you could come over here sign in and I'll show you how it looks now off here you can see options we have real and then demo account now a demo account is honestly just a practice account where you're going to do your practice honestly here you're not even depositing money you're just using rro funds to test out your trading skills now keynote you're not making money here all you're doing is practicing so just come over here and so you could say open up an account and we have standard we have Pro we have row but I would recommend a standard account firstly and then you come over to continue okay now here you have options you could either Choose mt5 Or mt4 and then you also have leverage I'm going to explain that in a minute but for the leverage I would say use 1 to 500 doesn't have to be too big and it doesn't have to be too small and then for the currency honestly this depends on where you are I personally prefer trading in the uh the US dollar that means when I'm depositing or doing all my transactions I'm doing all that in the US dollar that's an option you could decide to trade in your local currency because at some point it makes more sense and then nickname again pretty easy fill in your nickname or your real name and then password and you now have a demo account this is the same process that you could actually use even on opening up a real account same thing just switch up and you know you have that actually for a demo account the biggest difference as how you guys can see is the starting but bance off here you're not even depositing I mentioned that now something to really take most importantly here is when you're trading on your demo account I would recommend that you trade with an amount that you could possibly start off with on your real account like it doesn't make any sense if say you started up with $5,000 on your demo account but in actual sense when it comes down to your real account you're going to trade with $100 like it doesn't seem realistic so stick to that now having created your first trading account it's now time to interact with the Forex Market but firstly let's understand the keywords used in trading now number one we have what we call a currency pair well as high you can see it's a pair and that means it's a combination of two currencies an example could be gbpusd it could be EUR USD it could be GB JPY and USD JPY and many more so what's happening when we are trading is we have two transactions all happening at AO and that means say you had the dollar and you wanted the pound you would get the dollar deposit it say to a Forex Bureau something and then you'll get the pound in return and that means you are in actual sense selling the dollar and buying the pound so we have two transactions happening all at a go and that's why we call it a currency payer on the other side you could even call it a CT examples so we have the Great Britain pound against the dollar and this is how it's Illustrated we have the euro against the dollar we have the pound against the Yen we have the dollar against the Yen now currency pairs are divided into three uh types okay so firstly we have major Pairs and these are the most traded and for a beginner Trader as you I would recommend that you put more emphasis on this so examples we have EUR USD we have gbsd we have USD uh USD JPI them being the most traded honestly again on the other side they're easier to analyze next up we have cross Pairs and this are made of major currencies other than the dollar so this means these pairs have major currencies in but the dollar isn't in a clear example could be AUD card we have AUD JPY and so on actually this is an assignment to you once you're done with the video i' would want you guys to go over this and generate as many currency pairs as possible and lastly you have exotic pairs well these are currencies from emerging economies we could have an example of the dollar against the rent that's from South Africa now the next keywords that I want you to understand are the ask price well this is a price where a Trader is willing to sell at remember we said when we are trading we are either buying or selling that means you must have an established price where you are ready to say sell it or buy it now the ask price as we mentioned is a price where you are willing or say the trader is willing to sell atart then the bid price is just an opposite of the ask price and this is a price where a Trader is willing to buy a currency at now the difference between the buying and the selling price is what we call the spread now when you are using metatrader 5 I'll show you that in a minute you can actually see spreads actually you could see the buying and the selling and then the spreads too so in some way you do not even have to do all the month and all that a key point about this is when you are choosing a broker you're guys remember I mentioned spreads now if the spreads are too tight that's good for you as the trader it's actually favoring you but then on the other side if the spreads are huge well that's favoring the broker and that's why we said when you are choosing the broker you need to find one who spreads are tight now next up is leverage so this is the use of borrowed Capital to increase one's buying power now I'll give an example say you're trading off with $100 now $100 could seem small for you to carry on a transaction say with gold because gold is probably at about $2,000 plus doll at the moment so when you're trading with $100 it's really hard you can't even $500 or something now what happens is the broker is going to come in borrow you some capital okay and you'll be able to carry on those transactions now I do have an illustration here and I'll show you now we assume your initial captor is $100 and then in between here we have your Leverage and we mentioned this is from the broker now you guys remember when we're opening up a demo account I showed you this example now in this particular example of here we have a leverage of 1 to 100 now that means your final trading power is going to be your initial Capal which is $100 times your leverage which is uh 1 to 100 and final trading power is going to be up to $10,000 now that means you could be using $100 as your initial Capital what you deposited to your trading account but because of the leverage that you are using you're able to place bigger positions now key note of here the bigger the leverage the bigger the risk and actually for some brokers in countries like the US the maximum Leverage is I think 1 to 200 or 1 to 20 I can't remember clearly but most countries will even regulate this because they truly understand the risk with this so on the other side when we are trading keep your leverage in there it doesn't have to be too big and doesn't have to be too small let me give you an example if say it was 1 to one well if say you're using a leverage of one to one that means you are trading with a $100 with a one to one that means you are using your exact Capal to honestly Place trades and in some way this could limit you I mean you may not be able to trade or open up more positions because you're just using $100 so that's really important to understand now next up we have buying or going long or you could also call it being bullish now remember again concept is buying and selling so buying is when a Trader opens up a trade expecting the payer value to increase IE we buy low so we are buying when the price is low expecting to profit as the value increases on the other side we have selling or going short or being bearish so in here this is when a Trader opens up a trade expecting a pair value to decrease IE we sell High now when I was starting off this was really hard for me to honestly understand so what I got in mind was okay we have bullish and bearish so when it's bullish expect a bull to push the price up and then when it's bearish expect Bears to push the price down that was a really easier concept that helped me understand this now keyn note off here remember we buy low and sell High please take note of this and keep it in mind now next up we have stop- loss and then a take profit so a stop- loss is an automated level that closes off a trade once it goes against the initial Traders prediction now honestly we have losses in trading and you need to understand that because sometimes you could anticipate that S price is actually going to go up and what happens it does the opposite now a stop loss is going to protect you from further losses in such a scenario if say you opened up a trade going to the upside say you opened up buys and rather than the price going up it revers to come back down well if you didn't have a stop loss in position that would become a huge loss and perhaps maybe blow up the whole account if say you didn't have this own so what happens now is whenever you are buying you're going to have your stop- loss below the price okay and when you are selling you are going to have your stop loss somewhere up now obviously as the trade goes in profit at some point you could decide to even extend your stoploss close to your entry or even into profits and we call that a break even in such an instance you have your profit fully secure that even if the trade reversed and did all that you are going to close off with profit now next up we have a take profit take profit is just the opposite of a stop- loss so in here it's an automated level that closes off a trade once it hits that Traders desired profit level assuming you're not even watching the charts and all that you're so busy well you have to do is set your take profit and once the price hits that level you will find the trade clause your profit all secure you know without having to do a lot well in here what happens is say you are buying you would have to place your Tech profit somewhere above okay either side if say you were selling that means you expect the price to go down and you'd have to place your stop loss somewhere below because now that's your profit side now these actually very very important when it comes to risk management which is a detailed topic that we're going to discuss in the next a few minutes if you're not using this as a Trader well most say enough you're gambling and trading is not gambling so be sure you always have your stop- loss and take profit levels in place now imagine this is amount of money that you must put to open and hold a trading position well this money act as a collateral to the broker well again back to what we said remember your deposit is the money to the broker and for you to be able to open up say a bigger trading position or any position the broker needs to have something as a collateral remember you used the leverage already so in actual sense the broker has borrowed you something now they need something in return and that's why the margin comes in so this is going to act as a collateral meaning if your margin is really too low well the broker may not even allow you to open up a position so we have used margin and this the amount of money that you use to open and hold a position then the free margin is the amount of money available to open up newer positions okay so this is really really so important and as a Trader you must consider this before opening up any extra positions on your mt5 app those will always be displayed from the equity to your margin to your free margin so it's easier for you to keep track of that now a pip so this is the smallest unit in measuring currency Pairs and now that brings us to the next term and that's aot size so a size is the number of currency units being traded in a Forex position well a peep a lot size all these are units that you'll basically use a lot in your trading to establish how much money you intend to make or how much money you intend to risk on a single trade and I'll give you a much easier example as we go trading live on mt5 now that you understand the key words used in trading let's go ahead and understand the apps that you need to be able to start trading [Music] for this particular example I'm going to be using my iPhone now you're just going to come over to App Store okay and then just type in mt5 there we go so you'd have all the show up so we have mt5 we also have trading view oh by the way you can also just install it by the time you're watching this now that I have it installed I'll just go ahead and open it and there you go so whenever you open it this is how it's going to look so this is default no account signed in no nothing so we have welcome to metatrader 5 and all that then just go ahead and accept Okay and then open a demo account you guys remember what I mentioned we said a demo account is a practice account and that's what we are dealing with here so they show you will can uh open a demo account and you could proceed and say yep and uh oops this is a bit detailed we could cancel that and we have two options here now it's redirecting us to this uh page here now it does Show You Broker now remember we had created an account either way we still needed it what we are going to do now is link the broker okay the account that we had created with mt5 so let's just quickly go over back here to our broker and then we shall quickly sign in and see how it looking so back here let's check our demo account all right perfect so we had created this account with exence okay that being the broker so we shall come over here and type in okay so we are coming to this section and typing in in excellence okay to actually make it easier now you can see we have a whole ton of Excellence profil showing up so we need to understand which of these is the one that we are supposed to use so honestly the easiest way is to come over here back to your account and then look for the account information okay there we go so we have a server being x75 trial you know all that so that's what we are going to be dealing with so we could go ahead and write in exence Mt 5 there we go so we have Excellence Technologies then um mt5 real 17 we are dealing with mt5 Trio you guys understand so we shall go ahead and search out for okay Trio 10 there we go so we have it you guys see that then the login um our login is going to be two uh 2074 1 9182 and then the password i' used I'd created that when I was opening up the account so once you've entered your login just go ahead proceed and enter your password and then we should be good there's a mistake with a login okay now just a quick one it does seem i' entered the wrong um server now that's keepy by the way most Traders have always struggled with this more than enough if you enter wrong server and say use the right password and the right logins the account will show invalid account so you can't log in so I'll quickly make an update of here so the server is mt5 try your nine okay so this is it so we have TR a 9 off this point so I'll go ahead and click on that and then the login is going to be 2074 then we have 19 then we have 182 then I'll fill in the password I'll just blur that out shortly all right perfect so we now finally have our account pretty excited so you guys can see we have the balance we have Equity we have free margin now let's leave all that and shortly understand how the platform works so down here we have quots so I'll click on that so you guys can see so quots again is just another word for currency payers okay with what you guys can see this is BTC USD so that means it's Bitcoin against say the dollar but we can go ahead and customize it you decide which pairs to add so come over here and say search so here you could see GBP USD and then click on the ADD and there you go so that means we have now added B I mean gbsd so that's the pound against the dollar so you could even go ahead and delete some of these cuz personally I wouldn't even trade these so there we go I could also go ahead oops I could also go ahead and add other pairs as usdjpy then I could also add Euro oops um Euro USD honestly pretty easy so you can add as many pairs as you wish but for now we have three pairs so we have gu we have USD JPY then we have Euro USD okay now next up we have this section off here and it's the chart section now on the chart section that's where we are doing our analysis as we shall uh see just in the next a few minutes we'll see how these charts are read and all that but whenever you're going to trade you need to understand how the charts are behaving so you're able to get a trade and that happens within this section okay so you can see over here we have red and green so-called candlesticks and then next up we have this section off here and it's a trade section now that's why we started off here you have your balance you have your trade I mean your Equity your free margin now if you opened up a tra a position just right uh right now then all your trades are going to reflect off here and that's why we have that section then lastly we have the trade history now within the trade history all your trades reflect here rather your history of Trades say you took buys and selles and stuff all that's going to show up here your profit or loss is all going to show up here your deposits and withdraws is all going to show up here so you can see we have deposit we have profit we have swap Comm uh commissions and then balance again the broker that we are using doesn't take any commission so these always going to stay zero even with a real account and then lastly we have settings on the settings part of here that's why you can always change the account just an example right now we logged in with a demo account but now if I wanted to log in with the real account I'm just going to come over to this section click off here and then come to the plus button and there we go again same thing enter company or server name again say we are dealing with xnes but then this time around a real account depending honestly just like how we did at the first scenario it's the same thing that you're going to be able to do here and with that you would be able to have your platform setup now let me quickly show you how you can actually take a trade using this platform so all that activity happens within the chat section so we have these two buttons off here so we have this and that's the instant ORD say you want to open a buy instantly you're going to come over here click the buy and then your position would be open same thing um oops same thing sales you're going to come over here click sales and then the trade would be open instantly now before you do that off with the mt5 you have to accept the terms and conditions so just come over here and then you'd be good now either side off here on this platform we have what we call pending orders pending orders now are just the opposite of instant now what happens is say you expect the the price set to sell whenever it reaches a point you could place a pending order that point that whenever the price gets to that area your order will be executed instantly well with that that means you won't even have to stay on the chart and wait for the price to hit say a given level for you to to be able to open up a trade that's the good thing about this whole thing so we shall go ahead and um just open any random trade on gbsd this is what we are trading right now so we shall go ahead and open buy so we shall click buy and there we go now when you have your position open it's going to reflect as how you guys can see off here so we see buy 0.01 Lots okay this figure off here is always the lot size remember what you mentioned it's much more of like a unit and then whenever you want to track your positions you're going to come over here and then there we go so you have your position running so all that is always going to reflect within the trade section I wanted us to do a quick comparison with the lot sizes so you guys can understand how they typically work now this is a position of 0.01 now I want us to go ahead and open a slightly bigger position than 0.01 and then you guys will see so let's go ahead and adjust a lot size off here to say 0.1 and click buy there we go you can now see the difference so this was 0.01 lots and now this is 0.1 now you can see we are currently in a drad down or a loss of $2 on this uh 0.1 then on the other side we are in a small um loss well either side even on the profit side it's the same when you are when you are in profit you're probably going to make more money with a bigger lot now now please take note I'm not emphasizing that oh even if you're trading with a small account open bigger lot because you want to make huge profits or something no your load sizes must really really stay minimal if I could give a very very brief example you see we are trading with $500 in actual sense with this account we can only use 0.05 as a maximum here but we shall discuss that when we come to risk management so typically you have this position running again if you wanted to close them it's really easy two options you could either long press and then come to close position and then of here you can say close but I don't close them now I think we could use them later same thing you could just scroll uh to your left and then you have this yellow tick and say same thing come over here and then close and at that point your position would be closed and it would reflect here let's actually do uh this I'll show you and there we go so we have now our position reflecting here we were trading gu with a buy and we made 0.02 so using mt5 is honestly easy it just comes with practice the more you can the more actually you use the platform then the easier you're going to get so so good with it actually even if say you use huge screens to trade I don't know if you guys have seen those huge you know screens still you'll need such a platform because it's easy to use it's mobile and it's easily accessible and that's why most Traders actually prefer using mt5 and with that let's get to our next platform and that's going to be trading view now just a quick update you guys remember I mentioned you could also install trading view on your phone it's again really easy let me see if I do have trading view here there we go so we do have it now trading view is a platform that most Traders use to analyze okay now remember you're trading you need to know how the price is behaving and now rather than using mt5 with these charts most Traders find it easier to use trading View for the analysis and then mt5 for trades and then more to that trading view does have a few disadvantages on the other side and that's to do with Brokers trading view only allows us a few Brokers and like with mt5 you can link literally any broker so that's why on the other side some people decide to say well I'll use trading view for for my analysis but then for my trades I'll use mt5 because it's much more easier so same thing off here now on trading view we have your watch list and then we have the chart off here you're doing your analysis and all that then we have these other features honestly not that important we have ideas I personally never use this but for a beginner you can always go through see what other Traders think so off here you can always scroll learn a few things in there so for trading view they basically have free and paid packages so you can decide to either upgrade but I would say this is all good as long as you're able to analyze and get a trade it's all good more to that some Traders prefer to use the desktop version of it cuz IID say it's also much easier to use and let me quickly show you how look now on your desktop it's really easy just come over to tradingview.com so if I just did that now there we go same thing again I'm already logged in so I wouldn't have to log in again but all happens here now the most important part here is you're going to come over to products okay and then Super chats and then click on that and there we go now trading view also offers you a variety of options you can always decide to customize it to some Traders you'll probably find say green and red candlesticks some other person you'll find black and white it does depend actually from what you wish in this example we have green and red if you wanted to make changes just come over here right click or on your computer and then come over to settings and yep you have all these options so you can decide to change these colors which is pretty easy again off here some of the most important tools can be these entry uh positions so we have long remember we said when you are going long you are buying so that means could use that place an entry and there we go also say you placed it off here now the red side is the stop- loss you guys remember what we said we said a stop loss is going to automatically close a trade if it was going against your initial prediction that means if say we opened up buys we expected the price to go up meaning if in any case it just decided to come back down we have to set a point say we set a stop loss up to this point that whenever the price hits this area let our position get closed automatically now to some of us personally what I do is I may not use trading view specifically to place the trades but I'll use it to get all the figures in such an example I do have um my stop- loss as 1.26 43 so I'll get get this figure copy it and then go paste it over to my mt5 which is honestly really easy you can always keep trading view as your tool to analyze and then mt5 specifically for your entries and then monitoring your positions and those are the two tools that you specifically need to execute trades now the next one is an economic calendar so what happens is in trading we are dealing with currency but then currencies are affected by economies meaning if say there's more employment happening say in the US that's going to directly affect the dollar now what happens as in for us Traders all we need is to monitor we need to know what's happening next what's happening this week and by the time of filming this we have an event called NFP happening on a Friday so with that I would know that look we have NFP coming up on a Friday and then I would be ready to trade that so we can easily do that by having an economic calendar and for this instance we are using fast bu so just come over here and then type in fast bu again you can easily download the app I'll put the link just down in the description now once you're off here you need to have your economic calendar so just come over here to products and then scroll to economic calendar there we go so just like today do have events on the Canadian dollar we have events on the uh the dollar this is at 6:00 p.m. with the time zone that I'm inan that's the East African and then we also have events on the Canadian doar at 5:30 actually using the news events to trade is called fundamental analysis we shall discuss that a bit in detail later on so typically again I can even be able to find events happening tomorrow by just clicking on tomorrow and if I also wanted safe for this week again same thing and there we so you can scroll through and you have a whole ton of events again your economic calendar is very very important and by the mot to this you could even also be able to trade then we have chats or here you're interacting with other Traders just like yourself you can see this but then the most important part again is going to be with the news typically once you have the economic calendar you need to also turn on notifications now this is how important it is or by the way with my Trading first thing early in the morning is check news event what could be happening today let me give you a scenario now say you analyze and you thought of buying GBP USD right and then out of the blue we have an economic event happening which contradicts what you had planned well what happens is the trade is going to go opposite of your direction now you can only be ready for that by having an economic calendar and having real time events that's why it's really really important to have [Music] this now we typically have many types of chart but most Traders mainly focus on three and that being the Candlestick chart then we have the B chart and then lastly the line chart this is a b chart on gbsd on the hourly time frame and this is how it looks so a b chart is a combination of just buz and this is how it looks we have the green ones and then the blue on ones the green ones in here represent buyers okay or bullish the price is going up and then the red ones represent sellers or the price going down now a line chart is just a line graph as how you guys can see it just shows you how the price is moving this other side is the price and then down off here is time okay same thing even with a B chart this off here is the price and then down off here is the time okay and then lastly we have the candlestick chart now a Candlestick chart is just a combination of so-called candlesticks and this is how they look so in such an example we have blue ones representing bullish okay or buyers and then we have gray ones representing bearish or sellers remember we mentioned it doesn't matter you could decide to set this to your colors or preference an example with what we looked at before we had green and red so it doesn't honestly matter now most Traders use Candlestick charts and for this course we shall mainly focus on Candlestick charts because they're honestly much more easier to read I mean if you could compare this with say this bat or a line graph a line graph is also good but it leaves a lot of information behind but for candlesticks you tend to get even the smallest details and that's why most Traders choose to use Candlestick charts and with that let's understand what a Candlestick is honestly so candles stics are a technical tool that displays the price movement of an asset over time so it's just a technical tool and by the way as how we shall discuss we shall look at what we call technical analysis we decided to use technical okay then a series of candlesticks from a Candlestick chart now we basically have two candlesticks we have a bullish and a bearish Candlestick you guys remember what we said it's either the price is going up or going down and that's where these two come in so we have the bullish and then the bearish okay now the size of the candlesticks indicate how much momentum is currently in the market huge candlesticks indicate more pressure and vice versa obviously for the small ones will indicate less pressure in the market now we shall see more examples about this but if say you saw a huge long Candlestick that means we have a lot of momentum at that point with the price if say it was bullish it means buyers are pushing the price insanely and say if it was bearish and it's long and huge well that means sellers would be in with a lot of pressure now this is an example of a bullish Candlestick please keynote again I'll go back and recap that we said bullish is when the price is going up meaning it's opening low and then closing higher I don't to show you an example but it's really really important that you guys get this concept even even before we get to a chart of here now with such a bullish Candlestick this is how it's going to look so we have this green part of here and it's called the body okay and then we have these green lines or something those are called weeks okay so we have a week down we have a week up okay now this point down off here is the opening price so remember it's bullish or the price is going up well on the other side up this is the closing price you guys understand on the other side for bearish Candlestick I just indicated it in red we have this being the body then we have this being the week again same example and then this being the week all right in this example now the price is going down you guys understand now what happens is this time around we have the opening price on top and then the closing price down why because we are bearish that means the value is going down now here's a case study on gbsd on the H4 and this is how it looks so again we said we had a series of red ones being bearish or Sellers and then we had bullish ones being green and such an example this is typically how it looks feels like rocket science but I believe you guys should now be getting the concept easily so again pretty easy you can see it's just a combination of many many many candlesticks now it takes time for each Candlestick to form and that's what we call a time frame now I'll give an example say in this particular example we were watching GBP SD on the H4 H4 that means 4 hours well in this example it means it takes 4 hours for one Candlestick to fully form okay well that means it took 4 hours for this one Candlestick to form took 4 hours for this one Candlestick to form and each of these same thing if say we were watching the chart on say the hourly that means it takes 1 hour for each candles to form and sometimes you could even be watching your chats and say the M5 I'm going to show you on the M5 it means it takes 5 minutes for each Candlestick to form time frames are really really important we shall see why and how we can actually use them when we are trading now an example of here as R viewed on gu we've just seen that on your trading view this is what happens we have time frames often within this section so you can always select this let me quickly go over to trading View and then I'll show you how it looks looks all right perfect these are the time frames of here so we have minutes we have um hours we also have days and then there we go we have Rangers but most importantly we can always consider these minutes hours and then days I such an example we are currently on the m30 on GB PSD that means it's taking 30 minutes for this Candlestick to fully form now if we went over to the M5 means it's going to to take us 5 minutes for this one candles to fully form currently it's 1557 meaning the moment it clocks 160 we shall have new candles six forming on the M5 on the M15 oh actually even the m30 and then the H1 now time frames play a very very big role and this is what happens so we have three types of Traders we have scalpers we have day Traders and we have swing Traders now scalpers t ically hold their positions for a short while it could be minutes it could be seconds then day Traders tend to hold their positions for hours could be an hour 2 or three but entirely during day and then lastly swing Traders swing Traders tend to hold their positions for a very long time it could be days months or even years now kot most Traders are day Traders we typically hold our positions entirely during day make money and then close off now how do time frames play a big role in here so if say you are a swing Trader right you are looking at holding positions say for a month well what happens is sometimes you might need to look at the charts on bigger time frames meaning in such an example if say I was a swing Trader I'll probably have to come up to say 3 months and see how has gbps D been looking like on the 3 month chart and there we go if I saw this I would know oh it's being bearish I should probably be looking out for sales same thing if say I was a day trader I'll give an example I personally day trade I will always start of say from the Hedge for 4 hours 4 hours is actually huge I need to see how has the price been behaving in the previous day and I'll give you an example so say this is GB PSD and we are currently on the H4 yep with what I can see this is how the price has been behaving pushing a bit up this gives me a picture now on the other side scalpers remember we say these are holding positions for a few minutes or even seconds now sometimes they will even go to say just one minute they want to see how is the price behaving even on the smallest time frame note whenever you scale down to the smallest time frames you tend to have the smallest details and some Traders tend to neglect this but it's really really important as we shall see whenever you are making entries it's recommendable that you scale down to the smallest time frames it could be the M5 it could be the M15 to be able to get entries now that you've understood the charts and then you now understand time frames let's go ahead and see Candlestick patterns and all [Music] that now remember what we said candlesticks being used as a tool to see how the price has been behaving candlesticks tend to have different formations which are honestly important whenever you're looking out for a trade and we call that Candlestick Anatomy so candlesticks have different size bodies you guys remember we said if it's so huge there's more momentum if it's small there's no momentum so they tend to have different bodies when it comes to trading it's important for us to check out the body formations of these candlesticks then Candlestick patterns is a series of one to three Candlestick formations now we shall see you could have three candlesticks all arranged and they will probably tell you something these are used to study how the price is behaving common examples an engulfing Candlestick pattern just like how the name goes so in an engulfing Candlestick the new Candlestick engulfs the previous formation and let me show you an example of this so this is a bullish engulfing pattern now what's happening is we had this red Candlestick remember we said this is for sellers okay so this was bearish and then out of the blue we have a huge bullish Candlestick forming more to that it's enclosing the other previous Candlestick body in certain instance we would say this was a bullish engulfing Candlestick this is it of here same thing for a bearish we we initially had a bullish small Candlestick there we go and then we have a big bearish Candlestick forming but then most of that it's even engulfing the entire body from the previous Candlestick well that would be called a bearish engulfing Candlestick so whenever you see an engulfing bullish Candlestick it could in some way predict that okay look the price is reversing and it's going to continuously push the upside why because we saw this huge bullish Candlestick meaning buyers were getting in hugely they got in and initially had to oppose the sellers and close above uh the previous sellers okay so in such an instance you would get in with buys if you given a right confirmation same thing for the bearish say out of the blue got such a bearish Candlestick again this would mean that sellers are getting in hugely and they're moving the price to the selling Direction so offia You' come in with your selling orders with the price are pushing down we also have indecision candlesticks well this indicate that there's an inequality in the market and there's some indecision okay on what the price to head next typically what comes in here is at some point we have buyers and sellers and they're all opposing each other these guys want to take the price to the upside but then these guys also want to take the price or downside at some point you could find the volume is almost equal and they can't decide who is going to take the price at next point and this is how we should expect a Candlestick to look so a dogey okay is an example of an indecision Candlestick so you can see it's a very very tiny body okay and then with Wicks over the other side if you saw this form you need to ask yourself what was the price initially so we initially had a downtrend and then out of the blue we have this formation this should bring something to you I mean initially we had sellers in control pushing the price down and then all of a sudden we have this indecision dogy right maybe buyers are coming in and they trying to oppose these guys more enough actually we shall see this as a reversal pattern whenever you see this sometimes we have a reversal coming so you'll probably see the price changing direction and pushing to the upside so this is an example on Euro aod on the H1 h one is the time frame and there we go so we initially had the price pushing to the upside we actually have many examples of here this also is a dogey we also have this it's a good one off here see the price got off here we had this indecision and boom we had a sale coming through we also have uh other examples again same on Euro aod H1 this is really really brilliant you guys can see that whenever you see that you need to keep that in mind next up we have a pin bar now a pin bar can also be called a hammer this is formed when the opening price is almost the same as the closing price okay and I'll zoom in and there we go so this is how a hammer looks like it's like a hammer crazy so we initially had the opening price and then we have the closing price on the other side and then we have a long week down now that means we initially had sellers and buyers came in to oppose the movement and perhaps we should expect buyers coming in and again it's also much more of a reversal pattern now a shooting start is just the opposite of a hammer and this is how it looks now initially this time uh this other time we have a opening price of here and then a closing price this time around we are bearish now an example say we initially had the price pushing to the upside and then we have our shooting St forming we could expect a downtrend happening those are honestly some of the most common Candlestick patterns we also have have many you'll meet most of those on the chart remember please again the more the practice then the better now that you've understood candlesticks and how they're formed and how we can always use them to tell how the price is behaving let's go to our very next topic now technical analysis is the use of previous price data to predict What's Happening Now AR you guys to take this from me whatever happens in the Forex Market is repetitive if say the price has initially been in an uptrend and out of the blitz now downtrend in some way later in the future such a thing is probably going to happen again now what's happening is we are using the current price data or even the historical price data to predict what's happening in the future and that's what technical analysis is all about and with that let's understand how the price moves okay so the Forex Market mainly moves in three Trends we have the downtrend the uptrend and the sideways and such an example we have this over here this being an uptrend the price is trending to the upside then this one off here the price is uh trending to the downside and then we have this it's a sideways the price is just moving in between this area now whenever you see this expect buyers or buyers coming in whenever you see a downtrend expect buyers coming in and then when you see a sideways I personally wouldn't recommend trading because what's happening is the price is playing in between set two levels and it's not breaking either above or below and you have honestly nothing to do with that now this is an example of an uptrend on the pound and then on the H4 now in an uptrend we have to see a formation of higher highs and higher lows now such an example we have these down here as our higher lows we have higher low we have a higher low we have a higher low why we calling them higher lows well these are lows but in an uptron so we decide to call them higher lws then on the other side we have higher highs higher highs higher highs higher highs okay they higher highs because these are highs in an uptrend that means this high is already higher than this or this high is higher than this and typically now for you to confirm that it's a clear uptrend we should always see a formation of new higher highs we need to see the price continuously breaking the previous higher high to form a new one to break this one to form a new one if this was uh to we would have seen a breaking this to form a new one just as that as that and such an instance we would confirm and say look this is a clear uptrend so on the other side in a downtrend this is what we deal with so we have a series of lower highs we have lower highs we have lower highs lower highs then on the other side we have lower lows lower lows lower lows lower lows again for you to confirm that it's a downtrend we need to see a formation of new lower lows and Breaking All the previous ones in such an example we saw the price breaking this to form this we saw the price breaking this to form this we saw the price breaking this to form this if this was to continue we would have seen the price breaking even this to form this come back to form this so we would say that this is a clear downtrend again remember in a downtrend we are looking out for selling opportunities [Music] the price is ranging between two levels it's not breaking below and it's not breaking above so you can see price gets here reacts off comes back up here say we have this we also have this comes back reacts off comes back reacts off on the other side same thing now here we have this level here price comes breaks down comes breaks down stuff like that so this is a sideways market now if you wanted to trade it though I wouldn't recommend you would open up buys at this point was the price pushing to the upside then neever the price comes back to this point open up sales to capitalize on that that's typically the three Market movements now I'll quickly go over the charts and show you real time examples and how the price is behaving so let's quickly go over to gbsd I'll delete all the drawings this is real time at the moment we are currently looking at GB PSD now what we are looking out for right now is we can see a downtrend why because look how the price is behaving we saw the price break this to form um this okay break this to form this on the other side we see um all these levels we also see this we can easily confirm that the trend is on if s we saw the price again come to break below here push back and then continue to the downside if we can also scroll back and see there we go this was also a beautiful downtrend that you guys can see we had this we had um this we also had um this we also had this we also had this I can also see this other side side we see an uptrend again in a uptrend remember what we say we see this a series of higher highs and the price trending to the upside we have this area we have this we have this now what happened is the price started off here it actually started off here pushed to form this um higher low come over here to form a higher high a higher high a higher high until we had a reversal honestly a bit easy you can find as many many examples when you are on the chart after understanding this we need to understand is the price going to remain in the same direction forever and ever I mean if it was an uptrend should we expect the price to continuously push to the upside for 10 years or something no at some point we shall always see a reversal and here's what happens say we initially had an uptrend at some point we shall see a change and then a change of structure and we could see this let me quickly show you also on the other side how downtrend would look like so we initially had the price pushing to the downside and at some point we shall see a reversal and the price is finally going back to the upside and there we go now how do you confirm that this is a reversal it's so so important for for you as a Trader to understand how these reversals are happening and by the way this can also be a trading strategy and for people who do trade what we call reversals this is what they look out for they need to see that okay initially we had buyers in pushing to the upside and then we can now see a reversal and now they want to capitalize on that and take Sals such an instance those are reversal Traders but let's go ahead and see an example of here now this is is gbsd we are on the HED for and this is what we are dealing with we initially see the price pushing to the upside breaking all our highs we had all these the price was actually forming newer higher highs higher highs higher highs until it comes back to this point now remember for us to confirm that the movement was on or an uptrend was still on we needed to see the price to at least continuously push to the upside just as that right now what's happening is the price gets to this area and then it comes back down off here okay there we go and rather than Breaking above now we see this type of a change now you can't easily confirm a reversal because the price has failed to break above nope I mean the price could actually come back down here and then finally push the upside we can only confirm a reverse so if the price breaks and violates the previous higher low and this is an example so we initially have the that push and then now we see this huge bearish momentum coming in then what's happening is the price breaks this point here so it breaking this point here this is a very very important level so we have break of structure this also indicates to us a change a change of structure well why because initially having the price pushing to the upside and then out of the sudden now we have already seen this and other price has also come down to uh to break below this area and at this point we shall now say okay now we do have a downtrend happening or a change of structure happening a change of structure why because we initially had an uptrend and now we are reversing back down to a downtrend let's go ahead and see some examples I just saw an example happening with the current price we could have a good example of it and um there we go so we initially have a downtrend we can Mark out some of our levels we have that we have this and then we also have this in such an example we need to see the price completely break above this area if we can see that then we could confirm that okay look we now have a change of structure we probably have buyers coming in not until you see that happening then you honestly can't confirm that we have a reversal happening I didn't mention this but whenever levels are broken we can always expect R tests let me show you what so say we have this as an example let's start off with all these we have this then we have this and then we also have this and then we also have this now what's happening in here is whenever these levels are broken we can always expect retest and what a retest well this is it so we see the price comes down here to break this high off here and it's always going to come back to retest that level to push to the upside again come back to retest this level off here push even to the upside come back to retest this level and push to the upside actually you could easily call it break and retest the price is breaking out coming back for retest breaking out and all that then on the other side even for most key levels if say we had a level as um say we have two areas this is a price playing in between these two levels whenever this level is broken we should always expect a retest and then a continuation like there's nothing as say that price has already broken out and you want to take a trade immediately nope we not doing that what happens is these levels will often be respected with rers and then that's when you're able to take trades I'll show you that in a minute now fundamental analysis is the use of economic data to find trades remember what we mentioned when we were talking about economic Calenders and all that when we are trading currencies we are also dealing with economies of different countries now this is going to affect how the price behaves now I'll give you an example that I just mentioned earlier on if say we had high employment rates happening say in the UK that's going to affect the strength of the pound that means the value of the pound is going to increase and that means for us Traders we would consider buying the pound and selling any currencies against it so what's happening is we are looking at the economic data to be able to find potential trades this can easily be done by using an economic calendar again I'll give you an example you could analyze with technical analysis say you found Buy on say gold but with the news we have maybe negative news and what's happening is gold is now selling insanely and that means with all your correct technical analysis the fundamentals are doing the opposite so most Traders tend to use what we call pending orders so they will always set orders on the upside and then down whenever one is triggered then they're good oh by the way didn't mention whenever we have fundamentals happening we tend to see huge big moves happening we could out of the blue see a huge bullish Candlestick happening pushing the price insanely to the upside or see a huge bearish Candlestick happening some of the most traded economic events is NFP we call that the nonfarm payroll that happens on the first Friday of every month then we also have CPI among others actually there are pretty many you can easily monitor those on your economic calendar that you have on your phone already I personally do not trade fundamentals so whenever I know that we do have news coming up I'm going to stay out because I've not up to now developed a trading strategy specifically for fundamentals and that's a major takeaway now at this point you now understand the majority of how trading works and let's cover one of the most important sections now if you didn't know about this well this is a whole subject and this is why it's important now when we are trading we have two options you're either buying or selling and that means you have a 50/50% win-win I mean if you're not buying then well mostly enough you're selling same thing on the other side if you're not winning you're probably losing so it's always 50/50 and in actual sense some other people try to compare trading with gambling but this is what creates the difference risk management so risk management allows you to manage your trading investment or your Capal you know I am supposed to risk this amount of money to make this or I want to make this much money in a month by risking a given amount so if at any point you do not use risk management then you're gambling but for the fact that you are watching the video till this point please just ensure proper risk management because it's key and I'll show you why now let's imagine you are trading with an account of $100 and using 0.01 loots well in this example you make a do for 10 Pips and then you make $20 for 20 Pips if say you made 100 Pips you would have probably made up to $10 again reflecting on the lot size okay same thing if some of person you say one lot size for this account and made 10 Pips that's about $100 already on the table but that's really really risky and that's why we really need to ensure proper race management back to it now how do you easily do that so what's happening is with this you have the ability to say I am going to risk one to make two and in this example we have say one to to RR RR we mean the first R stands for risk and then we have the next one as reward well it does mean if say you RIS one you're making two or say you RIS one to make five or two to make 10 all in all your reward must be bigger than your risk I mean think about it if you are risking much to make less you won't even stay in for longer because honestly it doesn't pay off and by the way take it from me there losses in trading and they are completely inevitable you can't avoid them so the only option is how how am I going to stay conscious but then in the long run make money now let's assume you stick to such an approach where you are risking one to make two and let's say you took a sample of 10 trades and then lost five and then won five now what's happening is you lost 5 R but then made 10 R and the difference is 5 R meaning regardless you took losses but you still have your account Capal on but then more to that you V made money that's a worst case scenario you probably have a 50 50% win rate but now think about it you say you had an 80 where you at placing 10 trades winning eight and then losing two that means you have made eight times the two that's 16 R and then on the other side you lost two two R difference again that's about 14 so you make money because with trading you are looking at the long run you're not looking at it as today I want to gamble make a bit of money and then go out no this is a carrier so it doesn't make any sense if say you made some money today and then lost everything tomorrow no no no no and that's where risk management plays the biggest role so it's very very important that you stick to such systems you can easily do this by having a Forex calculator installed on your phone can easily get free ones on app store just go ahead type in Forex Trading calculators and you'll have some install it on your phone it's going to ask your trading Capital you know how much you're trading with say it's 100 go ahead fill in the pair that you're trading the stop loss back to what we mentioned we said your stop loss is automatically closing off your trade so it's important with risk management you don't want to have the trade run until it drains out your account so that's key so you're going to fill in your account size your stop loss and then the calculator is going to generate the suitable lot size that you're supposed to use so risk management is really really crucial and so important and I can honestly say if say you are good with your trading strategy but bad with risk management then it's going to be so hard for you to stay in you can make money but you won't stay in for longer and those are two different things now the next thing that you need to know is trading psychology so funny thing is your trading strategy and risk management takes up 40% of your success as a Trader and then the 60% goes to your trading psychology and now I know you should be wondering what is this all about Daniel and well this is it so psychology is specifically the study of human emotions but at this time around we have trading psychology and we are dealing with your emotions as a Trader so when you are dealing with money emotions come in you guys remember what I mentioned earlier on I said a demo account and a real account is honestly the same the difference is one is virtual money but then the other is real cash so whenever we are dealing with our own and money we have emotions involved in and this is from my experience in the previous 5 years of trading so here's what happens so whenever you are trading you want to make money right but then on the moneymaking part most people fear losing money now we have two things already we have the fear of losing money but you also want to make money right now here's what happens more often a Trader is going to make money but they want to make more because we have the love of money we want to make more and we call that Grid in trading and grid itself is a whole dangerous Habit in trading now think about it you've made money say you're trading with $100 and you've made 10 right that's 10% of your account already down you now you want to make more well more enough what happens is you're probably going to get backing and even lose the 10 that you made why because you're greedy you want to make more now whenever your emotions take control in actual sense you are out of the formula then on the other side as we mentioned we have here most Traders fear losing money think about it there's no any business where you are going to make money without risking money and that's the same thing with trading what you must understand is losses are part of trading and I'm just ready to go over them I'm ready to ensure proper risk management and I know this is what I'm supposed to risk and this is what I intend to make in return with such an approach you are going to overcome the fear of losing money next up we have Revenge trading now say you opened up a trade took a loss and now you want to make back the money that you lost we call that Revenge trading now for this example you lost money remember we said losses are part of trading but now you're trying to make the money that you lost back now think about it that's not the only trading day I mean we also have the next day as a trading day so I want you to think about it in a sense of I took a loss today but I can make the money that I lost or even more tomorrow and not specifically today so what happens for most Traders is they'll often go back trying to make the money that they lost and in actual sense even lose more because they're already under the emotions and they can't take control of their actions on the other side we also have excitement again you're excited about the money again it brings you back to grid we also have over trading we want to make money money and you think or feel like overtrading is going to make you more money and in actual sense it doesn't actually what works is taking a few good trades and not over trading so over trading is I mean you have your phone you have your laptop and whenever you see a trade you want to take that trade it's like you're literally taking anything that seems like a trade to you so it's much better that you take a few good trades take two trades and you're good by the way funny thing at the moment I only trade once or twice maximum in a day and I've stick to this for the previous three years now and that has made me profitable so the easiest way to go over your emotions and be good at trading psychology is having a trading plan a trading plan is typically an approach for you as a Trader on how you intend to trade how you intend to manage your risk how you intend to manage the money that you've made and your whole trading process so a trading plan is going to create more efficiency and in return you won't have to struggle off with your emotions now imagine say in your trading plan you state that you are supposed to trade once in a day and that's it so you're going to come over the chat take one trade and then get done and by the way having a plan is going to systematically improve your trading in the long run even away from correcting you with your emotions and all that it's going to improve your whole trading cycle remember you're having your trading activity you have your risk management activity you have emotions that tend to disturb you the most and then mostly do some journaling typically in here you are writing a history of all the trades that you take how did I perform what did I look out for before taking this trade and currently there are more electronic journals that you could find over the internet you feed in your information your broker information and it's going to do the recording you could actually find one over the [Music] Internet so a trading strategy is basic basically an approach that you as the trader will be able to use to find trades and be able to make money now a trading strategy can be developed again as we mentioned early using technical analysis or fundamental analysis but for this particular one we are going to be using technical analysis we discussed that previously we said we are using historical or present data to find what's going to happen in the future and by the way this is the trading strategy that I personally use so the number one rule is finding the overall trend that's key I need to know is the price in an uptrend and if so we should look out for potential buying opportunities and either side if the price is in a downtrend let's look out for selling opportunities now let's go over to charts and then I'll show you finding the overall trend can easily be done on bigger time frames and in this example we shall use the H4 and we need to see how is the price behaving and from what we can see we can clearly see that that the price was initially pushing to the downside but then at this point we do have now a change or a reversal and we can see that the price is pushing to the upside when you do have your Trend you need to Mark out key levels now key levels tend to vary to some other people they could say I'm going to Mark out my support and resistance levels or someone else is going to say I'm going to Mark out my demand and Supply levels and I'll tell you about that in a minute so for this example off here let's say we Mark out this area off here in this example this is a demand Zone a demand zone is an area where we see massive buying now if you can see an example of here look we had the price come over into the zone and then out to the blue we have huge buying pressure pushing the price to the upside so that's key on the other side you could decide to mark it out as a line just as start so you'd have that then I can also see we so do have one more right around this area so we could also have one off here again you could decide to mark it as a level rather line just over this way then on the other side we can also Mark out to another another level here now this time around this is going to be a supply Zone okay why do we call it a supply Zone Supply zones are areas where the price is going to sell massively you can see the price got into here and then sold off insanely so when you do have these levels what you just need to see is the price is back into this Zone how is it behaving should we expect the same reactions happening and let me quickly show you an example of here we left this out but this is also key this is also a demand Zone again a key level initially we see the price got in here bought off and then it's back we again saw a huge uh buying pressure in and then it's back so we should expect the same thing so that's a typical example then more to that as I mentioned you could also have more key levels off here now key levels are going to help you know areas where we could expect some reactions because you need to know that this level has been respected say previously and perhaps we could expect the same thing in the future remember we are using technical analysis so you do not have to make things too complicated and difficult yet you are just looking at what happened previously and you're able to find what's happening next I mean in this example we do expect the price to at least push up to this point now is this the first time the price has come to this area honestly not we can see that the price got to this area and then sold off insanely so we could expect the same thing but again back in mind we could expect that once the price gets off here we could expect again a huge sell why because that had happened previously now the rule of Thum in here is you're not going to take trade before you confirm I mean now that we have our levels you just can't jump in and say oh uh I have my Trend I have my key levels now let me go ahead and take buys nope next up is you finding confirmation so you're able to get entries so what I do personally is I'll start scaling down to smaller time frames so we are currently on the hedphone now we could go over to hed1 and see how it's looking now this is how it's looking on the H1 now on the H1 what do I see well I do see a push to the upside it's a bit of momentum you see that price is pushing to the upside but then there's something that I'm noticing see that price go off here return back down okay and then we now uh we are now here well good thing is it did break the previous High which is really good news so in here we can go ahead and put more emphasis on this point of here why because look this is a point where the price got and then reacted off insanely now how about we see more reactions back to this area and then we have our buys happening so at this point we could have to wait if say we scale down to M5 so now in such an instance we just need to wait and see how the price is going to behave off this area and then we' be able to take our buys and then with take profit up to this point that we did Mark out and then our stop loss just slightly below this area back to H4 and there we go just as that now a rule of timeing here is before I take a trade I always have to go back and cross check all my criteria now again in such an example firstly we started off with a trend we saw the trend is to the upside nextly we've drawn out the key levels and thirdly we went down to smaller time frames to find entries and confirmations and that's how we' be able to get our entry so I'm always going to go back two times and see is this correct before I can make that entry now in this example say we have our entry at this point so this being uh 26 area because this is a key level so it's important when you're placing your stop losses and that would be 26 31.5 3 now easier way again what I would do is I'm just going to carry this order get to my mt5 and then place it and then I'd have it running so that's just an example of how I would trade in such an instance let's go over and try some other pair so we shall go over and try say JB JPY all right there we go what are we dealing with at the moment well from what we can all see is we have a clear downtrend at the moment what comes into our minds sales because we already see a huge selling momentum in then more to that we could go ahead and Mark out some of our key levels well I done marked out all this but let me go ahead and redo this so this is a good Supply Zone this is also a good Supply Zone remember Supply zones areas of huge sailing pressure and then we also have um one more off here and many more but these are important and then Mot so that we can also Mark out some of these levels so we have this this being the low uh the last low that we had to break so this is a low that had to get broken to form this now what do we expect remember how we mentioned with the price moves there's a possibility of the price coming back over here and then we would expect more sells coming in now the question should probably be so Daniel are we going to take short-term buys back to this level no why because the overall trend is to the downside and in no way are we trading against the TR Trend we have to follow what the trend says okay so in such an example let me quickly scale down to the H1 so on the H1 we already see a momentum push and let me show you how this works so whenever the price pushes in a momentum phase it's never a good idea for you to scale in entries at this point why because we already have orders in so if you just out of the blue scaled in right around here and you come in with your sales more than enough you're going to out of the blue be met with this drop down whenever the price moves down it's going to come back for pullback to collect more orders at this point then push down come back for pullback to collect more orders and then push down so your main idea you as a Trader is waiting for these areas here because this is where most Traders are getting in as compared to you getting in whenever the price is already in a momentum push nope don't do that because it's honestly not a good idea you're going to be CAU up and out of the blue you're in a draw down and you can't hold a positions yet in actual sense it's a good trade so back to GJ so we already see that now this is a huge momentum push now this on the H1 if we go down to M5 uh M15 you guys can see how this looks it's really huge we can already see that we have this series of bearish candlesticks so at this point we can't out of the blue decide to scale in sales nope we are not doing that rather what we are going to wait for is for the price to pull back to this area of here and be able to get entries now at this point you'd have to wait a bit because you just can't scale in entries before the setup shows up or set a pending order right around this area and let the price hit that point whether you're watching the charts or not that would be a much better idea so it's important that you stay patient whenever your setup is not ready you could actually do the right analyses and all that but make an entry before a clear setup happens and what happens is you're back in a draw down or you're stopped out honestly taking losses yet you had actually found better trades so it's key that you stay patient and just trust the process so again a quick recap in here we had the trend first we had our key levels drawn out we have seen the levels being broken and we came down for confirmations confirmations we already see a momentum push and we can't take a trade at this point what we need now is the price to come back off here give us a clear confirmation and we would be good for entries now for confirmations you can also use Candlestick patterns just like how we discussed earlier on incorporate them into your trading and it would even make it much more easier now for the fact that you watch the video up to this point I strongly believe that you are now fully equipped with the right knowledge to go over and start making money I mean I have just shown you my whole honestly trading Journey from a to zed and by the way more to that I have over a 100 videos on the channel or you can get to learn watch and just get as good as possible and then on the other side if you are a passionate Trader and you're looking at fastening up your whole trading track in the shortest time as possible then this is for you I do run an Academy of over a thousand students now keep in mind these are people just like you you guys remember when I started a video and showed you results these are people just like you but making tremendous results result and this means it's actually very possible for you but it only comes down to you 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