Community Forex Questions
What is trend following?
Trend traders seek to profit by studying the direction of asset prices and then purchasing or selling based on the trend's direction.
If prices are making a series of higher highs, indicating an upward trend, traders would buy the asset and go long. If the trend is negative and prices are making lower lows, traders will sell to enter a short position.
Trend trading is not confined to day traders since you may hold your position as long as the trend continues. However, if you just trade intraday, you will close the position before the end of the day.
If prices are making a series of higher highs, indicating an upward trend, traders would buy the asset and go long. If the trend is negative and prices are making lower lows, traders will sell to enter a short position.
Trend trading is not confined to day traders since you may hold your position as long as the trend continues. However, if you just trade intraday, you will close the position before the end of the day.
Traders trying to work by following the trend, some traders maybe use breakout trading to implement a trading system-based trend following.
Jun 07, 2022 00:46