Learning to Swing Trade, Even If You Have a Busy Life

Forex swing trading is simple to do, easy to understand and can make you big Forex profits. Here we will look at the basics of a Forex swing trading strategy for triple digit gains.

Swing trading is based on the fact that in any currency in an up trend, will see prices go to far to quickly and become overbought and oversold in a down trend. This is due to human nature and it always happens, because human nature is constant. When prices become overbought for example, you look for confirmation of momentum to wane, then you sell and target a support level where you will take profit.

So what Forex swing trading strategy can you use to do this?

In an up trend, you wait for prices to become over bought and for resistance to form and then wait for confirmation that momentum is falling - as soon as this occurs, you sell.

You then target a support level to do this, you need two trading indicators and they are the Bollinger Band and stochastic. There is plenty of free information on these two indicators and they only take a few hours to learn but this will be time well spent, as combining them can make you some great profits.

The Bollinger Band measures volatility and you can see, that any move to overbought or oversold occurs on rising volatility. You use the middle band the average as the target the price will come back to.

When prices spike you use the stochastic to time your move, watch for it to become overbought in an uptrend and oversold in a down trend. To time your trading signal watch for a cross of the stochastic lines against the prevailing trend and take a position. Your stop goes above the recent highs and you take your profit just above the middle of the Bollinger Band.

I have been using this simple Forex swing trading strategy for 20 years and it works and will continue to work. You can make a lot of profits doing it and while it's simple but all the best Forex trading strategies are!

You can learn to swing trade in just a few days and then in just 30 minutes a day, you can be enjoying long term currency trading success.