Preface | p. xiii |
Acknowledgments | p. xv |
What Is the FOREX? | p. 1 |
Introduction | p. 1 |
FOREX Defined | p. 12 |
A Brief History of the FOREX | p. 13 |
Free-Floating FOREX Market | p. 13 |
Major FOREX Participants | p. 14 |
More FOREX | p. 15 |
Currency Pairs | p. 15 |
Recommended Currency Pairs | p. 16 |
Why Trade the FOREX | p. 19 |
Volume in the FOREX | p. 19 |
Analyzing the FOREX | p. 23 |
How Profits Are Made | p. 23 |
The FOREX as a Two-Way Market | p. 25 |
Forecasting the Market | p. 29 |
Fundamental Analysis | p. 29 |
Technical Analysis | p. 32 |
Fundamental versus Technical Analysis | p. 33 |
Currency Options | p. 35 |
Currency Options Introduction | p. 35 |
Options Pricing | p. 36 |
Advantages of Trading Options | p. 37 |
European and American Options | p. 37 |
Exotic Options | p. 38 |
Lock in Profits | p. 40 |
Accelerate Your Profits | p. 41 |
Creating a Workstation for Trading | p. 43 |
Workstation Location | p. 43 |
Trading Computer and Accessories | p. 44 |
Internet Connection | p. 45 |
Trading Software Programs | p. 45 |
Continuing Education | p. 48 |
Fundamentals of Trading | p. 51 |
Introduction to Trading Theory | p. 52 |
Trends Defined | p. 53 |
Trend Cycles | p. 53 |
High-Probability Trading | p. 55 |
Sideways, Nontrend Strategy: Wait for Strong Trends | p. 55 |
Uptrend Trading Strategy: But at Dip Bottoms | p. 55 |
Downtrend Trading Strategy: Sell at Rally Tops | p. 58 |
Symmetrical Triangle | p. 58 |
Ascending Triangle: A Bullish Continuation Pattern | p. 63 |
Descending Triangle | p. 65 |
The Falling Broadening Formation | p. 67 |
Support Breakdown or Resistance Breakout | p. 67 |
The Double Bottom | p. 68 |
Head and Shoulders (Crown) | p. 70 |
Economic Fundamentals | p. 73 |
Introduction | p. 73 |
Economic Indicators | p. 74 |
Inflation Indicators | p. 76 |
Employment Indicators | p. 78 |
Consumer Spending Indicators | p. 78 |
Leading Indicators | p. 79 |
Introduction to Technical Analysis | p. 81 |
Technical Analysis Defined | p. 81 |
Technical Analysis Assumptions | p. 82 |
Bar and Candlestick Charts | p. 83 |
Technical Analysis Terms | p. 86 |
Market Patterns: Uptrends, Downtrends, and Sideways Trends | p. 87 |
Support and Resistance | p. 95 |
Moving Averages | p. 95 |
Advanced Trading Charts and Indicators | p. 103 |
Tools for Technical Analysis | p. 104 |
Bollinger Bands | p. 104 |
Directional Movement Index (DMI) | p. 107 |
Stochastic Indicator | p. 107 |
Moving Averages (Simple, Weighted, and Exponential) | p. 110 |
Moving Average Convergence/Divergence (MAC/D) | p. 116 |
Momentum | p. 119 |
Relative Strength Index (RSI) | p. 119 |
Rate of Change (ROC) | p. 122 |
Volume | p. 122 |
Fibonacci Numerical Sequences and Elliot Waves | p. 125 |
Introduction | p. 125 |
Fibonacci Rectangles and Shell Spirals | p. 127 |
Fibonacci Retracements | p. 128 |
Fibonacci Extensions | p. 128 |
Fibonacci Time | p. 129 |
Fibonacci Circles | p. 130 |
Elliot Waves | p. 135 |
Money Management Principles | p. 139 |
Trade with Sufficient Capital | p. 140 |
Exercise Discipline | p. 140 |
Be Patient and Persistent | p. 141 |
Employ Risk-to-Reward Ratios | p. 141 |
Follow Trading Rules | p. 143 |
Accept Losses | p. 144 |
Always, Always Use Stops | p. 144 |
When In Doubt, Stay Out | p. 145 |
Never Overleverage Your Account | p. 145 |
Make Realistic Goals That Can Be Achieved within Reason | p. 146 |
Always Trade with Money You Can Afford to Lose | p. 147 |
Protecting Your Profits | p. 147 |
Keep a Trading Log | p. 147 |
Six Steps to Success | p. 149 |
Identify Current Long- and Short-Term Trends and Which Trend to Trade | p. 149 |
Check News and Market Announcements | p. 150 |
Identify Support and Resistance Levels | p. 151 |
Use Studies and Indicators for Entry | p. 151 |
Buy at Dip B | |
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