Its time you stopped searching. Seriously, are you still not confident enough to place the next trade, according to your current strategy in place? Ok.. you’ve had a couple of losses. So what? couple of losses or even a streak of losses is not a good enough reason to dump your strategy. Furthermore strategy is not the only thing that wins you trades. Its just a part of a larger process. I hope you will appreciate this fundamental fact. You are still searching for the best forex scalping strategy because of either of the following reasons:
- You are totally new to forex and are looking for the best strategy to learn or start trading
- You are pretty much an educated trader, but still believe that there is a secret holy grail to give you perfect trades all the time
In either case, I’m really sorry to burst your bubble. There can never exist a perfect technical strategy in trading, because strategies are subjective and the markets are dynamic and random. It means a system that perfectly works with one trader might actually do the exact opposite when used by another trader.
That’s why I say strategy is just a part of the process, and what makes you money in forex is the process of trading, not the strategy alone.
I have been there myself. The search for strategies, trade ideas, signal services, expert advisors and what not. Ultimately I found that when I actually started trading live, I could do nothing but lose money on every trade. Why? because I had so much garbage going on in my head.
Information paralysis, as they call it, is a scary monster. If you take this root, learning every possible system, indicator and strategy, be prepared to find yourself in a load of trouble when you actually go live, if you aren’t already.
Its common knowledge that indicators would signal a variety of information. So the moment you have too many strategies and technicalities playing in the chart and then in your brain, you will find contradicting signals all the time. Unfortunately this confusion in the brain, almost always leads to bad trading decisions or even worse -indecisiveness, fear and doubt.
Constant change of minds
There is this group of traders who jump from one thing to another all the time. They are never satisfied with their broker, strategy, platform and/or even the PC they use to trade with (let’s keep this trade related.) Its no wonder they are so unhappy with everything, because they don’t make money. See, its a vicious circle, they don’t make money because they keep changing things too quick, so it goes on.
If you are just starting in this business, please remember this one thing (it will save you a lot of time and money) hang onto one of each – broker, strategy, platform and routine for a worthy period of time. More importantly, test each of what you select extensively before selection.
Down the road if you really want to make changes, fine, make necessary changes. But give your self valid reasons for the changes you want to make, other than a silly streak of losses. Stick to what you know works because you know they work and they are tested by yourself.
So this one strategy you tested that works for you would be the best strategy, you will ever come across.
So where’s the best forex strategy?
I know, you came here looking for an actual trading-strategy, right? I believe I have already given you my strategy for trading-success. Nevertheless, I trade Harmonic patterns. These are patterns based on Fibonacci ratios and the funny thing is, each individual harmonic trader will see different patterns on different charts and timeframes. For me personally, this is the best forex strategy that I found works for me.
As I already explained, strategies are subjective and success depends on the process. Most of us like to learn strategies from successful traders, believing that the same success could be achieved by following their strategy. Unfortunately, this is not the case.
In conclusion, I will say that having confidence in whatever the strategy you developed/learned (made it your own) and tested, is the only and best forex strategy that you will ever trade.