Psychological Mistake #4: The Appeal Of Sophistication

Many aspiring traders are incessantly chasing after some secret formula or “Holy Grail” in Forex trading. The need for sophistication is rooted in our culture, simply because the world naturally gives more respect and value to advanced or supercharged things. In scientific endeavours, complexity is certainly inevitable, as these are dealing with the elaborations of the physical world.

However, in the context of investment and trading, we are dealing not only with the markets, but primarily with ourselves! As such, much of the complexity in analyzing the markets often cloud our perception of our own psychology when trading the markets. As a result, we are naturally driven to be always looking out for new and advanced trading systems. The truth is that this phenomenon will never end. In order to be successful in Forex trading, we must focus our mental energies on the things that really matter.

The simplest trading rules can be the hardest to follow, but can lead to long-term profitability if the trader looks at the big picture and thinks in terms of long-term probabilities. It is amazing how the human psychological tendencies have sabotaged the trading results of many aspiring traders. Overcoming these tendencies is really far more important than devising complex techniques of selecting the “ideal entry points”.

The world we live in thrives on complexity. This is why the world of employment rewards those who can perform the most complex tasks with the most complex systems of knowledge, skill and expertise. However, in order to be able to trade the Forex market successfully, we need to clear our minds of the clutter of sophisticated concepts, which often blind us from the true nature of market bahaviour.

Many aspiring retail traders feel that it is certainly better and “smarter” to entrust their wealth management plans to investment professionals by investing in mutual funds, simply because these sophisticated professionals are supposed to know better what to do with their money. However, very often we do not realize that the ways in which their funds are operated are not designed to help investors make money. For example, a lot of equity mutual funds allow only long positions, and are mandated to be almost 100% invested all the time. This makes them totally dependent on bullish stock market conditions in order to generate wealth for the investors.

These funds are also often constrained by policies which are not beneficial to the investors. In fact, fund managers often get paid bonuses despite losing money, simply because their losses happen to be less than the benchmarks that measure their performance. The point is that we are often not better off entrusting our investments to sophisticated professionals, because investment success is often not about sophistication, but about mastering the psychology of trading or investing the markets.

Prior to the advances of computer technology, market prices were quoted through very primitive means such as scribbling on chalkboards and ticker tapes. In essence, market prices are really the results of millions of trading decisions. Every "tick" in the market prices are essentially the combined impact of these simultaneous trading decisions at one point in time. In the past eras, when there were no complex computerised representations of market data, some of the traders were able to master the ebb and flow of market movements and ride strong trends profitably.

In recent decades, advances in computer technology have given us many tools to help us better visualize the ebb and flow of crowd psychology. Different visual representations of market price movements have given rise to all kinds of analysis methods.

In the diagram below, we can see that the moment-by-moment impacts of trading decisions by traders all over the world can be represented as a series of price data items at various time intervals. As such, we always talk about the high, low, open and close (last) prices within every time interval. The table below shows minute-by-minute changes in these 4 basic price items.

These numerical data items can also be graphically represented on a 2-dimensional chart. The chart below shows a series of candlesticks, each of which is a pictorial representations of price data. As a result, the succession of blue and red candlesticks gives a more visual depiction of market trends.

To help us improve our analysis, there have been a lot of technical indicators being used by technical analysts. Each of these indicators is really based on some calculations involving historical price data. In fact, there are endless possibilities as to the number of indicators that can be "invented". Experienced traders seem to enjoy cluttering up their charts with all kinds of colourful lines, as illustrated in the diagram below. Somehow, many of them believe that their success in trading the Forex market is largely dependent on discovering more and more new indicators.

In essence, there are really no new inventions. The basic ingredients of all these technical indicators are always the same, i.e. the historical prices of high, low, open and close. These visual representations of crowd psychology are meant to help us improve our analysis and forecasts of market trends. However, in many cases, traders get excessively caught up in the increasingly complex web of indicators, and lose sight of the basic picture, i.e. many traders forget that it is the ebb and flow of crowd psychology that is driving the market, not the indicators. No matter how many fanciful and sophisticated indicators we can devise, the market is never obliged to behave according to the indicators. The basic and simple reason is that indicators are always based on historical data which are "lagging" and we have no access to "future data".

Make no mistake about this. There is certainly a lot of value in good technical analysis, but only if we use the indicators with the right mindset. With proper risk control, certain combinations of indicators can be used and fine-tuned to display appropriate levels of responsiveness to the onset of strong market trends, with decent probabilities of identifying winning trades. It is important to understand and acknowledge that no indicators or strategies can ever predict what will happen to the market. This is why planning for losses is so vital to the trading success of any trader.

There are many traders who enjoy seeking after complexity and sophistication, and easily disregard strategies which sound too simple. The underlying belief is that "If we don't understand it, it must work!" As such, they love to have their charts appear very colourful and cluttered with fanciful lines and indicators. It is almost as if they believe that the more lines they plot on their charts, the more equipped they are to make money from the Forex market. However, the irony is that many traders can trade profitably with only 1 or 2 indicators, or sometimes even none at all, on their charts. The fact is that successful Forex trading very much involves being "pure at heart and clear-minded", i.e. not allowing too many suppositions to cloud judgement of the market. Such a mindset involves the following elements:

• We are not overly concerned with predicting the future.
• We are not excessively influenced by past market behaviour.
• We are merely concerned with the present, i.e. what the market is telling us now, and respond according to a valid trade idea, with the necessary exit plans and risk control measures.

It is important to note that advances in computer technology and sophistication of analysis methods have not improved the success rates among traders around the world. Over the centuries, ever since capital markets appeared in human civilizations, we have always seen the same psychological tendencies among traders and investors. Things have certainly become much more sophisticated. Yet, we still find that most traders and investors lose money in all kinds of markets. The fundamental reason is that human psychology never changes. Unless we make committed and consistent efforts to overcome them in our trading behaviour, we are likely going to be among the majority of traders who get beaten by the markets.

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The Average Trader Is Being "Set Up" By The Market

The legendary trade Jesse Livermore once remarked very aptly that "The market is designed to fool most people most of the time." He has also been quoted in saying that "Markets never change, because human nature never changes." Although many aspects of this man's life may not be worth learning from, his perceptivities into the financial markets are timelessly invaluable to anyone who is serious about achieving success in trading.

If you have ever had some experience in investing or trading, have you ever felt that the market seems to have a way of going against you "most of the time"? For instance, if you have traded Forex before, have you ever felt that "it always goes down whenever I buy, and it always goes up whenever I sell"? Is it a matter of bad luck? Or are there some fundamental reasons why most traders lose money?

Think about it. If you do not have a highly systematic and controlled way of approaching the markets, the fact is that the markets are always rigged against you. It is not unlike going to a casino, where your chances of making money in the long term are practically zero. In the casino, all the games are rigged against us in the sense that they always have an edge over us. An "edge" is simply a statistical advantage that ensures that you will lose money if you stay long enough in the game.

So, how do some people devise strategies to take money out of the casinos? They do so by systematically eliminating the "house edge", and establishing "an edge over the house". Professional gambling syndicates win the games they play by playing only when the odds are in their favour, and knowing when to walk away without allowing the joy of winnings to get them carried away.

In very much the same way, the Forex market (and any financial markets, for that matter) is being "set up" against us. Firstly, we know that we start from a losing position from the very first moment after entering into a position. This is due to the transaction cost of entering a trade, i.e. the difference between the bid and ask price, known as spread which immediately shows up as a floating loss from the very first instance after entering a position. Psychologically, many traders are affected by the floating negative number that is displayed on the trading statement, and spend a lot of time scrutinizing the moment-by-moment increases and decreases of that number.

Our psychological reactions to market movements, and the ups and downs of the numbers in open positions, will almost certainly leads us to make counter-productive trading decisions. The interaction between human emotions and price movements naturally cause us to buy high and sell low most of the time!

What we see on price charts is essentially a graphical representation of the ebb and flow of mass market psychology, which involves millions of trading decisions at any one point in time. These trading decisions are the outcome of human nature at work in the market, involving many instinctive trading habits and attitudes.

The more we understand these and overcome the same habits and attitudes ourselves, the more we are able to eliminate the market's edge over us and stand out above the majority of traders and win successfully. Successful trading is about eliminating the market's edge over us and developing an edge over the market. It is only possible if and when you realize how the market is naturally "designed" to beat you. This involves not only understanding the market behaviour, but also understanding your own psychology as a trader.

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The Get-Rich-Quick Hype In Forex Trading

In recent years, many retail investors have turned their attention to trading currencies in their pursuit of financial freedom. This phenomenon is partly due to the fluctuating economic climate, and partly due to scores of advertisements and hype about Forex trading being the best way to make money. It is crucial that aspiring traders break away from all the hype and myths about Forex trading, and begin to understand the essential things that separate the winning traders from the losing ones, and also to comprehend the reasons why most people find it difficult to beat the markets.

It is true that trading the currency market allows the average retail investor to make money despite a declining stock market and a recessionary economic climate. Not only are we able to profit from this market in both bullish and bearish economic conditions, the rates of return can potentially be significantly much higher than what we usually see in other investments. It is not unusual to hear amateur Forex traders generating returns of over 100% in just a few months. As such, Forex trading is often perceived as a very tempting get-rich-quick activity.

Many retail investors have considered the Forex market as a very appealing source of additional income, and some have even regarded it as an avenue for generating income on a full-time basis. To feed this collective desire for making money from the Forex market, we have seen countless online and offline advertisements that package all kinds of training programs and software which promise a superhighway to financial freedom.

While a sound education in Forex trading is crucial, it must be ensured that those training programs and software are actually useful. If you are truly serious about making consistent profits from the Forex market, you need to, first and foremost, understand why most people fail. You will need to understand how the Forex market behaves and the various ways in which you can approach it in order to identify high-quality entry and exit opportunities. You will need to understand what risk control truly involves, and not merely gloss over it as "basic stuff". You will, above all, need to master the demons of trading psychology which invariably sabotage some of the most intelligent traders.

Make no mistake about this! If you are systematically trained to master the important elements of successful trading and remain disciplined as you put them to practice, you will be among the minority of people who make Forex trading a very profitable business!

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Psychological Mistake #3: Following The Opinions Of The Majority

There is a lot of overwhelming evidence that suggests that humans have a tendency of becoming less rational when placed under the influence of collective psychology. This is why charismatic speakers like Hitler could induce the masses to subscribe to his beliefs. This is also why many investors and traders in the financial markets are naturally under the influence of herding instincts which cause them to gravitate towards extremes in market sentiment, leading most people to buy near highs and sell near lows, and therefore lose money in the markets.

Such instincts are rooted in the sense of security that we tend to find when we belong to the majority. In the field of psychology, there have been certain experiments where we clearly see that most people tend to act against reason when they are under the pressure of the of the majority. Such a behavioural phenomenon is especially harmful to our success in trading the Forex market.

In is natural to feel uncomfortable about being in the minority. However, we need to overcome such a tendency if we want to stand out among most investors and traders in the market. In the Forex market, if you do what everybody else is doing, then you are likely to get what everybody else gets. This means that you are most likely going to buy near the highs and sell near the lows, and cut your profits short and allow your losses to run.

How many times have we realized that when the majority agrees on a certain course of action in the market, it is the time when we should stay away from that course of action? When the market trends upwards very strongly, most people are likely going to enter long positions near the top of the trend. Similarly, when a strong downward trend happens for a sustained period of time, most people will enter short positions near the bottom of the trend. The underlying psychology is that it feels most comfortable to enter a trade when most people agree with it, and most people will agree on a certain course of action when it seems clearest to everyone that a strong trend has lasted for quite some time.

Writer Ben Hecht once said, "Trying to determine what is going on in the world by reading newspapers is like trying to tell the time by watching the second hand of a clock". This is an extremely enlightening quote that aptly reminds us that public opinions will not, in the long run, help us make wise investing and trading decisions. We also commonly hear traders saying that "the trend is your friend". However, this statement is often being misinterpreted.

As stated earlier, a trend becomes clearest to most traders and investors after it has lasted for some time and is coming to an end soon. As a result, most traders and investors are psychologically driven to buy near the top of an uptrend and sell near the bottom of a downtrend. Most people find safety in herding behaviour, i.e. what the majority of people say. Such a psychological tendency will almost certainly cause people to think that the further a trend goes in one direction (whether upwards or downwards), the more it seems like a "friend", and the safer it seems to join this "friend". As such, most traders and investors have a misplaced confidence in the "friendliness of trends".

This statement is true if we apply it properly in the psychology of our decision-making process in trading. The general idea is to avoid getting onto a trend when it becomes clear to everybody, so that we reduce the chances of joining a trend when it is near its end. Therefore, we need systematic rules to guide our entry onto a trend when it is in its early stages. It is important, however, to note that while doing so, we must not be obsessed with "second-guessing" whether the trend that we get onto will indeed be strong enough or whether it will be a "false signal" that reverses it course.

The truth is that no entry setups will allow us to capture only the strong trends. In fact, our goal is not to predict only the strong trends because that is unrealistic. A simple entry setup designed to capture the early signs of all potential trends, when coupled with good exit strategies (designed to cut losses short when there are false signals and let profits run when there are strong trends) will be very profitable when being used consistently. Those exit strategies that allow our profits to run will truly testify to the truth of the statement "the trend is your friend".

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Psychological Mistake #2: Impact Of The "Law Of Small Numbers"

In the field of statistics, the law of large numbers tells us that the more times we do something, the more likely we will get results which are consistent with what the system will intrinsically give us. For instance, if you toss an "unbiased" coin, the probability of "heads" showing up is 50%, while the probability of "tails" showing up is also 50%.

However, if you toss the coin 10 times, you may not get 5 heads and 5 tails. Instead, you may get 7 heads and 3 tails, or even 8 heads and 2 tails. If you toss the coin 100 times or even 1,000 times, you are then more likely to get about 50 heads and 50 tails, or about 500 heads and 500 tails. This is why you need a sufficiently large sample of data in order to be able to justify the statistical "evidence" you get.

When trading the Forex market, many traders, by virtue of a short-sighted bias and selective perception, easily come to conclusions about market behaviour based on a small number of occurrences. For example, after getting 2 or 3 losing trades, some traders will conclude that the trading strategy does not work. Such an "it doesn't work" mentality is extremely common among traders who constantly seek after new indicators, strategies and software. This is where the "law of small numbers" works its way into the psychology of traders. It is rooted in impatience and an inability to think in terms of the "big picture".

Similarly, when traders attempting to look for patterns in the behaviour of market prices and indicators, this "law" often distorts their analysis. This is where the tendency of selective perception causes many of us to see patterns and arrive at conclusions based on selected occurrences of these patterns.

Thinking in terms of probabilities is an important mental habit that all traders must cultivate in order to be successful in this business. In order to overcome the influence of the "law of small numbers", a traders must understand the following principles:

• Probabilities work out over a sufficiently large number of trades
  A trader must not only realize this principle at the intellectual level, but also at the behavioural level. It is typical for traders to say, "Yes, of course! I never expect winning trades all the time. If I can get a 70% win rate, I will be extremely happy!" However, as soon as they start taking "real time" losses, they naturally allow the immediate feelings associated with the losing trades to overwhelm them. They start losing faith, feeling discouraged, or even complaining about their trading strategies. This behavioural pattern is so common because human are by nature short-sighted, whereas probabilities involve a "long-sighted" mental attitude.
• Representative samples of historical data must be used in order to justify probabilities
  There are many software programs and indicators available to aspiring traders, displaying extremely promising back-testing results. Sometimes, these back-tests seem to involve reasonably long historical periods. However, many people do not realise that trading rules can be manipulated to fit the market movements in a certain period of time.
  
  When testing systems, the historical data being used need to represent a sufficiently wide spectrum of market patterns. Whenever statistical surveys are done on a certain population in a large country, it is impossible for the study to incorporate every single individual in the populations. As such, in order to make the statistical study valid, it must include different aspects of the population, i.e. selecting individuals from various age groups, races, religions, educational backgrounds, etc.
  
  Similarly, a realistic testing of a trading system must involve a wide spectrum of different market scenarios such as trending, ranging, quiet, volatile conditions and rare market events. This will enhance our confidence that a tested trading system is likely to meet our trading objectives when applied "live" in real-time market situations.

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Psychological Mistake #1: The Need To Be Right

Ever since we started going to school, our educational systems have almost always measured our success based on how often we are right. In all the examinations, the number of right answers we give determines our grades. As such, we live in a culture that thrives on being right as often as possible. We have been taught to not make mistakes. Being right has almost become a necessity, because it seems to be closely tied to how we are being measured, and our egos seem to be at stake when we make major decisions and are judged based on how right or wrong these decisions turn out to be.

Such a psychological "need" becomes even more apparent when we make financial decisions. Perhaps this is because we live in a money-saturated culture that often measures our worth based on our financial status. When trading the Forex market, this psychological need is, very often, counter-productive to our trading success. This "need to be right" is rooted in the fact that humans are driven by instant gratification, i.e. we would like to experience the immediate joy of taking a small profit, and delay the pain of taking a loss.

Just imagine that you are given a choice between the following two scenarios. Which would you choose?

1. A sure loss of 20%, or
2. A 5% chance of no loss at all, plus a 95% chance of a 25% loss.

Most people will prefer the second option. This is because most people naturally refuse to "cut their losses short". Taking the second option (which is actually more risky) implies that people naturally hope that losses will stop and that the market will turn back in their favour. This causes people to hold on to losses even when the market does not turn back.

The psychological trap is such that the worse the loss becomes, the more unwilling we are to take it. Many traders are therefore ultimately being forced to take the loss when it becomes too painful. Instead of losing a mere 3% of their account balances, they end up losing 20%, 30% or even more. If the trader has been "discipline" enough to take that 3% loss based on a pre-defined exit point, he would have been able to catch profitable trades in the opposite direction when the price continued downwards.

Consider another similar scenario, where you are given a choice between two options as follows:

1. A sure gain of 20%, or
2. A 5% chance of no gain at all, plus a 95% chance of a 25% gain.

Which one would you go for?

If you are like most people who do not guard themselves against human psychological biases, you will choose the first option this time, i.e. you would prefer to take a sure gain, rather than to take a risky bet for a greater gain.

Once we have a sure gain in our hands, we tend to be afraid of seeing the profits disappearing away. We take the profits at any signs of reversals, even when our trading strategy has not given us an exit signal. By developing a habit of taking profits too soon, i.e. before the pre-defined profit target is reached, we end up short-changing ourselves in the long term.

So, what do the two scenarios illustrate?

The first scenario illustrates how we tend to be more risk-seeking in losing positions. While hoping that losses will turn to small profits or even just reach the break-even point, we are willing to see losses become bigger "for the time being". This behaviour is rooted in a psychological need, for it delays the immediate pain of taking a loss.

The second scenario illustrates how we tend to be more risk-averse in winning positions. We are afraid to see profits disappear, and are unwilling to "take the risk" to maximise our profits when strong trends are identified. This behaviour is rooted in our need to immediately experience the pleasure of taking a profit.

Think carefully about what happens when you repeatedly allow these two scenarios to happen in your trading journey. Inevitably, you will realise that your profits are not going to be enough to cover for your losses in the long run. This is why some traders can have very high success rates, and yet end up losing money!

These psychological responses to winning and losing positions are due to our distorted need to be right in every trade that we take. For most traders, being right naturally means not losing money in the trade. If we do not consciously overcome such dispositions, we find ourselves driven by a very short-sighted desire to force every trade to be a winner. This is why many Forex traders often operate in a "fire-fighting" state of mind, constantly watching their positions and attempting to "salvage" every trade by ensuring it does not become a loss.

We need to understand that being right does not simply mean not losing money. Some losing trades can indeed be valid ones, whereas some winning trades can be "wrong" in the sense that they are based on rash guesses and bad risk management. Being short-sighted and trying to make every trade a winner (even when the market has invalidated the trade by turning against us by a certain amount) will do more harm than good in the long term. When we learn to think in terms of probabilities, understanding that they work out over a large number of trades, we become far more comfortable about taking a small loss, and then moving on to the next trading opportunity.

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Why Do You Want To Trade Forex?

The answer to the question above could be simple. "To make money, of course!", you will very likely say. Certainly, there is nothing wrong with that answer. However, one needs to be clearer about one's money goals and the motivation that drives these goals. Otherwise, your trading is very likely influenced by some negative beliefs and thinking habits when you come face to face with fluctuations in market prices. The level of success achieved in any pursuit of wealth will certainly be related to the individual's beliefs about money.

For many Forex traders, their beliefs about the Forex market lead them to display poor trading behaviour and take insane risk levels without realising that they are actually doing so. They believe that the Forex market is a get-rich-quick cash-dispensing "machine", and as a result, all their perceptions of trading strategies and risk management techniques will be distorted by their counter-productive beliefs about the market.

Some people believe that financial freedom is about being able to parade their ownership of many large cars and houses, even if it involves taking huge amounts of loans. As a result, they could be funding their trading accounts with borrowed funds, such that their trading psychology is distorted by fear and anxiety, leading to a snow-balling of their levels of debt, which in turn give rise to a host of negative emotions which are damaging to trading performance.

Furthermore, the attitudes of many towards money are excessively misrepresented by greed and laziness. Inevitably, these people take excessive risk when trading the market, because they are senselessly driven by a desire to generate quick profits. There have been too many aspiring traders falling prey to their own uncontrolled instincts of greed. In addition, traders who allow their laziness to overwhelm their trading behaviour will surely display bad trading performance.

We need to start this business with a clear mind with regard to our financial goals and motivations. Regardless of your financial situations, there are certainly some worthwhile goals in your life which need money. However, many of us are negatively conditioned by certain beliefs about money that lead us to mindlessly run after money without being aware of how our greed tends to distort our ability to act soundly.

As long as we are trading the markets, we cannot escape the fact that we are driven by a desire to make money. In fact, all the emotional mistakes we make when trading the markets stem from a sense of insecurity, i.e. feelings of uncertainty about how much our trading account balance will increase or decrease in value. If you think about it, this insecurity is rooted in a psychological attachment to money, which naturally becomes a sense of greed when it is not controlled. Greed in an excessive desire to acquire greater levels of wealth, and such a desire is often not backed by a rational explanation of the underlying purpose that drives it.

Certainly, our money making quest in trading the Forex market can be ridden by a healthy ambition to acquire wealth, as long as we are able to clearly see that material wealth is rightfully a means to an end, and not an end in itself. In a culture saturated with greed and senseless money-grubbing, it is critical to evaluate our beliefs about money and our psychological relationship with this entity.

To do a personal assessment of some of our attitudes which are very relevant to our success in Forex trading, we need to ask ourselves the following questions:

1. Do I consider Forex trading as a form of business?
2. Have I clearly and specifically defined my objectives in this business?
3. Do I have a systematic way of ensuring that the probability of achieving my objectives is reasonably high despite all kinds of changes in market dynamics?
4. Do I know the reasons for my choice of Forex trading as a business?
5. Do I have a regular routine to follow in order to guide my trading process on a daily basis?
6. Do I have tested and proven trading strategies that regulate all my trading decisions in all market conditions?
7. Do I really understand the importance of taking losses in the Forex market?
8. Do I have systematic ways of cutting losses short and letting profits run?
9. Do I have a plan for determining how big or small each trading position should be?
10. Do I truly understand the significance of how my beliefs about money and about the market will impact every aspect of my trading process?

If you can emphatically answer "Yes" to each of the questions above, then you are way ahead of most traders!

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Unstoppable Forex Profit

Unstoppable Forex Profit is a Forex software signal indicator that works on the MetaTrader 4 trading platform, providing trading signals based on the concept of volatility breakout. When the market breaks out from some of the important levels calculated by the system, such as after a rollback, a signal will be generated.

Volatility based indicators are considered one of the most reliable and profitable technical indicators in Forex trading and are widely used by professional Forex traders worldwide, enabling them stay in profit for many years of their Forex trading careers.

Basically, volatility indicators show the size and magnitude of price fluctuations. In any market, there are periods of high and low volatility, and these periods come in waves, i.e. low volatility is replaced by increasing volatility, while after a period of high volatility there comes a period of low volatility and so on.

Low volatility usually suggests a very little interest in the price, but at the same time it acts as a reminder that the market is resting before a new large move. Low volatility periods are used to set up the breakout trades. A rule of thumb is that a change in volatility would lead to a change in price and while a low volatility can hold for an extended period of time, high volatility is not that durable and often disappears much sooner.

Unstoppable Forex Profit is optimized to work best on M15 EUR/USD. It also works well on M30/H1/H4 EUR/USD, M15/M30/H1/H4 GBP/USD and M15/M30/H1/H4 USD/JPY but it is still highly recommended to use it mainly on EUR/USD.

The full interface of Unstoppable Forex Profit is shown below.

A blue arrow signifies a BUY signal while a red arrow signifies a SELL signal. The yellow squares are the fractals (swing highs and swing lows) which will be used as the stop loss levels.

The following chart shows an example of a BUY trade:

As shown above, the blue arrow signifies a BUY trade. A BUY entry would be made at the closing of the candle on which the blue arrow is pointing. The trade would be exited on the closing of the candle marked by the red arrow. The stop loss level would be the fractal which is nearest to the entry point as indicated by the yellow square.

Unstoppable Forex Profit is designed in a user-friendly way so that it is easy to use and eliminates any difficulties one could experience when using the software.

On the top right hand side of the chart, there will be a table showing all the required information for monitoring the market and entering into a trade:

• Current spread and stop levels
• Current trading time (as indicated in blue)
• Current profits made (as indicated in yellow)
• The latest signal generated (BUY or SELL with an arrow alongside it)

When a signal is generated, a popup window will appear on the screen with a sound alert. This is particularly useful for traders who are not in front of their computers monitoring the market all the time.

The Email option in MetaTrader 4 can also be used to send emails when a signal is generated. This is useful for those who trade using mobile devices.

Unstoppable Forex Profit is priced at $87 and comes with a "30 Day 100% Money Back Guarantee".

Find out more about Unstoppable Forex Profit now!

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