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If you want to make money in forex trading then you need to learn forex trend following and how to lock into the big trends and milk them for all there worth. The big trends last for months or even years and can offer fantastic profits, if you learn to follow them.

So how do forex trend follow correctly?

Let’s start with some basics:

The big trends in currencies last a long time, because they reflect economic cycles and they last for months or years, so currency trends do too.

Forex trend following does not mean trying to day trade or scalp this is a way to lose money, as all short term volatility is random so don’t try it.

How do you catch and follow forex trends? You need a robust, simple, forex trading system which is based on forex charts. Here are the basics of a system that will catch EVERY Big move.

Buy breakouts – FACT:

Most major forex trends start from new market HIGHS, so you need to buy breaks of resistance.

The more times a resistance level has been tested the more valid it is and if possible the time frames should be weeks or months apart. The more tests, in more time frames and the wider they are apart the better.

When you buy these breaks make sure price velocity is on your side.

You can find out by using some momentum indicators these are covered more fully in our other articles – but two great ones are the stochastic and RSI Indicators. If they support the break then you have a potential high odds trading signal.

The stop is then easy – right below the breakout point.

With this method you’re not interested in trading for the sake of trading, you need to be patient as the big high odds trades don’t come around every day and sometimes you need to wait weeks or even months for a high odds trade to present itself but they always do and when they do offer stellar profits.

Your not interested in trading for fun – your interested in trading for big gains so forget all the lows odds trades.

Once you have locked into a trend and it’s underway, you need to get ready for the hard part:

Following the trend and this takes a lot of discipline.

The bigger a profit becomes the more tempted a trader is to take it or lock in profits by moving his stop. The bigger the profit becomes the bigger the temptation is to take it, that’s human nature – but you must stand firm.

You are going to have to sit on open equity swings against you which eat your open equity however so long as the long term trend is intact, hold it.

Trail your stop very slowly and way outside of random volatility and accept the fact when the trend changes you are going to have to give a good chunk back – but that’s ok, if you caught 70% of every major trend you would be very rich.

Forex trend following is all about having a simple system, being patient, buying valid breakouts and following breakouts with discipline – its not easy to do – but if you can do it, you will make huge gains and enjoy currency trading success.

• Sizing and Fit: Plus Sizing with a Contemporary Fit
• Material: 100 % Polyester
• Care and Cleaning: Machine Wash Cold, Tumble Dry Low
• Weave Type(s): Chiffon
• Fabric Weight: Lightweight Fabric Construction
• Sheerness: Very Sheer
• Garment Length: At Waist
• Neckline Style: V-Neck Neckline , Ruffled, Banded Collar
• Sleeve Style: Short with a Puffed Rolled, Finished, Elastic Cuff(s)
• Closure Style: Pullover Closure(s)
• Hem Style: Finished, Elastic, Straight Hem(s)
• Ruffles, Contrast Buttons

Juniors’ Plus-Size Pure Energy Red/Cream Short-Sleeve Fashion Top 2

So, my question is, does that matter?

Would you judge an Ayshlee any different than an Ashley?

A Jareet’sha any different than a Jane?

If you had to hire an applicant, would their names make you assume things about them?

Do you think an oddly spelled name will make life more difficult for the child, or will they value the uniqueness?

Consumers are cutting back on spending nowadays, but jewelry retailers are looking toward the upcoming summer months, to get consumers back into jewelry stores. Additionally, with the trends of bright colors and bold pieces, consumers can’t help but take notice of and want a piece of fashion item this year.

Fashion magazines are discussing trends in jewelry for the spring in their latest issues, and big pieces are definitely in style. InStyle magazine focused on nature- and tribal-themed pieces and bright colors, while Lucky included a whole spread of classic, yet modern, cocktail rings. In its March issue, Vogue gave brides-to-be some of the magazine’s favorite engagement rings and wedding day jewelry. A lot of this season’s trends are a natural progression from last season. Necks were bare and rings were big, but this season necklaces have made an extremely bold comeback..

For spring and summer 2008, shine is everywhere in terms of fashion accessories. From the purses we carry to the clothes we choose to the shoes we wear, the newest trend is all about shine from head to toe. Jewelry is one accessory that will never go out of style and can last a lifetime with the proper care. So while consumers may be cutting back on a lot of spending, jewelry retailers are hoping that the latest jewelry trends will get consumers into the stores and at least looking at the latest pieces. For upcoming holidays and special occasions, be sure to carry items that are on-trend.

Nature-inspired Jewelry Trend

Nature-inspired Jewelry has become one of the hottest trends in Hollywood today! Tons of celebrities are sporting nature jewelry with both elegant formal wear and casual everyday looks. Snake jewelry is one of the most popular styles of nature-inspired jewelry.

For centuries, people have crafted nature-inspired jewelry in appreciation of the world around them. In the Victorian period, romantic notions about the natural world caused a flourish of nature-inspired jewelry and art. Flower jewelry and images of animals were very popular styles; Victoria herself loved snake jewelry and believed the serpent motif represented fidelity and love. The more people learned about plants, animals, and the oceans, the more they were moved to create nature style jewelry and nature inspired jewelry.

“Enlightenment” Jewelry Trend

Sentimental Jewelry is a strong category not only for self-purchase but also for gift giving. 

Engraved jewelry featuring messages of love, poetry or initials will be the most popular.

Yoga Inspired Jewelry is becoming abundant, reflecting the growing number of people who are adopting this ritual discipline, which is said to bring physical and spiritual alignment. Yoga talismans are also popular among those who just want an overt and motivational reminder.

Green Jewelry and Green Gems are being used in many jewelry collections this season. Jewelers with a green conscience are making a point to incorporate earth friendly methods and materials into their jewelry designs.

Jewelry For A Cause is becoming plenteous. As JFC says, the jewelry industry is that with a heart! Designers today are donating proceeds from sales to endless philanthropic causes and people in need. Designers’ passion comes pouring out artistically through the creation, often reflecting the organization benefiting from the proceeds.

Big, Bold Jewelry Trend

Wearing less jewelry pieces is more when it comes to the top jewelry trends for 2008, but the key ingredient for trend-setting fashionistas is larger, bolder styles that are gem-intensive.

That advice comes from Jesse Chao of Gems by Chao, a leading Houston fine jeweler. Chao specializes in advising her gala-minded clientele-a mix of socialites and philanthropists-and matching fine jewelry to their personal style. In a statement, Chao said women who are already planning to attend galas will be wearing less fine jewelry but adorning themselves with larger, more impressive pieces, for a classic “Grace Kelly” look.  I’ve actually already seen this trend over the past year, less jewelry but each piece that is worn is big and bold – one big bracelet, no necklace but super long earrings.

While I personally don’t feel comfortable in really large jewelry pieces, for that special occasion – red carpet affair for example, it does make sense because of the dramatic statement a few large jewelry pieces can make.

Ethnic inspired jewelry is supposed to be gaining momentum. Due to the increased cost of gold, we’ll see more filigree type designs, which look great but cut down on the gram weight. Now, this sounds interesting!

Bold Pendants Trend
This is no time for a wimpy drop necklace. You need a substantial pendant that really makes a fashion statement, and two of the hottest colors will be yellow and its complementary color, purple.

Yellow
Refreshing gemstones like Citrine, Yellow Topaz, Amber, and Chrysoberyl and simulated Canary Diamond jewelry, topaz glass beads and the Cubic Zirconia substitutes will keep you on top of seasonal jewelry trends! Like this lovely Citrine:
Purple
A great counter point color for yellow is purple, which will also be highlighted this spring. Like this gorgeous pendant.

Most traders focus on trying to catch short term moves as they think its lower risk and higher reward but the best risk to reward is hitting and holding the big trends and its easy to make money from Forex trend following, if you keep these points in mind…

Take a look at a Forex chart and you will see Forex trends that last for many months or in some instances years and the reason they will always occur is currencies reflect the underlying health of the economy and these economic trends last a long time. Most new traders however ignore these big trends and want trade short term and day trade or scalp but this is doomed to failure – Why?

Because all short term movements are random and because they are its like flipping a coin what appears low risk trading is actually high risk trading. You can’t get the odds on your side short term but you can long term.

Here are some points to keep in mind, to make a success of long term Forex trend following.

1. Trade Less Make More

You need patience and you only need to trade a few times a year to make big triple digit gains. You don’t get rewarded for trading often – you get rewarded for hitting and holding high odds set ups.

2. Use Breakouts

Most new trends start from new market lows or highs and buying these breaks, can get you in and keep you in all the big long term trends.

Look to buy breaks of levels the market feels are important and if everyone disagrees with the break, the chances are it’s a good one.

3. Milking the Trend

Many forex traders cannot accept big profits and as soon as they have one, they want to protect or take it – this is WRONG!

Move your stop too quickly and you will be bumped out of the trade early and you of course want to hold long term. Keep your stop back and trail it outside of random volatility. You will give a bit back at the end – but always keep in mind:

If you had 50% of every big trend you would be very rich!

To make it easier to hold long term trends you can try the 50 – 50 split.

I use this all the time and the concept is simple.

When a trend surges in your favour and becomes overbought or oversold, you tuck 50% in the bank and leave 50% in the market. You then wait, for a rally against you, then put the 50% back in and you keep banking and re-entering.

This smoothes the equity curve and makes holding long term trends much easier, as you are being pro active in managing the trade and it makes it psychologically easier.

An Easy Time Efficient Way to Make Big Profits

Forex trend following is time efficient and you only need watch the markets a couple of times a day at most, you also don’t have to trade often to make triple digit annual gains.

If you want to make the really big moves, you need to hit the big long term trends; they will always occur and you can trade them for profit and enjoy currency trading success.

If you want to catch the really big moves then trend following in forex if done correctly can put you in trends which will last for weeks or months – its these big long term trends that yield the big profits so stop trading short term and use a long term trend following strategy like the one enclosed…

If you look at any chart you will see long term trends that last for weeks months or even years and they always occur because currency trends reflect the underlying economic cycle which last a long time and this is reflected in the currency movement.

Now let’s look at a trend following forex trading strategy, that’s simple, take about 30 minutes a day and will get you in on the big trends.

1. You need Patience

You will only get a few opportunities a month so you need to be patient and wait for them to come around. Many traders think the more they trade the more they make and end up taking low odds trades however if you want to win, you need to be patient.

I know traders who trade a few times a month and make 100% annualized gains and you can too.

2. Spotting the Opportunity

Forget buy low sell high, the best way to trade is to buy breakouts to new highs or lows.

It’s a fact most major trends, start and continue from breakouts and you want to get in on these breaks and milk them.

We have written about how to spot the best breakouts in other articles so look them up – but in essence you are looking for support and resistance the market feels is significant. When it breaks – stops will be hit and fresh buying comes in, which sees the trend continue.

Don’t wait for pullbacks to get in this is the major mistake most traders make.

They think they have missed a bit of the move and want to come in on the pullback, get in and dont wait, if momentum confirms the move, the odds favour a continuation of the break.

3. Confirming Momentum

This is easy to do and there are plenty of indicators which show momentum and velocity of price. If it is accelerating through the break it confirms the move.

We don’t have time to discuss all momentum indicators in detial here but two great ones are:

The Relative Strength Index (RSI) and the stochastic.

Look them up, they take about 30 minutes to learn and are great for confirming moves.

4. Set Stop and Trial it

Stops are easy when trading breakouts, under the breakout point.

What separates out the pro traders from the ones who make mediocre profits is – the way they trail their stops.

The pro trader understands that he has to give the market room to breathe and therefore trails his stop outside of market volatility. He accepts short term drawdown as necessary, to hold a trend for weeks or months. While you need discipline and confidence to do this, it is this key area that if you get the stop right, will give you huge gains.

Trade Less Make More

So there you have it, a short summary on how to trend follow forex correctly.

Most traders want to mess about and try and catch small moves, where the odds of success and profits are small. If you want to make big profits – lock into and hold the long term big trends, they apways appear and now you know how to lock into them.

You will trade less, make more and its very time efficient and could make you triple digit gains.