There is no such thing as luck when it comes to professional Forex trading. It is all about decent knowledge and skills. Another thing is how and where to gain this valuable knowledge…
Knowledge Guarantees Success
Obviously, you cannot become a professional in any field without the required knowledge and skills. Forex trading is no exception.
That is why and HY Markets decided to start a series of online webinars for beginning traders in order to help them make first steps in the Forex trading environment in the right direction.
It is highly probable that after passing the joint course started by these two giants of the Forex industry, you may become another winning trader who makes decent profits on a regular basis.
If you missed the previous seminars you can always download and watch the records…
The latest seminar was dedicated to futures trading.
In particular, the students learnt about the following issues:
1. Securities, commodities, indices, currencies as underlying assets for futures contracts.
2. How to read trading volume when trading futures.
3. Trading futures contracts on the expiration day.
4. Discussion.
The webinar was started by a representative of HY Markets, who announced that the company had started an unprecedented promo dedicated to Christmas holidays:
“Each client can get up to $30,000 in cash and One in Five Chance to Win a Luxurious Trip to the Caribbean”.
You can find more details on the promo page.
Futures and Trading Volume - Key Factors For Successful Trading
Later on, Sergey Krupenin, Chief of Investment School under , highlighted the topic.
When we see substantial trading volume accumulating around a certain price level, it becomes a crucial level as the price starts moving either up or down from the level, thereby initiating a momentum.
In order to make profits, you should know where exactly this level (or area) is. Then it is necessary to make a comprehensive analysis of the situation and place pending orders.
There was another instructor present at the event. It was Maxim Gun, Chief of Volume Analysis Department of . He told the students about possible underlying assets for futures contracts like securities, currencies, stocks, indices and commodities.
He stressed the importance of knowing how a certain futures contract is correlated with the underlying asset. It is always necessary to keep in mind that futures are derivatives.
The expert also drew the listeners’ attention to the fact that futures trading is essentially riskier than stock trading due to higher leverage. That is why it is vital to follow strict money management rules especially if you trade futures on volatile underlying assets like crude oil or gold.
Moreover, futures trading reveals the broker’s reliability and transparency. When trading futures, pay attention to whether it delivers the quotes with or without a delay and how big the delay is (if any). In order to do that, it is necessary to open the chart of the underlying asset provided by the broker and the futures chart given by the exchange. If the deviation is 1-2 points, it’s no big deal. However, if the difference is 10 points or more or there is a 10-15 seconds delay, it is better to find another broker.
Mr. Gun also explained the details of volume analysis using numerous charts and other visual aids.
The expert underlined that trading volume is like a fuel for the automobile: You won’t be able to drive a car if there is no fuel in the tank. Therefore, in order to start a strong move, market participants will have to accumulate critical trading volume during any period of consolidation. That is why it is crucial to know how to spot unusual volume clusters.
Another key factor is that no constituent should be used alone to make major trading decisions. It is necessary to combine several key elements into an overall picture if you want to be a winning trader.
