Category Archives for Friday Q&A

What is Friday Q&A?

Since starting Daily Price Action in 2014, I’ve received thousands of questions from Forex traders from around the world. In fact, this site has now reached traders from all 195 countries. Some questions have been easier to answer than others, but one thing has always been true… The answer has made someone’s Forex journey a […]

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What Is the Best Way to Draw Accurate Trend Lines?

forex trend line

Happy Friday! This week’s question comes from Thony, who asks: What is the best way to place the most accurate trend line? Trend lines are one of my favorite ways to determine the strength of a trend. The way a market tests these levels and even how often can indicate whether momentum is strengthening or waning. […]

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Should You Wait for a Retest Following a Breakout?

Waiting for retest

Happy Friday! This week’s question comes from Tejas, who asks: After a breakout has occurred, should we wait for a retest of that area before buying or selling? From my experience, this is the most highly contested topic when trading breakouts in the Forex market. After all, everything else when trading a break of support […]

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How to Reduce Fear When Trading Forex

fear-of-trading

Happy Friday! This week’s question comes from Elvis, who asks: How do I eliminate fear? I often have the right setups, but I end up entering too soon or exiting too early once I see a little profit. Or I take revenge trades to make up losses and end up losing even more. The idea of eliminating fear […]

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How to Confirm a Break of Support or Resistance

break of support or resistance

Happy Friday! This week’s question comes from Thambirajah, who asks: In your article about settlement period, you said: “you need accurate support and resistance levels.” I understand that the support and resistance are areas rather than specific levels. But if this is true and the session close is within the area, how do you identify […]

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How to Seamlessly Transition From Demo Trading to Real Money

demo-trade-to-live

Happy Friday! This week’s question comes from Cooper, who asks: I like to maintain a demo account as well as my live account. When I can’t pull the trigger on a trade, I go to my demo and enter it there. Gets it out of my system and I can watch it (and hopefully learn […]

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How I Trade Forex Without Watching the News

trading-without-news

Happy Friday! This week’s question comes from Rick, who asks: Most of the experienced traders say that news is built into the charts, so don’t focus on it. But if you don’t pay attention to the news how do you know what’s happening with a particular economy? That’s a loaded question. Not because it’s overly complicated, but […]

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How to Interpret the Settlement Period on a Daily Chart

Interpret-candlesticks

Happy Friday! This week’s question comes from Tim, who asks: You’ve said in the past that the activity between 4 pm and 5 pm New York time is telling. I would like to know how to interpret this activity. I love this question for two reasons: The answer is incredibly straightforward and easy to understand […]

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How Much Simultaneous Risk Should You Tolerate?

forex-risk

Happy Friday! This week’s question comes from Maanda, who asks: I would like to know the percentage of your open trades compared to account value? In other words I want to know how much you would normally trade if you had a $1000 account? Do you have a limit or you open trades as opportunities […]

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How to Increase Confidence as a Forex Trader (3 Key Factors)

confident-forex-trader

Happy Friday! This week’s question comes from Tshepo, who asks: What are the factors that you look into or take into consideration before entering a trade? Listing each and every factor wouldn’t do this question justice. Every setup is different and therefore has a unique set of factors that can make or break it. So […]

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Should You Close or Counter a Losing Position?

close-or-counter-trade

Happy Friday! This week’s question comes from Lateef, who asks: I was told that when a trade is not going your way, you should counter-trade. Is it a better option to just closing a losing position? Countering a position refers to changing the direction of a trade immediately following a loss. So if you get stopped […]

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How to Make Sense of Conflicting Market Trends

conflicting-market-trends

Happy Friday! This week’s question comes from Thambirajah, who asks: When there are conflicting trends as you mentioned in the last Q&A post – such as the daily time frame in an uptrend and weekly or monthly in a downtrend – how do you determine which one to follow? The answer to this question will vary depending […]

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When Is It Okay to Trade Against the Trend?

against the trend

Happy Friday! This week’s question comes from Karol, who asks: I have a question about playing countertrend moves. Do you have rules for trading these? What criteria do you use to decide whether to play or not? There is a fine line between being a successful contrarian and betting against an established trend. It’s perfectly okay to challenge […]

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What Is the Best Day to Trade Forex?

best day to trade

Happy Friday! This week’s question comes from Tomek, who asks: Do you trade on Mondays? When do you set orders after the weekend? Between Friday and Monday, there is a huge time gap which often leads to different price levels. When I began trading Forex in 2007, I wanted to trade every second of every […]

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How Much Money Do You Need to Trade the Daily Time Frame?

How much money daily time frame

Happy Friday! This week’s question comes from Bode, who asks: Can a Forex trader with initial capital of $500 trade on the daily time frame successfully? This is one of the more common questions I receive each month. There is this misconception that to trade the daily time frame you need a large account. Thanks […]

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