This is one question that I often get from readers of this blog. In fact this is a question that I have in my mind when I first started trading. This is because I have been reading books on trading and they are always telling me that the trend is your friend.
This makes me very think twice when I am against the trend. Therefore I will like to take this opportunity to answer this question for you guys here.
Actually it is possible to trade against the trend and it can be very profitable at times to do that. However trading against the trend requires some experience to be able to do it right.
The reason why most forex books tell us to trade in the direction of the trend is because it is easier to get it right especially for new traders.
My personal advice to those of you who are new to trading is to trade with the trend. This is because you do not have the gut feeling of the market movement that can help you to trade against the trend.
For new traders, I will suggest you to trade the trend when there is a strong trending market available. If you do not know how to tell a strong trending market, you can take a look at this blog post that I have written some times back.
For those of you who have been trading successfully for some time, you can then consider trading against the trend for those currency pairs that you are more experienced in.
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