We are going to cover what we regard as the most challenging part of Forex trading: – When to exit a Forex trade. In preceding articles in this series on no stop, hedged Forex trading we covered “Currency trading without stops” and “Currency trading not caring which way the price moves”.How often have you exited a Forex trade positively and then looked on as the price travelled another 100 pips in the same direction? Alternatively how often have you tried to squeeze the last 5 pips out of a good Forex deal and then watched as the price retraced all the way back to your entry or even beyond? Knowing when to cash in a forex trade, one of the most challenging aspects of Forex trading.When you enter a Forex trade all the trading signals are aligned and you can tick all entry criteria on your checklist. That is why the entry is the easy part. You are entering on your terms. When the price takes off in its intended direction it enters a mystery zone where you are dependent of the volatility of the move for the Forex transaction to succeed. You very seldom have reference points. When to cash in, or not, is always the question on every traders mind. The price tends to revisit previous support and resistance levels which makes this even more challenging.It gets worse on Forex trading deals that go negative. You are 30 pips down. Do you close the deal at a loss or do you wait for a small retracement to reduce your loss? Surely the price has gone as far as it can go?It can’t go more negative? Then suddenly (oops) the deal goes even more negative. You start thinking: “I’ve lost so much another 20 pips can’t hurt I’ll give it more room”. And so on. We’ve all gone through that at some time.The problem is eliminated by grid trading. You would divide the expected trading range for a particular currency for the next say 6 months (say 4000 pips) into grid levels with gaps of say 200 pips. The guesswork of when to cash in your Forex deals has been eliminated. You cash in your positive deals every time the price touches a grid level. It is as simple as that. As soon as the total of the deals you started with is positive, you close all your deals positively and start again. How simple can trading be? No ifs, buts or maybe’s. This is a reason why no Forex charts are required. You trade price levels, with no stops (Because each price level has a buy and sell active) and you don’t care about which direction the price moves.This also answers our question of when to enter a Forex trading transaction. You would use the same price levels that you use to exit profitable deals (as determined above) as the entry levels for your no stop, hedged, Forex trading grid system strategy. The process of determining the price levels is very important as some trading groups are reporting gains of one thousand percent a year on capital employed using this Forex trading technique.The above way of determining grid levels is an example. As you will see in future articles grid levels can be designed to meet the trader’s requirements in many more ways. For more information (which is freely available) on this great trading system why not search the web for “no stop Forex trading”.This is the third in a series of seven articles on the no stop, hedged, Forex trading technique which will be presented in this article directory on an ongoing basis. Make sure that you do not miss any of them.—Learn how you can make money from Forex Trading by tapping David Lloyd’s experience by visiting Grid trading systems or contacting him at David Lloyd David and Mary McArthur have written a number of articles on the no stop, hedged, forex trading grid system.

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You can make money trading without stops. We are now coming to the heart of how to make money using the no stop, hedged, forex trading strategy. In the previous articles in this series we discussed trading without stops, not being concerned about which way the price goes and places to cash in on profitable trades. We are now going to explain how it is possible to make money buying and selling at the same time using the grid structure.One should always be able to cash in at a gain no matter which way the market moves when trading the no stop, hedged grid trading system. The only way this is logically possible is that one would have a buy and a sell transaction active at the same time. This sounds like trading suicide to most traders but let’s take a closer look.Let’s say that a trader enters the market with a buy (buy 1) and sell (sell 1) active when a currency is at a level of say 1.0100. The price then moves to level 1.0200. The buy transaction will then show a gain of 100 pips. The sell transaction has now become negative by 100 pips. At this stage we would close our positive transacion and add 100 pips to our account. The sell is now however carrying a loss of -100 pips. The grid system requires one to make sure that the trader can cash in on any movement in the market. To do this one would again enter into a sell (sell 2) and a buy (buy 2) deal at this level (level 1.0200).Now for convenience let’s assume that the price moves back to level 1.0100 (the starting point).The second sell (sell 2) has now gone positive by 100 pips and the second buy (buy 2) is carrying a loss of -100 pips. According to the rule of cashing in positive deals at grid levels you would close the sell (sell 2) at a gain of 100 pips which you can now add to your account. This makes the total cashed in at this point 200 pips (sell 2 and buy 1). The first sell in now on level 1 and still active.0200 where it was -100 to level 1.0100 where it is now breaking even.The four Forex trading deals now magically show a gain when added together:- 1st buy (buy 1) cashed in +100, 2nd sell (sell 2) cashed in +100, 1st sell (sell 1) now breaking even and the 2nd buy (buy 2) is -100. The gives a total profit of 100 pips. We can own cash in all our deals and celebrate as we have made a profit of 100 pips.Please make sure that you are comfortable with the above calculations. Make sure you understand the concepts by rereading this article.This formation is the 100% retracement formation where the price moves up to a grid level and then returns back to the starting grid level and results in a nice gain for the forex trader. There are many other market movements that turn this strange “buy and sell at the same time” activity into gains. The next article will cover the 50% retracement formation which produces the same amount of profit.There will be much more on the no stop, hedged grid trading system in future articles in this directory. Don’t miss them.—If you have missed any of the previous articles on no stop, hedged, forex trading using the grid system please contact the authors David Lloyd and Mary McArthur at Expert4x or for a free course showing you how to double your trading account in 3 trades go to FREE COURSE We look forward to any feedback, questions or comments on this article.

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So, you’ve done your homework, researched your favorite currency pair, found the perfect setup and executed your trade according to your forex trading strategy. You know this is one of the best forex trading strategies you’ve seen because you’ve been paper trading and back-testing it for weeks. Now it’s time to go live. You’re ready to start trading your hard earned cash with this puppy.You feel assured because you’ve seen this setup many times before and know the odds are in your favor. You make your trade and let it go. A few hours later, you get stopped out for a loss. No big deal. You knew the risks. You’re a little surprised this trade didn’t work out, but you look forward to the next trade. You understand losses are part of this business and part of the winning process. Your next trade should make up for this loss.You’re still very confident in your forex trading strategy so you make your next trade and you rack up another loss. This one made you feel a little worse than last time because you were sure this would be a winning trade. Moving forward, you see another setup and get into a new trade. It’s going great and you’re moving your stop loss more into profit. You’re 20 pips from your ultimate take profit price, but out of nowhere, the Euro zone makes a surprise news announcement that they may cut interest rates earlier than expected. Just like that, your trade moves in the other direction and stops you out for a measly 5 pip gain!You start getting frustrated because your trades haven’t been working. Worse than that, you start getting down on yourself and second guessing your forex trading strategy. You know this trading strategy works. You tested it and tested it again. You promised yourself you would trade at least 10 trades, but since things haven’t been working out as you planned, you decide to sit the next trade out and just watch it. Sure enough, it’s the winner you’ve been waiting for. It would have easily made up for your previous losses, but you weren’t along for the ride.So what’s going on? Your emotions are starting to get the best of you and you’re out of control. Almost every trader has gone thru this at one time or another.Winning traders take control. They start working on their discipline and stop letting their emotions get the better of them. They stick to their forex trading strategies because in the long term, they know they make more money than they lose. They don’t focus on one single trade. They focus on the longer term. Losing traders give up too easily and let their emotions rule them. They jump from one forex trading system to another, wondering why they can’t make profitable trades. They’re destined for failure. What kind of trader do you want to be?—Andrew Daigle owns and operates many successful websites including ForexBoost for learning Forex trading strategies and a Forex Training blog for more forex educational resources.

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