Forex Trading Profits - The Simplest Method to Make Big Profits

If you want to make bigger Forex trading profits then the method enclosed is simple to understand, apply and can make you huge profits. Let's take a closer look at it.

The method is long term trend following using breakouts and it's a timeless way to make money, as Forex markets trend long term and all these trends start and continue from breakouts to new highs or lows.

Breakouts are simply breaks of previous chart highs or lows that have acted as resistance or support before.

Most traders don't use breakout trading, as when the move occurs they want a pullback as they want to be in right at the start of the move, the problem is once the break has occurred of a previous strong level of support and resistance, stops get hit and push the trend away from the breakout point and as the price starts to move, the trend is accelerated by fresh buying and selling.

When trading breakouts, all you need to look for is a level that has been tested a few times and is considered important by traders (the minimum is twice but the more times it's tested the better) and if the time frames are wide apart that tends to lend weight to the validity of the breakout.

Most traders don't like breakout trading, as they like to try and get the trend change exactly, by predicting moves but this is impossible, as Forex markets simply cannot be predicted. By trading the reality of price change as you see it on the chart, the odds are in your favour and you don't have to predict anything.

It's a simple high odds way of trading and you can get the odds in your favour even more, by adding a few momentum indicators to confirm your trading signals. You can learn a couple of good ones in an hour and there the RSI and stochastic indicator, look them up.

Money management couldn't be simpler, just behind the level that breaks up or down so your stop is very tight and if your wrong, your loss will be small.

While this method seems incredibly simplistic, most of the worlds top trading systems will use breakout methodology because, as long as Forex markets trend it will continue to work. The method is simple to understand and very robust and is a timeless way to make big Forex profits.