I’ve recently posted a new article on the Trade2Win.com website, recommend you stop by and check it out. I believe it can be very informative for forex traders. Article exerpt:

If there is one thing that a trader would want to know for certain, it would be to catch the bottom or top of a trend.

But simple as it sounds, it is easier said than done.

Knowing that a certain price wave is completed, or is just a retracement in the larger trend, becomes more of an art than a science.

In such situations, using multiple sources of confirmation helps to avoid the potential false signals, and preserve our capital for only those situations that provide us with the most favorable risk to reward scenarios. Keeping that in mind, we will use two very different indicators – the ADX (Average Directional Movement Index) and the PSAR (Parabolic Stop & Reverse) - to form a system which should help us to trade as close to the top / bottom as possible.

The rest of the article can be reached by clicking here.