Charting the Major Forex Pairs: Focus on Major Currencies is one of those written resources that comes along every once in a while, offering a very powerful and revolutionary set of tools the reader can use and apply to an existing activity and start generating better results. Trading on the foreign currency exchange market can be incredibly profitable as well as incredibly risky, and to date the major approach to success in these markets has been based in fundamental analysis and technical analysis. While these are of course important, the innovative approach discussed and explained in this book goes beyond these traditional approaches and embraces a unique method of tracking and analyzing market movement patterns.
Why is this important? Because it is these market movement patterns that hold the key to maximizing profits when trading in the foreign currency exchange markets. With the tremendous amount of profit just waiting to be made on the worldwide Forex markets, this is the kind of advantage that can make the difference between making okay profits and making outstanding profits.
The unique use of technical data
This book offers very specific and detailed information about the unique use of technical data called market movement pattern analysis. Traders of all types and kinds rely on technical data as well as fundamental data for their decision making processes, but this book goes well beyond the standard approaches to explore a groundbreaking approach to making large amounts of profit on the foreign currency exchange markets.
The authors, James Lauren Bickford and Michael Duane Archer, have written Charting the Major Forex Pairs: Focus on Major Currencies with an eye toward the needs of independent and individual traders, both those new to the foreign currency exchange markets and those who have been trading in them for some time. It’s fair to say that the approach defined and explained in this book is perhaps a bit better suited to traders who have at least some level of experience, but novices can still gain tremendous benefit by reading, understanding, and using the techniques presented in the book.
Overview of a groundbreaking book
Let’s start with a broad overview of the structure and topics covered in this groundbreaking book. Authors Bickford and Archer use the pages of Charting the Major Forex Pairs: Focus on Major Currencies to discuss a range of interesting and critical subjects, including:
Maximize your time – The foreign currency exchange markets move quickly and move around the clock, so unless you don’t require any sleep you will inevitably have a finite amount of time available for your trading activities. Maximizing your time, then, is an important part of becoming a more effective and more profitable trader. An underlying and basic approach to maximizing your time is using a unique and innovative technique of technical analysis to chart market movement patterns of key major currency pairs. Once these charts are in hand, studying them closely is vital to achieving success.
Visual characteristics – Nearly every book on foreign currency exchange market trading talks about the importance of acquiring and analyzing data about the Forex market, but only Charting the Major Forex Pairs: Focus on Major Currencies adds the critical visual dimension to analysis and examination of market data. These visual characteristics of market movement patterns are not widely known or appreciated, but the authors clearly explain what they are and how to spot them. They also go into excellent detail about the statistical tools and mathematical tools that are most useful and critical to technical analysis using this unique visual approach.
Five major currencies - The authors also move into some excellent discussions of the five major currencies traded on the foreign currency exchange markets. These currencies – the U.S. dollar, the Euro currency, the Japanese yen, the British pound, and the Swiss franc – are the most frequently traded on the Forex market and are therefore of primary interest for the visual approach offered in Charting the Major Forex Pairs: Focus on Major Currencies. Once the key elements and essential characteristics of each currency are thoroughly discussed, the authors bring in the concept of using composite charts, annual charts, and monthly charts to spot profitable opportunities for each of these five major currencies.
Cross rates – The concept of cross rates is somewhat confusing for some people, but in Charting the Major Forex Pairs: Focus on Major Currencies the authors do a very nice job of explaining cross rates –what they are, how they work, and their potential for generating significant profits. Once the reader is fully versed in cross rates, the book moves into an excellent discussion of the relationship and correlation between spot currency prices on the foreign currency exchange markets and the prices of both precious metals and currency futures.
As you can easily see, Charting the Major Forex Pairs: Focus on Major Currencies is a unique and valuable resource designed to help traders on the foreign currency exchange market enjoy the advantage and profit potential of using a visual approach to making trading decisions. Novice traders will likely need to spend a little more time digging through the book to fully understand its concepts and explanations, but those with just a bit of experience and background in the Forex market will find the information easily readable and understandable.
A detailed look at the contents
To get an even better understanding of the valuable content in Charting the Major Forex Pairs: Focus on Major Currencies it’s helpful to take a more detailed look at the book. It is divided into seven specific sections as follows:
Section One – This section is called “Getting Started” and it thoroughly achieves this purpose. The authors cover essential tools, subjects, and concepts that are necessary to understand if you are to fully appreciate and comprehend the rest of the book. Examples of topics in this section include interval data, streaming data, market activity, market direction, relative range, absolute range, midrange, absolute momentum, coefficient of variation, standard deviation, and composite charts.
Section Two – This section is focused on important aspects and characteristics of the Euro currency that are necessary to understand for successful and profitable trading in this major currency. Examples of topics examined include why you should trade in the Euro currency, historical information and perspectives on the Euro currency, and understanding the differences between the Euro currency and the Euro dollar. With that information in hand the rest of the section turns to important charts, including composite charts (weekly and daily); annual charts (activity, OHLC, and statistics); and monthly charts (activity, OHLC, and statistics).
Section Three – This section is focused on key characteristics and aspects of the British pound that you need to thoroughly understand to trade profitably in this major currency. Examples of topics examined include why you should trade in the British pound, historical perspectives and information about the British pound, the role and importance of the gold standard, and descriptions of coins and banknotes. Once this broad information is explained, the authors then turn to important charts, including composite charts (weekly and daily); annual charts (activity, OHLC, and statistics); and monthly charts (activity, OHLC, and statistics).
Section Four – This section is focused on key distinctions and aspects of the Swiss franc necessary to understand before you can consistent make profits trading in this major currency. Examples of topics looked at include why you should trade in the Swiss franc, historical information and details of the Swiss franc, and descriptions of coins and banknotes. The authors then move into more detailed discussion of vital charts, including composite charts (weekly and daily); annual charts (activity, OHLC, and statistics); and monthly charts (activity, OHLC, and statistics).
Section Five – This section is focused on important characteristics and attributes of the Japanese yen, all of which are fundamental to understanding how to profit from trading in this major currency. Examples of areas examined include why you should trade in the Japanese yen, historical perspectives on the Japanese yen, and discussion of banknotes and coins. The authors subsequently go into more details about vital charts, including composite charts (weekly and daily); annual charts (activity, OHLC, and statistics); and monthly charts (activity, OHLC, and statistics).
Section Six – This section is focused on the topic of cross rates, a critical subject to master as part of this visual approach to profitably trading in the five major currencies. The areas and issues discussed include an overview of what cross rates really are, as well as key charts related to cross rates that include composite activity charts; daily charts (activity and OHLC); and monthly charts (activity and OHLC). The key statistics related to cross rates are also examined, including both single currency activity and cross rate activity summaries.
Section Seven – This final section is focused on comparative studies, a critical part of successfully using the visual approach to trading on the foreign currency exchange markets. Comparisons between currency futures and the major currencies include open interest and futures volume; activity versus future and open interest; and the pip differential oscillator. Comparisons between precious metals and the major currencies include gold statistics; gold charts; silver statistics; and silver charts. Finally, the authors explain and discuss the Mundo currency, including its definition, the Mundo calculation, the Mundo differential chart, and the appropriate usage of these components.
Final thoughts on a revolutionary book
The word ‘revolutionary’ is often over used in our modern world, so we understand our use of this word to describe Charting the Major Forex Pairs: Focus on Major Currencies might create some doubt or disbelief in the reader’s mind. In this case, however, revolutionary is truly the best word to describe the approach, the method, and the advantages of what the authors describe and discuss in this book.
Traditional analysis, both fundamental and technical, continues to be a key part of good decision making when it comes to trading on the foreign currency exchange markets. You simply cannot hope to make a profit and avoid unnecessary risks without using these well known tools. However, if you want to take your decision making and trading to an entirely new and more successful level then you need to seriously consider the information and tools presented in Charting the Major Forex Pairs: Focus on Major Currencies.
The foundation of the approach explained by authors James Lauren Bickford and Michael Duane Archer is the use of proprietary software and charting tools to reveal the visual patterns of market movement that are keys to profitable trading of major currencies. They emphasize just how powerful it is for traders to be able to see these patterns clearly and analyze them effectively if they want to create significant advantages for themselves in the Forex market.
What sets Charting the Major Forex Pairs: Focus on Major Currencies apart from other books focused on trading in the foreign currency exchange markets is this unique and innovative technique of spotting profitable opportunities quickly and easily. Many books and their authors claim to have the ‘secret’ to profitably trading on the Forex market, but the vast majority of them simply do not and cannot deliver on this promise. The authors of Charting the Major Forex Pairs: Focus on Major Currencies provide a wealth of example charts and historical perspectives in support of their claims, making this book one of the very few to offer enough usable information for the reader to form an educated opinion and come to a reasonable conclusion.
Whether you agree or disagree with the approach set forth in this book, Charting the Major Forex Pairs: Focus on Major Currencies is well worth adding to your library for careful reading and consideration.