By John Robertson

The trouble with forex trading is that it can take months, if not years to learn how to become a consistently profitable trader. That is why you need to do everything you can to make this task a lot easier, and one way you can do that is by attempting to emulate the most profitable currency traders.

People trade currencies all around the world, but the best ones will either be trading for themselves (and risking their own hard-earned money) or working for a large bank, where they are rewarded generously if they are successful.

Now obviously it is impossible to look over all of these peoples” shoulders and see what trading strategies they are using to generate their profits. However what you can do is to try and copy their trading set-up so you are seeing the same charts as they are.

So in other words you want to be using the same time frames, the same currency pairs, ie the major pairs, and the same support and resistance levels. You can also use some of the most popular technical indicators if you so wish, but a lot of the best traders use hardly any indicators and simply trade price action around key levels of support and resistance.

The reason why you want to be using the same set-up is because you will often see the price react around the most obvious areas of support and resistance because so many traders are all keeping an eye on these areas and looking to open corresponding positions at the same time. Therefore it is a lot easier to predict these price reversals and make consistent profits.

That’’s why you should forget about trading exotic pairs and trading less common time frames such as the 2 minute chart or the 10 minute chart. The daily time frame and the 1 hour time frame, for instance, are two examples of the most popular time frames with forex traders.

You also want to be drawing lines of support and resistance on your charts that everyone is likely to be looking at, so that you can make high probability trades when the price reaches one of these upper or lower limits. If you draw lots of fancy lines that are unique to you, then the price is unlikely to react around these levels because not everyone is seeing the same areas of support and resistance that you are.

The fact is that it can be quite easy to make money from forex trading. You just need to trade with the crowd, and to do this you want to be using the most popular time frames and looking at the same areas of support and resistance.

About The Author

Click on the following link for more forex tips and strategies, and to learn about a 4 hour trading strategy that you can use to trade the markets:

http://theforexarticles.com