Floor Trader Trading System

3 the trading setup or.

Floor trader trading system.

Look at my thread if you want. The floor trader s method forex trading system is in my opinion one of the best moving average trading systems around. A floor trader is a member of a stock or commodities exchange who trades on the floor of that exchange for his or her own account. It is called a new system based on moving averages and this system is not as simple as it is described in the first page.

The floor trader s method is a trend following system which can be used effectively as a swing trading strategy. It identifies entries by combining trend. I use about the same system. Floor trader system forex strategies revealed advanced system 13 fx floor trader strategy doc page 2 of 14 24 07 10 the floor trader system scalping this is a retracement then continuation trading method.

It uses two moving averages to determine the trend. In volatile price moves 1 bar retracements are sometimes valid. This procedure would be reversed for buy signals the best retracements will contain 2 5 bars before the reversal occurs. More on that later.

But the spirit is. The floor trader must abide by trading rules similar to those of the exchange specialists who trade on behalf of others. The floor trader trading system is an excellent retracement strategy found on trading naked. 1 it is a retracement continuation trading method.

If phoning in the trades the trader would have to resort to trading at the market or at a limit price giving up a tick or two. The floor trader s method is built on 3 important concepts. 2 it uses moving averages to identify the trend and trades in the direction of that trend. Then it uses a simple pullback formation to enter the market.

The term should not be confused with floor broker floor traders are occasionally referred to as registered competitive traders individual. The floor trader system. In here i will put my own twist to it and you will learn its trading rules and what the trading setup looks like so you can be able to spot and trade it. Floor trading has become increasingly rare as electronic trading.

Waiting for trend to develop and then enter in a pullback reducing the risk to the minimum and let profit run. But don t let its simplicity deceive you there are subtle factors you need to take note of for it to be effective. Proponents of the trading pit say having people on the floor can help relay the message of the pit and can help provide an assessment of a trader s intentions behind a buy or sell move.