Forex trading is the most popular transaction at the moment. According to a World Bank source in 2017 one day transactions worth over 5 trillion USD. Forex (FX) is the marketplace where various national currencies are traded. The forex market is the largest, most liquid market in the world. Anyone can easily access MT4 via mobile phones, laptops, desktops and more. Forex trading has exploded rapidly since leverage was introduced by brokers. Anyone with a capital of as little as USD10 can do forex trading. The retail forex trading industry is growing everyday with the advent of trading platforms and their ease of accessibility on the internet. Forex traders access the market indirectly either through a broker or bank/liquidity provider.We need to know that forex transactions actually happen between two groups A and B. that is the fact. Or it is a match between A against B. In other words Retail Trader versus Big Player. Or it is a match between A against B. In other words Retail Trader versus Big Player. In this game of big player versus retail trader, surely retail trader will lose. Statistics show that 95% of retail traders will lose money on their transactions, which is an undeniable fact. These statistics will remain the same since yesterday, today, tomorrow and forever.Who is this retail trader and who is the big player in this forex transaction? By definition, retail traders are individuals who make small forex transactions, and they cannot mobilize or move forex markets. Whereas the big player is an organization with huge capital that can easily influence or move the market. Big player is also known as Smart Money while retail trader is known as Dumb Money. You are a forex trader, for sure you know about price action knowledge like candlestick pattern, support & resistance, supply & demand, trend line and more. What is the problem with this technical price action understanding? Is it too difficult for a trader to learn or understand? If it's that simple, then why you are still at a disadvantage in FX trading. In general, this technical understanding of price action can be used by you to generate profit in forex transactions. However, you must understand that this understanding of price action is also used by big players to manipulate the forex market. What the big player does is to influence retail you as a retail trader to enter the market at a certain price such as buy entry, in fact the big player wants to move the market towards selling. This is called Price Action Manipulation (PAM).As a forex trader you must be able to distinguish between the manipulation and the actual movements made by big players in the forex market. If you are good at distinguishing between these two types of movements, you certainly do not belong to the 95% of retail traders who have lost their business.All you have to do is enter the market following the way the big player acts. You do not enter the market at a time when the big player will be manipulating the market. You as a forex retail trader need to know the market structure in detail that distinguishes between actual price action movements or manipulated price action movements.To be short, in order to tell about this market structure, you must know the following such as current market direction whether in the advancing, declining or distribution or accumulation phase, when the market is changing, timeframe multiplier function, directional bias and what is important is where or how you enter the market. All these insights will be uncovered or taught in my seminar on the September 5, 2020 Malaysia Trader Fair!
4 Phases of Market Movements in ForexThe market direction is changing over time, which is dynamic. ADDA is short form for Accumulation, Distribution, Declining and Advancing, it is an understanding of the market trends we often see as uptrend, downtrend and sideways markets as described below:-a) Advancing Phase - Uptrendb) Distribution Phase - Sidewaysc) Declining Phase - Downtrendd) Accumulation phase – Sideways