Everand Logo

Welcome to Everand!

  • Discover millions of ebooks, audiobooks, and so much more with a free trial

    Only $11.99/month after trial. Cancel anytime.

    Locked-In Range Analysis: Why Most Traders Must Lose Money in the Futures Market (Forex)
    Locked-In Range Analysis: Why Most Traders Must Lose Money in the Futures Market (Forex)
    Locked-In Range Analysis: Why Most Traders Must Lose Money in the Futures Market (Forex)
    Ebook99 pages38 minutes

    Locked-In Range Analysis: Why Most Traders Must Lose Money in the Futures Market (Forex)

    By Tom Leksey

    1/5

    ()

    Read preview

    About this ebook

    The author is convinced that trading should be based on the reasons for price changes, otherwise it's Lucky-trading. The book describes the reasons for price changes of futures and the new cause-and-effect method of analysis.

    LanguageEnglish
    PublisherTom Leksey
    Release dateFeb 19, 2018
    ISBN9785604033005
    Locked-In Range Analysis: Why Most Traders Must Lose Money in the Futures Market (Forex)

    Related to Locked-In Range Analysis

    Related ebooks

    Investments & Securities For You

    View More
    View More

    Related podcast episodes

    Related articles

    • Article

      How Investors Can Prosper With Technical Analysis

      Feb 6, 2019

      Many investment advisors and money managers have a little secret. They will proudly tell you that they rely heavily on fundamental analysis, carefully weighing earnings, market share, competitive environment and demographic trends to select the best

      5 min read

    • Article

      What Is Forex Trading?

      Mar 1, 2022

      What Is Forex Trading?
      6 min read

    • Article

      How To Count Your Losses

      Nov 15, 2019

      in the previous issue (7 November), I wrote about trading, and in particular about gearing via the use of derivatives, as well as what we should (or shouldn’t) be trading. I promised to return to the other two parts of the equation: How to employ a s

      3 min read

    • Article

      RSI Alone Not Enough

      Sep 18, 2020

      oscillators, such as the relative strength index (RSI) and stochastics, are often used as signals for overbought and oversold zones. Let’s use the RSI as an example. Generally, an RSI set on 14 days is considered over-bought above the 70 level, but t

      1 min read

    • Article

      The Magic of Moving Averages

      Jan 31, 2019

      When price charts begin to look like jagged mountain ranges, it can be hard to map out which way stocks are headed. Enter the simple moving average. The tool is a staple of technical analysis--the practice of determining the direction of stock prices

      2 min read

    • Article

      Discipline Goes A Long Way

      Mar 31, 2022

      The life of a trader is not what most of us might imagine it to be – that is, glamorous, exciting and paved with gold. More likely it is solitary, private, a bit boring and, when done right, provides a living. We could all be traders. We could all be

      5 min read

    • Article

      Are You Gambling or Investing? Here’s How to Tell

      Mar 2, 2021

      Investing in the stock market over many decades offers most people an incredible opportunity to build wealth. Does that surprise you? If so, you’re not alone. Over the course of my career as a financial planner, I’ve found that many people look at th

      4 min read

    • Article

      Rogue Trader

      Jun 5, 2020

      Rogue Trader
      10 min read

    • Article

      Technical Analysis Tools For Long-term Investing

      Oct 30, 2020

      in the 22 October issue of finweek, I wrote about how I am trying my hand at trading local equities for the first time in over a decade. Some aspects of my index trading have helped (discipline and risk management), but stocks are more volatile and n

      2 min read

    • Article

      He Learned to Trade for Profit - and Can Teach You, Too

      Jan 31, 2019

      Raymond Rondeau, 55, of Exeter, R.I., is a trader, president of the New England American Association of Individual Investors chapter, and creator of AAII's new course, "Investing Strategies and Technical Analysis." When did you start trading? I began

      2 min read

    • Article

      What I Learned from Losing $200 Million: The 2008 financial crisis taught me about the illusion of control, and how to give it up.

      Dec 24, 2015

      I’d lost almost $200 million in October. November wasn’t looking any better. It was 2008, after the Lehman Brothers bankruptcy. Markets were in turmoil. Banks were failing left and right. I worked at a major investment bank, and while I didn’t think

      15 min read

    • Article

      Trading Techniques... Riding Elliot Waves

      Nov 5, 2021

      One trading technique that has achieved a cult-like following in recent decades is Elliott wave theory. Developed by the accountant and consultant Ralph Nelson Elliott, who first published his ideas in 1938, the basic idea is that markets, like all h

      1 min read

    • Article

      How to Make Market Volatility Work for You

      Apr 5, 2018

      There are more certainties in life than just death and taxes. For instance: If you invest money in the stock market, you certainly will face market volatility now and then. Periods of high volatility are normal. Investors need to understand that life

      4 min read

    • Article

      How To Set Yourself Free

      Sep 2, 2020

      One of my clients retired at 50 to become a full-time trader, hoping he could shrug off the rat race and the typical work-sleep-work life. Fifteen years later he is still “retired” and still trading full time. Now he calls it what it turned out to be

      6 min read

    • Article

      Learn How To Spot A Rip-off

      Feb 24, 2021

      Learn How To Spot A Rip-off
      3 min read

    • Article

      Change In Sentiment

      Oct 2, 2020

      Change In Sentiment
      1 min read

    • Article

      Timely Strategies to Protect Your Portfolio

      Oct 3, 2018

      "Set it and forget it" has been an elegantly simple--and lucrative--investment plan for the past nine years. The U.S. economy has rolled along, the stock market has soared, and interest rates, though rising since 2015, remain historically low. Just s

      10 min read

    • Article

      Thinking About Day Trading? Read This First

      Sep 22, 2020

      In the midst of the pandemic, you may have noticed a rather unusual trend: More and more people are jumping into the stock market. Despite, or perhaps even because of, extreme volatility in the market and endless speculation about what could happen n

      3 min read

    • Article

      Penny Stocks: Why You Should Always Stay Away

      Aug 18, 2021

      Penny stocks – those stocks that trade for low prices, often with share prices of less than a dollar per share – are dangerous. Period. Indeed, with a few exceptions, investors should steer clear of these uber-cheap stocks, which typically trade over

      3 min read

    • Article

      How Options Can Help Your Portfolio

      Jun 3, 2020

      For some people, options trading conjures either fantasies of instant riches or nightmares of losing everything. But those are the visions of market-timing speculators, not long-term investors. For most investors with a long-term view, trading option

      7 min read

    • Article

      Investment Terms You Should Know

      Jan 13, 2024

      Investment Terms You Should Know
      4 min read

    • Article

      Ofm O Ne Y e Lang U Ag E t h

      Apr 27, 2020

      It measures fluctuations in the price of a security, or an index. Higher volatilities indicate higher risk. There are some volatility scales that indicate the level of risk, for example, from a scale of 1 to 10 – a higher rating means higher risk. Bu

      2 min read

    Related categories

    Reviews for Locked-In Range Analysis

    1/5

    1 rating0 reviews

    What did you think?

    Tap to rate

    Review must be at least 10 words

      Book preview

      Locked-In Range Analysis - Tom Leksey

      It is common for reasonable people to learn from their mistakes or from the mistakes of others, realizing the causes and effects of actions that lead to undesirable results. Knowing the statistics of those who earn on market speculation, each is certain that he is not like the others and that everything will turn out for him. And they are not even considering to leave this way of making money. While losing more and more money and time to find out why trading is not for them, people are being devoured by their failures because to accept a failure for them is equivalent to recognizing themselves an asshole.

      Taking the reason for why most traders must lose money in the futures market, as a consequence, you truly realize your lack of advantages over the other market participants in the endless exchange wars, when one does not mind to yield this battle to others.

      Chapter 1. Preparing to Analyze

      1.1 Why Do We Analyze Futures Instead of Forex?

      Starting with the Bretton Woods currency system (1944), the US dollar has been the main international reserve currency, so the quotes of other countries’ currencies are expressed through the US dollar.

      Types of currency quotes:

      - Direct quote (fixed amounts of the foreign currency are expressed as variable amounts of the domestic currency)

      Example (US dollar is not the domestic currency): USD/CAD 1.3090 means 1 USD = 1.3090 CAD

      - Indirect quote (fixed amounts of the domestic currency are expressed as variable amounts of the foreign currency)

      Example (US dollar is not the domestic currency): EUR/USD 1.0680 means 1 EUR = 1.0680 USD

      - Cross quote (the ratio between the two currencies, which is determined based on the rates of these currencies relative to a third currency)

      Example: EUR/USD 1.0680, GBP/USD 1.2470 means EUR/GBP 0.8565 (1.0680/1.2470)

      Based on the location of performing currency transactions, there is an exchange market and over-the-counter market.

      Table 1. Comparison of exchange and over-the-counter market

      Unlike exchange market, in the over-the-counter market there is no central marketplace (the exchange clearing house), where all information about the transactions, on the prices reached by the parties, is received. In addition, there is nobody that would control and regulate the activities of all participants in the trading process. Therefore, different exchange dealers may have different quotes of the same traded instrument (such as a currency). Nevertheless, the prices from exchange trades, on the relevant basic commodities for the nearest most liquid futures contracts, are used for the formation of over-the-counter quotes (WM/Reuters benchmark rates are used as standard rates for determining the OTC exchange rate).

      Since Forex market is an over-the-counter market, and the transactions made in it (demand and supply) cannot influence the change in quotes, futures on the relevant currencies should be used for analysis and forecasting.

      Table 2. The most liquid CME currency futures contracts as of 01.02.2017 and the corresponding Forex currency pairs. Types of Quotes - US dollar is not the domestic currency. Volume data source: cmegroup.com

      Charts of Forex direct quotes are a mirror image of the relevant CME futures charts. Charts of Forex cross quotes (Examples: AUD/CAD; AUD/JPY; CAD/JPY; EUR/AUD; EUR/CAD; EUR/GBP; EUR/JPY; GBP/AUD; GBP/CAD; GBP/JPY) are the mathematical relationships of direct and indirect quotes, therefore, those who trade cross quotes are Lucky-traders.

      1.2 An Introductory Guide to Futures

      What Are Futures?

      Standardized (according

      Enjoying the preview?
      Page 1 of 1