how to pick volatile pairs when trading

[moonchild]

If you're day trading the forex market it is important to choose pairs that are volatile and move aggressively because if you want to make money you'll have to need volume in your pairs, in this short article we'll be looking at how to approach scanning of pairs to pick up the best and make the most out of them.

The number one tool to use is an ATR, it helps you to calculate the average daily range of a pair, so you get to see how many pips it moves daily and also how volatile it is, you can use the indicator by going to the indicator tab on mt5 and then clicking it to add on your screen.

Open up all the pairs on your broker and see the number of their ATRs and choose your pairs from their.

You should also pay attention to the trend is it up or down or the market is consolidating, that'll help you too.

 

[Ganibade]

Based on the information given, take into consideration the following important factors to maximize day trading in the Forex market using volatility-driven strategies:
Pay special attention to currency pairs that experience large daily price fluctuations (pips).

To help determine possible volatility levels, use Average True Range (ATR), which computes the average daily range for each pair.
Using the Indicator tab in MT5, add the ATR indicator.
Compare the ATR values of several pairs at once and identify the ones with more volatility.

Examine the trends in each pair to see if they are trending up, down, or in a sideways direction (consolidation).
Compared to flat markets, trending markets have greater options.
By using these procedures, traders can consider both trend direction and volatility when narrowing down their options to potentially successful currency pairs.

 

[FinTrader]

Not every trader will be able to trade highly volatile instruments. Here you can make good money and quickly lose your deposit. Therefore, it is better to choose trading instruments that are not very volatile. But when you have a positive trading experience, then you can increase risks and profits by trading more volatile pairs.

 

[Mary Frederick]

Many traders rely on gambling but they should know that it is a technique but not a proper way of trading. But it's not a proper way of trading. FXOpulence offers the facility of using multiple accounts at a time so traders can easily follow this trading technique with the broker.

 

[FinTrader]

I agree, excitement has no place in trading. We need an accurate calculation and analysis of the market situation. Only your own trading strategy, built to find accurate entries according to some rules and conditions, will help with this. Therefore, you need to trade only according to this algorithm of actions, without violating it. And if you trade with a real and honest broker like fxopen, you will always know that the profits earned will be withdrawn quickly and trading conditions will ensure comfortable trading.