According to the technical analysis of currency or equity movement, price actions take place casually with a certain trend component. This fact is based on scientific researches and bears high importance for those traders who desire to trade using rational scientific approaches. This means that every attempt to trade in short term patterns should be made only in accordance with a currently developing trend. Otherwise, an unprepared attempt to trade ignoring the current trend and indicator signals is doomed to failure. It explains why the intraday trading is quite a difficult task to obtain high profit in a short period of time. The shorter time limit is taken the less evident is a trend component there.

The Forex charts of different time intervals often look similar. Thus, five minute charts have a similar pattern with hour charts, daily, weekly and monthly ones. This similarity makes some traders think they may use the same Forex trading strategy for different time intervals. Very often the oscillators and other trade indicators allowing to earn good money in a long term are not applicable for short term intraday trades. This phenomenon takes place as a trend component is too short and it is required to use highly efficient methods to obtain decent profit there.

In long term trading you may give your profit an opportunity to run. It comes naturally, otherwise such a trading may not be considered as a long term one. In intraday trading you may allow your profit to run only till the end of the day. As a result your average profit will probably be less the profit that runs during several days, weeks and even months. At the same time, however, such important factors as broker commission, spreads, mistakes remain at the same level. It means that your intraday trading system needs to be based on more efficient principles than a mid or long term trading strategy. These requirements are met with the help of several methods.

A successful method for intraday trading should be grounded on those features of price actions that do not imply casual movement principles. All types of markets tend to form trends, a feature basically used for trading. That is why every Forex trader operates the knowledge of trend behavior. During intraday trading the trends capable to bring high profit do not appear very often definitely, not every day. That is why those people aspiring to carry out trades every day without using the abovementioned techniques may make losses.

Some well qualified Forex pros work with intraday trading using the trading system of about five time trade per month, making the essential part of their profit out of efficient long term strategy. For them intraday trading is just a way to add some diversification into their life. Really high profit is frequently brought due to long term follow the trend system. Many traders notice the fact that a considerable profit may be obtained holding the position for a long period. If a signal is really strong, it should last not less than several hours.

Author's Bio: 

Dennis Vydrin of Forex Ltd. is an experienced expert in Forex trading. Please visit http://www.forexltd.co.uk