This presentation describes the basics of Grid Trading as a popular method to make profit on the Forex markets. It also shows a couple of Grid Trading examples (including charts) to illustrate its points better.

1. WHAT IS GRID TRADING?

2. Grid Trading is a particular trading approach popular on the Foreign
Exchange (Forex) markets. It is characterized with opening of multiple orders
at (usually) preset levels (called grid lines) as the price action develops.
Basically a trade is executed on every N pips (points) the price has moved.
Depending on the type of the grid system chosen it can be a buy trade, a sell
one or both at the same price level (creating the so called "hedged" position).

3. The name of Grid Trading comes from the specific positioning of the
trades on the chart. In its most popular form the trades are placed at fixed
distance from each other and if you draw a line on where every trade is
executed, it looks like there is a grid of trades on the chart :
--->

4. Example of Grid Trading with long grid on GBPUSD.

5. There's nothing mysterious about grid trading, there's no big secret
behind the scenes. It is really just placing a series of trades as the price
action develops. Executing long (buy) trades creates a long grid, short
(sell) ones - a short grid, and both shorts and longs - a hedged (classic)
grid. And that's it; this is the grid trading technique.

6. Of course to be profitable, to be consistently profitable with grid trading you
need much more than this. You need to select proper settings for your grid
according to the market you are trading, you need to have a solid risk
management, you need well thought money management and so on. All the
"little" things that turn a trading technique into a successful, profitable system.
The same things that any other trading system must have as well…

7. As mentioned earlier Grid Trading is most popular on the Forex markets
- in fact you can often read about it being referred to as Forex Grid Trading.
However there's no limitation on the type of market you can use it with. It can
be successfully traded on virtually any financial instrument out there - for
example it also performs very well on futures and indices. In other words Grid
Trading is a truly versatile system.

8. Ok, so, is Grid Trading profitable? Short answer - yes, definitely, Grid
Trading is a profitable, time-proven trading system. Need proof yourself?
Please take a look at the results published on our website
GridTradingCourse.com. Clear and verifiable results. Full brokerage
statements included, some trading sessions even recorded on video:
Grid Trading Results

9. Find more articles, videos and further information about Grid Trading here.
Full text of this article:
http://www.gridtradingcourse.com/articles/what-is-grid-trading.php