Forex: Six new trading strategies for 2022

Forex, or foreign exchange, is the largest and most liquid financial market in the world – but the key to success is strategy.

By Graham Walker

Trading in the world’s financial markets requires a making a choice between buying or selling a certain asset class.

There are a variety of trading methods that can speed up the process of sorting through this information and making a trading choice.

The sheer number of trading tactics and techniques can be intimidating to even the most experienced traders.

Experts Admiral Markets in this article highlight six new Forex trading strategies which they say traders should add to their arsenal in 2022.

1.EUR/USD trading strategy

Monday through Friday, the currency market is open to a wide range of market situations, including uptrends, downtrends, and ranges that move sideways. Bollinger Bands are a popular tool among EUR/USD forex traders for this same reason.

As well as markets that are quiet and often moving laterally, Bollinger Bands may also be used to identify markets that are showing more volatility and are poised to trend in a specific direction.

2.Price action trading

Candlestick charts are commonly used in price action trading to predict when price changes will take place. Consequently, it is better suited to those who are searching for a more simplified trading platform according to Avatrade, a leading forex brokers in the UK.

Investors must wait for a price breakout before trading in their currency; then, when a movement occurs, the investment is traded in the opposite direction of the breakout (ideally for a profit).


When it comes to Forex, scalping may be a more stressful approach because it involves quick reactions. On the other hand, scalping may be a less dangerous trading strategy because scalpers focus on making tiny, consistent profits rather than large sums of money from their positions.

By using price maps, investors may get the best results out of scalping transactions by properly predicting trading patterns and swings.

4.Order block trading

Banks and financial institutions frequently employ order block training as a Forex trading strategy. Many investors will be looking at Forex trading in 2022 as a way to diversify their portfolios with this technique.

A rather regular occurrence on the charts is order block trading’s cue to look for consolidation. It’s common for stockpiled orders to generate price volatility.

With order block trading, investors seek out chart consolidation, which happens regularly. It’s common for stockpiled orders to generate price volatility, and in the process recognising order blocks will increase the overall viability of your trades.

5.Swing trading

Swing trading, also known as momentum trading, is a medium-term trading strategy that tries to take advantage of larger market fluctuations. When the market is correcting, swing traders should be prepared to maintain overnight positions in order to take advantage of this opportunity.

If you are a short-term trader, you’ll likely focus on buying and selling on the basis of momentum indicators. Overbought and oversold markets can be identified using these indicators.

6.News trading

Traders in the financial markets frequently keep tabs on economic calendars for important data releases. They then keep a tight eye on the market in the lead-up to the event in order to identify critical levels of support and resistance, so that they can act promptly in the wake of the results.

Keep in mind that news traders in fast-moving currency markets must maintain rigorous discipline and frequently set stop-loss and take-profit orders in the market.

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