Seasonal financial Trading actually work?

Friday, December 10, 2010

Many of us are curious as to how and why the markets move as they do. Some so-called experts will say I never win markets are purely random.

However it is really true? They really say that financial markets are unaffected by the classic human behavior. Purchases ultimately are not the same computer driven, of course, can be automated for trade entries and exits but at the end of the day is still a man who will make the decision to buy or sell a particular market. And as we all know, humans are prone to make decisions based on greed and fear.

Some very interesting studies completed during the years in the so called seasonal trading.

Seasonal trade studies the market movements, which attempts to derive the trends of these movements sometimes every month, a daily, weekly, quarterly, or yearly basis. However there is something really in this analysis?

From the examples we have seen should say "Yes". From market virtually every study is fairly easy to see some clear and repetitive trends from the pre Christmas increases seen in many indices from October until the end of December through with basic products bought and sold at key times a year.

So if there is all this proof seasonal movements because not everyone use it?

Quite simply because they are just another tool for a trader to use, and many merchants have a firm idea of their own minds as to what works and what doesn't.

Many traders Forex market transactions only, believing that it is the only market to trade. Others may like to trade indicators such as the Dow Jones or FTSE100. Others love to trade shares and some base there are decisions about fundamentals or technical analysis, and indeed many not care what their trading market or company.

So you can see very quickly with so much information out there, that it is no wonder why seasonal trading isn't given much air time. All we say is have a look yourself and make up your own mind. Perhaps pleasantly surprised what you find.

The best products to take advantage of seasonal trading products financial fixed odds offered by companies like betonmarkets and also binary betting and Boolean options.


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