XM Trading: How to Win by Trading Daily and Weekly Directions


Many people are thinking of starting scalping trading using XM. It is said that XM is not suitable for scalping. A narrow spread is important for scalping, but in the case of XM, the spread is wide and it is not suitable.


Scalping involves a large number of trades, so the spread that always occurs in each trade greatly affects the final profit amount. Narrow spreads are the most important thing in scalping, but they are not very suitable for XM.

Currency PairXMTradingExnessThreeTrader
USD/JPY1.6 pips1.1 pips0.5 pips
EUR/JPY2.3 pips1.9 pips0.8 pips
GBP/JPY3.6 pips2.0 pips1.3 pips
AUD/JPY3.3 pips2.1 pips0.7 pips
EUR/USD1.7 pips1.0 pips0.7 pips
GBP/USD2.1 pips1.2 pips0.9 pips
AUD/USD1.8 pips1.4 pips0.7 pips

As you can see from the table, XM spreads for all currency pairs are wider than ThreeTrader and Exness. It is said that XM is not suitable or difficult for scalping because the spread of XM cannot be said to be narrow.

However, the above is based on the assumption of a standard account. If you only have your own funds and do not need a bonus, there is a KIWAMI account or a zero account, which makes it possible to make the spread extremely narrow. You can see that the spread difference is obvious. If the spread is so narrow, you will be able to trade profitably even with scalping, which has a large number of transactions.


Trading methods suitable for XM

As mentioned above, scalping is not suitable at all. Suitable for day trading or swing trading.

day trade

Day trading is an investment method in which a financial transaction is completed by buying and selling the same stock within a day. A day trader is an investor who trades during the day. It is a style of investment that is completely different from the general investment strategy that profits from long-term price fluctuations. We check small movements in the market and make profits by repeating multiple assets such as stocks, bonds, and real estate products with short-term settlement over and over again.

swing trade

Swing trading is a method of buying and selling stocks in a short period of time from 2 to 3 days to several weeks. Instead of investing in the medium- to long-term, we always sell stocks and secure profits when we have a short-term perspective. There is not much need to analyze corporate performance or overall market trends, and technical indicators and charts are emphasized.

how to win at trading

Whether it is a swing or a day trade, it doesn’t start without knowing how to plan first. How can we win?

That is to confirm the direction of the daily and weekly charts. Check out the overall big direction.

For example, in the above case, you can see that it is definitely a downward gaze. In other words, if you trade, you should aim to sell. If it is above, it will be a buying line.

It is necessary to know the overall direction to win in day trading and swing. It is important to trade according to the overall direction. The reason is that eventually it will converge in the direction of daily and weekly.

Opportunity when moving in the opposite direction

As an entry timing, it can be said that the opportunity is when the movement opposite to the overall direction occurs at 300 pips, 400 pips. After that, the chart will converge in the overall direction, so the chart will naturally flow in the direction of the daily chart. Even after 300 pips and 400 pips move in the opposite direction to the overall direction, if it continues to go backwards, it is necessary to wait for a trend change or a little longer.

When trading, let’s enter according to the direction of daily and weekly. On the contrary, it is an entry opportunity after a big movement has occurred.

80% of the chart is range market

When the trend is out, you can win just by riding the flow, but when the trend occurs, it is said to be about 20% of the total. Others generally follow the flow of going up and coming back down. Therefore, always look at the daily chart, is it a range today? Is it a trend? By watching every day, it is important to cultivate your sensitivity. In the case of a range market at the daily level, the same flow will be repeated with a high probability. If you break the range band, just surrender yourself to the flow and it’s OK.

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