What to do if the market is flat?

Many traders wonder whether it's possible to trade during a flat market or whether it's better to postpone trading until it's over.

There are quite a few answers to this question, so every trader can choose the most appropriate solution.

A flat market is characterized by virtually no vertical price movement, with the rate remaining relatively unchanged for a long period of time. How can you make money during such periods?

1. Change your trading instrument – ​​it's clear that trading one currency pair is more familiar, but why not try other trading instruments, since a flat doesn't occur simultaneously across all currency pairs.

Using the right approach can even increase trading efficiency. For example, if EURUSD is flat, it means each of the currencies making up the pair is stagnant. Therefore, if EURJPY is trending upward , this only indicates a depreciation of the Japanese yen, and you can safely open a buy trade on EURJPY.

2. A bonus for scalpers: flats vary; sometimes the price channel width is just a couple of pips, while other times it can be as wide as 10-15. During these periods, the price moves quite predictably, and you can easily gain 3-5 pips from each trade.

3. Pending orders: Typically, after a long lull, a sharp price jump occurs, providing an excellent chance to earn several dozen pips.

To do this, first determine the upper and lower boundaries of the flat price channel, step back 10 pips, and place two orders in opposite directions, keeping in mind the stop loss .

After one order is triggered, the second can be closed, and the stop loss on the triggered order can be moved to the breakeven zone.

Some traders are just waiting for this kind of market condition to put their trading strategy into action, so during a flat market, you shouldn't put off trading and miss your chance to win.