2025-09-18
Foreix, or FX, is the world's largest and most liquid financial market. For traders entering this space, one of the most enduring questions is how to make sense of the constant movement of prices. This is where Technical Analysis of the Currency Market by Boris Schlossberg finds its place.
The book was written with a clear purpose: to provide traders with a structured way to apply technical analysis specifically to currencies.
While many trading books focus on equities or commodities, Schlossberg's work highlights the unique characteristics of FX and delivers strategies that are immediately applicable to real markets.
It is designed primarily for intermediate traders—those who have already learnt the basics of charts and indicators but need a framework to develop structured setups. Beginners, however, will also find the explanations clear enough to gain a solid foundation.
Boris Schlossberg is not only a trader but also a widely respected strategist and educator. He has held senior positions in trading firms and brokerages, where he specialised in foreign exchange markets. Beyond practice, he has spent years teaching traders, commenting on markets, and contributing to the wider financial community.
What makes his voice distinctive is a balance between technical precision and accessibility.
He avoids unnecessary jargon, instead focusing on clarity and practical application. This style carries directly into Technical Analysis of the Currency Market, which feels like both a teaching guide and a reference manual.
The FX market operates twenty-four hours a day and involves banks, institutions, hedge funds, and retail traders. Its sheer size and liquidity make it both attractive and intimidating.
Unlike equities, currencies are traded in pairs, meaning one currency is always valued against another. This dual nature creates opportunities for strategies based on relative strength, momentum, and range.
One of the main reasons technical analysis is so prominent in FX is that currencies are influenced by countless variables—economic releases, central bank policies, geopolitical events, and market sentiment.
Fundamentals are essential, but short-term price movement often follows patterns that technical traders can recognise and use.
A question often asked by traders is whether markets are random or predictable.
Schlossberg addresses this debate by recognising that while markets may appear chaotic, they also display recurring patterns. Price behaviour tends to repeat because traders react in similar ways when faced with familiar situations.
The book stresses that technical analysis is not about certainty but probability. No pattern guarantees an outcome, but when used correctly, technical tools help traders tilt the odds in their favour.
By treating markets as a field of probabilities rather than fixed rules, traders can adopt a more realistic and resilient mindset.
A major strength of Technical Analysis of the Currency Market is that it does not limit itself to charts and indicators. Schlossberg devotes attention to the trader's mindset and the importance of risk management.
Capital preservation is emphasised as the first rule of trading. Without proper position sizing and protective stops, even the best technical setups can end in failure.
Alongside this, the book underlines how emotions such as fear, greed, and overconfidence undermine consistent execution.
By combining risk management principles with psychological awareness, Schlossberg highlights the often-overlooked truth: success in trading comes less from prediction and more from discipline.
The book then moves into its technical heart: the tools that traders can apply directly to FX charts.
Trend-following indicators such as moving averages and breakouts are presented as ways to identify directional markets.
Oscillators like RSI, MACD, and CCI are explained as tools for range-bound conditions, helping traders spot overbought or oversold signals.
Fibonacci retracements and extensions are introduced as methods to map corrections and potential targets, though with caution about their misuse.
Chart patterns—from classic reversals such as head-and-shoulders to continuation shapes like flags and wedges—are covered with practical examples, alongside warnings about "antipatterns" that often mislead.
By explaining not only how these tools work but also when to apply them, the book offers readers a structured approach to technical trading.
Moving from theory to execution, Schlossberg provides trade setups designed for real-world application. He encourages traders to select strategies that align with their personality, recognising that what works for one trader may not suit another.
Traditional rules such as maintaining a 2:1 risk–reward ratio are questioned, with the argument that flexibility and context often matter more than rigid formulas. Practical examples include:
Using Bollinger Bands to identify breakouts or exhaustion points.
Employing volatility stops for managing entries and exits.
Developing trend exhaustion setups to anticipate reversals.
The book also distinguishes between scalping and swing trading, showing how the same principles can be adapted to different timeframes and trading styles.
With countless trading guides available, Technical Analysis of the Currency Market stands out because it is written specifically for FX. Rather than presenting generic indicators, Schlossberg frames his explanations in the context of currency pairs, volatility, and liquidity.
Equally important is the integration of technical tools with psychology and money management. Many books address these themes separately, but Schlossberg weaves them together, reflecting the reality that trading success requires all three.
Another distinction is its emphasis on practicality. Instead of overwhelming readers with dozens of obscure indicators, the book focuses on a manageable set of tools, explaining not only how they work but when they work best.
This is not a book to read once and set aside. Traders can return to it repeatedly, consulting chapters on trends, ranges, or setups as their trading journey progresses. The glossary offers quick definitions for technical terms, while the charts serve as visual reinforcements of key ideas.
For those building a personal trading plan, the book can act as a cornerstone, guiding not just strategy design but also mindset and risk control. In this way, it becomes a long-term companion for growth in the FX market.
1. What is the central focus of Boris Schlossberg's book?
It teaches traders how to apply technical analysis specifically to currency markets, blending tools for trends and ranges with risk management and psychology.
2. How does this book differ from standard technical analysis texts?
It is tailored to FX rather than equities or commodities, offering practical setups and examples based on currency pairs.
3. Who benefits the most from reading it?
Intermediate traders seeking structure will find it most valuable, but beginners can also benefit from its clear explanations.
4. Does the book provide guaranteed strategies?
No. It stresses probabilities, discipline, and risk control. The value lies not in certainty but in improving the odds of consistent success.
Technical Analysis of the Currency Market by Boris Schlossberg is more than a technical guide—it is a practical roadmap for navigating the world's most dynamic market.
By blending indicators, strategies, psychology, and money management, it equips traders with the tools to approach FX with structure and discipline. For those serious about trading currencies, this book remains an invaluable resource.
Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.
