G’day,
My name is Chris and I am from down under. This little space on the internet I have set aside for the purpose of recording my personal trading blog.
To test my new strategy I am running a 30 day demo account with a $5,000.00 balance @ 200:1 Leverage (For me personally this would be to minimum amount in which I would start trading the FX market) Because I work a fulltime job I can only trade between the hours of 5PM – 6PM EST as well as 4:00AM – 9AM EST. Basically I use just a daily chart and the momentum indicator. Originally my intention was to use single lot trades to make around 20 pips a day per trade which was working fine from the start. By midweek I started to think that if tradable signals can be generated regularly then making less pips may prove to be more profitable and less stressful.
EXAMPLE: EUD/USD 3 PIP SPREAD
1 <?xml:namespace prefix = st1 ns = "urn:schemas-microsoft-com:office:smarttags" /><st1
lace>LOT</st1lace> x 20 pips (inc Spread) = $17.00<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" /><o></o>
3 LOTS x 10 pips (inc Spread) = $21.00
Extremely obvious and self explanatory I know, but now instead of trying to find an opportunity to create 20 pips I now only need to get 10. So as capital grows, so does the lot size and as the pip requirement goes down the profit level goes up. (and so the higher risk for loss)
I was going to start this thread at the beginning of last week, but due to being engrossed in the FX market did not. However, I am starting to record now and have included WEEK #1 Trades and accompanying Account Value Report & Realized Profit & Loss Report. I will attempt to list my trades ASAP on my blog here. (but cannot guarantee it) Any that I do list live or in advance I will attach something identifiable to it.
My aim now is to enter as many trades with enough lots to give me a delicious profit with less pips and less time.
DO NOT TRADE ANYTHING I WRITE WITH REAL MONEY USING A LIVE ACCOUNT: PROMISE ME !!
A SHORT HISTORY:
I first came to hear of Forex around eight months ago after attending a seminar. I went away all excited with these wonderful dreams and to be at last financially independent. I mean to say the guy at the lecture said that if I invested $10,000.00 I could make $66,000.00 in 12 months. ( that got “GREED’S” attention) I mean how hard could it be it’s only buying and selling. I was told all I need to do was spend 10 mins a day to put trades on then go away and then come back to collect oodles of profit. SIGN UP tonite for the special price of $3,000.00 (I didn’t even have 20 bucks to spare) So off I went secure in the notion that I could work it out all myself, and that I would be a zillionare in a matter days.
First I needed to learn what the FX market really was and even what did OHLC stand for, and what is a candlestick chart, and woo look at all those indicators that will make me a zillionare. I opened a demo account and read articles on the net till my eyes fell out. I started to trade I was going to be financially secure and drive a red sports car. Anyhow the reality being I learnt very quickly how to lose money and thankfully just play money. I cannot remember how I really traded back then, but it was bad and probably relied on every indicator invented. However the odds were in my favour, by sheer volume of trades I was able to make some dollars. So let’s open a live account. It’s only $250.00 and I just won’t use it ( that lasted around a week) Within a week I had to deposit another $250.00 and by the end of the month it had risen to $1,000.00 and by the end of next month it was down to a balance of $113.00 with my position $660.00 in the loss column on a bad EUR/JPY trade (I can do this I am invincible … WRONG!!) I walked away from it for around two months and still had the desire to master this form of trading. So I opened the platform and just watched the screen, the prices, and the news for hours, days and weeks. I started seeing patterns in the charts and read about the relationships between open and closing figures. By looking at a glance to know exactly a particular pair was doing and how one pair’s performance affected another’s. It was time to go live again, so armed with a credit card full of cash I didn’t have I entered in with another grand. I quickly started making profit, but still neglected stops and the carry trades started to rack up. I had my account upto around $2500.00 then for some reason the market moved against me … like a tsunami, an unstoppable force, the only thing that could stop it would have been if a meteorite had hit the earth at that very moment (even then I don’t the market would have reversed for me) my account was gone, finitto, vanquished, beaten and eradicated. Funnily enough though I took it in my stride (oh well that’s it let’s move on) and just went about my business. I went away and got serious with myself. I had to discipline myself in four areas. (I will no doubt add more areas in the weeks to come)
1. Doh! Trading the FX market is a serious business. Protect my position at all costs. Use stops (I know the – symbols look messy on a profit report) but a $30.00 LOSS in the short term is far better than a few hundred dollars LOSS in the future or even worse losing everything! (the scenario of my wiping out above was due to the fact that I could have saved my position if I had taken a $2.00 loss on GBP/USD before it went to Pluto) Use strategy, use discipline, use intuition, but first and foremost USE A STOP LOSS. (Would I not use a condom?)
2. Overcome the ENEMY – FEAR & GREED
Be like the gambler “Know when to hold em …. Know when to walk away”
A bit of profit is far better than no profit. Right?
3. Read the charts everyday, study them, know what’s going on. Every candle tells a story. Three candles can create a masterpiece. USE PIVOTS. Draw the support and resistance lines on my charts. Chart the movement of the $USD on a 30 minute US DOLLAR INDEX CHART (NYBOT-DX)
4. Plan a strategy. Type it out. STICK TO IT!! and DEMO TRADE IT FOR MONTHS (Beware of #2)
OK. That’s my bio blog (A bit of how not to trade FX). This what happened to me (I might be the only one for all I know hehe)
DON’T ALLOW IT TO HAPPEN TO ME - DON’T TRADE REAL MONEY USING IDEAS ON THIS THREAD.
The above is personally written to me to remind me of what I need to do to succeed. The successful trades and use of this forum are to motivate me to get up early every trading morning (6AM Australian Time – 5PM EST) and read my charts, apply the above … check out the buzz on the forum and be well prepared on what to buy, sell or not to trade on the forthcoming days candle.
On with the demo trades:
My name is Chris and I am from down under. This little space on the internet I have set aside for the purpose of recording my personal trading blog.
To test my new strategy I am running a 30 day demo account with a $5,000.00 balance @ 200:1 Leverage (For me personally this would be to minimum amount in which I would start trading the FX market) Because I work a fulltime job I can only trade between the hours of 5PM – 6PM EST as well as 4:00AM – 9AM EST. Basically I use just a daily chart and the momentum indicator. Originally my intention was to use single lot trades to make around 20 pips a day per trade which was working fine from the start. By midweek I started to think that if tradable signals can be generated regularly then making less pips may prove to be more profitable and less stressful.
EXAMPLE: EUD/USD 3 PIP SPREAD
1 <?xml:namespace prefix = st1 ns = "urn:schemas-microsoft-com:office:smarttags" /><st1
lace>LOT</st1lace> x 20 pips (inc Spread) = $17.00<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" /><o></o>3 LOTS x 10 pips (inc Spread) = $21.00
Extremely obvious and self explanatory I know, but now instead of trying to find an opportunity to create 20 pips I now only need to get 10. So as capital grows, so does the lot size and as the pip requirement goes down the profit level goes up. (and so the higher risk for loss)
I was going to start this thread at the beginning of last week, but due to being engrossed in the FX market did not. However, I am starting to record now and have included WEEK #1 Trades and accompanying Account Value Report & Realized Profit & Loss Report. I will attempt to list my trades ASAP on my blog here. (but cannot guarantee it) Any that I do list live or in advance I will attach something identifiable to it.
My aim now is to enter as many trades with enough lots to give me a delicious profit with less pips and less time.
DO NOT TRADE ANYTHING I WRITE WITH REAL MONEY USING A LIVE ACCOUNT: PROMISE ME !!
A SHORT HISTORY:
I first came to hear of Forex around eight months ago after attending a seminar. I went away all excited with these wonderful dreams and to be at last financially independent. I mean to say the guy at the lecture said that if I invested $10,000.00 I could make $66,000.00 in 12 months. ( that got “GREED’S” attention) I mean how hard could it be it’s only buying and selling. I was told all I need to do was spend 10 mins a day to put trades on then go away and then come back to collect oodles of profit. SIGN UP tonite for the special price of $3,000.00 (I didn’t even have 20 bucks to spare) So off I went secure in the notion that I could work it out all myself, and that I would be a zillionare in a matter days.
First I needed to learn what the FX market really was and even what did OHLC stand for, and what is a candlestick chart, and woo look at all those indicators that will make me a zillionare. I opened a demo account and read articles on the net till my eyes fell out. I started to trade I was going to be financially secure and drive a red sports car. Anyhow the reality being I learnt very quickly how to lose money and thankfully just play money. I cannot remember how I really traded back then, but it was bad and probably relied on every indicator invented. However the odds were in my favour, by sheer volume of trades I was able to make some dollars. So let’s open a live account. It’s only $250.00 and I just won’t use it ( that lasted around a week) Within a week I had to deposit another $250.00 and by the end of the month it had risen to $1,000.00 and by the end of next month it was down to a balance of $113.00 with my position $660.00 in the loss column on a bad EUR/JPY trade (I can do this I am invincible … WRONG!!) I walked away from it for around two months and still had the desire to master this form of trading. So I opened the platform and just watched the screen, the prices, and the news for hours, days and weeks. I started seeing patterns in the charts and read about the relationships between open and closing figures. By looking at a glance to know exactly a particular pair was doing and how one pair’s performance affected another’s. It was time to go live again, so armed with a credit card full of cash I didn’t have I entered in with another grand. I quickly started making profit, but still neglected stops and the carry trades started to rack up. I had my account upto around $2500.00 then for some reason the market moved against me … like a tsunami, an unstoppable force, the only thing that could stop it would have been if a meteorite had hit the earth at that very moment (even then I don’t the market would have reversed for me) my account was gone, finitto, vanquished, beaten and eradicated. Funnily enough though I took it in my stride (oh well that’s it let’s move on) and just went about my business. I went away and got serious with myself. I had to discipline myself in four areas. (I will no doubt add more areas in the weeks to come)
1. Doh! Trading the FX market is a serious business. Protect my position at all costs. Use stops (I know the – symbols look messy on a profit report) but a $30.00 LOSS in the short term is far better than a few hundred dollars LOSS in the future or even worse losing everything! (the scenario of my wiping out above was due to the fact that I could have saved my position if I had taken a $2.00 loss on GBP/USD before it went to Pluto) Use strategy, use discipline, use intuition, but first and foremost USE A STOP LOSS. (Would I not use a condom?)
2. Overcome the ENEMY – FEAR & GREED
Be like the gambler “Know when to hold em …. Know when to walk away”
A bit of profit is far better than no profit. Right?
3. Read the charts everyday, study them, know what’s going on. Every candle tells a story. Three candles can create a masterpiece. USE PIVOTS. Draw the support and resistance lines on my charts. Chart the movement of the $USD on a 30 minute US DOLLAR INDEX CHART (NYBOT-DX)
4. Plan a strategy. Type it out. STICK TO IT!! and DEMO TRADE IT FOR MONTHS (Beware of #2)
OK. That’s my bio blog (A bit of how not to trade FX). This what happened to me (I might be the only one for all I know hehe)
DON’T ALLOW IT TO HAPPEN TO ME - DON’T TRADE REAL MONEY USING IDEAS ON THIS THREAD.
The above is personally written to me to remind me of what I need to do to succeed. The successful trades and use of this forum are to motivate me to get up early every trading morning (6AM Australian Time – 5PM EST) and read my charts, apply the above … check out the buzz on the forum and be well prepared on what to buy, sell or not to trade on the forthcoming days candle.
On with the demo trades:
" THE BRAIN IS LIKE A PARACHUTE ... WORKS BEST WHEN OPEN "
Bright and early Monday morning a long time enemy came to visit. Mr Greed with that inner demon with and his money bulging eyes had spied my profit and wanted to take it all away. The first effect of greed is that I all of a sudden threw all my strategy out the window. A quick check of the charts (without actually checking them) and I jumped into the market. Simple 3 lot trades spiralled into 6 or more. Stoopid is as stoopid does .. 
