The Equilibrium, a key to success!

New video scalping



Hello Lem,

Regarding the question of my future video translations, first of all thank you very much for your great feedback, it will definitely help me. From my point of view, the distribution of the 3 trading styles in the retail area could look like this:

Swing trading: 30%, Day trading: 60% and Scalping: 10%

Scalping is the least used strategy as it requires a very fast response time due to the fees and costs, which is why it is also known as the Formula 1 of trading. With all 3 trading styles I can earn and lose money equally. Effective risk management is crucial, because first and foremost, every trader should secure his account as well as possible. The leverage, the position size but also the value of pips per minute play a decisive role. For day traders and scalpers, momentum is more important than for a swing trader who wants to take a complete sequence of movements with them. Many retail traders also use several strategies in order to adapt to the respective market conditions. This is also strategically wise, as the market never aligns itself with us.

What you wrote: I have previously noted, the sheer volume of simply outstanding information you post boggles the mind. I truly don't know how you do it!

I feel very honored and would like to answer you. When I started trading, earning a lot of money was not my primary goal, as I had already done this as a self-employed person for over 20 years. The challenge of having a realistic chance against the best traders in the world with the help of probabilities fascinated me much more. For this reason, I have spent a lot of time over the years to get an even deeper market insight and thus to optimize my strategies. With the stock market data two years ago, the breakthrough finally came. The decisive factor was the approach of the big players, the programming of their algorithms and how they react to special market changes. If you put the optimal probabilities of the different strategies, setups and money management on top of each other, the best opportunities arise. In contrast to the lottery, we are not dealing with random probabilities here, as the big players repeatedly use certain price regions to carry out their strategies. As soon as these price zones have been burned, new zones are created and used until these too are unusable. Then the game starts all over again.

What fascinates me is the accuracy with which the big players stop all traders (scalpers, day traders and swing traders) or limit their profits. The big players know that almost all traders look to the past. This creates fictional zones where retail traders keep making the wrong decisions. Comparable to a spider web, which is not clearly recognizable due to the color reflections. What we see in the chart and what we derive from it is not reality, but a strategic trap of the big players. You can stop the course exactly on the pipette and thus create zones that give us retail traders a deceptive certainty as to where the course will go next. And we fall into these traps again and again and have done so for many decades.

I created the best course of action for me from the different probabilities.



As you rightly noticed: this way definitely works if you keep other crucial things in mind. Since a course can only go up or down, this results in a deceptive probability of 50%. This is a false security, because spreads and our stops reduce this probability to only 10%. Many market participants who claim that trading is easy should keep in mind that 90% of all traders are not profitable. And that is not because these traders are stupid, but because the big players present the price developments in such a way that everyone thinks they know where they are going next. The more certain a trader is, the less likely his forecast is.

And that's exactly why I find the strategies of the big players so fascinating.

Kind regards Michael

One of the most interesting aspects for me now, is to hear that you use all three aspects of trading. I was about to say that this is now very unusual for myself, as I concentrate solely on scalping but suddenly realised that I don't...in fact I still do occasionally use all three.

However, the key difference I feel will be that I am not doing so in any kind of formal, structured way, instead being used purely when I happen to come across a set up that is sitting and begging to be taken.

How efficient is this? Lol, probably not very. However, as the vast majority of my trades will continue to be scalps, then I will always see the other styles as jam-on-top. In fact, it will be a rare time when I will not also be stacking into those longer running trades with scalps also, as the market breathes to-and-fro.

Regards,

Lem.

Hello Michael

I concur with Lem - "Another perfect round up of another tactical aspect of trading".

I like downloading your videos and then looking at them.

"the sheer volume of simply outstanding information you post boggles the mind" - due to my past economic activities I understand the EFFORT you put in.
What furter boggles the mind is that you actually FREELY shares your work - I for one appreciates that.

The following is so true :

"Many retail traders also use several strategies in order to adapt to the respective market conditions. This is also strategically wise, as the market never aligns itself with us."

"What fascinates me is the accuracy with which the big players stop all traders (scalpers, day traders and swing traders) or limit their profits. The big players know that almost all traders look to the past. This creates fictional zones where retail traders keep making the wrong decisions. Comparable to a spider web, which is not clearly recognizable due to the color reflections. What we see in the chart and what we derive from it is not reality, but a strategic trap of the big players. You can stop the course exactly on the pipette and thus create zones that give us retail traders a deceptive certainty as to where the course will go next. And we fall into these traps again and again and have done so for many decades.

Looking forward to your next video.

Mos

Scalping, only scalping


Hello Lem,

the jam-on-top is exactly the right name if you let a trade run longer than you actually planned. I am also primarily a scalper and my average trading times are between 30 seconds and 3 minutes. I am rarely in the market for more than 3 minutes because I always watch my pip per minute. As soon as this value is below 1.5 pip, my risk factor is higher than planned. There should be an Expert Advisor / trading panel that takes this pip value per minute into account as soon as you are in the market. That could take scalping to a new level. I have many ideas how to build this indicator, unfortunately I don't have many years of experience in programming mql4.

Maybe this could be an interesting project one day.

Kind regards Michael

The big player's spider web



Hello Mos,

Thank you very much for your kind words, I am happy to do the effort, as it helps us all. This blog was initially created as a kind of trader's diary, primarily I wanted to document my own further development. When I read through my old articles, I realize that I was wrong in some areas. That helps me to make better decisions today and get on with it. The big players are also developing rapidly, as you could see in Goldman Sachs last year. I'll go into that in my new video coming out at the end of this week.

https://www.youtube.com/channel/UCCbLbn45yzsD2soUtb0CTqA


When I opened my blog at Forex Factory 3 years ago, I chose the name Bionics. Bionics is based on the assumption that living nature develops optimized structures and processes from which humans can learn. The earth is almost 4.5 billion years old and during this time nature has developed incredible things that we are already benefiting from today. A well-known example of this is Leonardo da Vinci's idea of transferring bird flight to flying machines. Or let's think of dragonflies and the helicopter. The lotus effect was also brought into our lives by nature, things that clean themselves because no dirt adheres to them. The idea of transferring from biology to technology is the central element of bionics. Anyone looking for a new innovation should always steal from nature. The laws of nature also prevail on the stock exchange, from which we can learn every day.



In the 3 pictures we see the same spider web that was photographed from different perspectives. In the picture on the right we see that from a certain perspective, the light reflections take on the colors of the leaves and the spider's web becomes invisible to the insects. In the Forex market, the course of the course is the spider web. There, situations are created again and again, whereby the retail trader should get a secure feeling of where the course is going next. So we are regularly invited to fly into the spider web. But they have to make us believe that it's not a spider web at all. And that's exactly what the big players have mastered like no other. Trading is not easy, otherwise 90% of traders would not lose their hard-saved money. But there is a way out that helps us retail traders, we just have to change our perspective. However, this takes a lot of time and involves enormous effort. At first glance, the trading screens I have developed look very complicated, but I don't do this for fun or because I have nothing better to do.

I'm just changing my perspective, that's all.

Greetings Michael

With a small laptop against the biggest big players



Hello dear traders,

We hear again and again on the Internet that all you need to trade is a simple laptop to become a millionaire. To what extent this statement is correct, we will investigate in today's article. We'll also take a closer look at the Goldman Sachs approach and how to put together a good trading workstation.

Over 5 million traders around the world sit in front of their laptops or screens every day, hoping for great luck. What most retailers don't see is who they're up against. These big players from large banks and institutions are very professionally positioned. In air-conditioned rooms, countless traders sit in front of the latest screens, which are supported by an armada of analysts. All information is received by the Director of Trading and his strategies are distributed as individual orders to the different traders. It's like an army controlled from one point to hit a specific target. They work with the most modern data centers to send their algorithms into the Forex market. Their strategies are brutal and designed to convey a truth to the 5 million retail traders that really doesn't exist.

Many years ago I dealt with Goldman Sachs, one of the most successful traders in the world. You made profits on 222 days out of an average of 253 trading days. That is a rate of almost 88%. I also looked at their balance sheets and calculated profits and losses from them. Of 100% of the profits that you collect, you only have to give up 6.4%. The profit rate is thus over 93.6% and that on average over the last 11 years. Their expected value averages $ 45 million per trading day regardless of whether they win or lose. The average profit factor is $ 20. That means you risk $ 1 for a win of $ 20. Those are incredible values. Since the big players don't work with stops, I determined the CRV value from the loss days. On average, the CRV value is well above 2. The hit rate in 2020 was over 90%. And the loss rate is below 10%. This makes Goldman Sachs one of the best traders in the world. In the past eleven years, the profit factor has decreased somewhat, but has now stabilized again in the last year. The CRV value has decreased slightly over the past eight years. In the area of the hit rate, ever better values have been achieved over the past five years. That was also a little bit because of the pressure from the shareholders. At the same time, it has also enabled the loss rate to be significantly reduced in recent years. Due to different influences, the expected value has decreased significantly in the last ten years. However, this was again increased significantly in the last trading year. That means Goldman Sachs is back in the game, even though daily earnings are still 21.5% behind the penultimate five years. Nevertheless, these are exemplary values that hardly any retail trader is likely to achieve. Why is that?

First and foremost, there is a massive imbalance between the big players and retail traders. It would be comparable to a Formula 1 car versus a road vehicle. Of course, you could tune your road vehicle to have better chances, but there is always a special feature in the tuning. First of all, the engine output is increased, the vehicle should be as loud as possible and the design should also stand out. In doing so, the safety aspects, which are much more crucial for a vehicle, are often forgotten. In addition to an optimally coordinated chassis, ceramic brakes and the right tires may be a decisive aspect in order to have enough safety reserves at the decisive moment.

A Formula 1 car manages the sprint from zero to 100 in 2.4 seconds and comes to a stop in 1.2 seconds. A Porsche GT3 RS manages the sprint in 3.3 seconds and comes to a stop after 2.3 seconds. A normal road vehicle goes from zero to 100 in 8.4 seconds and comes to a stop in 3.6 seconds. No matter how hard the Porsche driver tries to tune his vehicle, he will never come close to the values of the Formula 1 vehicle. In principle, this is not necessary either. It is much more important that the Porsche driver achieves better values than the average road vehicle. And that is exactly the crucial aspect in trading. We don't have to be better than the big players, but clearly better than the average trader.

In a race, the driver's driving style is more important than the vehicle. Ferrari hired Michael Schumacher back then because his driving style enabled him to get more seconds than Ferrari would have been able to with the best technical development on the vehicle. Therefore, in my next example, I will award a maximum of 20 points for the driving style and a maximum of ten points for the vehicle. In the case of a multiplication, the maximum value is therefore 200 points.

An inexperienced racing driver with a bad racing vehicle gets 50 points. If this inexperienced driver is provided with an optimal racing car, he can achieve significantly better lap times. The score increases to 100. A top driver with a bad racing car is likely to get the same score. The optimum value can only be achieved if a top driver is equipped with a top vehicle. Let us now transfer these points to a trader. An inexperienced trader will achieve significantly better results with a better workplace than with an unsuitable workplace. And it is precisely for this reason that the right workplace is a decisive factor in order to be successful with it.

Of course, traders dream of making as much profit as possible, but unfortunately the reality is different. 90% of traders actually make losses. Having an optimal workplace is primarily about breaking even. And whoever achieves that belongs to the top 10% of all traders. If you were to tell the traders at Goldman Sachs tomorrow that they can only trade with a cell phone or laptop, everyone can imagine what the future success numbers will look like. For this reason it should seem logical that a good trading workplace can only function with a permanently installed computer. In addition to the right operating system, the screens, the workstation and the right accessories are also crucial.

Today we will deal specifically with the operating system and the screen structure. We will then talk in detail next week about the composition of the workstation and the accessories. Let's start with the Apple operating system. At Apple, the individual components are precisely matched to one another. Apple attaches great importance to the design, which is always an individual view. The susceptibility to viruses and malware is significantly lower than that of Windows. When it comes to graphics and image processing, Apple is way ahead. The functionality and way of working with the operating system also have certain advantages. The communication between mobile phone iPad and IMac are second to none. Windows is clearly left behind here. The cloud is also perfectly coordinated with Apple products. On the other hand, there is a significantly high price and to work with Windows, Boot Camp must be installed on the Apple computer. From my point of view, however, this is of no advantage.

Let's look at the Windows operating system. Basically, Windows is much better suited for gaming, which is also indirectly related to trading. The biggest advantage are the individual components from which you can assemble a Windows computer. So you can combine the fastest graphics card with the fastest processor and the fastest SSD. Let's just think of the NVMe m2 SSD which achieves a write speed of 7000 MB per second. Apple does not achieve these values. Significantly more screens can also be connected to a Windows computer. On the other hand, the susceptibility to viruses and malware is significantly higher, which can be reduced with a few tricks. With individual components, graphics and image processing are also significantly faster. The range of software is also larger, as many programs do not run on Apple. Another important point for many traders is the significantly lower cost. This means that with Windows you get more performance and speed for significantly less money and that is precisely what is crucial in trading. For reasons of performance, my choice would always be Windows.

Monitor or TV which is better? Basically you have to know that monitors with 1-4ms have a significantly faster response time than TV sets. You also have a higher refresh rate, which is measured in the hertz. Monitors have a very high pixel density at 4K. In the monitor area, there are more smaller screens and if you need larger screens, it can quickly turn into money. On the other hand, let's compare a TV that we use as a monitor. The response time is significantly slower at 5-10 ms. However, this is not a major disadvantage in trading, since we are not dealing with complex video games. Likewise, 60 Hz are absolutely sufficient to be able to display the course courses effectively. Elaborate games are not possible with it, but we don't want to play either, we don't want to lose money on the stock exchange. With larger screen areas, the pixel density in 4K is of course lower on average than with a monitor. The larger the screen area, the further apart the pixels are. In the TV sector, there are significantly larger screen areas of 55 or 75 inches. And the costs are of course much cheaper than in the monitor area. You can get a good 4K TV from Samsung or LG from 1000 €, for a comparable monitor you often have to pay 3-4 times as much. Anyone who uses complex video games is better off with a monitor; in the trading area, a modern TV is not a disadvantage.

Hertz is the physical unit for frequency. In the case of a monitor, the number of image updates per second is expressed in hertz. In this case, that's 60 frames per second that the TV can display. The FPS translates exactly the same thing in principle. It is therefore only a matter of specifying a frequency, namely how many images a graphics card can generate per second. In the case of the RTX 2080 super, that's over 200 FPS. It is important that the TV has a so-called V-Sync function, which limits the FPS to the rate of the monitor and usually ensures that the graphics card does not get too hot.

You can get good 55-75 inch 4K TVs from LG and Samsung for as little as € 1000. There are other providers, some of which are significantly cheaper and also guarantee high quality. If you need four more monitors, I would recommend LG with 32 inches, as they represent a sensational black and white value. The costs are around € 250 per screen with a flexible 3D wall bracket. Normally, an RTX 2080 would be absolutely sufficient for the 4K monitor, unless you also work with the same stock exchange software as I do, which accesses the GPU of the graphics card. This means that arithmetic operations can be carried out up to ten times faster and a larger graphics card proves to be advantageous here. The cost is around € 800. I would supply the 4 LG monitors with four external graphics cards, as they put less load on the workstation. The cost here is around € 200. The total costs for the screens, including the graphics cards, amount to around € 3,000. If you buy used things you can save up to € 1,700.

Some traders have asked me why I am working with a 75 inch 4K monitor. The answer is relatively simple because I want to focus my important charts on one point. This is a decisive advantage, especially in trading. However, my next large monitor will run in 8K. I work with five monitors in order to save time and not always have to change the charts. The question also arose that one is not able to see all the monitors at the same time. That is absolutely correct, but you have to imagine it as in an airplane. When taking off, you have other instruments in view, such as when landing or during flight. It's the same in trading. For entry I need different information than for exit or while I am trading. My charts are arranged accordingly.

In my last post you can see the same spider web that was photographed from different perspectives. On the right picture you can see that in a certain perspective, the light reflections take on the colors of the leaves and the spider web becomes invisible to the insects. In the Forex market, the course of the course is the spider web. There, situations are created again and again, whereby the retail trader should get a secure feeling of where the course is going next. So we are regularly invited to fly into the big players' spider web. The big players are smart enough to suggest to us on a regular basis that there is no such thing as a spider web.

Trading is incredibly difficult, otherwise 90% of all traders wouldn't lose their hard-saved money. But there is a way out that helps us traders, we just have to change our perspective. However, this takes some time and means a willingness to change. At first glance my developed trading screens look very complicated, but I don't do this for fun or because I have nothing better to do. I'm just changing my perspective to identify the big players' spider web. This information that I receive cannot be displayed on a cell phone or laptop. I hope that I was able to show you that a professional workplace increases the probability of winning significantly. Here is my latest video about it.



At the end of next week, we will go into the specific requirements of a professional workstation and what you have to pay attention to in detail.

I wish you successful trading days until then

Kind regards Michael

Compilation of the optimal workstation



Hello dear traders,

In my last video I went into more detail about my screens and graphics cards, now the second part follows, the construction of an individual workstation. As promised, I will first provide you with the translated text in English, you can find the video link at the end of my article.

In the article I will name some of the telecommunications and computer providers that I use myself. I would like to emphasize that these are not the best providers, but only my personal selection. I do not receive any commissions from these providers and I also do not provide any links. The representations are purely informative and I recommend every trader to conduct a detailed Internet search in order to find the best price-performance ratio. In the individual countries, for example, the telecommunications providers differ considerably, which is why individual research must be done here.

Last week we talked at length about the layout of the screens and today we are going to put together our trading workstation.



We also take a closer look at the workstation from the Montana Black Edition.

On the side you can see the individual components that make up my workstation. A processor upgrade to the Ryzen 5900 X is planned for the foreseeable future. My existing water cooling is sufficient for this. An RTX 3070 should also be used as soon as I switch to an 8K monitor. Overall, the PC was tailored to my individual trading programs and stock market software and is therefore damn fast. You can check the performance of your PC on User Benchmark yourself. Then you get the values for gaming, workstation and desktop. The values range from the tree trunk to the UFO. I am absolutely satisfied with my values in the areas of gaming, desktop and workstation. If you have worse values there, that doesn't have to be a disadvantage at first.

As a trader, there are different requirements that a workstation must meet. There are forex traders who work exclusively with the MT4 or MT5, future traders who trade with individual stock exchange software and hybrid traders like me who work simultaneously with forex and future data. Let's take a closer look at the individual differences. In the Forex area, it is crucial to know how many different screens are being used. The number of MT4 charts also determines the required performance. There are different indicators that demand different levels of performance. Another important aspect is the course data that is used in the system. All of these things ultimately determine the optimal computer. The number of screens used is also important in the future market. The decisive aspect, however, is the stock exchange software used. As a rule, it will access the CPU and the main memory. As a hybrid trader, you have access to both the exchanges and the forex data. This requires a significantly higher performance, which must always be individually tailored to the individual tools. In the example that you are currently seeing, 60 forex and 140 different future charts are open. The average trader works with a maximum of 10-15 charts open at the same time. If you try to open 50 different charts, most computers will acknowledge that with a frozen screen.

My development as a hybrid trader took many years, so I was able to adapt my workstation to the required situation again and again. Which requirements do I exactly need? I work with five screens that take up an area of 3 m². The forex and future data run together in a coordinated system. To read the algorithms, I have to be able to open up to 200 charts at the same time. I am lucky that my stock exchange software accesses the GPU of my graphics card, otherwise such a procedure would not be possible. I programmed different 1ms tones myself, but all internal computer sound cards are overwhelmed with it. The computer should be capable of producing and editing 4K films, and as a final requirement, all five screens should be controlled by a mouse and keyboard.

In order to meet all of these requirements in the best possible way, sooner or later you have to deal with the benchmarks of the individual components. For this I like to use the Passmark page, which gives me important and free information. We start with the CPU benchmark. In addition, you can see the average price and from this the value is created, which shows the price-performance ratio. The higher the number, the better the price-performance ratio. In the high-end CPU area alone, there are over 800 different processors. From the 33 fastest processors, I have selected those that have achieved the best price-performance ratio. Now I have determined the current prices in Germany in order to determine my own value for money. As you can see, the processor I used still has the best price-performance ratio. Since I only need the processor for the Forex market and for film cutting, the Ryzen 3900x is completely sufficient. If I were to buy the best processor, I would have to pay 14 times more but would only get 2.5 times more performance. From my point of view, this is unprofitable, especially since I couldn't use the power at all.

Let's now compare different SSDs with a storage size of 500 GB. Many work with the Samsung 860 EVO which has a read and write speed of 550 MB per second. The benchmark is 4352, while the Samsung 980 Pro has 14 times faster writing speed and a benchmark of 30,271. The Western Digital Black also achieves 7000 MB per second and the benchmark is 37,964. Here we see the current prices and the values for the price-performance ratio. The Samsung does better than the Western Digital in this case. In the 1 TB area it looks completely different again, which is why I opted for Western Digital here. As a RAM memory, Crossair Vengeance is unsurpassed, the benchmark speaks a clear language here too. The RTX 3090 is unsurpassed for gaming, but here it comes with a very poor price-performance ratio. The RTX 3070 offers the best price-performance ratio in the upper segment, followed by the 3060 TI and the RTX 3060. With a little experience, these graphics cards can also be overclocked to achieve even better performance. Traders who only want to work with a 55 or 75 inch 4K TV can easily use a GTX 970. I used this card for my first 55 inch 4K at the time. A used card is available from 100 €

The basis of every workstation is the mainboard. I work with an MSI X570 Pro Carbon and have had good experiences with it. I use 2 ME memory cards that are always cloned. As soon as one fails, I can continue working with the current data immediately. Only the operating system, my stock market software and the most important programs are on the cards. The desktop is occupied with 100 MB. My films and important data are stored on a two terabyte SSD, which is also backed up. There are also external sound cards to optimally display my 1ms tones. A 700 W power supply is completely sufficient, as is the water cooling of the CPU, since my temperatures are a maximum of 50 °. If you sit in front of the computer all day, the fans should be correspondingly quiet.

For a Forex trader who works with a 4K 55 inch TV, the following recommendations are sufficient. In future trading you need a fast processor as much RAM and a fast SSD as possible. For me, the graphics card and the SSD are in the foreground, the CPU and the RAM are not that important. Here, however, every trader should adapt the hardware to his software. As soon as the system is up, you should speed up your Windows. Visual effects are completely nonsensical, programs can be assigned to individual CPU cores and unnecessary apps should be removed. Just like a vehicle, the workstation must be regularly maintained and monitored. I have some tips for you on this. The free program Coretemp shows the CPU temperature for each core in the task bar. With the free program Net Speed Monitor, the upload and download numbers are visible in the task bar. To clean my computer, I use CCleaner and Advanced System Care Pro. There are many useful tools there to update drivers or block malware. You also get an overview of the most important computer functions. The program can first be downloaded for free and tested. In addition, I would recommend you to monitor your SSD. The manufacturers provide the programs free of charge.

Fiber optic offers the best ping times, and that is exactly what is crucial for a trader. I myself have opted for a 500 MBit line at Telekom and even get more performance than I pay for. My router is up to 15% more than I was promised, the line is stable and there are almost no failures. I like to pay a little more for that. I use the FRITZ! Box 7590 as a router, which I connected to my workstation with a high-quality CAT 7 cable. Due to the ping times, WLAN is not an alternative. I would also recommend you to optimize the ping values in Windows afterwards, information can be found on the Internet. For security reasons, I would recommend you as a trader to prioritize your data line in the FRITZ! Box. This is especially important when others are also accessing your internet. With the prioritization you always have a constant and stable ping value. If you can't use fiber optics, there is a way to increase your internet speed with LTE. First buy prepaid cards from different providers and use them to test LTE reception. Then get a corresponding LTE router from the best provider. The router is now connected to a high-quality antenna that is aligned with the LTE mast. With the free program LTE Watch you can now optimize the individual decibel values. You can get specific information on the Internet. This makes it easy to optimize the ping values.

Marcel Eris, stage name Montana Black is a well-known web video producer, live streamer and entertainer who mainly deals with video games on YouTube and Twitch. Since 2018 he has been the largest German gaming live streamer on Twitch and at the age of 23 he is already a very successful entrepreneur with his own merchandising. So that he can play and stream his games even better in the future, the established live streamer has put together a new computer that has achieved extraordinary values. In addition to a striking computer case, it was important to him that his new computer was particularly quiet so that it could stream without being disturbed. The company Mifcom, which already assembled his last PC, has oriented itself to this and installed ten low-noise fans in the housing. In addition to two top graphics cards, an AMD Ryzen with 32 cores, water cooling and 340 LEDs was installed. In addition, a water-cooled Playstation with 4TB memory was installed to reduce loading times. This high-tech workstation costs over € 15,000. In principle, of course, one could also use this workstation for trading, but for our purposes it would be oversized in many areas. Like Mindfactory or Cyberport, Mifcom is a well-known PC online retailer. The Montana Black Workstation is only sold exclusively through Mifcom. The Get on my Level Edition contains 3 different versions that can be put together individually. Personally, I think the design is very noticeable and cool, but it's not for everyone. It is much more important whether one can put together a reasonable trading PC with a good price-performance ratio.

Now some will say that Montana Black receives a small share of it, but I don't see any disadvantage in that. Because whenever we buy new goods, the manufacturer, wholesalers and retailers benefit. It is a normal process. Basically, you have to know that in the hardware area, especially with the dealers, the lowest profit margins are achieved, since computers are a very popular area. The question is: Is the Montana Black Edition worth it for trading and that's exactly why I examined the price-performance ratio more closely. First, I put together a Montana Black Edition workstation for € 2,500. Then I tried to put together a comparable workstation on Google and was able to save almost € 250. But is that why the Montana Black Edition is too expensive? First of all, we are comparing apples with pears, because Mifcom delivers a finished PC to me while I first have to assemble the Google order myself. And there are a few things to keep in mind.

Not everyone is able to build their own PC. The question is, does it really save money? A savings fox, first has to go about 6 hours looking for bargains, on the Internet and orders from 5 different providers. It is very likely that the goods will not arrive at the same time and the PC will have to be assembled by yourself. Missing or incorrect components can be supplied by the dealer and most users do not have the right tools or workstation. Many do not read the instructions for use and this often results in an unsuitable order during installation. Bent CPU contacts, incorrectly connected plugs, incorrectly installed RAM, incorrectly installed coolers, fans blowing in the wrong direction and forgetting the power supply switch are just a few of the aspects. In the end, you still don't have the Montana Black design.

At Mifcom, the Montana Black Edition is completely assembled and delivered for € 2,500, and you also get a 3-year guarantee with a pickup service. If I assemble my device myself, I also have a warranty on the hardware, but not if I put parts together incorrectly. If I add the 10 hours of my own effort to assemble the parts and build the PC, the effort doesn't pay off. From my point of view, there is no financial disadvantage with the Montana Black Design compared to a self-assembled PC. However, we traders don't need a PC for € 15,000.

If you save on at the wrong end, you lose more than you save. Someone wants to save on grocery shopping and is therefore comparing the best offers. This results in a shopping list at different discounters. On Saturday he drives to the cheapest discounters, to pick up the special offers. The additional fuel costs and the time required alone by no means justify the savings. A petrol station wants to advertise and is reducing fuel prices by € 0.20. You now stand in line for 2 hours. In the end, the tank only holds 60 l and the savings are 12 euros. With a part-time job, you could have earned double that amount or would have preferred to spend the valuable time with family or friends.

There is a very interesting law of the market economy. This was written by John Raskin a British writer and social philosopher. “There is hardly anything in this world that someone cannot make a little worse and sell a little cheaper. And the people who orientate themselves only on the price become the fair prey of such machinations. It is unwise to overpay, but it is equally unwise to underpay. If you pay too much, you lose some money, that's all. If you pay too little, on the other hand, you sometimes lose everything because the object you bought cannot do the job it was supposed to do. The law of the market economy forbids getting a lot of value for little money. If you accept the lowest offer, you have to add something for the risk taken. But if you do that, you will have enough money to pay for something better. "

The rule is no longer: Avarice is cool, but: added value is cool. I hope that I could give you a few tips to optimize your computer performance in the future. Every trader is as individual as a thumbprint, so his workplace should be tailored to him. If we are already sitting in front of the screens for 10-12 hours a day, we shouldn't do without some comforts. Health, nutrition, and fitness also play a crucial role, but we'll talk about that in more detail another time.

Here you can find the new video, which can also be set with English subtitles.



I wish you continued success in trading and stay healthy

Kind regards Michael

10 hours of video material


Hello dear traders,

I've been with Forex Factory for over 3 years, the trigger was the High Impact member Hanover, a professional software developer with a high level of expertise in trading and probability calculations. He made his first posts on Forex Factory 15 years ago and has done a lot within that community to advance trading knowledge. Even if he posts less today because he's retired, I still think he's one of the most important members of this forum. His understanding of math, programming, and the markets help many traders face reality. Thank you again David (Hanover) for that.



In the last few years you have asked me again and again whether I could provide my best tips and experiences in video form. Since I also received a lot of information from different participants, I was happy to take this step. One hand washes the other is what they say in Germany. In the last six months I have published 15 videos with over 10 hours of video material. Although my channel is small and insignificant, over 9,000 people have already seen these videos, I would not have expected that. Thank you again for your great feedback.

I promised that I would post all of the text I use in my videos in English here at Forex Factory. Then you know what the video is about and you can watch the video again in German with the English subtitles. I have already implemented this for the last 3 videos, the next videos will follow.

https://www.youtube.com/channel/UCCb...zsD2soUtb0CTqA

I want to thank everyone again for supporting my Forex Factory blog and YouTube channel. I will continue to strive to deliver exciting and interesting content in the future.

Good luck in retail

Kind regards Michael

2 trades in 3 minutes


Hello dear traders,

In today's post and new video I will show you two specific live trades and how I calculated them beforehand with my self-developed bionic candle. Then we will precisely evaluate and even grade the two trades. With the following text I try to explain my approach in the video to the English speaking traders. The German speaking traders can watch the video directly. You can find the link at the end of the article.

Actually, we have a wrong world in the stock exchange markets. The beginner usually starts in the forex market and when he has become a professional, he usually switches to the future market. Unfortunately, the forex market is much more challenging to trade than the future market, which normally means it should be the other way around. A beginner should actually only start in the future market and, as soon as he has become a professional, switch to the forex market. I explain why this is so in my numerous videos that I have already posted on youtube. There it becomes clear why one can trade more profitably in the forex market.

The normal candle chart confused me as a beginner more than it helped me. That's why I developed my own candle a few years ago, the bionic candle. You can find information about the bionic candle in my video: tips and tricks to escape the big players. Just take a look. The strongest bullish candle is shown in yellow on my chart and the stronger the bearish pullback, the weaker the bullish candle becomes. I can see immediately how strong the movement is. The strongest, bearish candle is marked in blue on my chart, followed by the candle with a small bullish pullback. The greater this bullish pullback, the weaker the bearish candle will ultimately become.

In my video you can see the euro US dollar in the M 30 from March 17th to March 30th. First, I drew in the area of the deepest lows. I now wanted to know when the price is going up again. This is exactly why I need a reference value that I could only find in the past. The advantage of the EURUSD is that we have been within different reference values since 2009. In November 2020 my line meets reference values, now I had to look for my key candle in a deeper area.

There I noticed a strong downward movement and I placed my line there. Now it was a matter of identifying the key candle. This is a candle that breaks through my created line. My first and second identified key candles were taken out. Two key candles remained, but I chose the stronger one. Since the key candle was 16.4 pips in size, I wanted to make the zone smaller. For this I switched my chart to the M1 and reduced the zone to 4.1 pip with my Bionic candle. Now we are scrolling back into the future until March 31, we can see exactly that the price entered this zone for the first time around 5:00 a.m. in the Asian market. At around 6:30 a.m., the price ran back into this zone and at around 8:00 a.m. with the Frankfurt open, the price was pushed up more strongly.
Next, I wanted to know how far the price would go up, so I had to go back into the past and take a closer look at the price developments. In the upper area I was able to determine two other very strong resistance zones. To make these zones smaller, I had to go back to November 2020. Based on this price trend, I was able to significantly reduce my zones. After these zones were downsized, we returned on March 31st. In the video I now show how these zones, drawn in from the past, work extremely well.

Then I draw more zones in the video and we check how the course reacts to them. Basically, this procedure can be described as a kind of navigation system. Of course, I never know exactly how far a price will go into this zone. For this, however, I use very elaborately compiled stock exchange data that I have already presented a number of times in my videos. With the help of this data and my tones, I can hear exactly when buyers or sellers come into the market and how strong the respective limit orders are. So I am able to see immediately whether my drawn zone is working.

Then I explain in my video my last two trades that were completed on that day. The two upper resistance zones that I created at the beginning of the video were crucial for this. There was a very strong upward candle that broke the first zone of resistance. Because of this, this new candle was now my key candle. My guess was that the course could run until the end of the key candle at most. So I waited for the price to decline and tried to get into the market as optimally as possible. Unfortunately, the spread was a bit higher than usual, so my stop was a bit above the resistance zone. My goal was a little below the uppermost resistance zone, as I expected there to be some, stronger moves upwards. Most of the time I get off a little below the respective zone, otherwise my pip value per minute worsens.

The course developed exactly as planned. Since there was a strong resistance zone in the upper area, I wanted to take the first downward candle with me. This was actually the strongest candle in the downward run. Whenever price comes into a strong resistance zone there is a strong reaction in the opposite direction. In this case there was initially a strong upward movement. At this very moment, many long traders come into the market. Now the big players push the price down and the first stops are triggered. After that, a chain reaction develops that pushes the price further down. And this is exactly the candle I wanted to take with me.

My first trade went very well, although I was wondering whether I should extend my stop a little from 1.2 pips. I took the risk and was very lucky. The price ran up to a pipette at my stop and then turned. This also shows very clearly that my broker is absolutely fair and honest, because he could easily have got me out of the market with 6 lots. That didn't happen in this case. So that I might not get stopped out in the second trade, I increased my stop to 2.8 pips. My take profit was 255 dollars, unfortunately I was not picked up and therefore had to get out manually. Because of this, the second trade was not as effective. It was interesting, however, that I was able to plan the two trades precisely beforehand. Then I evaluated the two trades and rated them accordingly. The most important aspect was not the amount of money, but the achievement of the pip value per minute. With the two trades, I hit 5 pip per minute, triple the ATR. That was the crucial aspect for me.

In trading we always work with probabilities, but I should always know beforehand how the price will move. From my point of view, this is only possible with my developed candle and my filtered stock market data. Pay attention to these resistance zones that I have created yourself. Whenever the course enters these zones, the candles that emerge afterwards are greatest. That means if you want to trade these little breakouts you have to know exactly where these resistance zones are. This enables me to plan my trades specifically and to set the stops myself. Perhaps some will believe that the example shown is just a coincidence, but I will show you in my videos over the next few months that this procedure has nothing to do with coincidence.



Here you can find my new video.

I wish you a great Easter, that you stay healthy and maybe we will hear each other again soon

Kind regards Michael

Plan the trade carefully beforehand!



Hello dear traders,

yesterday I published the most important video so far from my point of view. Every trader is always looking for important reversal points in the chart in order to pick up the corresponding upward or downward movements. Different strategies are used, which are usually based on chance. In the new video I explain exactly how you can plan a trade in advance. In addition to the stops and the TP, you can also plan the CRV precisely in advance. This means that a trader is able to pick out exactly the most effective future trades from the market. With the help of the key candle, this is often possible a few hours in advance. With my video published yesterday, you get an enormous advantage to rule out chance as much as possible. In the next few months I will go into this procedure in more detail if you are interested. The video is discussed in German, in my post from yesterday you will find the corresponding text in English. Check out the video, you might get some crucial information.



Happy Easter.

Greetings Michael

If I started trading today as a beginner



Hello dear algorithm traders,


Today I put a new video online on YouTube, as always I'll translate the text into English so that everyone can understand and understand the video. In addition, you can fade in English subtitles in the video. So here we go ...


We all know the sentence, if I could start all over again, what would I do differently? With this in mind, today we consider what things are important in trading, whether a trading coach is an alternative and what you should pay attention to.

I have already answered the question what would I do differently if I started all over again. I would go the same way again and do everything exactly as I have before. With stocks forex or futures there is unfortunately no beginner or advanced market, only a professional market. If you are a beginner in this market, it is like playing against Real Madrid with a district class football team . You can imagine how this match will end and therefore it is understandable that the probability of winning is just 5% and that is why so many beginners fail. The greatest and best professionals in the world trade in the forex market. Anyone expecting an opportunity here must have very special skills.

Everyone who learns something first goes through the four levels of competence development. First there is unconscious competence. I don't know that I don't know or can't do something. A six-year-old child sitting in his father's car is not aware that he cannot drive this vehicle himself. Then comes the conscious competence, which means that I become aware that I do not know or cannot do something. The twelve-year-old, who is sitting in the car next to his father, is aware that he cannot drive this vehicle. The conscious incompetence shows the person that he can and knows something. An 18-year-old learner driver gradually learns how to use the vehicle. At the beginning he has a bit of difficulty with the request inside mirror, outside mirror, look over the shoulder and only then flash. The unconscious incompetence means that knowledge and ability is integrated and runs automatically. A 24-year-old driver who has already covered a few 100,000 km sometimes does not know how he made his daily commute to work or home because he was talking to his passenger or listening to music.

Even as a trading beginner, there is an unconscious incompetence. First you discover a new indicator. As soon as a blue point appears in the low one should go long and when it appears in the high go short. You start to act and immediately the first disillusionment sets in. You quickly realize that although a point appears in the low, the price is still going down. The consequence, the indicator is simply exchanged for a new one and the game starts all over again. At some point the beginner realizes that an indicator cannot predict the future for them, and the fastest indicator is price. Now comes the conscious competence that shows him that a candle is only a statistical coincidence that arises from time and price. After a few years, the mechanisms of a trade run automatically, the breakeven point is reached and ensures that no more losses are made. It is now a matter of optimizing profits. Imagine you had to go on a space walk as an astronaut. You have two astronaut suits to choose from. The first suit is proven and has been used by NASA for many years and the second suit is high-tech with a second pressure build-up where you can survive in space even with a hole in the suit. Which suit would you choose? Probably for the suit that offers you the highest level of security. Where would you invest your money, in the futures market or in the forex market. Probably also where security is highest. In the future market, you are liable with all of your private assets in the event of an unscheduled breakout. In the forex market you are only liable with your credit on the broker account. This can mean a difference of a few 100,000 euros. Now some will say that they only trade in the futures market because there is better data available there. That's right, but you can also use the future market data to trade more efficiently in the forex market. Please have a look at my video: Hybrid Trader, the future of effective trading. There I will show you exactly how you can combine the future and forex data with each other in order to achieve the greatest possible advantage.


Many beginners start with a small account of € 200-500, download the MT4 and start trading on their laptop. Why that goes wrong and which IT equipment I recommend you get in the two videos: With a laptop against the biggest big players in the world; and tips and tricks, assemble your trading PC yourself. Basically I recommend a starting capital of 5000-10,000 € to every trader. Good screens should be purchased for this, the workstation should be tailored to the software, the stock exchange software should be clear and understandable, the data feed cheap, the forex broker honest, the future broker fast and the ping times short. We'll take a closer look in a moment to see if the help of a trainer is required. For the total investment in the area of screens and workstations, we invest between € 2,000 and € 5,000. In the beginning, used devices are a good alternative if you can demonstrate a high quality standard. For internet, stock market software and data feed you should invest around 100 € per month. This investment is critical. We have found that the risk in the forex market is significantly lower than in the futures market. For this very reason, I recommend trading in the Forex market and at the same time extracting the crucial data from the futures market. For this I would deposit € 2,500 with a forex broker, € 500 is enough with a future broker, because I don't want to trade there. The right data feed is crucial. I have produced a detailed video about choosing the right broker, which I recommend to you. There you will get all the information you have to pay attention to in order to find the right broker. (You can find all the information in the video)

Then comes the crucial point that makes you a profitable trader. It's about the basics of trading and primarily about understanding how the big players operate and work. Any trader who can understand this will be able to trade profitably relatively quickly.

The challenge for every beginner

Different strategies are tried out
Successful strategies are made worse
Indicators are tested and discarded
in the event of longer losses, the strategy is crushed
Confusing information from the Internet
Stops are being dragged for too long
Profits are taken too quickly
Losses are not accepted (revenge trades)
And the main focus is on making profits rather than making fewer losses.

Let's compare the probability of success of a self-employed person with a trader. Only 25% of all self-employed can make a long-term living from being self-employed. 5% of all traders can make a long-term living from their trading. That means it is five times harder to be successful as a trader. This is where a trading coach could help. But there are a few things to keep in mind.

First of all, the investment in a trading coach should make up a maximum of 20% of the start-up capital. With a starting capital of 5000 € that would be 1000 € for the coaching. I have never worked with a trading coach but if I were a beginner I would expect this for 1000 €. One-to-one coaching that lasts at least two days, or even better, three days or at least 20 hours. One-to-one coaching has the advantage that the trainer can cater to you individually. Joint live trading in the forex market should also take place. Why in the forex market. Because the biggest and most successful big players in the world only trade in the Forex market. By the way, 85% of all global traders also trade in the Forex market. Personally, I would not hire a trainer who is not able to trade profitably in the Forex market. Don't just be fobbed off with videos, videos are good, but the coach should cater to you individually. That brings the greatest benefit and advantage. At the same time, the trainer should be able to explain exactly how the big players in the market work and how they use the algorithms to gain advantages. If he can't do that, I would look for another coach. Ultimately, the trainer should address your strengths and weaknesses individually. If you are only in an online seminar with 30 other participants, this decisive criterion will not be met. Find a real mentor. The trainer should also be able to explain to you simply how you can achieve extreme market advantages with the help of the time and sales list or the DoM. In addition, he should refrain from volume trading, as the volume is only an addition of ask and bid. However, ask and bid never meet in the market, so it is unnecessary to add them together. It is much more important to work out the decisive limit orders in order to recognize what the big players are currently collecting. This is the only way to determine the medium-term price trend. And finally, the trainer should provide you with his personal setup that he works with. When all of these things are fulfilled, you can get coached with a clear conscience.

In principle, it is only a matter of breaking even once. You can do that after an average of 3600 trades. After that, profits must be made and gradually optimized. This breakeven point is the key to any trader's success and that is why I would pay the greatest attention to it. Now comes the big question, how does a part-time worker manage to complete 3600 trades in a short period of time? One possibility would be as a scalper who trades between 1 and 2 minutes. Goal 2 pip TP and a stop of 2 pip. For example, the best times in EURUSD are between 7:30 a.m. and 11:30 a.m. and between 2:30 p.m. and 6:30 p.m. In addition, there is often higher volatility in the market until 8:00 p.m. A full-time trader has 480 candles available in 8 hours and a part-time trader has 120-240 candles in 2-4 hours. Now let's look at how that could work. A beginner with an unconscious competence completes 900 trades per year, makes 10% profit and 90% loss and trades 0.25 lots. His loss is € 4050, the profit is € 675 and the total loss is € 3375 after the first year. In the second year the profit increases to 20%, the number of lots is increased to 0.5 and the profit increases more than the loss. In the third year the profit increases to 30%, the number of lots is increased to 0.75 and again the profit increases more than the loss. In the fourth year, the part-time trader has reached his breakeven point. After six years he has made up all the losses, is somewhat in profit and then has the opportunity to work as a full-time trader. With good money management, he can make significantly higher profits and improve his odds over the next few years.

As we know, the biggest mistake is to believe that trading is easy. This is simply because you need a certain amount of time to learn this activity. An apprentice learns a trade for three years, the doctor studies and as a trading beginner I try to break even. The craftsman is now learning as a journeyman, the doctor is still studying and the trader is now trying to optimize his profits. After nine years the craftsman is a master, the doctor becomes a specialist and the trader is possibly a professional. First, let's look at the first three crucial years of an apprentice in a craft. He needs 2,000 theory hours and 4,000 practical hours, so a total of 6,000 hours in three years. Let's transfer that to a part-time trader who wants to break even in four years. First of all, during this time he goes through all four skill levels, he needs 1000 practical hours and 500 theory hours per year. To complete 3,600 trades in four years, 900 trades per year are necessary. This means the part-time trader has to be ready to trade 4 hours a day, invest 10 hours in theory on the weekend and complete four trades a day. You automatically ask yourself whether it can be done this way in four years.

Let us assume that it is theoretically possible, it would ultimately still mean a loss of € 12,000 in the first three years and the breakeven point would only be reached in the fourth year. Even after five years there would still be a total loss of € 7,500. What do you think your partner says about it? With the right mentor at your side, you may be able to skip two skill levels and even save two years of losses. This means that after five years you will have achieved an advantage of over € 30,000. If you have spent 1000-2000 € on the trading coach, it can even pay off under certain circumstances.

Basically you don't need a coach to be successful, but a mentor is often helpful if he is there for you at the right moment. A mentor differs from a coach in that he does not pass on a mass product to thousands of traders, but helps you individually. He also does not advertise, but is recommended only secretly. When you meet a coach, first let them show you his personal setup. If he is ready to teach you his setup in a personal single training, you are already a decisive step further. Don't be dazzled by Ferrari, great houses or money. A restaurateur who drives a Ferrari doesn't have to prepare better food than a restaurateur who just drives a golf. In this case, please only think of yourself. It's just about making sure you break even as quickly as possible. And you should only ask yourself two questions with a trading coach. Can the coach help you to achieve your personal goal and do you have a good feeling about it? If you can answer these two questions positively, you are a good step further. I wish you a successful trade and would be happy to receive a YouTube subscription.




Here is the new video


Kind regards Michael

Trading Millionaire, How Realistic Is That?


Hello dear traders,


Today I put a new video online on YouTube, as always I will translate the text into English for you so that everyone can understand the video. In addition, you can fade in English subtitles in the video. So here we go ...

In times of social networks, there is a lot of envy and feelings arise at the same time, that's also, what I want to achieve. On Instagram, YouTube or Tick Toc, many trading coaches show their profits and talk about their rise into the league of the beautiful and the rich. The really dramatic thing about it is the fact that it is hardly understandable whether this gain is actually based on competence or just on pure coincidence. Success cannot be judged solely by whether someone makes money on the stock market. The decisive factor is whether he is able to get others to make a long-term living from trading. And that is exactly what will be achieved in the rarest of cases, since every person is different. On the one hand, the trading coaches tell that it is not easy to become a millionaire, but at the same time they get out of their sports car with a wad of money or show their newest villa. Today we're going to review together how realistic it is to become a trading millionaire.

Especially now in the corona crisis, the demand for financial freedom and independence from the employer is increasing. A beautiful villa, enough money, a sports car or nice vacation trips are the secret dream of many people. In fact, very few are able to realize these dreams in the long term. By the way, you can also become a millionaire by working as a doctor, lawyer or tax advisor. However, the way there appears to be too strenuous for most people. For this, many would have to catch up on their Abitur within 1-2 years in order to study for 6-8 years afterwards. Most of them are not in a position to invest these ten years and at the same time forego a regular income. It seems a lot easier to earn millions with a laptop on the stock exchange. Unfortunately, most traders have no idea who they are actually up against. How crucial the right trading equipment is, I describe in my articles: With a laptop against the biggest big players in the world and tips and tricks put together your own trading PC. Take a look at the two videos, because you will get very important information.

Inserted Video

Inserted Video

If you want to become a millionaire, you must first invest 1 million. I don't mean money, but time, sweat and effort. And those who are not ready to do so have no chance of becoming successful in the long term. I would like to show you my profit and loss account, which was drawn up 31 years ago. At this point in time, I was in the third year of my self-employment and had already been asked by the tax office to do my balance accounting. My income was 458,000 DM and I took 121,000 DM of that and invested it back in my company. From my point of view, that was the best capital investment. The bottom line was DM 88,000. I could have paid myself 200,000 DM but wanted to invest in my company. That means I've reinvested over 26%. 88,000 DM is an exceptionally good annual net income for a 25-year-old. If we calculate the 3000 hours that I worked for it, the hourly wage is 30 DM. A doctor and lawyer earned that at that time, but I also worked twice as much as the average person. And that's exactly what most of people don't see. Incidentally, I drove a Golf Diesel with 60 hp at the time. A year later, at the age of 26, I bought my first Mercedes. However, it was a used vehicle, cost 15,000 DM and I paid for the car in cash.

Let's start with the pure probability and to what extent it is possible for you to become a millionaire in trading. Let's do a little test for that. Your goal now is to predict the movement of the next seven M1 candles. A candle can only run up or down. We neglect dojis here. Let's start with the first candle, it goes up or down? The correct answer is: The candle run down. Do we come to the second candle that goes up or down? She runs upstairs. Where does the next candle go? Downward. We come to the fourth candle, which also runs downwards. The fifth candle goes up, the sixth candle goes up, and the seventh candle goes down. If you had correctly predicted the direction of all seven candles, you could become a millionaire trader from the perspective of probability.

Let's do a little test to understand the probability that you need to become a millionaire in trading. Our alphabet consists of 26 letters. Now please think of four letters, whereby you can also name all letters multiple times. Now a random number generator selects four letters. If you have chosen exactly these four letters, regardless of the order, there is a chance that trading will make you a millionaire. It looks very easy in terms of play, but in practice it is not that easy.

Only 25% of all self-employed people can make a long-term living from their business. This is also due to the fact that many self-employed give up beforehand. From the odds of the last 30 years we know that 5% of all Forex traders can live from their business in the long term. That is a significantly worse rate and it is five times harder as a trader to live from his business than if you were self-employed. On the other hand, becoming a millionaire is even more difficult. In Germany there are 70 million people who can theoretically become millionaires. Why only 70 million, because the children from 0-18 were neglected here. There are a total of 2.1 million millionaires, which corresponds to a quota of 3%. In Germany there are 4 million self-employed, 25% of whom can live from their business, that is a total of 1 million self-employed. The background is that a large number of them are closed again due to the large number of small companies. Let us now assume that the rate is 20% to become a millionaire as a successful self-employed person. This results in 200,000 millionaires with a quota of 5%. The majority of millionaires relate to inheritances and corporate transfers. This means that the probability of becoming a self-employed millionaire is significantly higher than hoping for an inheritance.

In Germany there are 50,000 Forex traders, 5% can live from the business, that's around 2500 traders. If we also take a quota of 20% to become a millionaire, then we are talking about 500 trading millionaires in total. By the way, in the last 4 years there have been over 500 lottery millionaires in Germany alone. The rate of 1% is significantly worse than for the self-employed and it is three times more likely to become a millionaire through an inheritance. A trader who works with stock market data is three times as likely to be successful. If 20% of them become millionaires, that would be 1500 possible trading millionaires. The rate would increase to 3%. In conclusion, whether you are a successful trader or waiting for your inheritance, the odds of becoming a millionaire are the same. Not much would change in our probability game, instead of correctly guessing the movement of seven candles in a row, you would still have to be right on five candles. Now we have calculated enough with probabilities and take a look at a concrete calculation example.

A trader has a capital of 13,333 euros, trades with 4 lots, a leverage of 30, the spread is 0.9 PiP for different currency pairs, the stop is 3 pip, the TP is 6 pip, the risk is a maximum of 1.17% of the Total Capital, the CRV at 2, the win rate at 60%, and the loss rate at 40%. On average, 3.06 pip is gained per trade, 1.56 pip is lost, so the average profit is 1.5 pip. The profit is € 122.40 and the loss is € 62.40, so the expected value is € 60 per trade, regardless of whether you win or lose. Let's summarize again briefly. TP 6 pip with a stop of 3 pip, the trader is in trading 12 hours a day and carries out four trades a day. This means he has 1,000 trades per year. Our goal to be a millionaire after a year.

We start with the first trade, 13,333 capital, the profit averages 60 € and the total capital increases by the profit. A total of four lots were traded. In the second trade, the number of lots is now scaled up in such a way that there is never a higher risk than 1.17%. After 20 trades we are already at 4.36 lots and after 36 trades we are already at 4.68 lots. After 964 trades we have already exceeded the million mark and after 1000 trades a profit of almost 1.2 million is achieved. The number of lots is just under 355. First of all, we're looking forward to the trader's tax. 2.4 million wins and 1.2 million losses were made. The net income is just under 1.2 million. We can deduct 20,000 of the losses for tax purposes. Added to this is our income, which means we have to pay tax on € 2.4 million, even though we only earned € 1.2 million. From this the withholding tax of € 633,000 becomes due and a profit of € 554,000 remains. We just missed the million.

In Future FX, 200,000 lots are traded daily, which corresponds to 140 lots per minute. If I am in the market with 350 lots, that is two and a half times what is traded in Euro FX per minute. This makes you noticed relatively quickly. 14,000 lots per minute are traded in the euro US dollar, and 350 lots are also noticeable here. Even if you trade ten lots in the future market, the big players will quickly find out. This is exactly the reason why I only trade a maximum of 10 lots in the Forex market. The higher the number of lots, the sooner you will be discovered, and we must not forget that brokers increase the margin as soon as you trade a higher number of lots. Anyone who trades with over 100 lots has to deal with native or synthetic iceberg orders. Completely different strategies are required here, which also entail significantly higher costs. In my post Hybrid Trader, the future of effective trading, you will get more information about this. If we now assume that in our case the limit has been reached at 10 lots, we will see that in the end only a profit of € 152,700 will be achieved. After deducting the tax, you have a net amount of € 75,000.

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90% of all traders lose money in the first 6000 screen hours. And that's when most of them give up. Only 10% of all traders reach the breakeven point after another 6000 hours and only half of them can live from trading in the long term. For many, the dream of becoming a trading millionaire will have already burst, but under certain conditions it is still possible. We take a TP of 3 pip and a stop of 2 pip, the trader is in trading 10 hours a day and completes 10 trades times 250 trading days per day, which corresponds to 2500 trades per year. This means that it is quite possible to earn € 225,000 per year even with the new tax legislation. How this works exactly and what you have to pay attention to, I'll show you in my article Trader Tax 2021 without me.

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If a trader earns € 225,000 net per year, it primarily depends on how much of this income he spends on luxury items. This makes it possible to become a millionaire over a period of 5-10 years. However, only if he creates the specifications and is willing to work over 3000 hours a year for it. I believe that you will recognize that trading is not easy, but rather complex. When you think, that you can take a laptop and trade your way up to a millionaire, forget it.
The big question: is it really important to be a millionaire? When I bought a Porsche for my 28th birthday, I made an interesting observation. Just because I drove a Porsche, I wasn't worth more than anyone else. The Porsche was crazy loud and tough and I missed my beautiful S Class. A person's worth is not measured in terms of a vehicle, a villa or money. A person's worth is determined by how they treat other people. And that is exactly something that money can never buy. In my last video, I made a comparison between a beginner trader and a big player. It's like a young football team playing against Real Madrid. When I started trading over 11 years ago, my intention was not the Porsche, the Ferrari or the money, as I had already achieved those things. I wanted to develop a strategy for myself that would enable me to score a goal against Real Madrid. The best traders in the world work in this market, they are incredibly well positioned, work with the best technology and have tons of money. Asserting myself here was my greatest motivation, which has not let up after 11 years. I get up every morning with the necessary respect to meet these great players on the field. It is an incredible challenge every day that I have a lot of fun with.

With money we can buy a house but not a home, we can buy a watch but not the time, we can buy a book but not the knowledge, we can acquire status but not respect and we can pay the doctor but don't buy health. From my point of view, it is not important to be a millionaire, it is much more important to enjoy your work. And if you earn above-average money with it, you are already a significant step further. In these situations, the actual questions that ultimately come to the fore: What makes me happy and satisfied? We don't need to be particularly risk takers or cautious people to live happy and contented lives. But we should ask ourselves what our trading behavior is like and whether it makes us happy. If we can answer yes to that, that's excellent, otherwise we have to change something. And if it doesn't work out as a trader, that's not bad, over 7.75 billion people are not traders and are still satisfied and hopefully happy.



And here is the video that goes with it

I sincerely wish you all the best in trading and keep my fingers crossed for you

Kind regards Michael

How the big players manipulate us


Hello dear subscribers,


the new video is online and, as always, you will first receive the English translation. You can find the link from the video at the end of my post.

The reason why so many traders lose is due to the fact that the current market situation is often misinterpreted. This is less due to the ability of the trader than to the fact that the big players are show us a false truth. In today's video we will take a closer look at how the big players manipulate the markets and mislead us in the process.

First of all, I would like to go back to the different proportions of the various markets. In the middle we see the daily turnover bar in the Forex market, a total of 8000 billion dollars. The global stock market trades $ 400 billion a day. This makes the Forex market 20 times larger than all stocks that are traded worldwide. In the future and options market, 400 billion are traded daily and here too the forex market is 20 times larger. The EURUSD is the largest asset in the Forex market at $ 2,400 billion.
If we now compare this single asset to the global stock market, the EURUSD is still 6 times larger than the 51,000+ public companies listed on the stock exchange worldwide. The EURUSD is also 6 times as large as all futures and options on the world's stock exchanges. It should therefore seem logical that the largest big players in the world are almost exclusively at home in forex.

If we look at the 100 largest big players in EURUSD, we see that they trade an average of 166,000 lots per day. That is an average sales volume of $ 16.6 billion, with the biggest big players approaching a sales volume of $ 100 billion every day. The daily sales volume of the world's largest stock, Apple, is $ 8 billion. Now it should also be clear why the world's largest big players rarely operate in the stock or futures markets. As we know, the forex market was only founded so that banks could trade with one another, independently of the stock exchanges. This results in significantly lower costs for the banks. The main intention of the various traders in EURUSD is not to profit, but primarily to exchange different currencies around the world. There are different hedging models and hedging transactions with currencies. Of course, the EURUSD is also used to make a profit, but one should differentiate between the various market participants such as scalpers, day traders and swing traders. There are also different transactions that banks carry out on behalf of customers. Since the twelve largest big players in EURUSD dominate the market by 85%, it should be obvious to specialize in precisely this target group, as these big players leave the biggest footprints in the market.

At the beginning and towards the middle of the month there are regular large currency transactions in EURUSD. However, these can only be read out with stock exchange data. On May 11, 2020 we can see in Euro FX how 1135 lots entered the market in the form of market buy orders. As a rule, these currency transactions are carried out with market orders, since processing with limit orders would take much too long. In this case, the dollar was exchanged for euros. The green circles show an exit from the dollar. The problem with this is that inexperienced market participants see it as buying a euro. Since the forex market is 100 times larger than the futures market, the turnover here was around $ 11 billion. Big banks have the order from different big companies to carry out a currency exchange at a certain point in time. The big bank would like to take up this volume with its own limit orders in order to generate an additional trade from it. However, this procedure is prohibited by the stock exchange supervisory authority. Theoretically, however, there are partner banks that are friends and take up this volume with their limit orders. The only requirement you just have to know at what point in time, at what price level, what number of volumes will come into the market. Then they can push the market in the profit direction and at the end share the profit.

Let's take a look at an example in 5 seconds where 1000 lot market buy orders were accepted by a friendly partner bank with limit sell orders. It was definitely too fast for most of them, so let's take another look at it a little slower. First of all, we see how regularly 100 lot market buy orders come into the market and are absorbed by the hidden iceberg orders. The befriended partner bank had already filled the decisive price levels with iceberg orders hours beforehand, as there was a clear agreement. Gradually, the market buy orders are absorbed, whereby of course one or the other lot also benefits other market participants. After all market buy orders have been accepted, the partner bank withdraws its iceberg orders on the limit buy side. Now massive market sell orders are shot into the market and push the price down. What is happening right now? We take another closer look, when the big market buy orders hit the market. What do you think the retail traders who are seeing this are thinking? They believe that a big player is buying massive ask to push the market up. What most do not know is that it is not the euro that is being bought, but that the dollar is being sold. Many market participants will now also enter the market with a long position in the hope that it will generate a high profit.

After the partner bank has pushed the price 10 ticks down, the first stops of the long traders are triggered. Now a chain reaction occurs and the price continues to decline. The 1000 Lot Limit Sell Order has now reached an average profit of 15 ticks. Converted to the Forex market, this already results in a profit of almost $ 10 million. And we are only at the beginning, the course will with a high probability continue to go down. Now let's look at the situation in the Forex market. Here we see the entry of 100,000 lots, since the Forex market is 100 times larger than the futures market. Then the course was strategically pushed down. The white zone is an artificial resistance zone created by the big players. Many market participants were now of the opinion that the course would go up. With the help of the stops triggered by the long traders, the price was pushed down. That was an excellent starting point to get out of the dollar position with market buy orders. Many institutional traders were of the opinion that the price would continue to decline and were therefore willing to place liquidity in the form of limit sell orders. Overall, this resulted in a profit of around $ 40 million, which the two big players then shared. The market was now up and the major customers for whom the currency exchange was carried out were also satisfied in the end. If the currency exchange had been processed at the blue arrow above, that would have been a clear disadvantage for the major customers. In the end, the winner was the bank that processed the currency exchange. First, she made huge fees on the currency exchange plus an additional $ 20 million. All's well that ends well.

It is precisely for this reason that it is crucial to know what is happening in the market. for many years, I too used to be of the opinion that a big player would buy massively Ask. At the time I didn't understand what was happening. Here we see a situation that occurred last year at the beginning of the corona crisis. Due to the lockdown, many traders were not at their workplaces and were therefore unable to place the crucial limit orders in the market, which ensure low volatility. This resulted in massive high volatility in the EURUSD. The central banks stepped in and within 5 minutes $ 50 billion was shot into the EURUSD. The situation calmed down and then there was a greater equilibrium. Those who identify such situations immediately are able to save a lot of money by not participating in the market.

Basically, every trader has the decision whether to work in the Forex market without stock market data or in the future market with stock market data. Due to the in-depth stock market data, future traders often feel they have an advantage. But is that really the case?


Is the future trader more professional...

• although he is taking a disproportionately higher risk

• Even though he is trading in a 100 times smaller market

• Although he doesn't get anywhere with volume either

• Although he has a win rate three times smaller

• Although he needs more capital to trade

• Although he has to trade at least 1 lot

• Although it is recognized more quickly in the market

• Although he has less information available

• Although it is often slower to trade

• Although he pays more fees


As I have already written in several posts, the solution could be the hybrid trader. Forex and future data are combined with one another. However, some changes are necessary for this. The change in the stock exchange has also changed strategies over the past 600 years. Anyone who works with candle formations, market technology, chart technology or indicators today will notice that they quickly reach their limits due to the way the big players work. More than ten years ago, the hype came from the USA with the footprint chart and volume trading.

Why doesn't volume training work?

First of all, the volume is just an addition of the ask and bid. Bid, these are the market sell orders, that run into liquidity, i.e. the limit buy orders. Ask, these are the market buy orders, that run into liquidity, i.e. the limit sell orders. However, bid and ask never meet in the market and have nothing to do with each other; curiously, they are added up anyway. Of course you can see the total volume with it, but this is the past and I am not able to tell whether an accumulation or distribution has taken place. On the bid side we see a distribution in equilibrium, then a stop hunting upwards and then the course runs downwards. Stophunting has the cheapest price and the low the highest price. The equilibrium has the fairer price. If we now draw in the volume, we will find that the largest volume mountain always shows the fair price. But we don't want to trade in equilibrium or at a fair price, we want to buy cheap and sell again at high prices. It looks the same on the Ask side. This is just one of the reasons why volume trading doesn't work and is based on sheer chance.

When looking at the accumulation and distribution phases, one automatically asks oneself which data is most important in order to make effective trading decisions from it? Let us first look at the accumulation phase, where the ask is collected, there may still be stopfishing, the price will be pushed up until the big player exits the euro at point B. In the re-accumulation phase, ask is collected again, possibly stopfishing, the price is pushed up until the big players exit the euro at point D. In the distribution phase, the bid is collected and the price is pushed down until the big players exit the dollar. In the re-distribution phase, bids are also collected and the price is pushed down until the big players exit the dollar again. If, as a trader, I am able to identify points A through H, I have already achieved a great goal.

As a hybrid trader, this is much easier because my attention is focused on the big players and I try to use the algorithms to find out which limit orders are currently being collected. To do this, I should know the different big player strategies exactly. If it is an accumulation or distribution, the big player is pushing the price right through, making his own volume available or is a currency exchange taking place with a front running on the limit side. I just showed you this situation in the video. Then it is essentially a matter of finding out which market orders fill the special limit orders in order to carry out a collective action. With specially filtered limit orders, this can be seen exactly in the market. From this I create my individual navigation map, which shows me exactly when the euro or dollar is being bought or sold.

It is not the strongest species to survive, nor the most intelligent, it is the one that is most likely to adapt to change. However, change often creates fear, frustration and stress. For this reason, people like to avoid change. When you are forced to change as an employer, there is initially a shock. Rejection is the first reaction to oppose the change. After the frustration, acceptance slowly arises. You start to test the change, it gets a bit bumpy and you come to the realization that it has significantly more advantages than the old way of working. Integration begins with future success. The worst sentence there is: We have always done it this way. Among other things, this could also be a reason why these previously very successful companies no longer exist today. Incidentally, these were the ten largest bankruptcies in Germany.

The biggest stake I traded with was 20 lots. That means I was in the market with over € 2 million, but with this large sum I was hardly able to influence the market. To move the market by one pip in EURUSD, you need between 10-20,000 lots. Now some will say you can move the market with one lot, that's true, but a big player must have invested 19,999 lots beforehand in order, that you can move the market with one lot. I think it becomes clear what I want to show with this. If we are not able to move the market, we have to let the big players take us away. To do this, however, I have to know beforehand which direction it will take in the future. This only works with the help of the filtered limit orders. For the short-term movements, I have to go deeper into the market, the filtered algorithms help me to see exactly where the short-term movements are going.

In the last 5 years the situation on the markets has changed significantly. New algorithms and strategies create more confusion, the error rate increases and the losses increase. The big players are upgrading, the technology is becoming faster and more efficient. Anyone who wants to survive in this market in the long term must also keep up with progress and invest. We may not have the necessary money to implement the same technical equipment as the big players, but those who are creative and willing to continue their education will still have a lot of fun in the markets for the next few years. You don't need a lot of money for this, but you need the right filter settings to see exactly what the big players are up to. A trader needs a market advantage in order to make money and we find that market advantage in the algorithms. It all sounds very complicated, but basically it's easier than you think. We will deal with it more concretely in the next few months, maybewith this informations you will come closer and closer to your goal.




I wish you a really great weekend and a very successful trade in the next week.


Kind regards Michael

Excellent, subtle information here. Much of interest as always.

Have a great weekend, Michael.

Video: How the big players manipulate us every day

Hello Lem,

Thank you very much, I am happy if the information helps our community. Due to the many different market participants in EURUSD, it is very challenging to reconstruct the actual course of the prices exactly afterwards. My comments are of course only my personal opinion, in reality the situation described can also have happened completely differently. Just the representation of the DoM in my video was very complex to produce and took a lot of time. Through you and many other subscribers in my blog, I received a lot of ideas and clues that helped me advance my creativity. That's why my subscribers are very important to me and they deserve the best information, which I am happy to continue to provide free of charge. One hand washes the other, for which I would like to thank all subscribers again.

I wish you a nice weekend.

Greetings Michael

Forex Factory, How Do I Find Like Minded Traders Near Me?


Hello dear subscribers,

the new video is online and, as always, you will first receive the English translation. You can find the link from the video at the end of my post.

Most retail traders have three problems. They are alone when trading, only focused on their strategy, receive little market information and do not know a successful trader with whom they can exchange ideas from time to time. In today's post I would like to offer you a possible solution to these 3 problems, which can only be reached via a few detours.

When I started trading over 11 years ago, I knew from the start what was coming. If you sit in front of your training screens every day and wait for the right opportunity, you will eventually realize that trading is a very boring job. It is comparable to a hunter, who stands on his perch and waits for a deer. In the same way, we traders wait every day for the optimal situation to place our trade. As soon as we are in the trade it will be exciting and time will fly by. Then we sit in wait again for the next trade. First of all, how much time do we spend waiting each day? Let's take a day trader who sits in front of the screen for 10 hours a day, is in trading for 2 hours and analyzes for 1 hour. This trader would spend 7 hours a day waiting. The scalper also sits in front of the screen for 1 hour for different analyzes, but is only in stores for a total of 30 minutes. In this case, he would spend as much as 8.5 hours waiting. Let us now consider such a daily routine. Our first trade is a loss, the next short trade works, and the subsequent long trade works too. The next trade is a failure, but the last trades are doing very well. The trader was in the market for 120 minutes and made two losses and four wins. He spent a total of 480 minutes waiting. This quickly adds up to 2000 hours of waiting time per year. If you used these 2,000 hours effectively, you could learn two new languages or a programming language in this time. Theoretically, you could also get your car driver's license 20 times or your pilot's license 5 times. We don't believe how much time people spend waiting instead of using the time effectively. My specially developed navigation system with the Bionic candle helped me with this.

I have already shown several times in my videos how I draw my zones with the help of the Bionic candle. With a good navigation system you are not forced to look at the screen all the time. Of course, I also tried to use my waiting time as effectively as possible.

I spent 3000 hours doing my master's in Java

I used 6000 hours to write about five books on my blog.

2,500 hours were spent on various projects in the area of algorithms.

I used 3000 hours to further my education.

I spent 2500 hours doing various video analyzes of my trading.

In 2000 hours I programmed different indicators and filter settings.

I spent 500 hours improving my English skills

It took me 500 hours to produce over 100 videos that I posted on my blog or YouTube.

This level of comfort can be just achieved in a few professions, since waiting times are usually not that long there. It would be a huge waste of time if you as a trader did not use this time effectively. A little tip on the side, if you want to learn a programming language or English, you can take a look at Udemy. Udemy offers a wide variety of courses. The cost is between € 9 and € 16. I don't know if they are really the best. It's best to do your own research on the Internet. A trader has three challenges to face in daily trading. He usually works alone and mostly with a similar strategy. He has no or insufficient market information and knows little or no trader with whom he can communicate regularly. Of course he could place an ad, but I think we all understand that this ad would not be very successful. But there is a much easier way. At forexfactory.com we find the largest trading platform in the world.

Forex Factory

850,000 members,

3.6 million daily hits

20% of all global traders are registered there

500-1000 new members join every day

You will find over 7.5 million posts there

75,000 different threads

Over 4 million images

500,000 free indicators

Membership is free of charge, and there are no follow-up costs. The only challenge, the main language is of course English, although as a trader you have to deal with the English language anyway. If you don't speak English at all, you can have all articles translated with Google. Another challenge is the search for interesting threads. I will give you some tips today. The reason I signed up with Forex Factory three and a half years ago: It is the largest trading platform in the world. Of course there are certainly good platforms in Germany, but the English are leaders in the Forex sector and the Americans are leaders in the futures sector. And it is precisely these traders that you rarely find on German platforms. If you want to celebrate, you definitely won't go to a club where nothing is going on, but where a lot of people are partying. This is where you are most likely to meet new, interesting people and have fun at the same time. The same applies if you want to sell a vehicle or close your household. Then only platforms that have a high throughput are eligible.

Let's take a closer look at Forex Factory. There are 717,400 members who operate in the Forex sector and 126,600 members who trade in the futures market. A total of 844,000 members. 747,000 losing traders, 42,000 breakeven traders and 55,000 winning traders. That means at Forex Factory there are almost 100,000 traders who do not make any losses in the long term. Around 120,000 members are registered on the world's largest future platform. Forex Factory is 7 times bigger. Due to the size, there are of course more losing traders at Forex Factory, the number of breakeven traders is 7 times as high, there are 3 times as many profit traders and 4 times as many profit and breakeven traders. Forex Factory will soon have as many profit and breakeven traders as the largest future platform has total members. There was once an interesting experiment by the University of Montpellier which was subsequently published in the journal Nature. 366 test persons were divided into groups of 2, 4, 8 and 16 people and were asked to solve differently difficult tasks on the computer. The small groups mastered the simple tasks consistently well, but deteriorated over time in the difficult tasks. The larger groups improved in the simple tasks while the performance in the difficult tasks remained constant. This means that the larger groups could learn more quickly from their colleagues. Since larger groups also communicate with one another at Forex Factory, complicated tasks could be solved more quickly.

You probably know the following situation. One looks for a certain indicator on the Internet. You will find different results and exactly the indicator that you find best costs 100 euros. You may decide on a paid version and at the end find out that there would have been much better alternatives. One of the most important indicators in the forex market are the currency strength indicators, which incidentally do not exist in the futures market. You can find the best for free at Forex Factory. No paid currency strength indicator is better. This is because the excellent programmers at Forex Factory have a lot more knowledge of trading than a pure programmer who wants to make money with it. Incidentally, the paid indicators have been tested many times at Forex Factory and the results were catastrophic. So you can even save a lot of money here. I received the currency strength indicator that you can see here from Forex Factory and filtered it individually. You can find more information about this in my blog.

Let's take a quick look at Forex Factory and what to expect there. Here we find nine different forums and in interactive trading we go to the EURUSD. In this blog, different participants give their opinion on the current course. In the Trades category, over 13,000 participants make their live trades available. We see the current monthly return here. Overall, the best 99 returns are shown. With one click you can take a closer look at the individual trades. The positioning in the most important currency pairs is displayed from these live trades. In the euro US dollar, 38% of the participants are long and 62% short-oriented. You can also display the positioning of the contracts. Under the News tab you will find all the latest news that are just coming in. The current news or meetings in the different currency pairs are very interesting. I have filtered the news here that are only relevant for the euro or dollar. Basically, I am personally less interested in news, but these meetings sometimes cause higher volatility in the market. You can also display this information directly in your trading chart. In addition, you will receive different information from important brokers. I find it interesting that realtime spreads can be compared with one another immediately. There are big differences in the euro US dollar, here you can save up to 65% in some cases. If we now scroll all the way down, we now click on the Members tab.

First we see the total number of all members, there are 659 high impact members, 990 medium impact members and 1649 low impact members. In total, these are the most important 3300 members who share their knowledge at Forex Factory. The low impact members belong to the top 10%, the medium impact members to the top 5% and the high impact members to the top 2%. When I posted my first post in January 2018, I was a High Impakt member after just four months. The background was that the traders at Forex Factory found my posts interesting and subscribed to my channel. This made me a high impact member even faster. For this reason I recommend you to concentrate on the high impact members first. Of course there are also other members who write good contributions, but if they are good, they will also become high impact members within six months. First and foremost, it is about reducing the selection at the beginning. Since Forex Factory only shows the first 500 high impact members, we have now reduced the selection from 3300 to 500. Now we get very interesting information: Start of the membership, buddies are people who follow each other, the number of subscribers, the number of contributions, the last online status and the country of origin. Now we can take a look at the top 500 high impact members. How do we find the most interesting information among these 500 high impact members?

The answer is the average number of subscribers gained each month. We take the number of all subscribers and simply divide it by the months of membership of the high impact member. By the way, on average, one high impact member has two subscribers per month. Of course, this is not comparable to Facebook or YouTube. The subscribers are very picky here and think very carefully about whom to follow. Only 179 high impact members achieve the value of two subscribers per month. 3 subscribers only reach 94 high impact members, 4 subscribers only reach 50 high impact members, 5 subscribers only reach 29 high impact members and 6 subscribers only reach 18 high impact members. My recommendation starts with the high impact members who reach at least four subscribers per month. These seem to be very interesting posts and we have reduced the selection from 500 to 50.

For this I have created a table, you can easily pull the data down from Forex Factory yourself and transfer it to an Excel table. The table was sorted by subscriber per month. The smallest value is 4.0 and the largest is 24.4. These filtered 50 high impact members naturally work according to different strategies. If this strategy doesn't work for you, just keep looking. In the first place you see a member who has 24.4 subscribers per month. However, this member has only been there for 13 months. Of course I deleted the names so as not to prefer any. Here we see a member who has been with us for over nine years and has an average of 14.9 subscribers per month. I think that's impressive. The same goes for these two members, who have been with us for over 14 years and have an average of 8.8 subscribers. Incidentally, one of them programmed over 1000 high-quality indicators himself, which you can download for free. Here you can see some members who have made little or no contributions in relation to their subscribers. Some of them provide their live trades, others do not provide any information at all. Of course, I can't say to what extent these are fake accounts, you just have to go to the profile and see how far the information helps you. With a self-created Excel table you can then make individual filter settings. The ignore rate is also very interesting. Members are able to exclude other members from their blog. If a member is followed by 100 subscribers and 100 are on the ignore list, you should take a closer look. In the end, communication in the blog is always decisive.

Let's look at an example of how you can get this information. In my blog you can see that I am a high impact members. I've been there since December 2017, since then I've written 1038 posts with 1855 pictures and made 135 files available for download. These are partly self-developed indicators and also Excel tables. There are 26 buddies and 229 subscribers, so a total of 255 members who follow my blog. 229 subscribers / 41 months are 5.6 subscribers per month. This makes my blog one of the 25 most interesting at Forex Factory. I was very happy about that and I would like to thank all friends and subscribers once again. Incidentally, Forex Factory only counts subscribers as real followers, as buddies always follow each other. 1038 posts divided by 41 months are 25 posts per month so I'm absolutely average. I publish an average of 1.8 pictures per post, as a picture says more than 1000 words. The Forex Factory average is 0.5. On average, I made three files available to my subscribers per month. I would like to show you three interesting ones.

With this Excel table you can work out which currency pair is most efficient for you. Here you can see that I reach my breakeven point after about 20 seconds in the euro US dollar. With USDJPY it would take 43 seconds, with GBPUSD 81 seconds and AUDNZD would only break even after 138 seconds. That is a significantly higher risk. You can find the information in my video: Where do we find the biggest big players in the market? The new trader tax brings considerable disadvantages, with the Excel table you can possibly reduce these disadvantages. You can find the information in my video: Trader Tax 2021 without me. Many years ago I developed a new candle, the Bionic Candle. You can also find this in my blog. In the video: Tips and tricks to escape the big players, you will receive specific information about the Bionic candle. In the video: Live trading two trades in 3 minutes, I show how I trade with the Bionic candle.

If you enter Forex Factory at Google, please click directly on the first link and you are at Forex Factory. Now you click on join above and you come to the login screen. Create a user name, a password and enter your email address. You can of course create a new e-mail address for this, but you will not receive any spam from Forex Factory. If you enter my name Bionics in the search field above, you will automatically come to my page. If you click the Subscribe button at the top right, you will automatically follow my blog and will be informed as soon as there is news. Why should you create a free account at Forex Factory? If you want to communicate with other participants, there is no other way. This enables you to save interesting threads, receive filtered information by email, create your own blog and even let professionals create free indicators or EAs for you. Forex Factory has a blog that is only used to create new indicators or EAs. Members can post their ideas here, which experienced programmers can implement free of charge. At this point, thanks again to everyone who works on this thread.

Of course there are also things that I don't really like about Forex Factory. There are some fake accounts that primarily pursue commercial interests. However, the management of Forex Factory takes rigorous action here and removes these members immediately. There are also some blocks where unnecessary discussion is going on and the vanities are in the foreground. This is also known from social networks, but you can avoid these threads. With so many participants it is also clear that there are a lot of false statements. However, these can be identified very quickly with further training. In addition, the experienced traders in Forex Factory ensure that these false statements are corrected.

About 8,200 traders from Germany are registered with Forex Factory. This is a good chance to find a like-minded trader. How to find these traders I'll show you now. To do this, first click on All Members and then go to the filter settings. You can see that there are very individual filter settings here. We first enter Germany and see that there are a total of 8156 traders from Germany. With Switzerland and Austria there are even over 12,000 traders. Maybe, you can contact them on their profile.

At the end, let's summarize the advantages again

You may find lots of new ideas and strategies, current and interesting market information, and over 500,000 free auxiliary indicators at Forex Factory. You can get help with the creation of indicators, and find forex and future traders from all over the world. You can create your own blog for free and exchange ideas with similarly working traders. I myself have met a lot of great people in the past 41 months, which has already resulted in a number of projects. For this reason, I can recommend this trader platform with a clear conscience.

Inserted Video

I wish you continued success in retail and would be delighted if you would recommend my YouTube channel to others.

Kind regards Michael

What really counts for trading is mind control...

How many hours have you spent on telling your mind to shut up and keep away from market noise?
How many hours did you spend on having patience fitness exercises?
How many hours did you spend on becoming an 80:20 Pareto worker?
How many hours did you spend on building statistics for analysing on myfxbook, FF, Fxblue or similar platforms?
How many hours do you really think of building your self-esteem which can really help your trading?
Did writing PHD kind of theses on trading really helped you?
How many hours did you spend on understanding the whole gamut of trading - spot, futures, options?
Do you really think learning to code or programming can make you a successful trader?

Important mind control


Dear simnz,

Thank you for your contribution. It looks like I couldn't formulate my intentions in concrete terms, so it seems that misunderstandings have arisen. So I feel obliged to correct your speculations. The article was about using the waiting times during trading more effectively. By the way, I prefer to do my sport outside of trading.
My 1040 posts that I published at FF have actually brought me a lot. Because when you write something down, you always have to think about it beforehand. This then gives rise to new ideas and projects. However, not everyone seems to have mastered this quality of thinking beforehand. For 11 years I have been dealing with trading and primarily understanding the approach of the big players. I only trade, because I really enjoy it. Maybe the only reason I earn money with it is because I don't see the whole thing as doggedly.

I never said that programming would make you a successful trader. I learned Java because it was a challenge and I wanted to understand how indicators work. That later helped me identify algorithms. Since, in addition to my 20 years as a financial intermediary, I have worked as a trainer for communication and body language for over 10 years, I get along very well with the subject of self-esteem and the Pareto principle.

I can agree with you on one thing, what counts is mind control in retail, but you should also use it in all other areas of life. If I annoyed you with my post that you responded to, I am very sorry. Maybe avoiding my posts in the future would help.

I wish you a nice weekend and good business success.

Kind regards Michael

Who is annoyed? You or me.
Can't take feedback with open mind..

10 golden rules of feedback

The purpose of feedback should be to promote the professionalism of the individual. In addition, feedback should promote openness, honesty and trust in interpersonal relationships as a prerequisite for fruitful cooperation. Feedback is constructive when the addressee receives information about alternative courses of action. General statements are not very helpful here. However, prompt and value-free feedback on specific observations can be a valuable learning aid that can contribute to the further development of the feedback recipient.

Feedback requested

Feedback is most effective when the recipient has asked for it. When a person surprised someone with feedback, he can't hope for a trusting relationship.

Usefulness of the feedback

One should check the usefulness of one's feedback. Feedback should relate to aspects that the recipient can change. If one make the other person aware of shortcomings that he cannot change, this feedback is useless for him.

Rating in feedback

One should describe one's own perception and reaction. It should be left to the other to use this information or not. By neglecting to judge, one reduce the other person's need to defend themselves.

Controlled feedback

Feedback should be controlled, taking into account one's own behavior, expressed as a subjective perception and referring to specific events or behaviors.

Clear feedback

Feedback must be precisely formulated and understandable. The feedback should relate to specific aspects, not generally to the whole person and their overall behavior. If one tell someone they are rude, he or she has little use for behavior change. Therefore, it is better to show what the person actually did and to what extent they prevented the group from developing.

Factually correct feedback

The observation must also be able to be understood by others. Unobjective in the original sense would be statements that are either fictitious or do not belong to the area about which the feedback recipient expects feedback. This also includes those that contain pure value judgments with little or no reference to observable behavior.

Moral feedback

Avoiding moral condemnation is essential. This reduces the urge for the other person to defend himself and reject the feedback.

Observed feedback

One should refer to observations as opposed to guesswork, fantasies, or interpretations. This makes the feedback more believable.

Inadequacies in feedback

One should only address changeable behaviors and not inadequacies over which the person concerned has relatively little or no influence.

Appropriate feedback

We should always give due consideration to the needs of the recipient. If someone doesn't care whether it benefits or even harms the recipient, one destroys their trust. Therefore one should always check the appropriateness of his feedback. Feedback can be destructive if one only see his own needs and not those of the recipient. Therefore, one should think about it beforehand whether one just want to get rid of his own aggressions.

Conclusion:

Since feedback is the feedback on one's own perception, the feedback often says more about the person giving the feedback than about the person receiving the feedback. The inner attitude is crucial. Anyone who looks at the matter with an astonished, curious look and researches what lies behind it, how one's own perception is supplemented, which pieces of the puzzle are missing from one's own understanding, can even deepen relationships and strengthen trust through regular feedback.