AUD/USD Pls help me get out of this hedging MESS !!!

A textbook study in real time.

We're pulling for you fatboy, but wishing and hoping and praying are not viable trading strategies.

As the old saying goes, experience is the best teacher but she charges a high tuition. On the bright side, if you can survive this it'll make you a stronger trader.

I sent you a private message.

I also wanna add also, some of your guys reply to fatboy are just retarded.

Goodluck

You have got to be kidding me - how are you not closing this!

GET OUT NOW!

Damn, reading this is like looking at myself back in time )

I've been in exactly the same situation, exaaaactly the same, but when pound was going to 2.1xxx I was shorting it from 1.74 level and kept adding and adding and basically when pound hit record high against the dollar I got margin called and lost about 9000 USD and the worst thing is my margin call was only 90 pips from that record high and now pound being at 1.5xx I would have doubled or trippled my account, but never happened.

The point being, if you trade long term, dont leverage too much or at all, or place stop loss if you short term. E.g I went long pound at 1.86, then it hit my stop loss of about 100 pips I reversed and, bam, I made 2400 pips.

I think the number one killer for all forexers is the use of margin, I never use more than 5:1 now and even thats when there is high probability setup, usually 3:1 or 4:1.

I guess the only way to learn is from your own experience, and just word of advise if you got away with something once dont think you can get away the 2nd time.

By Reuters, Oct 27, 2008 7:23pm (13 min ago), Topic Market Insights Australia cenbank says intervenes to buy A$
SYDNEY, Oct 28 (Reuters) - Australia's central bank intervened in currency markets on Tuesday to support the Australian dollar as it slid towards fresh 5- year lows against the U.S. dollar, a spokesman said.

The spokesman said the central bank was providing liquidity in an illiquid market.

This is the third straight day that the central bank has entered to prop up the beleagured Australian dollar, which has lost more than 35 percent against the U.S. dollar since peaking in July.

(Reporting by Anirban Nag)

Lol! You guys are hilarious. Fat boy, one of the secret of trading, especially in early stages, is to control your emotions.

Jim Cramer says "..Nobody ever made a dime by panicking."

in my opinion, 10,000 = not enough

i have getting burned too much when started to trade forex, try ur best to figure out whats the mistake on this one, fatboy.

i recommend use liteforex account to start trading.

they have account in cents. u only need to deposit US$250, you'll get 25000 cents in the balance.

if deposit 1000, you'll have 100,000 cents to play with. good luck!

Morning everyone,

An update to yesterdays activity, I managed to place 3 trades at the right time and got about 1400$ out. But my long bad trade is still open.

lexazver, I agree exactly with what you said, even though I know I have to close this trade, but I'm thinking why be so quick and rash, why not just go into a hedge for a few days, control your emotions and see maybe if the market returns, IF it does not then we can close both the trade and the hedge. If you believe in fibs, then that big move down should have a retracment up a little bit to the 50 level.

markbcool, thank you for that news, and trying to make me feel good. I've read that news for 3 days now and NOTHINGS been happening during the Australian session, no intervening or nothing, it's making me think that it's just talk without action.

Thank you to all of you for your outstanding support for a fellow trader who's in the dumps.

Thanks again.

Mohammad Reza.

wait for a FOMC decition, that will give you a big clue,

i think, after this mess take a break for a few weeks of 'unreal stability, the market is likely to rebound.... and AUD big up....

dollar seems to be big overbought, many big players, probably waiting for the right moment to trash many $ gains.

puttin another long could be a nice strategy, also and intervention in AUD currency is likely as inflationary pressures have exploded in Australia.

could follow this advise, and share some of your gains,

I love this line.

You can jaywalk on the same street 10,000 times and safely make it across. But if one time you get hit by a speeding car, you're dead and the 10,000 times you made it across safely mean absolutely nothing. Trading is exactly the same.

If you cut for a loss, you lose your money, but you'll learn a huge lesson. If you hang in there and get your money back, you're going to do it again in the future. It may not be next week, month or even year. But the next time you screw up (and we all make mistakes) you're going to remember how you hung in there once and came out ok. But it only takes one time to destroy your account. Just ask anyone who traded at Lehman Brothers.

You also need to get a handle on money management...... what you are doing now borders on insanity....
the definition of insanity is doing the same thing over and over and expecting different results.

1. This is a classic example of picking bottoms.
2. going against a very heavy downtrend driven by panic.

and just because the bank intervened don't mean the currency pair will change directions.

Given the strong rejection of .6000, I believe there is a probable chance price could test .6500. If you choose to ride this up, I would consider strongly getting out at BE counting your earlier profit. If you choose to hold this longer and price does not break today's high, tomorrow, I would look to bite the bullet. Demo is always a good thing. Take care and remember no one knows what the market will do.

Man, thats really bad. I can see how it feels. You should close that position and work on recovering your money back rather than digging the hole deeper by keeping it open

if you have margin available for other trades, then what I would do is set a stop at what I would consider my maximum loss, so that I couldn't lose any more and eat that bullet if necessary, and with the available margin trade like you would normally. that way if it recovers you're ok and if not you're out and the worrying stops.

Man you gotta be happy now ! I hope you gonna close your position now

You are a lucky dog fatdude.

yeah this was a free lesson, make sure you write it down and stick it on the wall and make sure you read it every damn day. for the next month.

Word!

Fatdude, close out and step away from the computer.

....Seriously though, a couple of people touched on it.... you'll repeat the same mistake again and again and again. Can you afford to lose $10000 repeatably??

Draw up a business plan before continuing on. It's not a race. ($1400 back in a couple of trades??? ...I mean... WTF?? ...you know what I'm talking about!)

And find yourself a copy of "Trading in the Zone".

You'll get there dude.

You made it back to breakeven (almost). Close the trade. Write down all your emotions for the last week, good and bad. Read them.

Wich feelings do you not want to have on the next trade? I guess pretty much all of them, exept from the last ones. And those does not count. Because it was luck.

What i expect from you now is to use this thread planning and executing your trades. In real time. Give us a reson for entering the trade and a reson for exiting it. I will not be suprised if this "emergency call" turn out to be something good.

I hope you will stick with us so we can participate in your hopefully bright trading future.

I wish you the best of luck. The same goes to all of you.

T