Technical Analysis Fallacy

Hi FTI

Technical Analysis Fallacy is the first in Trading Discussio,
17 605 replies and 1,653,966 views.

Congratulations

Regards

I also enjoy. And the standard and quality is number 1 of all threads.
(apologize to authors of other quality threads...also great efford...)

About brokers again.

From my experiments in retail forex trading earlier , I would agree that Stephen is basically correct in his advice.

Additionally, seems even the ecn's are muti tiered, in terms of the services provided. The worst thing that can happen to traders is when their brokers not show them all prices. I read a ceo's respond on this issue. And the excuse was that, they receive so much price feeds at any given time, that only some prices are routed thru. For me that is a red flag. If brokers manipulate the price feeds to customers, then I red flag the broker.
This also happens in the spot interbank arena. Of the 7 squark boxes i used, had 2 was in fact switch to very low volumes at the desk, because they are bad resources for trading. So for the guys not on the ball, they get very little business from my desk. And when they fumble, I "offline" them for extended periods to punish them. But as market maker they were fed prices by me, more than their ability to show me market. But of course i had boxes resources to tokyo, frankfurt, london. SO at any given instance i knew exactly where market was around the world.

The most important factor of broker prices,is not the frequency of prices but the stability of the prices. I much prefer to trade with brokers with less prices flippings but of better price stability. Like i had said before, the markets they can be fast sometimes. So the broker offering the piptits thingy is really not professional in my opinion. 5th digit makes no difference to a trader who has urgency for trading, as it has no real impact to the book. When markets are fast they not move in piptits, but in double digit pips. But it sure is an irritation in that due to the piptits they flip the prices changes in nano seconds on screen and can impair traders from hitting the market. My finding was that, that is the excuse buckets uses to deny good trade hits by claiming that the markets had moved, when in fact only in piptits.This can facilitate for them shade away to scalp the traders. So in fact i red flaged any broker that not allow traders to switch off the piptits.

Another important issue i observed was the fooling around with IT and server access, which many retail brokers used, when markets became thin.They seems selectively switch off certain traders? This its hard to prove, but i had experimented with some traps, and i am convinced of its reality.

I cannot speak about all the world's retail brokers, because my rule of thumb for broker-to-market access, was credit risk and my ability to bring them to legal hammering if they did something unscrupulous to me. So because of that, i only experimented with brokers who had offices in Sg. I have much confidence in the MAS (Monetary Authorities of Sg) as they would take any errand brokers to book, if they was caught doing "bad" stuff. So in that sense i did not check all resources out.

The brokers that Steve mentioned, i believe none have offices in Sg. But i had heard of Peregrine's name in the market before. I think they had much presence in the futures broking, not in forex. But that was long ago, so they may had come into the forex folds. For me Peregrine ,never had a box on my desk before. In fact non of the retail brokers i checked out had any presence in spot interbank broking.

After the refco incident, i strongly advice that brokers must have customers funds segregation and have local presence. Otherwise the credit risk is very out the window.

For professional market access, go with the banks, if your books are big enough.

regards

Just for your understanding of the OTC markets.
At any given instance, markets prices are different due to timezones and location. So there is no real singular price. Prices in Tokyo would be different from whats in London fractionally, due to their books. Indicatively, you can price the market for about 10 pips spread, factoring the differences.
So your 2 pips prices , is housed within that 10 pips possiblilties. Most likely your prices is reflective of your market makers books, his bias , as well as your exposure. In fact, i believe the retail buckets is part of the ecn network, and feeding the prices from the network and adding on whatever they can get away with for prices to retail customers. So its probably a book within a book.
I have a distinct unease for the ecns, as they refuse access to smaller money, and allowing sub-tier build their buckets leaching on to the core of the ecns. Why they not allow access to small money electronically, baffles me. Any way, all the spot interbank dealers that i had privy to ask, not one is making prices electronicaly. So wheres the ecn prices coming from? I can only suspect off interbro channels.

You know, to dealers, name is very important. SO if they are actually feeding prices to any brokers , they will publish their involvement. Many retail brokers claims prices from liquidity providers, funny thing is no one dares says who? Doesn't seem like the real mccoy to me.

Maybe for training purposes only. But then again, who knows? oneday, they may just get their act together. That would be nice for the man on the streets.


regards

really?
Ai ya, more than half the stuff here is entertainment value. Not so much for content. so is not fair benchmark like that. But I like the people in here. Nice.
I not feel need for statistics glory.
Just traders helping each other out.

regards

wow, nice spanish guitar and a live rose. to start the day.NICE

regards

Thank you FTI for sharing your insights with us. We all appreciate this a lot. Banks not quoting electronically even now? that's quite a shocker man. Among the retail fx providers , it seems only Interactive Brokers posts its liquidity providers ala Barclays, Goldman, JP Morgan, RBC, Nomura, UBS and some other biggies. Other than that, no one.

Eur/Usd seems to be waiting for something and ranging around 1.3000... I wonder if it is the US GDP numbers



Goodnight

Here is my Fav music to dance along... Enjoy

great song! love it. thx.

pare, pare, pare = money, money, money.....pleeease spoil me.

Hi FTI

I just noticed that, and I wanted to you congratulate.I know, the benchmark is not important ... but it is IMPORTANT = valuation of YOUR WORK ... and a small compensation for the "naughty children"

regards

Hi Fti,

thanx for your comment.

It is really very difficult to find the broker that suits the needs perfectly and is also trustable.
At the Moment I'm thinking about experimenting with some of the ECN brokers that are offering the MT4 platform. I'm very curiuos how things will change, when I have no longer a more or less guaranted fixed spread of 1.7 pips with my lady USD/JPY.

It will take some time (still busy most of my time on non trading tasks) but I'll report my experiences here.

CU,
MaMood

p.s.: A little offtopic - Is here anybody who is a real "pro" with windows7?
Have some problems to configure multiple gateways (to different Internet provider).
In more detail: Have no proplem to define multiple gateways for IP4. But - unlike with XP professional - the alternate gateways are not used automatically, when the first one fails.
If there is anyone out there who can help me, please contact me by PM.
Thanx!!!!!

Your spelling is atrocious, You cant spell millenium, fibonacci or leonardo de vinci, and you are a certified TA? Basically you have done your Bollocks trading TA and now you think it's BS.

I believe TA is a load of crap, but works only if a bunch of people are looking at the same thing.

Well if you find technical analysis so useless, then there is no point in ranting in a TA thread is it? Many traders have found good insights and value from this thread. And I suppose you ought ought to respect that.
btw, you want great english ? go read shakespeare.... I for one know many good traders around the world who barely spoke a word in english. When you're the kind of guy who makes or loses $10000 in an hour, it doesn't quite matter what the "little people" think. But you wouldn't know any of that would you?

Hi Brettus

you have the freedom to choose not to read this thread.

thank you

mmmmmm...... very spiritual

ai yo, had a bad day?
Seems may get worst. So brace yourself and spell looses right.
Oh not to worry, the brokers will correct it for you.

OK. I work for a broker, so i can correct it myself. Most of you would give your left arm for the info i have.

... be concise and clear