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  • #1,521
  • Oct 21, 2010 1:37pm Oct 21, 2010 1:37pm
Kundrit, Good luck to you. I wish you the very best. Consider testing the waters "small" and just see how it goes for you. As stated before, the good traders "love" their broker, while the losing trader blames their broker. Do your homework on brokers before choosing one, but remember to take some of the comments with a "grain of salt" as the reason stated above. You will not deposit a lot of money to start with so while training, the "lower the spread" on the pair you will be trading gives you a better chance of success and breaking even. So find a broker with a low spread. As you start to earn money and grow your account, withdraw some of your earnings and see how it goes. You can always change brokers later or try different ones. I mentioned don't trade a demo account, trade a micro account, that doesn't mean not to sign up for some demo accounts so you can see their trading platforms while you make your decision. The main thing is to trade. As you become successful, the compounding effect can make your account grow, and grow, and grow. But while learning I have earned pips and had had 19 trades in a row go my way and had one losing trade and busted my account with a marging call. Taught me a lesson about stop-losses and thinking it would turn around any minute. So 19 winning trades out of 20 for a 95% success rate and I lost money!!! How did that happen??? I have also had only 3 winning trades out of 10 for only 30% success and had 7 losing trades and guess what? I made money! Money management is a huge piece to learn when it comes to trading in addition to just what broker to use and what indicator am I going to use to base my trade on.

Quoting kundrit
Thx a lot Piptaker..this is execellent advise and great personal opinion of advise and more encouraging..I wish you success in every trade now and future..thanks again
  • #1,522
  • Oct 21, 2010 1:54pm Oct 21, 2010 1:54pm
Quoting pip_seeker
The answer is the term "rich" means different things to different people.

Some various meanings of the word "Rich".

1. Money and tons of it.
2. Independence --- no working for a paycheck.
3. Freedom --- sleep in, do what you want.
4. Life Style --- the more you spend the more you need to make.

I think many approach it with the #1 view point, which usually ends in disaster they get discouraged and quit. Forex is not for everyone. I have seen countless people come an go. It's hard fought for money. It's the ultimate challenge to be profitable...
Thx pip_seeker..I read book "more money than God" which gave sizeable account of successful "hedgefund" in micro (trading stocks and commodities) and bust off when enter macro (trading forex).

The only survivor is quatum fund up to date but with smaller size than before. Most of these funds have a lot of people like you here trading money with hard work and dedication, and the only differences is that they are authorized with a lot of people (investor) money to invest. Even the psychological factor have been set aside they still lose money (when look at defunct Lehman Bros., Baring Plc). My honest question stem from here if bigger well funded with dedicated people and expertize and long flight time doesn't make it, is there still a room for small forex trader doing macroeconomic forecast...and become rich as you defined above.
  • #1,523
  • Oct 22, 2010 2:28pm Oct 22, 2010 2:28pm
Quoting kundrit
Thx pip_seeker..I read book "more money than God" which gave sizeable account of successful "hedgefund" in micro (trading stocks and commodities) and bust off when enter macro (trading forex).

The only survivor is quatum fund up to date but with smaller size than before. Most of these funds have a lot of people like you here trading money with hard work and dedication, and the only differences is that they are authorized with a lot of people (investor) money to invest. Even the psychological factor have been set aside they still lose money...

Well if the system is good it doesn't matter the size perse. All that matters is you win more than you lose. Do the math... more wins than losses over time = more money.

If you are just a small time trader like majority here or majority anywhere for that matter, you can't go all in like Lehman Bros, hedge fund etc. You have to keep some aside just in case. That's where Lehman Bros went wrong, things took a dive, credit markets froze and they couldn't get cash to stay afloat. [Those are the lessons of the market, look at them and learn from them. They are examples of "what not to do".]

The problem with hedge funds, Lehman Bros. before the crash was that they were all over-leveraged. That is the ulgy side of high leverage. Had the credit markets not froze up with all the toxic debt on the market they probably would still be here today. {maybe}

So after that you get (some) people with the mis-informed logic that leverage is bad. It's not bad if you know how to use it and no excuses of "fuzzy math" come from your mouth if it's over your head. You crack the book and learn it. Leverage is only bad when it's abused, otherwise it is only a tool to keep minimal amounts of money at risk. [Otherwise known as at risk funds.]

There is plenty of room for small time trader although with the leverage restriction courtesy of the CFTC it makes it even harder. Because first off it increases the amount of "At risk funds." If you don't increase the amount of "at risk funds" then your hands are tied as to how many positions you can maintain at one time without a margin call. Because of that any return you make will be less than what it would have been at the old higher leverage available. [Up to 400:1 a little over a year - year 1/2 ago in the US for those that are oblivious to the facts.]

As far as becoming rich... you didn't answer the question what rich is?

Rich means different things to different people. To one person it may mean 1 million or more to some it might be 500k or less. Rich has too broad a meaning to be quantified here. It is not a one-size fits all definition.

The minute you learn to take what the market gives and realize not to stress over leaving 20-50-100 pips on the table on a trade you closed to soon and realize there is always another oportunity. We are all greedy by human nature, so you will always be fighting with your own natural desire. It's only when you take control of this will you learn it's nothing more than a numbers game.

It's not about what you come to the game with, it's what you leave with that decides your fate.
  • #1,524
  • Oct 22, 2010 2:33pm Oct 22, 2010 2:33pm
From my point of view, very expensive...
  • #1,525
  • Oct 23, 2010 4:36am Oct 23, 2010 4:36am
I agree with some of the other comments here what is "rich" but also "why" why do you wnat to be rich. I think its teh why that keeps you going. If you trade to be rich, but you do not know why you want to be rich, then when the tough times come you wont have a reason to keep on going...
'For me, bing rich means I do not have to go to a job, I get up and do what I want to do. I want to be rich because I want to be able to see my kids grow up and spend time with them, not 10 hours a day at a job
  • #1,526
  • Oct 26, 2010 9:23am Oct 26, 2010 9:23am
A while back I wrote a detailed description of the NDD mechanics on our back-end. We now have a short video visually explaining how NDD execution works (with more videos to come).

Inserted Video


You can find this video on our website http://www.fxcm.com/fxcm-forex-execution.jsp along with answers to more questions:

- How does FXCM's No Dealing Desk (STP) service make money?
- How do traditional dealing desks make money?
- Which trading strategies are ideal to execute at a traditional dealer?
- Which strategies are ideal to execute at an NDD firm?
  • #1,527
  • Oct 27, 2010 10:49pm Oct 27, 2010 10:49pm
Quoting Jason Rogers
A while back I wrote a detailed description of the NDD mechanics on our back-end. We now have a short video visually explaining how NDD execution works (with more videos to come).
thanks Jason. i have a question regarding cash rebates sites. one site offers 0.7pips rebate. so that eats into FXCM's profits too?
  • #1,528
  • Oct 28, 2010 8:33am Oct 28, 2010 8:33am
Quoting bstay2
thanks Jason. i have a question regarding cash rebates sites. one site offers 0.7pips rebate. so that eats into FXCM's profits too?
Hi bstay,

In these cases, the referring broker is most likely sharing their rebate or compensation with you.

-Jason
  • #1,529
  • Oct 28, 2010 12:23pm Oct 28, 2010 12:23pm
Hi Jason,

Sorry If you already replied this question: When will FXCM release MT5?
Thanks
  • #1,530
  • Oct 28, 2010 1:15pm Oct 28, 2010 1:15pm
Quoting Darth Vader
Hi Jason,

Sorry If you already replied this question: When will FXCM release MT5?
Thanks
Hey Darth,

I'm not able to answer this one unfortunately. We're in a pre-IPO quiet period, so I'm limited to what I can say about our plans for major product releases. My days of being freewheeling with information is now somewhat limited by our legal department and the SEC .

What I can tell you is that we have the MT5 demo available in the MT4 section of the DailyFX forum. The demo can be downloaded directly from here.

Speaking in general, I believe the earliest possible date MT5 could be released is January 2011 since their automated trading championship lasts until Dec. 24. Pure speculation on my part though.

-Jason
  • #1,531
  • Oct 29, 2010 10:20am Oct 29, 2010 10:20am
Hi Jason, sorry to pull the thread sideways.

I have noticed that 400:1 leverage is no longer available, when (and if possible, why) did this happen? I noticed this through a new demo account, has my live account also been affected by this?

Thanks in advance

H
  • #1,532
  • Oct 29, 2010 11:20am Oct 29, 2010 11:20am
Quoting HannesJoub
Hi Jason, sorry to pull the thread sideways.

I have noticed that 400:1 leverage is no longer available, when (and if possible, why) did this happen? I noticed this through a new demo account, has my live account also been affected by this?

Thanks in advance

H
Hi Hannes,

No worries. Questions on any topic are welcome.

If you're trading with FXCM UK, the default leverage (and maximum) is 200:1 on a standard 10k demo and 400:1 on a micro demo. These are also the default (and maximum) levels when opening a live account with FXCM UK.

The only accounts that have changed recently are those with FXCM LLC (US) due to the recent rules passed by the CFTC. Those accounts have a maximum leverage of 50:1 for major pairs and 20:1 for exotic pairs.

I would be happy to check your account specifically to confirm your margin level, or you could take a look at the MMR column in the simple dealing rates window. It will display the minimum margin requirement for trading 1 lot of the specified currency pair. If you want me to check, please send me an email at [email protected] .

-Jason
  • #1,533
  • Oct 29, 2010 1:26pm Oct 29, 2010 1:26pm
Quoting Jason Rogers
Hi Hannes,

No worries. Questions on any topic are welcome.

If you're trading with FXCM UK, the default leverage (and maximum) is 200:1 on a standard 10k demo and 400:1 on a micro demo. These are also the default (and maximum) levels when opening a live account with FXCM UK.

The only accounts that have changed recently are those with FXCM LLC (US) due to the recent rules passed by the CFTC. Those accounts have a maximum leverage of 50:1 for major pairs and 20:1 for exotic pairs.

I would be happy to check your account specifically to confirm...
Hi Jason, thanks for the reply. I think what may have happened here is that the new demo account is not a micro account but rather a standard account... So, that answers my question

I have checked my live account and MMR for EUR/USD is 3.75 and for Demo is 30.

May I pm you @fxcm.com with other questions regarding marketscope?

Again, thanks for your assistance.

Cheers
H
  • #1,534
  • Oct 29, 2010 2:48pm Oct 29, 2010 2:48pm
Quoting HannesJoub
Hi Jason, thanks for the reply. I think what may have happened here is that the new demo account is not a micro account but rather a standard account... So, that answers my question

I have checked my live account and MMR for EUR/USD is 3.75 and for Demo is 30.

May I pm you @fxcm.com with other questions regarding marketscope?

Again, thanks for your assistance.

Cheers
H
Feel free to pm me @fxcm.com at any time.

Have a great weekend.

-Jason
  • #1,535
  • Edited 5:33am Nov 1, 2010 5:29am | Edited 5:33am
I place a buy order at 129.15 for gj when the market is 20 points below 129.15 and the order is executed at 129.378 as soon as the market crosses 129.15.

How can this happen?

Please do take a look at my attachment.
Attached Image (click to enlarge)
Click to Enlarge Name: gj.jpg Size: 533 KB
  • #1,536
  • Nov 1, 2010 8:57am Nov 1, 2010 8:57am
i've been looking at this broker for the past weekend, and i must say it looks quite promising, all those instruments on a good looking and functional platform, and with the supervision and protection of FSA.

I have 2 questions to Jason or anyone familiar with FXCM Trading Station.

1.I set my account currency to GBP. judging by MMR, the leverage is preset at 1:200 (MMR 50 for most USD ending pairs, 60 for GER30 and US30 CFDs) I noticed that MMR fluctuates during the day, at the time i'm writing this, the MMR for GER30 and US30 doubled at 120). Why does it fluctuate like that ?

2. I'm puzzled with Roll B for CFDs. for example, as the asia session opened, Roll B for GER30 was -1,9. Now it is -0,65. I understand that this is charged at 5pm ET. How do i know how much will i be charged if it has this wild swings during the day ?

thanks
The worst thing I can be is the same as everybody else. I hate that.
  • #1,537
  • Nov 1, 2010 9:35am Nov 1, 2010 9:35am
Quoting deedeed
I place a buy order at 129.15 for gj when the market is 20 points below 129.15 and the order is executed at 129.378 as soon as the market crosses 129.15.

How can this happen?

Please do take a look at my attachment.
Hi deedeed,

The entry order you created is a stop entry order. A stop entry order will always at the best price available, so slippage is possible.

With FXCM's NDD execution, there are 10 banks providing liquidity. When your order goes into execution, it is sent to the bank quoting the best price. If liquidity is no longer available at that price, it is executed at the next best price. Trading around news events can increase the possibility of slippage because the market can be illiquid and volatile.

The entry order you highlighted was executed right before the UK PMI report at 5:30am ET and the market made a sharp move higher. Here's a copy of the tick chart:

http://img833.imageshack.us/img833/4...art1112010.png



Trying to catch the breakout during a news event with a stop entry order is not easy because market is less liquid. If you use a market order you could at least specify a range of slippage you are willing to accept by selecting Market Range for the order type. If the best available market price is outside of that range, then the order will be rejected. Below is a screenshot showing where to find the order type option in the market range window.

http://img837.imageshack.us/img837/8...eordertype.png


If you want to trade as fast as possible, you can also change the trading mode to one-click or double-click trading and set a default market range amount. This option is found by clicking the Trade Settings button at the top of the FX Trading Station II.

http://img178.imageshack.us/img178/8...10103253am.png


-Jason
  • #1,538
  • Nov 1, 2010 3:34pm Nov 1, 2010 3:34pm
Quoting GubyIQ
i've been looking at this broker for the past weekend, and i must say it looks quite promising, all those instruments on a good looking and functional platform, and with the supervision and protection of FSA.

I have 2 questions to Jason or anyone familiar with FXCM Trading Station.

1.I set my account currency to GBP. judging by MMR, the leverage is preset at 1:200 (MMR 50 for most USD ending pairs, 60 for GER30 and US30 CFDs) I noticed that MMR fluctuates during the day, at the time i'm writing this, the MMR for GER30 and US30 doubled at 120)....
Hi Guby,

Thanks for your questions.

The margin requirement for the stock indices won't fluctuate (and especially not intraday). Here's a list of the margin requirements on the website which correspond with the margin requirements listed in the MMR column of the platform: http://www.fxcm.co.uk/cfd-product-de...IndicesDetails . I checked a GBP demo on my account throughout the day and did not see any changes or the levels you mentioned. I would be happy to check the leverage settings on your demo if you want to email me at [email protected].

Rollover amounts could change day to day, but typically not that much unless you're talking about triple rollover on Wednesday compared to all other days during the week. If there is a modification to the current day's rollover, it will be updated in the RollS and RollB columns during the morning hours (New York time).

-Jason

-Jason
  • #1,539
  • Nov 1, 2010 4:11pm Nov 1, 2010 4:11pm
jason, thanks for the replies.

Can you explain why the MMR doubled ? As I said in my previous message, it also doubled around the beginning of US session (so I don't think there are liquidity issues).

Why do i insist on this ? Because i can't find the logic behind it. And if this is random, what stops it from going from MMR 100 for eur/usd to 200 or more and margin call my account ? I mean, if the account was opened with MMR 50 for eur/usd, then it shouldn't change without prior notice. Am i right ?
Attached Image(s) (click to enlarge)
Click to Enlarge Name: fx1.JPG Size: 194 KB
Click to Enlarge Name: fxcm2.JPG Size: 196 KB
The worst thing I can be is the same as everybody else. I hate that.
  • #1,540
  • Nov 2, 2010 12:44am Nov 2, 2010 12:44am
Hi Jason,

I'm from Singapore just started a Micro account with FXCM UK with a starting equity of just USD$250.

The MMR readings from TSII seems very small. E.g. 3.75 : 1 for EUR/USD.

Attached Image (click to enlarge)
Click to Enlarge Name: FXCM_UK_Microlot_romulanvox-001.jpg Size: 151 KB



I'm somewhat confused as the FXCM UK site states that leverage for Microlot is usually 400 : 1.

Could you help to explain the leverage available to my micro account?

I'd like to know if there's anything I can do to increase the leverage available. I've accessed myfxcm.com but couldn't find any links which allows me to change that. I vaguely remember reading somewhere that myfxcm.com allows changes to leverage.
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