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It is possible to be rich in FX!

  • #21
  • Oct 25, 2010 4:16pm Oct 25, 2010 4:16pm
I scale traded EURJPY 5m with no stops for 45,000 pips in 5 weeks, very dangerous because my opinion this is a total scam market, controlled by a server computer that knows exactly what I'm up to and where and trades most of my own money against me.
  • #22
  • Oct 25, 2010 10:11pm Oct 25, 2010 10:11pm
The aim of most traders is to get rich in Forex but most of the time (about 90-95%) they fail miserably and end up losing money. To win at Forex trading, you must learn how to spot the high odds chart patterns. Also keep in mind that when you trade forex, you must have the right mindset. You should understand that you will encounter losses and through this losing streaks you must accept this losses and keep them small. Trade with discipline.
  • #23
  • Oct 27, 2010 4:54pm Oct 27, 2010 4:54pm
I have over three thousand live trades since September 2009. Once a again, I am watching a one hour bar that will not cross the profit line, so I switch to one minute to see what's going on, and wouldn't I know it by now, it is reversing exactly at my order line again, it is so blatantly ridiculous how it pinned ten times exactly into my order line without crossing once and often breaks violently the other way. What I think it is besides a complete waste of everything time, energy, and money, I think it is a central computer that goes right onto the client platform and uses direct information to counter every trade with billions of account money.
  • #24
  • Nov 10, 2010 1:17pm Nov 10, 2010 1:17pm
perhap is the fastest vehicle to become "Hobo" That's right, no?
  • #25
  • Nov 16, 2010 7:19am Nov 16, 2010 7:19am
Sg_Trader,

Please ignore the critics here. I fully believe that it's possible.

Imagine someone with Live access to FXCM Trade Servers. With good computing capacity and Trading Book/Open Balance at his hands, he can predict with good accuracy, the movement of market for next 5 Pips.

I read about a guy in my country whose parrot predicts 20 Coin Flips and never fails (Precognition). Forex is also all about Flip (Market Up or Down). If the story is true and you let the parrot be the EA, then it would work as well.

Time machine is another idea.

Impossible spells I'm possible.

Thanks,
C-B4-Horse
  • #26
  • Edited 6:44am Nov 18, 2010 2:19am | Edited 6:44am
In Forex retail.. you never get rich, perhaps several thounsands/month if you're lucky and your account is >30.000.- and you know how to put your strategy to work. There is no so called "edge" that you think you have, since "edge" is belong to the "central bank (CB)" to "edge out" what they considered a bad guy (aka HF). But you can take advantage of the "edge" just like surfing, you wait patiently for wind and wave (the "edge" that belong to the mother nature) and at the right moment you surf by the wave. This is what you take advantage the "edge".

What "edge" you are looking for and claimed that you have if you deposit merely $1000? or $5000 for one lot?. For sure there is no edge with this amount of investment. Even with $ 50.000 you barely can breath because the room is a bit bigger in this retail business, and that is considered "a good surfing gear". Even big hedge funds have not what is called "edge", they're "edge out" by Central Bank finally like LTCM, Lehman, Tiger Fund, Baring Plc, Quantum fund.

I just recalled when I was 12 yo and ask to play monopoly game, I always choose my friend to be a banker in the game (otherwise I don't want to participate) and anytime I lose money my friend slip money to me and at the end I have everything..I guess this is what is called..the first "edge" that I ever know lol....

Q: Who has the edge then? A: The CB and the one who have access.
  • #27
  • Nov 18, 2010 5:11am Nov 18, 2010 5:11am
Quoting CartB4Horse
..let the parrot be the EA, ..
..and if the parrot fails by accident, let's martingale him!
:-anything
  • #28
  • Nov 18, 2010 7:43am Nov 18, 2010 7:43am
Quoting kundrit
In Forex retail.. you never get rich, perhaps several thounsands/month if you're lucky and your account is >30.000.- and you know how to put your strategy to work. There is no so called "edge" that you think you have, since "edge" is belong to the "central bank (CB)" to "edge out" what they considered a bad guy (aka HF). But you can take advantage of the "edge" just like surfing, you wait patiently for wind and wave (the "edge" that belong to the mother nature) and at the right moment you surf by the wave. This is what you take advantage...
thats a load of BS.
I've been watching you and that esuff guy preach this crap about only central banks having an edge..

why don't you just accept that you have not been able to find a profitable way to trade?

what you say about riding the wave created by banks is a good way to trade but it is not the ONLY way to trade...

ps. you need to understand what an "edge" is...a person/system that has an edge does not mean that he will profit on every trade or will be able to manipulate the market...any system that can statistically prove that it has more winners than losers (expectancy, profit factor, etc..) has an edge IMHO.
  • #29
  • Edited 8:31am Nov 18, 2010 8:17am | Edited 8:31am
Quoting kundrit

What "edge" you are looking for and claimed that you have if you deposit merely $1000? or $5000 for one lot?. For sure there is no edge with this amount of investment. Even with $ 50.000 you barely can breath..
.. where's the difference between $5K and $50K in terms of edge?! Are you able to move the market with a $50K account? You can trade one lot with $50K and 0.1 lots with $5K and place the same trades using the same edge and make the same percentual win or loss regardless of account size.. Risk management and edge are different things..

Have to agree with pride1760 in this.. if one has sustainable positive expectancy with his method (can be any), then he has a working edge.. read Tharp (and many others) to sort it out..
:-anything
  • #30
  • Nov 18, 2010 8:44am Nov 18, 2010 8:44am
Quoting CartB4Horse
Sg_Trader,

Please ignore the critics here. I fully believe that it's possible.

Imagine someone with Live access to FXCM Trade Servers. With good computing capacity and Trading Book/Open Balance at his hands, he can predict with good accuracy, the movement of market for next 5 Pips.

I read about a guy in my country whose parrot predicts 20 Coin Flips and never fails (Precognition). Forex is also all about Flip (Market Up or Down). If the story is true and you let the parrot be the EA, then it would work as well.

Time machine is another idea....
In the immortal words of John McEnroe "YOU CANNOT BE SERIOUS"

Inserted Video
  • #31
  • Edited 2:24pm Nov 18, 2010 12:16pm | Edited 2:24pm
Quoting tritom
.. where's the difference between $5K and $50K in terms of edge?! Are you able to move the market with a $50K account? You can trade one lot with $50K and 0.1 lots with $5K and place the same trades using the same edge and make the same percentual win or loss regardless of account size.. Risk management and edge are different things..

Have to agree with pride1760 in this.. if one has sustainable positive expectancy with his method (can be any), then he has a working edge.. read Tharp (and many others) to sort it out..
Do you belived that Stan Drukenmiller, John Paulson, Steinhardt and George Soros, Julian Robertson, Paul Tudor got an "edge" reading books by Tharp, Bollinger, Tom DeMark and Nielson etc? you must not be kidding.

The definition of "edge" varies for each person, and what one called "edge" to me ain't edge but no more than "tools (your invested money 100-100.000.-, your system; person, computers, strategy, books on technical analysis etc)". Once you deposit money to the broker its no longer money its tools, that must generate money for you to take home. In other words, they all are your "climbing gear" to get "the money" upon the mountain.

With 1:100 and 1:20 investment "to me" it doesn't serve hot soup and steak on the table every day on winter, no matter what edge you proclaimed that you have, just like playing bingo you can claimed to have an edge and its fine to me, since it would just make good brain activity. But if you can ride the wave just like I ride the pair of USDJPY today 2010.11.18 at 17:00PM, this is the real "edge" by my definition and I put "10 lot buy" on it and ride/surf the wave when it goes up from 83.258 to 83.753 (which I have been waiting patiently within decending triangle which by any technical charting book should go down and good for shorting, but book is wrong, just after shooting star and spinning top it goes way up) when a lot of retail trader shorting yen. This kind of edge I figured out that Soros said to Stan Drukenmiller go for the "jugular" when he leveraged for shorting cable 1:400 ($50 million to leverage $20 billion) and surfed the wave (on top of 1750 pips) when it is coming. In today USDJPY pair, I strongly believed it is because of The Bank of Japan (CB) intervention to weaken the yen and to keep their goods with respect to the dollar not to be expensive. I am Very happy!!!!
  • #32
  • Edited Nov 19, 2010 1:36am Nov 18, 2010 1:09pm | Edited Nov 19, 2010 1:36am
Quoting pride1760
thats a load of BS.
I've been watching you and that esuff guy preach this crap about only central banks having an edge..IMHO.

Don't bother, they're just what is so called the 1-5% in this forum that differ than the remaining.
  • #33
  • Nov 18, 2010 8:02pm Nov 18, 2010 8:02pm
Its very possible to get rich trading forex. You need to already be rich before trading forex.

The average retail spot trader will never be rich trading forex. Period! To many variables and an entire market against us. Sure, you can make a nice living trading forex but you'll never be at the level of say, Soros or Paulson unless unless you're coming into forex with a million or more. Soros, Paulson, and others know this, which is why they trade clients money.

It takes money to make money. The more client money you have the most risk you take. If you win that risky trade, the more of a commission you command. Wanna be another Soros, a mass a nice list of wealthy clients. If Soros and gang was given a $5,000 forex account, they like you, would lose as theres too many variables against the spot retail forex traders.

  1. Lack of verifiable information (i.e. fundamentals)
  2. Lack of uniformed market data (data feeds different from broker to broker)
  3. Broker conflict of interest
  4. Lack of a Central Exchange
  5. Questionable ethic (broker)


To name a few ...

So I'd be amazed at finding a retail spot forex trader who is rich from trading forex from a $5,000+ account. Not saying its not possible but too many traders are holding on to that notion they'll be that lucky ones to do so. Most forex traders will lose their shirts and quit, others will make a nice living trading forex. But to get rich trading forex, you'll need to already be rich. The forex market, as it currently stands, is set up so the average day trader will fail. You're chances of making a decent living trading forex is high if you're a Buy and Hold trader. Reason why Buy and Hold traders have the possibility/opportunities to make a decent living is they are not pron to typical broker ethics, lack of information, high cost of business, and questionable data.

  • #34
  • Edited 1:48am Nov 19, 2010 1:29am | Edited 1:48am
Investment to trading 1 lot (for good take home pay):

$1000.- leverage 1:100
$5,000.- leverage 1:20
$50,000.- leverage 1:2

Risk management 1-2% loss tolerance

For $1000.- investment with leverage 1:100, account wiped out (broker happy)
For $5000.- investment with leverage 1:20, account criple 40% (broker win)
For $50,000. investment with leverahe 1:2, account damage 4% still intact 96% easily to get back.

Conclusion:

For investment $1000-$5000 (there is no edge whatsoever)

Trading 1 lot is to give charity to the brokers (they're very happy).
Trading .1 lot is paying tuition continuously waste your precious time (good for retired activity).
Trading .01 lot is brain training, waste your precious time better get full time job (idem ditto).

For investment $50,000-$100,000.-

Trading 1 lot is "good take home pay" from investment
  • #35
  • Nov 19, 2010 6:19am Nov 19, 2010 6:19am
Quoting kundrit
Investment to trading 1 lot (for good take home pay):

$1000.- leverage 1:100
$5,000.- leverage 1:20
$50,000.- leverage 1:2

Risk management 1-2% loss tolerance

For $1000.- investment with leverage 1:100, account wiped out (broker happy)
For $5000.- investment with leverage 1:20, account criple 40% (broker win)
For $50,000. investment with leverahe 1:2, account damage 4% still intact 96% easily to get back.

Conclusion:

For investment $1000-$5000 (there is no edge whatsoever)

Trading 1 lot is to give charity to the brokers (they're...
Thats all well and good however let me ask how many people come to this arena with 50k and no knowledge of what to do.

Your last example where you state 'waste precious time' is so far off. It is responsible trading to find out whether you have an exploitable edge before 'investing' 50k into an account.

It is terribly improbable that anyone trading with a fraction of 50k with high leverage and risk that they will live out 6 months (if that) but the 'wasted precious time, better off getting a job' portion is actually the smartest portion. If you dont believe it then by all means, open and account with 50k, throw your knowledge out the window and start your learning curve from there.

I will say this once and once only. There is no such thing as 'wasted time' when you are learning, only wasted opportunitys should you fail to pay attention and take them time to absorb that information.

Your edge is not defined by the size of your account. In order to properly assertain whether that edge exists over a long period you need to have data, years of historical and at least a start in present. I could trade with the same approach with 5k or 50k. If I take the same trades the results will be the same albeit the latter will result in a greater monetary win (or loss).


RT
  • #36
  • Nov 19, 2010 6:42am Nov 19, 2010 6:42am
HI, i think that definetelly yes .. when you know the basics .. and have good idea .. I have started half year ago ... read five books about trading .. and now, when look at chart i see lot of thinks, that i dindnt see before .. its not easy to be succesfull, but you have to want it .. the best think about forex is posible of progression .. for example my first trade .. i bought 2000 euro .. and after 6 month my best trade was 1 200 000 dolar .. this is something like 6 hundred times .. this is possible only at forex, thanks to leverage
  • #37
  • Nov 19, 2010 6:50pm Nov 19, 2010 6:50pm
Quoting Razor_trader

I will say this once and once only. There is no such thing as 'wasted time' when you are learning, only wasted opportunitys.

Your edge is not defined by the size of your account. In order to properly assertain whether that edge exists over a long period you need to have data, years of historical and at least a start in present. I could trade with the same approach with 5k or 50k. If I take the same trades the results will be the same albeit the latter will result in a greater monetary win (or loss).


RT
Q: Is it possible to be rich in FX trading with $1000-$5000.- investment ?
A: No matter what edge do you defined that fit for you trading style, the answer is NOT!

Demo trading is much better off to learn the strategy and finding edge if you may say, and real micro-mini account ($1000-$5000) is to test and get learning curve to cope the "psychology factor of trading" and will never bring your income up and get rich as the topic ask for.
  • #38
  • Nov 20, 2010 5:55am Nov 20, 2010 5:55am
Quoting kundrit
Q: Is it possible to be rich in FX trading with $1000-$5000.- investment ?
A: No matter what edge do you defined that fit for you trading style, the answer is NOT!

Demo trading is much better off to learn the strategy and finding edge if you may say, and real micro-mini account ($1000-$5000) is to test and get learning curve to cope the "psychology factor of trading" and will never bring your income up and get rich as the topic ask for.

I never said that trading a 5k account will make you rich, I was merely stating that your logic that an edge has some involvment with trading account sizes is flawed. Having a large account does not add to or subtract from you 'edge' it merely makes more or less money (or losses as stated) during your application of your edge. Having a larger account does help somewhat with the psychological aspects of feeling the reward for your effort but jumping in too soon with your new found edge to a large account and you may just find that a few losses will have you second guessing yourself.

As for the comment on trading a demo account vs a small live I couldnt disagree more. Very few people trade a demo account properly. At least with a small account if you treat it wrong you will find yourself in the margin column. If you cannot trade a small account properly then you will not trade a large account properly. Too many people think that because they have success with demos that they can move up into the big leagues and trade a good sized account (5k+).

And as a side note, there have been a number of people who took inadequate account sizes and surpassed the million dollar mark so it is not Impossible just Improbable.

RT
  • #39
  • Nov 20, 2010 12:45pm Nov 20, 2010 12:45pm
Definition of rich is relative. How much money do you need to have to feel rich?
  • #40
  • Nov 24, 2010 6:32am Nov 24, 2010 6:32am
As a new trader, dont focus on getting rich quick...focus on the process of trading not the outcome. When you execute your edge flawlessely, profits are just a by-product of your well executed method.

Recipe to successful trading
1. Have an edge
2. Have the discipline to execute your edge
3. Be well capitalised
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