Making consistant monthly returns doesn't need to be hard

I like most members that have come and gone from this and other forums have spent far more time and money trying to make consistant reliable money every month from this largest market in the world we know as FOREX.

We go from method to system to robot, money management and back again over and over. Almost quit and become motivated to try again. It's been 4 years for me and little over three of it hard long days. I have lowered my expectations gradually over time until I no longer believed it was worth while. Of course some inspriation would reinvigorate me to take a new approach.

Cut to the chase and here's my conclusion after letting go of the need to make mid to high double digit returns each month you can acceot what has been in front of us every day the whole time. Please understand it's my way does not need to be for every one and I was not going to even write this by chance of starting multiple what if's and arguments.

Take it for what it is. We all have a broker and choose them for what ever reason. I open accounts with many. Finding they are all about the same and many have excelent incentives. I saw the bonuses as a ploy to just get our money in their accounts. However if you couple the right brokers with a rebate provider something magical can happen.

All you have to do is learn to trade to break even.

Let that sink in.

In many cases most all systems work with the properly paired money management. You also need to get over the fear of dealing with brokers in other countries. As it's ever more clear the US is slowly taking our rights away and trying to force us out of the markets. Go ahead and look up congress' new Dodd-Frank Act regulations. they are taking gold and silver first and wanted more.

As long as you can trade consistantly you will be making round turns that make any broker happy. That's how they make money on the spreads. It is also how they provide rebates. Run the numbers on getting back half to three-quarters of a pip of every trade you make in a lump sum payment every month. I know this is no true revelation to some but, for those that are struggling to preserve their capital, monthly profit is very welcome. I found I could now use my breaking even to turn 5-10% depending on the number of trades I make just in rebates.

This was the Holy S*^t moment for me. Now just focus on consistancy and don't mess with it slowly increase your account to increase your returns.

That's it.

Learn about some basic headging if you want to take it to a new level. Something else the US has taken away from traders. Be careful learn it test it for a few months and it will double your number of trades and round turns. Earing you in effect double the rebates proportional to your number of trades. If you can make a few points on top of it each month congrats. You are now a bonifide profitable trader, most likely with little or no change to how you trade now.

If you are new to the market this can shorten your learning curve but not bypass the required due diligence and learning period that every sucessful trader must go through.


Food for thought, changed my trading for life hope some else will reap the same benefit. I did not write this a while ago due to not wanting to argue. But if a few people finally get it. This was worth the time to give back.

I am not going to give you what broker or rebate and such in this thread, so save your post do some diligence.

Happy Profits
Rob
EFT Forex ( Emotion Free Trading )

Hello Robp440,

An interesting approach indeed. I think you make a valid point and it is certainly a way for trader's whom are struggling to make profit, but are breaking even regularly, to start seeing some type of return, which eventually will affect their psyche to the better and eventually start the ball rolling for making profits on trades.

Thank you very much for sharing your thoughts, that was quite helpful.

Regards,

Having a winners mentality makes all the differnence. Look at your future knowing your successful vs. looking for ways to be come successful. Take a minute and feel the difference and the type of thoughts you come up with. Is it no obvious who is going to be more successful knowing they have this base to build upon. Thanks Dr. Pip you nailed it. If we stop trying so hard and use what we have now we can rise above our problems.

isn't this the same as simply trading with a broker that has a slightly smaller spread? isn't the broker just giving back to you a tiny slice of what they took from you within the spread each trade?

having a winning mentality won't turn a losing method into a profitable one.

Yes and no.

For the most part retail traders get the same spread deals from most brokers. for example fixed spreads on EurUsd are avaerage of 2 across the board. There are some variable spreads that range from .8 to 2. So yes based on when and how you trade you are correct you could stay at similar profit.

The difference is by using the fixed spread and still remaining break even or a percent above or below each month. In this way your broker is accruing a savings plan for you on each trade that you get back.

If your methods are not working for you there are plenty of Ea's out there that do not make much money but are consistant. they don't get any recognition because a few points a month is not flashy or exciting. They are out there some free some under a hundred bucks.

Some say EA's are lost cause, but in the same breath say you have to be mechanical in execution to be consistant. If EA's didn't ever work hedge funds would not use multiple variations of them. We don't need a big winner just a consistant trader that either breaks even or turns us a few points profit a month.

I would say it may be a better for most people to research this than slowly give there money away bouncing from system to system only to give up in the end.

If your a good consistant trader as is by all means find the lowest commisions and do what works for you, cut your overhead where you can like a lean business would.

Again I just want more people to learn to make a few bucks and stop loosing. Not record returns but reliable.

Appreciate your responses as people values the high Vouch members, thank you for your time.

Hi Nubcake,

I think you may have missed one crucial part of the reasoning behind the post (in my humble opinion). I believe one of these elements is psychology. We all know that pscyology plays a huge part in trading and in particularly building confidence to trade and trusting one self to have made an informed decision on the setup. Having an aim to break even takes some pressure off the new trader and thus making their mind more at ease and thus more alert to trade properly and follow the rules. Having some profits generated while aiming to control oneself is an added bonus that is bound to enhance the psyche even more.

Smaller spreads, while save money on order entry does not offer the psychological advantage that Robp440 is alluding to (I think).

Cheers,

Hi Apocalypto,

Although your statements holds truth, I believe winning mentality enables the person to look for other ways to be successful and not quite. A saying comes to mind "if there is a will, there is away" and usually this goes hand in hand with a winning mentality.

Great discussion and lots of food for thoughts. Keep it up.