"the control of a small force is the same as the management of a large army"-- sun zi
i believe that Buma is in stage one of his training and that is market recognition.
he is like a baby learning to walk, learning to read the market. My goal for him is to not only be a technical trader but a holistic trader with knowledge of economics, market micro structure, how orders are executed, how orders are match electronically. To learn how the forex market works and how his dealers transact his orders, on this matter i have already spoken to him.
second is to spend as much time formulating and constructing his money management plan as he has, his chart reading ability, but as i keep telling him, he must learn to trade without a chart. As to get the FEEL for price movement, for which the charts and candles were devised for.
He must study what each order brings to the table and how he can learn to use them.
Limits, stops, trailing stops, OCO, how to take advantage of FIFO, and how to trade without stop losses, how to rescue positions. how to set realistic targest for ROI, and calculate his probabilities on VAR and market Range.
this is a long road, in which BUMA has only begun.
he must learn to tie FA which is the cause and TA which is the effect, along with a good money management plan. and have the confident to execute and ballz of steel to trade objectively.
to me i always want to find my zero leverage point. on a 1000 is .10ct per pip
on a 5000 is a 5ct per pip and ona 10000 a 1.00 per pip, as to never be over extended, it is a slow growth but with low risk, as i have said before if position is valid more must be put at risk, if the position is badly timed then rescue plan should be implemented to protect the book, if the position is sunk then one must bite the bullet and implement damage control.
i believe that Buma is in stage one of his training and that is market recognition.
he is like a baby learning to walk, learning to read the market. My goal for him is to not only be a technical trader but a holistic trader with knowledge of economics, market micro structure, how orders are executed, how orders are match electronically. To learn how the forex market works and how his dealers transact his orders, on this matter i have already spoken to him.
second is to spend as much time formulating and constructing his money management plan as he has, his chart reading ability, but as i keep telling him, he must learn to trade without a chart. As to get the FEEL for price movement, for which the charts and candles were devised for.
He must study what each order brings to the table and how he can learn to use them.
Limits, stops, trailing stops, OCO, how to take advantage of FIFO, and how to trade without stop losses, how to rescue positions. how to set realistic targest for ROI, and calculate his probabilities on VAR and market Range.
this is a long road, in which BUMA has only begun.
he must learn to tie FA which is the cause and TA which is the effect, along with a good money management plan. and have the confident to execute and ballz of steel to trade objectively.
to me i always want to find my zero leverage point. on a 1000 is .10ct per pip
on a 5000 is a 5ct per pip and ona 10000 a 1.00 per pip, as to never be over extended, it is a slow growth but with low risk, as i have said before if position is valid more must be put at risk, if the position is badly timed then rescue plan should be implemented to protect the book, if the position is sunk then one must bite the bullet and implement damage control.
AVT INVENIAM VIAM AVT FACIAM
