News Trading (again)!

Quoting jonas

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So does anyone know which trading platform it is?
hurvinek,
or maybe you can PM me the platform. I'm interested to know.
Thanks

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Quoting BillyRayValentine

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Hi everyone and thanks for the replys.

NYCTRADER:
I use Deutsche Bank. They allow me to have 2 sub accounts under 1 trader ID, and the two are margined together (so if I were to go in call in one for instance, the collateral in the other keeps any positions I have alive). The problem with Deutsche for many starting out is that minimum account size is 10,000.00 USD. About the only other retail broker out there I know that you can do this with and allows a small account size is CMS, but they, unlike Deutsche are a smaller shop.

One thing that's very important with execution on any order is access to pure liquidity. Many of the retail brokers out there are simply middle men to the source, such as a bank like Deutsche. They lack the depth and liquidity that will allow them to initiate the orders you want when you want. Some will claim to be linked directly to the bank, like Oanda, but they're still acting as middlemen regardless. They're spreads are adjusted according to a skewed average that is usually inaccurate in highly volatile situations.

As far as the strategy goes, yes, I'm essentially taking a loss on one position to gain on another, and need the other to recouperate the loss of the dud before I turn a profit. But average results indicate that being in the positions beforehand rather than hoping to get orders filled at a set price increase profitability plain and simple.

And not too sure what you mean reagrding the second stop loss...what I meant was to simply adjust it in the direction of your winning position to protect profits and just in case the price suddenly hurls in the opposite direction.

Test it out and let me know what you think.

TRUCCO:
No, trading the news is not always good! I stay away from speeches (market reactions act very indecisively to key phrases oftentimes, jerking the price back and forth...people interpreting statements differently) and other situations where a medium or indecisive volatility is expected. I look for a solid 1 number release with a lot of impact. And sometimes market makers jack the price way up before it comes plummetting down, the nature of the beast. Thats why its important to be on your toes and adjust stop losses and be ready to reverse with a market order.

HALCYON:
Glad you pointed this out. If you cant open 2 accounts somewhere, then you could go long on one currency pair and short on another that have a very high correllation (ie EUR/USD and GBP/USD). And careful w/ the spreads...sorry to hear that, especially on the exotic currencies.

Happy lucrative trading,
BillyRayValentine

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