MoneyTec 2.0 - Online Forex Traders & Brokers Social Networking Community » Trading Talk » Beginners Forum

[barnii]

Originally Posted by ampris2000

i don't understand why people say a small account can't trade longer time frames. my account started small and is growing each week and that's all i use are the longer time frames.

I dont say it is impossible, i also spend much more time now by staring into 3 Hr and 1 day timeframe graph for possible intraday inputs. I just say that each trader should also trade some time intraday, because you can test your system and psychology more quickly on intraday base. Possible move to bigger trade timeframe is good when you exactly know what to do and how. And you can trade more by fundamentals also. But i know that when i start trading and let trade run by days it grow nice, but after few big corrections it was back in red after 3 months. Then i moved to intraday and found that this ride has much more speed of my education and also more adrenaline in my blood. Of course each one must find best conditions for himself, and thats all i want to say. Each true is true for some people or in some conditions, but for other it may by just wasting a time.

[rockinride]

I think one of the most useful pieces of information I have read in these forums is the advice from nonpiker. He is at least saying the truth. This pursuit by "experts" for 10-50 pips per day on smaller time frames shows a lack of real experience.

Most of the people either claiming to achieve or intending to achieve this fantasy are new members on this forum. A forum that anyone researching forex would have surely found years ago if they actually had any experience. Most of these "profitable" posters are only a few months old if even that.

Piker's advice is correct, leverage is the essential ingredient. Position trading is the also the only way to go. It renders the negative expectation caused by low capital and the effect of the spread on smaller pip ranges to an insignifacant level. So trade a mini over long time frames and enjoy the hobby if you choose. But to jump in with 10K and expect to get rich by trading at $10 per pip or so is dreaming. You should only be risking 100 bucks a trade at that level and that is just not adequate. Even if you get lucky at that level you will eventually be swept to a bust of your account by excessive exposure.

Many systems will work when you slow price movement down to a monthly, weekly, or daily time frame. It is like trying to shoot a slow moving elaphant in an open plane with a cannon as opposed to swatting a mosquito in a tornado. You would be amazed how well a simple average cross or MACD with Support and resistance level breaks can work when looking at things on a monthly level. Catch is of course, you would need massive amounts of money to play at these levels. This defeats the allure of the forex, because that kind of money trusted to a forex brokerage would be better spent devolping legit businesses or real estate in my opinion.

Forex requires so much capital to get on top of the situation and climb above the crooked price sweeping, that it should scare you to death to trust any brokerages out there with it. You almost need to be wealthy to trade it, and trade it through reputable banks, not these online casinos er I mean retail forex brokerages.

[benfaid]

Originally Posted by Trader01

Then add this further exotic simplicity, but awesome in power, to your toolkit:

Originally Posted by Trader01

#1: On any timeframe, as the trend progresses, draw additional trendlines to follow the increased slope of Price -- quite often there will be 3 or 4, or more of these lines for steep sub-trends. Try this out for a few weeks and revel in the magic.

#2: Eur/Usd (or any other pair) ..... get a chart with data back to 1980 or thereabouts. Pick out the congestions and try to gauge the "center of gravity" aka the axis of these beasts -- eyeballing them is adequate; keep it simple -- no fancy calculations required. Mark these lines prominently on your weekly/monthly and daily charts.

The next time the market arrives in the vicinity, watch for the elasticity to "fire" -- you will know it when you see it; it is unmistakeable; it is much akin to a woman giving you that "look" -- you know she's going to "fire"

Dexterity with just these two basic, sublime skills will bring you a hefty return monthly.

Make it your business to master them to the extent of your skill becoming ART.

You'll be singing a different tune in 6 months!

Hi Trader01
Thank you for the valuable information you have provided to this thread. Can you explain with the aid of charts those two simple (yet effective) strategies!
Thank you

[bnight]

It`s Not so hard to make tradeing for a living form FX . All you have to do is to have profitable system that you can trade and a proprier MM that make you secure. If you trade 1% of your acc on every trade the market has to go 100 figurs back of your position to loss your acc. Is it posible to get out after 100 figurs move ? You have a lot of space in your acc. If you trade vith 2% of your acc 50 - figurs. If you trade vith 50% of your acc only 2 figurs and you are shut down. My point is that with proprier MM every acc can grow if your risk/rewerd ratio is 1:1 and you win in 60% of a time.

[whitelily]

Where is the website link for the book? thanks

[whitelily]

Originally Posted by SonOfSoros

Just downloaded the book from a russkie site .. and it cost $0 .. will report back how useful it was.

Hi, Can i have a link to the book?

[tstmarkt]

Since posting my question, I have read a number of books and I have a few more still to read. I am now able to consistently make profits and will slowly move up my margins. My intermediate plan is to be making a few thousand dollars a week by the end of 2006. Long term plan here is still unclear but can see myself making 5 - 10 thousand a week a few years from now.

[turbooo]

i personally think thats a great goal. regardless what others may say i too am making money in the market and also see myself slowly increasing my capital. to me it seems like the succesful traders that actually make a living (in my opinion) will most likely not be posting/browsing through forums/bulletin boards since they got some type of stratedgy or method that works for them why waste the time? in addition no need to brag show-off since the money speaks for itself. i believe a well trained and experienced trader CAN and is able to make a living off the market. just my 2 cents...

[mrbrint]

Many in this thread want to talk about what isnt possible and how you cant win and on and on and on. There is no doubt that some strategies work better for some than others, there is no doubt that leverage is risky, but yeah there is risk in virtually all things worth doing. Not to mention that in any market there are a million different ways to make money and they all work. But they dont work for all people or all situations, and the market does what it wants. Who am I to say someone can or can't make x amount. Anything is possible. I was told four years ago that I could not make a living in equities, Im still here and all my bills are paid. Ill be the first to tell you that forex is high risk and that nothing is easy especially when it comes to making money but anyone can do whatever they want despite all the negitive talk in the world. Do I make a living in forex? No, could I? sure. Will I? Well thats my choice isnt it.

[ajhardesty]

Originally Posted by Trader01

One book that I am waiting to get my hands on is the upcoming release by Kathy Lien, Head of Research @ FXCM. She writes for Stocks & commodities, Currency Trader Magazine etc.; reading her insightful commentaries here and there thus far has rocket-fueled my striking ability and sharpened my weaponry exponentially.

Trader01,

I assume you have this book by now, but if not, you should know that it has hit the streets. Picked my copy up a few weeks ago--definitely worth the price.

[PTB]

Originally Posted by ajhardesty

Trader01,

I assume you have this book by now, but if not, you should know that it has hit the streets. Picked my copy up a few weeks ago--definitely worth the price.

What is the name of the book?

[ajhardesty]

Originally Posted by PTB

What is the name of the book?

Day Trading the Currency Market by Kathy Lien (Wiley 2006)

[mrbrint]

what would you say is the greatest benifit of the book, what did you get from it

[ajhardesty]

Originally Posted by mrbrint

what would you say is the greatest benifit of the book, what did you get from it

Four things:

1. The perspective of a commercial trader.
2. Several well defined TA strategies.
3. Discussion of fundamental strategies.
4. A full chapter (over 150 pages) devoted to the major currency pairs with an economic overview, monetary policy, characteristics, and indicators for each.

This book provides the big picture of Forex from all sides along with plenty of detail on strategy and techniques. I've read dozens of books on Forex, but this is the first one where I actually walked away feeling I had a really good understanding of the market and how to apply it to daily trading.

IMHO, this book along with Trading in the Zone by Mark Douglas are the two best Forex books ever written.

[mrbrint]

Oh great well Ill definitly check it out already got trading in the zone and its awesome. Thanks