what would you do?

[majed]

Hi to all;

I have taken $30,000 loan from a bank, to invest it in a project, of high expected return, but unfortunately some problems appears and the project was canceled, now if I returned the money to the bank, then I should pay the interest (22%;5.5% per year; 4 years )+ the loan amount.
I deposit 10,000 in the bank, at 2.6% interest per year, which is half the interest I paid. I have some experience in forex; once I doubled my account 2 times in less than one month, but I still having significant problem in my trading style; in controlling emotions, I prefer aggressive trading with no stop lose orders, and I don't wait the profit to grow up, so I am not prepped yet to trade in the forex, using traditional risky strategies, I am thinking of having 2 sub-account and practice hedging always one account Buy EUR/USD, the other Sell, the risk factor in this strategy is low; which is very important to me, so If you were in my shoes, what would you do?
The target is minimum risk, and return more than 14%
Any Suggestions
Regards

Sorry for my bad English

[mishak]

Originally Posted by majed

I have taken $30,000 loan from a bank...
I have some experience in forex; once I doubled my account 2 times in less than one month, but I still having significant problem in my trading style; in controlling emotions, I prefer aggressive trading with no stop lose orders, and I don't wait the profit to grow up, so I am not prepped yet to trade in the forex, using traditional risky strategies, ...

Hello majed

You probably know that it is against "rules" to TRADE on borrowed money. One shud INVEST on borrowed money.

Sorry have to say:
if you are not experienced in forex trading with real money - 80% chances are you will blow your account. Therefore my advice is to return money to the bank - you will save the principal amount.

For the long run you may try swing for few days or even longer term to hold the position with SMALL LEVERAGE

[cicero]

Good advise Mishak!

[majed]

Thanks Mishak and Cicero for the advice, yes I am aware of the rules, to invest a part of the money with low levarage; as a mixed swing and one day trading is what I am thinking of + may be hedging to lower risk and or choosing a pair with high interst such as AUD/JPY may be

[midastrader]

Try to test the arbitrage technique, Buy and Sell USD simultaneously in the difference pair, for example by BUY EURUSD and BUY USDJPY, and do reversely. I think it's better than 2 sub-account.

[currencia]

Do yourself a nice favor and return the money to the bank. Never mind how many sub accounts or multiple strategies to try.

What did U collateralize the loan with?

[Nonpiker]

Originally Posted by midastrader

Try to test the arbitrage technique, Buy and Sell USD simultaneously in the difference pair, for example by BUY EURUSD and BUY USDJPY, and do reversely. I think it's better than 2 sub-account.

Thats not arbitrage, that is legging into a EUR/JPY position. You would then need to hit a bid in EUR/JPY to arb it. This is not a viable technique via retail, unless you want to put on a EUR/JPY position via the components.

[forexmaveric]

I agree with the previous responder. It's definitely not a good idea to trade with borrowed money...especially when your not experienced trading forex. About 80 to 90% of traders are not profitable. I would give the money back while you still have a chance. "Good luck to you."