It seems that we all have to go through this. But final is different for different people: some don't want to invest their time into just studying price action and end up to blame the market, brokers, "wrong indicators" etc. for not making them a bundle (or even worse, making them losses). Some achieve modest results and still don't want to invest more of their time and don't want to believe that there are people who are able to do better. Some invest their time in indicators well enough so these indicators make them pretty nice profits and make them happy. And finally some just stick to KISS principle and invest enough of their time... BTW, all most successfull traders I know are in this category. And when I stopped thinking that I know how to invent a wheel and began to listen to these people and study price and keeping things simple I for the first time in almost 3 years have felt that getting this awesome feeling of TRADING CONFIDENCE! It's when you do things and KNOW they DO WORK because you've seen this hundreds of times during the last weeks only! And you say to yourself: FINALLY, THANKS GOD AND THOSE PEOPLE WHO TOLD ME TO ACT LIKE THIS! Moral of the story: I wish all people who are ready to learn and really invest your time into learning this wonderful business to gain this CONFIDENCE which turns into excellent profits as well in upcoming 2008! Happy holidays!
Swiss is one of several good options. I'll pass on the Russian ones. They seem to be too much like Russian roulette.
Great article! Wow, now that's the way to do it! (not that I really understood the strategy mind you)
And that realization comes at the most unexpected time, well it did for me anyway, I was all ready to give up in the belief there really wasn't any hope for someone like me in this business. It's a funny old world....
RE: Tax Rate for Interactive Brokers Ideal Transactions - 60/40 Qualified?? Buying Aussies and Loonies via IB Ideal sure seems like "Cash Forex" to me, but we are down to IRS Semantics now. ====================== Green ==================== "Many currency traders transact in both: contracts on regulated commodities exchanges (âregulated futures contractsâ [RFC] on currencies) and in the non-regulated "interbank" market (a collection of banks giving third party prices on foreign current contracts [FCC] and other forward contracts) â commonly known as âcash forex.â " ================================================ RWK: "I seem to recall that spot forex is actually a forward contract, which looks a lot like a futures contract anyway." ================================================ Guys: I sent a note to Interactive Brokers to ask if the Ideal and IdealPro transactions qualify as "Foreign Current Contracts". No Response yet. I also sent Green Tax the question. I am not a customer currently so we will see if they will answer...or what it will cost. More Later! Cheers! T200k
Speaking of IRS semantics, it will be interesting to see how IB reports interest income to the IRS, since IB credits said interest in the foreign currency. When I receive my 1099-INT form, will IB show AUD$ amounts for the interest gained from my AUD/JPY trades? Preferably, they should show the USD equivalent at the time of interest credit, but I doubt they will. What fun that will be... fwiw, I now trade through a prime broker which handles swaps differently. Instead of crediting the interest, they offset my position basis by the number of swap pips (corresponding to the daily interest rate differential). The benefits of this are twofold: #1, interest is now embedded into my FX position (like FX futures), so I presume it will receive the 60/40 tax advantage vs normal rates for standard interest income. #2, no more hassles of converting interest back into USD. Even if my #1 presumption is correct, I hope it doesn't raise any red flags in April '09 when I report substantially less interest income..