no prob hated to make issue but didnt want to get newbs too excited btw 2.7 is where Elliott Wave takes it over next year or so according to their predictions in May of this year
mauzj, Good books on the markets and on technical analysis: Read at least one of these three: Technical Analysis Applications in the Global Currency Markets by Cornelius Luca Technical Analysis of the Financial Markets by John Murphy Technical Analysis Explained by Martin Pring Market Wizards and The New Market Wizards by Jack Schwager Trading for a Living and Come into My Trading Room By Alex Elder How Technical Analysis Works by Bruce Kamich Street Smarts: High Probability Short Term Trading Strategies by Linda B. Raschke & Larry Connors Sign up for a free trial at Refco Global Research (do Google search) and listen the Mike Malpeda's (SP?) twice daily audio reports for an introduction to fundamentals. You can keep signing up for the free trial with a different e-mail address. Watch Bloomberg, especially during the European session for Bill Hubardâs (SP?) reports and Simon Gross-Hodge (10:20 pm Pacific Time). This is available online at Bloomberg.com if you donât get it on your TV. Go to fxstreet.com and sign up for their daily email. It has links to the full reports from many FX playersâCommerzebank, RBC, KBC, United Overseas Bank, etc. When you get to each of these sites save it as a link so you can get it on time instead of end of day (some of then require manual updating of the date in the URL to get the current report). Keep up with the news at http://biz.yahoo.com/reports/currency.html and eventually subscribe to one or more of the newswires: Oster/Dow Jones (through fsXtra Platinum), and maybe Reuters or Bloomberg. Most importantly donât assume that this is going to be easy. The forex market changes rapidly and needs to be monitored pretty much all the time. Be aware of when economic releases come out and see how the market reacts to the news.
Hello people. I just read this thread, and decided to contribute my 2 c. First let me thank you Patrick for kind word, but lets not make my trading example for others. I just put my thoughts, others may take it as they wish. But thank you. Mauzj: - You've been trading real money from the start - and already applied fantastic risk management: you say your risk is 0.5%/trade - impressive number. But if may I ask, what's the avg target/profit per trade? try to keep this ratio (risk/reward) as high as possible. My avg ratio is standing on1:3, what's yours? keep that in mind. - Your drawdown of 2% is nothing - 4 trades to loose in raw is regular happening for trader. I had 5 in raw this month before recovered, and in +16% MTD. That's another question: risking 0.5%, what kind of returns are you generating? Bcos risk and gain per trade, and consequently the overall performance depends on leverage used. I use 1:4, and risk in avg 2.6% a trade, but if I used 1:1, I would risk almost as much as you do, but returns would be 4 times less as well (well, the good side is that drawdown would be 4 times less as well ). But it depends on investors will to risk and profit, so generally its not question of what's % you risk per trade, but on what kind of leverage you risk that %...ok, little off the topic here, sorry. - you trade longer time positions, and I think its best way on forex - at least that's what I think and that's what works for me (for someone else, scalping may be the way, 100%). Holding positions is what most of big players do as well, but as I said - its matter of what works for each individual. - IMO, if you use TA, and you're good with it - no need in FA, I trade without even knowing what news/announcements are do to come out today - I don't look at economic calendar. And if I occasionally do look - its only of curiosity and not for trading purposes. Same on all kind of economic related articles. - Way to go - analyzing market on Sunday. I do it every Sunday to determine strategy for coming days, and maybe for whole week - depends. I post my commentary (here and on moneytec) each Sunday before market opening, and I think its very useful to practice such analysis. I saw suggestion here for you to keep journal of your trades - I agree, its very useful. I began trading in 1997, and started running journal only by the end of 2000. I consider all the time I didn't run journal as lost time for me. Extremely useful if you know how to benefit from it. I also saw post here that forex is not for beginners...well, what market IS? high leveraged? Look at Mauzj - he's relatively new to forex, but is risking 0.5%. I don't know what's the avg stop used here, but even if its only 10 pips, its maximum 1:5 used here. (I think its much less leveraged, bcos I doubt its 10 pips stop)...so no, I disagree. And then, forex is as good as it gets for technical analyst...possibly best trending market, so for longer term traders like Mauzj, its even better market. Best Regards, Rezo
Hi Rezo, Thanks for the encouragement. I think I'll keep on bashing away at the FX trading, though if my P/L drops to -5% I'll go back to paper trading for a while. I haven't really kept good records, but my average risk:reward is probably around 1:4. I try to keep it to atleast 1:3 as that seems to be the recommended minimum. Regarding my returns, -2% is the P/L since I started. I'm just trying to learn this fascinating art with a small account. If I can make small consistent profits then I'll start adding more to my account. I'm not willing to risk more than 0.5% per trade until my profitability increases. That'll be just like gambling blindly IMO. Anyway, I'll be following your trades with interest and am hoping to learn a lot from them. Also, I've discovered a daily TA report on the Intranet at work so I'll be learning from that as well. Trade hard! Mauzj.