Day Traders - Forex Market

[MG Man]

yeah, I just lazy
most nights I only look at one, maybe two currencies
I've seen fundamentals wreak havoc for an hour or two, swinging a candle anywhere from 50 to 150 pips, so even though they are theoretically priced in, I don't wanna get burned.
I usually trade within one session as well, but I still like to watch how the position traders do their analysis
You said it well tho...everybody has to find a strategy they are comfortable with
Mine is pretty simple....find a currency that is trending nicely with nice daily ranges, drill down to find an entry point...........I use the MACD and two moving averages as my entry point confirmation, along with clear candlestick formations..........it tends to work most of the time
What I have noticed is I am now more comfortable trading off the 4 hour chart than the 60 min or 30 min

[ad man]

Hi, i just came accross this post. i also bought the mti UTP and have been trading for 2 years now and just now start seeing a bit of success.. MG is right, i have passed through countless headaches and sleepless nights trying to profit but i think that is what any successful trader does in the beginning... people have to understand that it is not a get rich quick thing.. it takes time and dedication and then more time..... i think the only way to beat it is if you have a natural drive and a WANT to do it.....

On the technical side i have 2 strategies ,, 1 for the 30m chart and 1 for the 5 min chart. i do not like to trade long term. i like to be in and out asap. most of my trades i take 10-50 pips and thats sufficient forme.

[MG Man]

that's great man! Good to know u starting to make some cash

[pseudorandom]

I considered forex trading a few years ago, but decided against it. Reasons being:

1. As a retail forex trader, you are at a big disadvantage against the major players who get much smaller bid/ask spread than retail traders.

2. I don't understand worldwide economics enough to figure out what drives foreign exchange rates. I am not comfortable with only doing technical analysis for trading. I must understand the fundamentals.

I went with trading US stock options. I know business and can understand company fundamentals. The first 2 years I lost all my money . The 3rd year I was break even. Then TD Ameritrade decided to close my account since they no longer wanted Trinidadians as customers. That was early last year and because I was very busy with my job, I was out of the market the rest of the year.

Early this year, I opened my new account with another broker. I am now a lot wiser, educated, and mature after the long break. So far I have been profitable. I learnt to trade stress free and not trade based on emotions. I learnt how to use the broker's automatic trading tools to minimise loss and take profits at the right price. It works good with my busy job schedule since I don't get much time to be watching stock markets. I don't study about getting rich quick. I just take it easy and take whatever comes along. Don't fight up with it.

I don't day trade. That's too much stress. I just do some quick checks and when I find a opportunity with low risk and high gain, I take it. After that, I just forget it. My automatic trading tools will close the position at the right point for best profit. Stress free!

I especially like companies that are doing bad. It's easier to predict their price movement (down and more down), and the price movement is faster (stocks prices generally fall faster than they rise). I make a lot more money when stock prices fall than when they rise. In these last few days, I made some sweet profit on RIMM (maker of Blackberry phones) when their stock price hit rock bottom with a new 52 week low today. I hate Blackberry phones, but I love RIM, lol.

Just things to consider when chosing your investment options. Find the right investment choice that suits your personality. If you real afraid to lose money, then mutual funds are for you. Looking to make decent profit fast and can take loss of money, get into active trading like stocks, options, futures, or forex. Find what's right for you. I will personally stay away from forex, but that's just me. For me the small man, it's stock options to start off. To me it offers the best risk to reward ratios available and good for taking small money and safely growing it into big money quickly. If I do well, I will branch off into real estate. Then hopefully some day reach the point where I can make very early retirement from my day job.

[MG Man]

1. As a retail forex trader, you are at a big disadvantage against the major players who get much smaller bid/ask spread than retail traders.

who do you consider the 'big players to be? and why would they put you at a disadvantage?

2. I don't understand worldwide economics enough to figure out what drives foreign exchange rates. I am not comfortable with only doing technical analysis for trading. I must understand the fundamentals.
.

bloomberg is your friend

[ad man]

MG Who's your broker?

[Skanky]

So where the rest of the traders? How trading going for those who still in the game?

[MG Man]

ad man, I use FXCM

[ad man]

i have read some reviews on them where they give trouble with withdrawls.. have u ever experienced that?i trade now with liteforex but i think they arr starting to stop loss hunt.....

[MG Man]

never had any issues with them thus far, but feedback is always appreciated
what do u mean by stop-loss hunt? never came across that one before...

[ad man]

yep u should google it. read it here
http://www.forexoma.com/stop-loss-hunti ... hat-to-do/

one of many articles.

[MG Man]

good info.........never had that experience with FXCM, but I'll keep an extra eye out

[Skanky]

There is no such thing as stop loss hunting by brokers.
It's just regular ole retail traders not knowing how to trade and getting stopped out by the larger institutions/traders/banks etc who have the ability to push the market around.

[MG Man]

small traders always have this perception that a 'few big players' play against them and make them lose
think about it................why would a broker or any major trader manipulate the market to make you lose your hundred-dollar trade..........the market moves and we try to profit from it by playing the odds...........sometimes it works, other times, not.............there is no conspiracy

[geodude]

if some one wanted to get into this now, what are the options available in Trinidad?

[Redman]

small traders always have this perception that a 'few big players' play against them and make them lose
think about it................why would a broker or any major trader manipulate the market to make you lose your hundred-dollar trade..........the market moves and we try to profit from it by playing the odds...........sometimes it works, other times, not.............there is no conspiracy

The seasoned traders know that there are a plethora of traders using a system-say candlesticks.And if properly done you can arrive at the same entry/exit points-ie using the same info the same way as 1000 other people should get you the same answer.
They know this-they also know that most smaller traders are over leveraged or under capitalized and therefore more likely to cut losses early.

So they use this. Its not a conspiracy if there is no collusion.
And the traders dont collude.

Buy Gold/silver stocks.

Later

[Chimera]

anyone still into this?

[MG Man]

yup
still doing it

[Chimera]

thinking of finally starting lol.

[Skanky]

Still doing it.

Just be warned this is a business, and everything that goes with a conventional business applies the same to this.

[MG Man]

ok guys
this was my week so far, trading the US/Euro
as expected, the week saw a good rally of about 170 pips, matching the previous high. It was a decent rally, with a decent tweezer-bottom formation on oct 10 / 11 at the start of the rally
now I am looking for the pull back to the previous line of support. We already have a nice tweezer-top
Once it breaks through that line of support, I'll short it

[MG Man]

support broken..............wait for daily candle to close, then short the next one down to the next line of support, about 100 pips away..............easy money for scalpers............if you have a bit more margin you can hang onto it for at least a good 60 pips, if the trend continues...

[Grip]

Anyone still trading. Wanna get into it

[MG Man]

knowing when to stay out!
Haven't traded for the year as yet, and these guys' analysis pretty much sums up the wait-and-see decision:

[stev]

i'm still practicing with forex....had a practice account for some time now....ketchin mih arse dese days with play money

gonna start with real money soon.

[MG Man]

you ketchin yuh baxide with a demo account and you want to go live????????????

[ray d saint]

LOL @ market manipulation

[stev]

you ketchin yuh baxide with a demo account and you want to go live????????????

its not always a loss with the demo account....jus the money i make is very little but still money nonetheless...

edit: and by little i mean very tiny for the length my usual trades will last. then again i play mingy with fake money...

[Skanky]

Just stick with it Stev.We need your stops j/k

[stev]

yeh i will stick with it. will jump back in later.