Of course this can be avoided by simply depositing $4 to meet the margin call.
Going Against The USD
- Thread starter DrawDown
- Start date
Of course this can be avoided by simply depositing $4 to meet the margin call.
You do know that these lot sizes only exist in your fake Oanda world, right? This is not the real currency market. In the real currency market $1 Million is a standard lot size and anything else is an odd-lot. $1 Billion is called a yard and is also a standard convention. Trades of less than $1 Million don't really exist in the 'real' interbank currency market unless you are offsetting a residual or stub position. You certainly can't trade in lot sizes of 100s or 1000s or even 10000s for that matter.
"You do know that these lot sizes only exist in your fake Oanda world, right? This is not the real currency market."
Oh really?
Funny, ya know, the money I take OUT of the real currency market is real.
Well, I guess that's all fake, too.
Let us know when you got a $25,000,000,000 forex trading acct in order to make $1,000,000,000 "yard" trades.
*yawn*
FX
1.2612
Congrats - you've insulted the only member who actually supported you here until now.
I'm agreed that a larger account doesn't make you a better trader. But if you trade - and I mean trade for real with amounts far over what I'm guessing you do, you make money on real, planned trades.
You don't have a planned system like you claim. You state that you can withstand multi hundred pip moves against you. That's not planned. That's hanging on for a change in the wind. You don't have a planned stop loss. Why do you say you do?
I'm agreed that a larger account doesn't make you a better trader. But if you trade - and I mean trade for real with amounts far over what I'm guessing you do, you make money on real, planned trades.
You don't have a planned system like you claim. You state that you can withstand multi hundred pip moves against you. That's not planned. That's hanging on for a change in the wind. You don't have a planned stop loss. Why do you say you do?
Let's put it this way, Ivvy.
A trader with a $1000 acct Balance who opens and closes trades can buy/sell 39584-units of EUR/USD @ 50:1 margin.
Let's round it off to 40,000-units.
For $2.50 that trader can open 98-unit trades. Let's round it off to 100-units.
A 100-unit "mini-flexi" lot is worth .01 (one-penny) per pip.
If trading amounts as small as this was not important, an entire corporation would not have enabled traders to do so.
Now... 10% of $2.50 is .25 cents.
If a trader can go into the ForEx and walk out with 25-pips, they just earned themselves 10% of the money they exposed to market (to margin).
If, over time, a trader can earn $100 (10% of his/her Balance) by making 1-penny per pip trades, that is equivalent to making 10,000-pips.
That's quite a feat! Even though it's only earning $100.
Now let's take a big brute "trader" like yourself who bangs out half-million to one-million??? unit trades.
The exact same financial dynamics are at work in your acct compared to the trader with only $1,000 in his/her acct.
Exactly the same trade dynamics are at work.
Now the question begs to be answered... how much RISK did one participant enter into compared to the other?
I have more respect for the trader who earned $100 (10% on $1,000 Balance) IF other factors were better-proportioned (cap exposed to the market/risk/money management techniques. etc.) than I do for you who can make (or LOSE) perhaps 100-times that in a single trade IF your own trade dynamics are not equal to or superior to the trader with the lesser acct size.
Since you are constantly badgering me to get into further details about my systems and how I trade, let's turn the tables here.
Tell us a few things about your "system" that you claim to have (saying that I DON'T have a system, even though you have NO IDEA WHATSOEVER how I trade).
Precisely: Percentage-wise, how much of your acct cap do you expose to market (to margin) when you open one of your "planned" trades?
What is the RISK you take on (that is, what is your tolerable drawdown)?
What are the money management dynamics/techniques you have in place to deal consisely with drawdowns, OTHER THAN setting a dumb-luck Stop Loss and hoping your broker has as little slippage as possible so you don't suddenly LOSE another 5% or 10% of your Balance should the pair you're trading have a split second plunge against you for 100 plus points.
That's good for starters.
Will await your further postings..
The DrawDown
1.2646
A trader with a $1000 acct Balance who opens and closes trades can buy/sell 39584-units of EUR/USD @ 50:1 margin.
Let's round it off to 40,000-units.
For $2.50 that trader can open 98-unit trades. Let's round it off to 100-units.
A 100-unit "mini-flexi" lot is worth .01 (one-penny) per pip.
If trading amounts as small as this was not important, an entire corporation would not have enabled traders to do so.
Now... 10% of $2.50 is .25 cents.
If a trader can go into the ForEx and walk out with 25-pips, they just earned themselves 10% of the money they exposed to market (to margin).
If, over time, a trader can earn $100 (10% of his/her Balance) by making 1-penny per pip trades, that is equivalent to making 10,000-pips.
That's quite a feat! Even though it's only earning $100.
Now let's take a big brute "trader" like yourself who bangs out half-million to one-million??? unit trades.
The exact same financial dynamics are at work in your acct compared to the trader with only $1,000 in his/her acct.
Exactly the same trade dynamics are at work.
Now the question begs to be answered... how much RISK did one participant enter into compared to the other?
I have more respect for the trader who earned $100 (10% on $1,000 Balance) IF other factors were better-proportioned (cap exposed to the market/risk/money management techniques. etc.) than I do for you who can make (or LOSE) perhaps 100-times that in a single trade IF your own trade dynamics are not equal to or superior to the trader with the lesser acct size.
Since you are constantly badgering me to get into further details about my systems and how I trade, let's turn the tables here.
Tell us a few things about your "system" that you claim to have (saying that I DON'T have a system, even though you have NO IDEA WHATSOEVER how I trade).
Precisely: Percentage-wise, how much of your acct cap do you expose to market (to margin) when you open one of your "planned" trades?
What is the RISK you take on (that is, what is your tolerable drawdown)?
What are the money management dynamics/techniques you have in place to deal consisely with drawdowns, OTHER THAN setting a dumb-luck Stop Loss and hoping your broker has as little slippage as possible so you don't suddenly LOSE another 5% or 10% of your Balance should the pair you're trading have a split second plunge against you for 100 plus points.
That's good for starters.
Will await your further postings..
The DrawDown
1.2646
Not quite.Quote from Ivanovich:
LOL! Then I guess I'm a complete bonehead. I thought you were truly backing his plays! I think, so did he! haha...Classic.
Here is the PM I sent "NTB":
DrawDown
Registered: Jun 2006
Posts: 371
ha
I know you were only joking, but thanks for the post.
I tried to reply with additional comedy.
dd
__________________
Those who rule money rule the world.
07-18-06 04:58 PM
Notice the date marked 07-18-06 04:58 PM - right after I read his posts about me.
People are not as dumb as you think, Iv.
"Classic."
dd
I never said you were dumb, Skalpz. Just clueless. There's a distinct difference.
Some of the things I do,or do not do, in my trading:
1. Always use stops. Stops are there to prevent massive market movements from taking the rug out from under you. Not using them is insane, and gambling with your account balance.
2. Never adjust your stops once you've set them, unless it is to lock in profit. When the price looks like it's going to hit your stop loss, it's emotionally tempting to remove it or move it. No one wants to take a loss. But stops exist for a reason.
3. I place my stops at lines of considerable resistance (actually a few pips beyond them). These would be MA lines, fibos, etc. Or, if I know of a particularly large option protection in the neighborhood.
4. I never average up or down UNLESS there is a significant rejection off of a resistance line in my favor. And even then, I only do it with a tight stop. Regardless, I this rarely occurs - all the stars must be aligned for me to consider doing it.
5. I never use more than 60% of my account in my trades, and no one trade is ever more than 10%. I've been thinking of tweaking that to 7%, but we'll see.
6. I never long and short the same pair for reasons discussed with you ad nauseum.
7. I do not trade the news.
8. My trades are short term technical, long term fundamental.
9. If I do not believe in the fundamental move of a trend, I do not trade that pair until I do.
10. I always listen to those with opposing viewpoints on trade direction if they have something to offer, and I dismiss the viewpoints of those who never state why they believe what they do, outside of "I just believe it".
Those are the 10 rules of my trading. Anyone here is welcome to discuss or offer improvement suggestions. Even you, Skalpz. I do not consider myself a forex god, or even an expert. I am constantly learning.
But I will say one thing about myself. I've been trading for three years now, and other than a total of 4 months, I've paid my mortgage with my monthly trades each month, as well as bought nice things for myself and my wife throughout my trading time. Last year (2005), I made more than I did at my corporate job. I think I do ok for myself.
This is probably the first and last time I will volunteer so much info about myself.
Some of the things I do,or do not do, in my trading:
1. Always use stops. Stops are there to prevent massive market movements from taking the rug out from under you. Not using them is insane, and gambling with your account balance.
2. Never adjust your stops once you've set them, unless it is to lock in profit. When the price looks like it's going to hit your stop loss, it's emotionally tempting to remove it or move it. No one wants to take a loss. But stops exist for a reason.
3. I place my stops at lines of considerable resistance (actually a few pips beyond them). These would be MA lines, fibos, etc. Or, if I know of a particularly large option protection in the neighborhood.
4. I never average up or down UNLESS there is a significant rejection off of a resistance line in my favor. And even then, I only do it with a tight stop. Regardless, I this rarely occurs - all the stars must be aligned for me to consider doing it.
5. I never use more than 60% of my account in my trades, and no one trade is ever more than 10%. I've been thinking of tweaking that to 7%, but we'll see.
6. I never long and short the same pair for reasons discussed with you ad nauseum.
7. I do not trade the news.
8. My trades are short term technical, long term fundamental.
9. If I do not believe in the fundamental move of a trend, I do not trade that pair until I do.
10. I always listen to those with opposing viewpoints on trade direction if they have something to offer, and I dismiss the viewpoints of those who never state why they believe what they do, outside of "I just believe it".
Those are the 10 rules of my trading. Anyone here is welcome to discuss or offer improvement suggestions. Even you, Skalpz. I do not consider myself a forex god, or even an expert. I am constantly learning.
But I will say one thing about myself. I've been trading for three years now, and other than a total of 4 months, I've paid my mortgage with my monthly trades each month, as well as bought nice things for myself and my wife throughout my trading time. Last year (2005), I made more than I did at my corporate job. I think I do ok for myself.
This is probably the first and last time I will volunteer so much info about myself.