ok, i checked it out but i am confused. the contracts are 100k in the interbank market, how can you trade any amount ?? something seems strange to me.
thanks !
dave
How Are You Supposed to Daytrade This?
- Thread starter Corso482
- Start date
ok, i checked it out but i am confused. the contracts are 100k in the interbank market, how can you trade any amount ?? something seems strange to me.
thanks !
dave
Just for the hell of it, since I caught on Surfer's forum here, I email CMS for additional information. They have mini accounts there and the min. amount needed to open a mini account I believe was $200.00US. They have a pretty nice platform, which is a bonus, since look through different forex feeds, they are expensive.
Anyone else use them ? They seem pretty prompt in my reply back.
Anyone else use them ? They seem pretty prompt in my reply back.
As for platforms I like the one from GFTForex but they are 3 pips wide on EuroUSD. Oanda is the cheapest at 2 pips, but their platform is not as good as GFT.
As for what is worth 1 pip?
Easy :
0.0001 * amout you play = value of the pip
If you play 100kusd, 0.0001*100 000= 10usd
For 100k, you need :
- 5000usd at 1:20
- 2000usd at 1:50
- 1000usd at 1:100
In general to simplify I consider 100K to be one contract, with the pt value at 10usd. If I play 2 contracts, then the pt value is 20usd and so on...
As for what is worth 1 pip?
Easy :
0.0001 * amout you play = value of the pip
If you play 100kusd, 0.0001*100 000= 10usd
For 100k, you need :
- 5000usd at 1:20
- 2000usd at 1:50
- 1000usd at 1:100
In general to simplify I consider 100K to be one contract, with the pt value at 10usd. If I play 2 contracts, then the pt value is 20usd and so on...
exactly, almost like trading the etf's, when you are right you have to be REALLY right to make money
Although new too trading in general, with Forex looking for the big trend is key and going with it. Obviously depends on your ability and the risk your willing to take, but I plot major trend lines on the daily and 4hrs charts and enter near them. Placing a stop loss not far beneath it . Obviously this is evaluated on whether or not there are support/res lines in the way of the trend etc, any news commentary. I look to hold onto trades for as long as they are going in my favour, moving stop loss along the way, aiming for 100+ pips per trade, on a timescale of a couple days. E.g my last trade on Thur night of going long USD/CHF is so far at +137pips with a final goal of +180pips which should be reached by Mon/Tues.
My profit maximisation comes in by making smaller number of trades, but with lower risk, which inturn inclines me to take out a higher number of lots (1 lot = 100 000USD = 10 dollars per pip, on most currencies). The Minis let you go down to 10 000USD lots. Playing close to the trend lines I keep my initial s/l pretty small, about 20/30pips or so, and move it to break even when im in profit for 30+pips, then its a constant movement to lock in profit. If a pair is not currently trending but swinging between certain levels I just do the same, plot the sup/res at the extremes and look to trade at/close too these prices, this is as long as the two prices are a min of 80 pips apart or so, anything less then I just ignore that currency pair. Theres a limited number of currency pairs available so its not hard to scan them all looking for trades.
If you want to make multiple trades per day I suggest not going down to as low as 1min, at least keep to 5min and above and always going with the bigger trend. While you may have a winning trade (in direction) the movement is so great that close s/l often get taken out. The price jumping 15 pips one way then 15 pips the next in space of 20 secs happens all the time. If your quick enough and have the ability to make the right trades then you will make sh*t loads, as on most currencies you will see movement of 200/300+ pips per day, just not in the same direction. I dont know how much profit people are expecting to make/number of pips on average they want. I go with the philosophy, fewer low risk trades but aiming for larger pip gains with a bigger number of lots.
At end of the day the smaller amount of trades suits my lifestyle and is less intensive, with more time to make decisions and look at it from all angles. My biggest gain so far (which is still ongoing) is 2300 pips of multiple lots. As I mentioned in another thread after moving money in Feb from GBP to AUD for the higher interest rate (i.e actually opened a bank account in Aus not just from a broker) which also gives me 5% per annum that my retired parents use to live off.
GeorgeSoros,
can you give me more information about GFT, because I have seen their website, their platform seem very interesting, but I have some additional question about it that I cannot find on their website as:
1) As the most FX firm they mention no trade cost, but does they have some hidden fee:
- as overnight interest or for rollover?
-ticket cost ?(As Ouanda that I think they charge 1$ for each trade)
- graphic or data fee?
2) Does they have mini Forex for beginner?
3) I have seen that you can fund your account with non U$ fund but can you do a withdraws in non U$ fund?
4) Any other comment about them from you or another ET member will be welcome
