Thanks S0mmi for your posts. They are absolute gold. I did join a prop trading firm in Australia and left after a short stint and seeing how much BS there is. Its always motivational BS speak and not much 'juice' as you say.
The odds of succeeding are extremely low at these prop firms with their desk fees, small clips on non-moving spreads, zero training etc. Better off just getting a full-time job and swing trading on the side.
Anyway, had a quick question...what about trading other products during the Asian sessions like the HSI or the Nikkei?
Hey babe.
I cannot overstate just how much
junk, filth and False Prophets there are in this industry. And the prop firm situation along with dead volatility in Australia is absolutely no exception to this.
A lot of traders I know of are simply surviving because of their bankroll built up between 2008 to 2015 (depending on when they started). Along with this bankroll came size, limits, and a lot just rely on the rebate scheme (from the SFE).
I am not in this pool by the way so I am not winging it or on my last legs anymore. If you want a healthy career that has longevity you should never ever rely on the rebates from exchange or you're a sitting duck waiting to blow out.
As for trading other products in Asia:
When it comes to Outright trading I want you to be aware of something. The "Outright" world you used to know of is almost entirely gone. The point-and-click dream traders of the past are almost all gone (and back then, they were already a rare breed). They were trading based off easy-to-read price-action and fluid movement, large orders/spikes appearing, momentum moves and correlation in play (e.g. if the Aussie dollar was down 50 ticks in the middle of the day, the Aussie SPI and the HSI and the Nikkei would most likely allow you to get short and scalp around)
This is important as a contrast to today. You have dwindled volatility and you have a 'factor market', all the algorithms are in there doing correlation trades and going off the same principals of research.
Most of the winning rates from Outright trades will hover between 50% up to 70% (just a rough guess). So you definitely need to have an understanding of this and the profit v risk metrics just to get ahead.
If you are going to trade the Nikkei and HSI and anything else you need to know that it's not enough to just go in blind anymore.
The only Nikkei trader I used to know of, started in 2010, and quit in 2015 I believe. Eventually, the inconsistency of returns and the pain of the swings (on a weekly and monthly and quarter scale) just become too over-bearing.
I wish I could bring you more great news...
If there are outright traders right now they are probably in the form of either the 1 or 2 guys left with 50,000 indicators on their screen and levels everywhere... or a group of traders with ADL who have statistically backed research and coded their rules to execute trades
I have to stress this once again...
what I am doing to be successful is to do LOW frequency HIGH probability trades.
It's not enough to just commit to a few products or spreads. I really do recommend looking for the same 'setup' across as many indices or products as you can. This isn't a holy grail but its most definitely the absolute difference I see between profitable + efficient accounts versus the primitive one-dimensional traders trying to salvage a career
