Underfunded fx daytrader looking for advice

[luisHK]

Skotten, you don't need any introducing broker to join IB and get teh rates Ianlav mentioned. 5 digits account is enough. You can apply online, quite easy.

https://www.interactivebrokers.co.uk/en/main.php

 

[skotten84]

Skotten, you don't need any introducing broker to join IB and get teh rates Ianlav mentioned. 5 digits account is enough. You can apply online, quite easy.

https://www.interactivebrokers.co.uk/en/main.php

Thanks for your post!

I have applied for a new account with IB. However they are treating it like a new account application as they don't want to upset my introducing broker. And the thing is I opened my account with IB when I lived in Sweden. So my application states (quite correctly) that I am a

UK citizen
Previous address and employer in Sweden
Resident in Australia, also my funds are there
And currently on holiday in South Africa

This situation tends to make brokers nervous/suspicious in my experience.

 

[MrN]

Hahaha aaaaawwwwww did somebody blow their account?! So instead of trading you now spend your time hanging around forums insulting others? Shame man. Bless you brother, hope you find a style that works for you and learn to make some money.

With my plan you will at least have the opportunity to toast Marshmallows. With your plan the broker-dealer will earn revenue equal to about the value of your trading account in 6 months or so, and you will have nothing. If you want to gamble that is fine - I only chimed in because you claimed you were trying to make a living or similar, and felt that perhaps you were a young guy who had been mislead by the hype/marketing.

 

[d08]

With my plan you will at least have the opportunity to toast Marshmallows. With your plan the broker-dealer will earn revenue equal to about the value of your trading account in 6 months or so, and you will have nothing. If you want to gamble that is fine - I only chimed in because you claimed you were trying to make a living or similar, and felt that perhaps you were a young guy who had been mislead by the hype/marketing.

Why are you here? There's plenty of can't-dos like yourself on this board and your comments have nothing to do with the topic.

 

[skotten84]

With my plan you will at least have the opportunity to toast Marshmallows. With your plan the broker-dealer will earn revenue equal to about the value of your trading account in 6 months or so, and you will have nothing. If you want to gamble that is fine - I only chimed in because you claimed you were trying to make a living or similar, and felt that perhaps you were a young guy who had been mislead by the hype/marketing.

"If you want to gamble..."

I'm doing fine thanks.

Good luck

 

[MrN]

Why are you here? There's plenty of can't-dos like yourself on this board and your comments have nothing to do with the topic.

Why? Ive been a trader for almost 20 years. Why are you here?

 

[Ghost_of_Blotto]

Thanks for your post!

I have applied for a new account with IB. However they are treating it like a new account application as they don't want to upset my introducing broker. And the thing is I opened my account with IB when I lived in Sweden. So my application states (quite correctly) that I am a

UK citizen
Previous address and employer in Sweden
Resident in Australia, also my funds are there
And currently on holiday in South Africa

This situation tends to make brokers nervous/suspicious in my experience.

Tell me. Extra red tape just means you're doing something right. ("one of these is not like the others") But we can learn to anticipate issues and plan around them...

A few tips for traveling:
Post office box / commercial mail receiving agency for your mail. Forward your mail from your home address to the PO Box/ CMRA. Some will open, scan, and email your letters for a nominal fee.

VoIP forwarding. You'll buy a DID (telephone number) in your country of origin, and arrange for that to be forwarded to your cell anywhere in the world. There are a few commercial services that do this quite well, or you can learn to roll your own with e.g. asterisk on Linux and a decent VoIP provider. People can still call you in Australia and you can pick up anywhere in the world for $0.01/minute.

Leave a server at your residence powered on, get in with e.g. TeamViewer (or better remote desktop or X11 forwarded over SSH). If latency isn't a concern (and it probably shouldn't be), continue to put your connections through your Australian IP (socks over ssh). (more important for account opening than for logging on to the trading platform - a lot of financial institutions use geoIP databases as part of fraud checks - also your online banking might not like you logging in from abroad).

There are various legalities about whether your broker/FCM can accept your dealing instructions when you're out of the jurisdiction etc. As you mention things can become complicated. There is a saying in the service: "volunteer no information" and I think it applies here!

 

[d08]

Why? Ive been a trader for almost 20 years. Why are you here?

And ended up a cynic and a failed trader? As a suggestion, you might want to tone down your bitterness there bruv.

 

[MrN]

And ended up a cynic and a failed trader? As a suggestion, you might want to tone down your bitterness there bruv.

Not bitter at all. Just calling it as I see it. Ive failed many times and reinvented myself.

 

[hyperscalper]

Hey guys,

So I am a retail trader currently making a living trading a small five figure account. Currently paying Interactive Brokers $14 a round trip per 100k lot of GBPUSD (as an example), plus a spread of +-1 pip, plus approx $50 a month to a charting provider for my data subscription.

I've been trading on and off for two years. Now doing it full time again for the last three months and want to make my next move.

I have been interested in changing to a prop trading firm for a while but am a little concerned at all the purported scammers and bewildered by the array of different alternatives.

My strategy is to take between 10 and 30 trades per day in one of the major fx pairs, risking 5 pips to make at least 5-10. As you can imagine the commissions are killing me with this strategy, even though I am highly profitable!

I am essentially first and foremost looking for a better alternative to my retail broker, cheaper commissions and lower spreads, am willing to put up 2-5k risk capital, and hoping for the option of progressing! I'm not interested in paying $1000s to be taught how to position trade based on fundamentals.

I am a UK citizen with no formal financial education currently on an extended holiday in South Africa.

Thanks for reading, any advice welcome!

Regards

Angus

Well, I'll take some heat for this, but let me suggest you consider trading
in Forex Binary Options. Before y'all slam me, let me explain a bit how this
works. Now we all know that trading shares features of gambling, and most
would agree that Binary Options are very close to gambling, wherein the House
takes the lion's share, and the Winning traders get their payouts on the backs
of the Losers who are "only guessing".

So the key is to have Analytics so that you have "an Edge". You will need a
consistent Win/Loss ratio higher than 2:1 and preferably 3:1 or higher to operate.
Remember that trading is "predatory" and you must carefully choose your
time to strike the market, more about those critical details later.

Scenario 1: EUR/USD $100k Short trade, we're into a few pips, but the market
just doesn't want to drop much further. We close with 3.5 PIPs gross, and let's
say that's 3.0 PIPs net after commish. So you make $30 on this winning Short
trade. You might have waited 15 or more minutes before deciding to close.

Scenario 2: EUR/USD PUT Binary Option $100 cash. Here, instead of choosing
when to close the trade, you decided to take a 3 minute expiry time on your
PUT option. At 3 minutes, we assume in this example, the PUT option expires and
you pocket $60 - $80. You would pocket that profit if the market dropped only
1 PIP, and it does not benefit you if it drops even more, unlike Scenario 1.
A LOSS costs you your $100, so you need to exceed a 2:1 Win/Loss ratio, and
remember this transaction took exactly 3 minutes, you can use less or more
time as you choose. Also you may "wager" as little as $5 for finer grained
trading, and lower risk of course.

You will want a few of things:
1) Precision short term Analytics which are effective over your time horizon.
2) Choice of a Symbol which is both predictable using your Analytics, and which
offers more price movement over a short time horizon. EUR/USD is not
the greatest choice, perhaps GBP/JPY or some other Forex pair which
you will trade for a living.
3) Since 1 PIP makes the difference between a WIN and a LOSS, you will want
an automated trigger to place your trade as accurately as possible, or at least
a low latency setup, you should run your platform on a data center server, etc...

I'll post an example showing a strong Short opportunity, but remember that EUR/USD
is not a very good choice, as its price movements are more restricted than many other
Forex pairs. Also, never rely on a single indication. I use a range of indications to
choose trade entries on a short term timeframe.

Short term binary options are not the only choices, and they can be extended to
longer timeframes but it requires only that you are correct by at least 1 PIP on the
price movement to Win... Naturally, as with any trading, you will also experience
losses. (frowny face here) Never forget that trading is "predatory", especially
short term day trading or micro scalping, so choose your moments very
carefully to maintain your edge. This should be obvious to you. In simple
terms, don't "over trade" and have a reason for each and every entry.

HyperScalper