This is how it works
I ONLY buy GJ long mainly because of the greta interest on trades carried overnight. On average I make about 30% per month on the margin I have securing my trades.
Smart Margin Management is required with this system. I normally stay between 1% and 3% on USED margin. This is very important as you need to be able to stay in on a huge run down (crazy as it seems this works).
I have been doing this for months and trading forex for 3 years.
Yes I have wiped out all sorts of accounts. I even wiped my account this way once because I had what I call "too many too high" (TMTH)
AND I ran out of margin due tofoolish margin management AND my broker charged my credit card for a forex account deposit but wouldn't put the money in my account to cover my margin call because I already had put in $5000 that month in credit card deposits and they stictly limit people to this limit. The only broker I found who doesn't honor this $5K CC depoosits a month (even though thier website says they limit you) is forex.com
but you cannot trade this system there.
This system requires a broker who does not stick you with FIFO
(first in first out) YOu need to be able to sell any and or all of your longs at any price and in ANY order you want. IF they force you to sell your oldest long this system will not work at that broker.
THis system works under any leverage, but I prefer 400:1 as I earn the same interest as if I was playiong 200:1, so why invest extra money?
DO NO TRADE THIS SYSTEM ON A LIVE ACCOUNT, UNTIL YOU HAVE TESTED IT AND MASTERED IT ON A DEMO ACCOUNT WHERE YOU HAVE NO REAL MONEY AT RISK.
I DO NOT WANT ANYONE TO LOSE MONEY!!!
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