The BIG DADDY!
What are your Experiences, your ideas, and [B]y[/B]our thoughts?
Come on now, don’t be shy?
Please move this thread to Newbie Island.
Thanks!
well I’ve never had one and I don’t intend to, but I have gradually chipped my account away to nothing:o. That’s probably almost as bad since it’s like running up a mudslide. I know this though, if you trade many currencies at once, and your leverage isn’t large enough… MC! - Hey where’d my positions go? That’s the money management part of trading. I will say this, my first week trading live I would have gotten margin called for sure if my leverage wasn’t so high. Of course I only put $300 in my account…pfff. I tend to sorry I used to overamplify my emotions (trading has toned that down) so if I would have gotten margin called I would have flipped. When I took a loss that demolished my profits I snapped. and it was only like 30 pips…oh boy. But I think that when you lose alot / get margin called, the lessons learned can develop you tenfold. But those that quit after that happens may never become the great traders they could have. I feel that the “typical person” should get Margin called(no offense if you have). I say typical because you hear it all the time - what if you would have put a lot of money down on that one horse that was 18:1 and made all that money. As soon as I hear that I just shake my head and say “yeah but what if he would have lost.” I am risk adverse in nature - the thought of even getting into trading would seem impossible for a person like me - but this is what I am meant to do bar none. Just thought I’d give you my view pipgod. It is tough to get responses to these questions and most people look in newbie island, all there is is cricket chirps in forextown. One of these day’s we’ll revive it. Later, best and have a good one eh!
Years ago when I was trading commodities I took a trade that should have been perfect. It was in cocoa and I went short at market open. About 4 hours later I got a call from my broker that I had a margin call. My call then, and is what I had always been told, was to liquidate my position. Never throw good money after bad. Turns out that after I went short a civil war broke out and the rebels took the capitol and all cocoa shipments were stopped. Ships left harbor empty and of course the market panicked and price went through the roof. So, I say never answer a margin call, liquidate, take your lumps and move on to the next trade. That was in the futures market but I would do the same in forex.
dave
There you go hobbit. I put the “Y” on there. I even underlined it. 
Good posts!
Very good posts.
Thanks
Margin Call?
Ahem… There’s a Mr. Grim calling…something about the reaping. I think it’s for you. 
Personally, I am far too stingy to wait for a margin call. Don’t misunderstand. I have many losing trades. If I can see that my trade decision is bad, I am out. There will be more set-ups on another day.
Shadow said:
I feel that the “typical person” should get Margin called(no offense if you have). I say typical because you hear it all the time - what if you would have put a lot of money down on that one horse that was 18:1 and made all that money. As soon as I hear that I just shake my head and say “yeah but what if he would have lost.”
I’ve heard similar “long shot mentality” expressions. Your example brings to light one of the critical differences between trading and gambling. When you place a bet, you put down your money and await the result. When the event concludes, you either collect your winnings or tear up your ticket. When you enter a trade, you place your money at risk and then have to make a second choice to exit your trade. You can make your exit choice by using a SL/PT strategy or by your discretion. Alternatively, you can ignore the reality of the information the market is giving you and wait for a margin call. Decision by indecision. 
No margin calls for me recently. I don’t think I’ve had one since the late 90’s when Greenspan announced an unexpected rate cut as part of the plan to break the Asian currency crisis. I was short S&P’s and they ripped…and kept ripping…and ripping…and ripping. :eek: Margin call! I liquidated. Immediately. No matter how well capitalized that account was, there was no way the trade would ever have worked out. Ouch! Oh, and thank yo so very much for reminding me. Yeah, thanks a load for that…
Good post toptick07.
I may be wrong with this, but I like the idea that hobbit had. His thought on experiencing the margin call on demo. This may help a trader realize the early signs and adjust accordingly before the “OH S**T”
Just my thoughts on his thoughts.
Um, okay. My thoughts about your thoughts on his thoughts are that demo accounts are great for testing your trading ideas and for learning how a platform works. I am less convinced that they are valuable for teaching good stewardship of one’s capital. You should easily be able to see when you are in a bad position whether it’s a demo or live account. Just my opinion.
Nothing smarts quite like getting liquidated and having to send in another check to replenish your account.
About Margin call , i has felt it for many times . i has get pressure when the equity and margin in my account being pink . In that time i see my email get call from the broker to do for deposit again or do inject for more fund to not stop out or loss all my balance , in that times i can not do anythings and just despair with that conditions