have you borrowed money for your start in forex?

[trav72]

has anyone borrowed $5000, $10000 or $50000 to get started in forex.
I know you all going to say no dont do it, that would be the right thing to say. However, what is the point of playing with one hundred or two hundred dollars, when your system requires more money than that for success.
With more capitalo to start with you are more likely to be succesful, as you can place wider stop/losses. Even in the babypip schools it says it is not good idea entering forex with little amounts of capital
So has anyone done it and pulled it off?
that is payed back the back a carried on upwards.
I have more succes with a demo account when it is 50000 or 10000, then i do with my demo account at 2500. At 2500 alot more care is taken for not as much reward, and one mistake can be costly.
So would could you or have you

[daydreamer65]

Originally Posted by trav72

has anyone borrowed $5000, $10000 or $50000 to get started in forex.
I know you all going to say no dont do it, that would be the right thing to say. However, what is the point of playing with one hundred or two hundred dollars, when your system requires more money than that for success.
With more capitalo to start with you are more likely to be succesful, as you can place wider stop/losses. Even in the babypip schools it says it is not good idea entering forex with little amounts of capital
So has anyone done it and pulled it off?
that is payed back the back a carried on upwards.
I have more succes with a demo account when it is 50000 or 10000, then i do with my demo account at 2500. At 2500 alot more care is taken for not as much reward, and one mistake can be costly.
So would could you or have you

How successful is your system?

Is it pip or money return successful?

I would be quite surprised to see a system which needs more
money to be successful.

Learn more about risk percentage.

The only time I would advocate borrowing money for Forex
is if you have fully tested your system for most circumstances,
that includes trading it live at small account size.

"QUOTE=trav72 At 2500 alot more care is taken for not as much reward, and one mistake can be costly."

This statement is very worrying.

[trav72]

thanks for the reply and i hear what your saying. And the fact i am saying is that at lower amounts of capital and with correct risk mangement my time efforts dont amount to something or much. I can do the right thing risk wise and i do appreciate everything i am saying is not going to be correct to everyone. But boredom sets in when you make $3.20 on a 32pip win with micro lots. 32pip win i would prefer that to be $320 or more, cause i enjoy forex and i want to make a living from it. I do have day job that i enjoy too, but if i can combine this with that well then life would be great. I am keen to get off the ground and i have mortgage and young kid and basically, i get paid every wednesday and i am broke by the next day, credit cards are maxed out and well i wish i had 5,10,50 thousand and i think then i could be away.
Of course i am not sure, and i not it is a HUGE risk, but then i also think, we arent here for that long in the end....Why not have a go...it could turn out ugly i suposse and i guess that is keeping me from doing it.
But i do think it can be done, and it is worth the risk to just get up off the ground.
Forget what my system is as there are many and everyone has something different and there are many opprtunities, sometimes the best system is often the most simplest system, it is not really about a system, it is about having capital to move forward with a system. I can trade many systems, and if you take the time to anlyse the trade before during and after than you can be succesful, but you want reward......dont we!
At 3 dollars a win (30pip win) i would be required to have 33 succesfull trades for $100 profit (probably 66 trades given a 50%win/loss ratio), now that is a long month or two, but at 300 dollars (30pips) a win for the same 33 successful trades i am now smiling after 3 months of trading with $10000....whatever the system it is...there are many and to name a system will only encourage those to say ...mmm...not possible! Maybe it isnt possible i do not but i am trying
so inevitably in demo or live accounts with $300 or less capital risks are eventually taking that would not otherwise be taken due in part to the boredom and that really we aren't getting anywhere and i want to get somewhere, and i am in a hurry, why not be life is short enough isnt, i understand the stuff about risk and money manangement.......and that scared money never makes money...
The bigger thrill is the money more so than than the pips.
You probalby have the same chance of turning $10,000 into $50,000 as you do of turning $100 into $500 in the same time/risk, but i bet you the guy who has got to 50000, is much more likely to go on to bigger and better things than the guy on $500. they guy with $500 is more likely to go back to where he came from.....back to zero....back to work
please dont be worried with what i am saying.....
i just interested if some would agree........am i truly crazy.
I can see the gurus of the forum quiting my lastline already...
reply post quote "am i truly crazy"... YES...
please tell me something better than that! tell you borrowed to get started or something!

[daydreamer65]

And the fact i am saying is that at lower amounts of capital and with correct risk mangement my time efforts dont amount to something or much.

Yep I got that impression, this is a very short sighted, narrow view.

Slow down, you need to learn to trade before you increase your
risk, you think you have problems now, what if your $10 000 loan
starts to go down the toilet, or into the brokers coffers?

What then, borrow more?

Learn to trade small, then slowly increase your risk.

I will let others have their say, but I know that you really know
the answer to these questions.

[ECN-scalper]

There is no reason to borrow money to trade
especially if you are a newbie to trading.

From the post, I can see the primary
driving force is greed and that's it.
I see no other motivation.

[Andrewunknown]

Originally Posted by trav72

i just interested if some would agree........am i truly crazy.
I can see the gurus of the forum quiting my lastline already...
reply post quote "am i truly crazy"... YES...
please tell me something better than that! tell you borrowed to get started or something!

You aren't crazy, but there are a few hard facts to consider.

First, you've been trading for a relatively short duration of time.

Second, *if* you are using rrram's GBP/JPY, you should recognize without properly managing margin you run a VERY high risk of blowing up an account. The same goes, though with lesser probability, for many other systems/methods.

Third, you have a child, and you live paycheck-to-paycheck more-or-less - borrowing money in that position is highly inadvisable, regardless of how optimistic you are. If you fail - even if you only fail in the short-term, but end up succeeding long-term - this will place incredible financial strain on you. Financial security is not something that can be established on such a tenuous basis.

I can understand how the time-money cost associated with trading a micro account is frustrating - especially when you are seeing success. But, "we're here for a short time" rhetoric aside, taking out a loan is probably dangerous at this point. Try doubling your account twice; then, with a sustained track record of success, you might give a loan some consideration. I think (hope) you'll find, though, that the more you trade, the more borrowing will seem like a very bad idea.

That said, these are only my thoughts. No one can advise you, because no one but you has all the details.

[GBLilleyUSMC]

Originally Posted by trav72

But boredom sets in when you make $3.20 on a 32pip win with micro lots. ........The bigger thrill is the money more so than than the pips........

Cowboy,

I am VERY VERY concerned about your need to seek a thrill through forex trading.

Im sure some of the other more seasoned traders will agree with me. Once you realise that this is boring, you may be finally starting to do something right.

DONT WORRY about the small amounts of money your making right now. A system that starts you out making $30 a day can soon make a very comfortable living for you if you allow compound intrest to take affect.

Einstein said that compound interest is the most powerfull force on earth.

So go trade bored. Then once your rich, find something exciting and thrilling to do with your money. Charts are not the place for thrill seeking.

[Yarcofin]

Of course nobody here in their right mind is going to say it's a good idea to borrow money from the bank and start investing in Forex with it. That's a quick way to ruin yourself.

However, one potentially okay method would be if you have close relatives or friends who have extra money laying around and need an investment vehicle, but don't know much about it themselves. Maybe your best friend or cousin is willing to give you $1,000 - $5,000 to invest for them.

Just make sure that you make it clear at the beginning, there is a strong risk of you losing all of their money and you don't want to be held accountable for it. Demo trade for at least a few months, then show them the results and let them make the descision. Be honest, don't overexaggerate your potential earnings or it will come back to bite you. Then either they can set up an account for you to manage, or you can take their money and set it up yourself. Before you get started, make sure you have an agreement as to how much a percentage of the profit you will both be recieving.

I'm in the process of opening my first live account right now. It is a joint account with my dad... he knows nothing about forex, but he has seen that I am producing consistent and profitable results, so he is funding a joint account and I am going to trade in it, as well as teach him about forex at the same time because he wants to learn.

[randont]

You're setting yourself up for a blown account! Don't take this the wrong way, BUT if you are living paycheck to paycheck you haven't learned how to manage your money. What makes you think you'll be able to stick to mm rules in forex if you can't manage the money you already have? You need to go to the library, check out a book on debt management, read and apply it ie get those credit cards paid, and THEN you'll be in a position to put money aside for trading.

[ECN-scalper]

All sound advice but I feel that he isn't
here to get advice or a blessing. He
clearly states that he lives paycheck
to paycheck and just barely head
above water at that. Clearly, he is
delusional. He is looking for a complete
disaster financially and he has a child
on top of all of this mess? He'll take
all of these words as a challenge and go
ahead with the loan anyway. If he is
of sound mind, he won't even contemplate
it much less come here seeking approval.