Well I don’t know if you’re referring to these posts but they’re not rude at all.
Me: I was having a really GOOD day until I read the ‘terms and conditions’ (actually isn’t THAT just too funny given this ‘conversation’) of that one ‘no deposit bonus’ account (which I’m STILL unsure EVEN AFTER reading such ‘terms and conditions’ as to whether or not I’m going to be able to withdraw what I’ve ‘stuck it to them with’)!!! LOL!!!
Regards,
Dale.
I was all confused about leverage to. Now I just forget about it. The amount of leverage and the amount you actually have in your account are “not meaningless” but you shouldn’t pay attention to them. If your managing your account correctly then they shuold never come into play. I would not be running more than 2 trades at one time, most the time only 1…
so you should never be reaching the limits of your account margin.
So I think a leverage of 500:1 is fine. Risking 3% or less of your account on any trade and only playing 1-2 trades at a time… should not have a problem at all. On a lower leverage there no need to worry also. If the trade is going against you and your free margin is dropping… so what? your money management is correct and your risk % means your SL will take you out way before any margin calls would come about.
I think there are a couple of occasions there can be a problem.
Just dont trade more than a couple of trades at one time…
This is my opinion anyway and i’m quite new to Forex…
Well said and great contribution.
Keep that up (the way you’re trading): and you’ll not be the type of person I worry about!!! LOL!!!
Regards,
Dale.
Hehe, maybe not ‘rude’, but rather plain spoken.
I just find it irritating that people get into things without having proper info and then whine ‘I didn’t know’.
Haha, I told you it won’t be easy to withdraw money made from bonus payments; brokers tend to attach tough conditions to their bonus payments, often nearly invalidating them … that’s what they have in common with insurance companies. 
Same thing with Terms and Conditions … best thing is to email them and ask them to explain in terms a normal person can understand.
Cheers,
O.
Why does this seem to ‘please you so’??? LOL!!!
The WORST part: I’ve just added another short and EUR/USD is ‘tanking’!!! LOL!!!
Regards,
Dale.
lol, it doesn’t please me at all … I hope you’ll make 10k out of their 45 bucks and then ‘force’ them to send you the dough.
Unfortunately, with most brokers you’ll have to turn over bonus payments so often that it either takes years to be able to withdraw them, or, if you try to do it quickly, it ends up in a loss.
O.
I have to agree with Oliver here, I am a firm believer that you are responsible for your decisions.
I am not a fan of regulation, and believe that much of the financial mess the world currently finds itself in is due to over regulation (requiring large bureaucracies) rather than letting the winners in the business world rise to the top, and letting those who get it wrong die (in this case have their forex accounts emptied).
Yes , this is the only option by which small traders can trade profitably.
Leverage of 1:100 means your $1 acts as $100 in trading. so you can have higher profit and loss too.
Yep, I agree.
If you open 1 mini lot with 1:100 leverage, meaning you use 100 bucks of your own money, those 100 dollars will be gone if price moves against you for 100 pips.
If you’re a day trader who, for instance, goes for 50 pips profit with a 25 pip stop-loss (i.e. Risk:Reward = 1:2, which is perfectly ok), your trade will be terminated long before; in this particular case, you could even use 1:200 (50 pips until ‘death’) or 1:400 (25 pips), without overleveraging … provided the case your broker doesn’t have large slippage habitually (which would disqualify him anyway, in my book).
So, with marginal brains and a calculator, everybody should be protected from overleveraging.
Cheers,
O.
Alright:
It’s evident I’m ‘feeding caviar to pigs here’!!! (REALLY only joking and not calling anyone a pig i.e. it’s just one of my favorite sayings).
LEVERAGE is not the problem. ‘HUMAN BEHAVIOUR’ is the problem. Now there is NOTHING that anyone can do about ‘HUMAN BEHAVIOUR’. But there is a lot that can be done to limit the DAMAGE that can be the END RESULT of ‘HUMAN BEHAVIOUR’ (or call it ‘THE HUMAN FACTOR’ if you will).
Capiche???
Here: relax and listen to and watch ‘Uncle Barney’. I’m SURE MANY will be happy that he’s now retired.
Charlie Rose - Rep. Barney Frank
I should post this on Clint’s thread. You know: ‘make his day’!!! LOL!!!
By the way: there’s a few interviews on there too with Senator Dodd, Alan Greenspan, etc. I’m not on there yet I’m afraid so don’t go looking under ‘P’ on the guest list.
Regards,
Dale.
“LEVERAGE is not the problem. ‘HUMAN BEHAVIOUR’ is the problem”
Good point. It’s not what you have, it’s what you do with it that matters. You could give someone a gun and they could take the bullets out and lock it up or they could shoot themselves in the foot with it.
on the statistics… I saw somewhere that brokers reported around 80% / 20% rather than the usually quoted 95%/5% With Oanda’s stats being even a bit better than that.
That’s probably because I use them so I mess up the curve! LOL
But see… Most noobs to this endeavor are allergic to search windows of any sort.
And a map? We live in a GPS culture. Spoon fed directions to the nearest McDonald’s is about as mappy as people get these days.
Someday, sunspots are gonna take the GPS grid out, and the collective [B]"I’M LOST!!! ARRRRRRGH!!![/B] will be heard around the world.
Good one (about the ‘curve’)!!! LOL!!!
I too (myself) think that the stats are not THAT bad. I think it’s just become a ‘generally accepted regurgitated figure’. As I noted on this thread: Deltastock’s is around 70% and I seem to remember seeing IBFX stats not being as bad as 95% either at some point.
But there is STILL ONE STUDY I WANT SOMEBODY TO DO and THAT is to do the same ‘excercise’ or work out the same success / failure rate of the other markets. I just don’t have that type of information at hand. And ACTUALLY come to think of it: it should be EASIER to get THAT type of information than it should be for FOREX given that the FOREX market is ‘all over the show’. So that’s ACTUALLY a VERY good point in my opinion. Where did the 95% come from ANYWAY??? It’s only because of Dodd-Frank (I think) that brokers have to report their stats (and THAT’S only a recent development in the bigger scheme of things and THAT is only for US brokers)???
Regards,
Dale.
Haha, yes, true.
But nobody’s fault. I can only repeat myself: somebody embarking on a business venture without having obtained all necessary information is just dumb and doesn’t deserve any better.
That may sound unfeeling, but I’ve always been a great fan of Darwin … ‘Survival of the fittest’.
And regarding the unfit: Well, thanks for the liquidity.
It is not hard to get information about trading forex; in this forum alone, there are dozens of people who know what they are talking about, willing to help and advise new traders in a competent and friendly fashion.
There is just no excuse for ‘stumbling into it’ and failing.
Of course, every trader has to take losses from trades having gone bad; that’s what money management is for.
But wiping out one’s account because of not having bothered to learn about leverage, for instance, is completely unnecessary; searching for ‘Leverage’ in this forum will render 110 results.
And there is a whole chapter dedicated to it in the School section of this website, repeating about 400 times that one has to be careful using it.
Cheers,
O.
Neither have I, but I remember having read an article about restaurants in Germany recently (and I imagine the figures to be pretty similar in any first world country): about 70% of them go bancrupt within the first 12 months of operation, 80-plus per cent close their doors after two years. Main reason: under-capitalization.
It’s a highly competitive business, and a tough job.
Darwin at work again.
O.
That was great one Dale!! Lol.
Also that this situation has been caused by this “market”, & the disclaimers are coming into play now…
“Trading is not for everyone” “Trading can involve big losses” “Trading can kill” "Pregnant women shouldn’t trade"
We’ll be seeing more of these attached to promises of hopes & dreams…
Dale: The link was to this thread, not from this thread.
Great thread though. LOL!!
Hello.
No problem. I was just wondering if I missed something.
Great ‘disclaimers’!!! LOL!!!
My point (I seem to have a lot of those on this thread???) is that no disclaimer, especially given that it’s obligatory, can convey the severity of what CAN happen. I mean: I smoke HEAVILY. The box in front of me RIGHT NOW has a HUGE warning that says ‘WARNING: SMOKING CAN KILL YOU’. I’m about to light another one. And even if you showed me pictures of lungs: I’d still not stop smoking. It would have no effect (as a matter of fact I’ve seen those pictures OVER and OVER and OVER again). As a matter of fact: one of my aunts died from emphysema and spent a good few of her last years walking around with an oxygen tank. Now if smoking was TOTALLY BANNED: well then I’d have no choice BUT to stop smoking. I’d be REALLY pis*ed off. NO question about that. It may drive me to temporary insanity. But EVENTUALLY: it would be for my betterment and my health. See the connection between this and regulation (leverage for example)??? LOL!!!
Regards,
Dale.
The difference between dying of cigarettes and losing a few hundred bucks in forex is just that: one kills you, one not.
And also, you can educate yourself about trading, to improve and end up making money, not losing it … you can’t train your lungs to ciggies, hehe.
Oh, and I smoke (too much) as well, so…
Cheers,
O.
Everybody loves a ‘smart ar*e’!!! LOL!!!
Regards,
Dale.
lol, yah … nearly as much as everybody loves being a smarta$$ themselves, hehe.
BP is useful to learn and entertaining, too … nice forum.
O.