If you want to know how to make spaghetti sause and you ask a group of people how to do it and 10 people tell you add garlic and one says no, then you should probably add garlic [quote=“Chinmay_Kalmane, post:18, topic:136069, full:true”]
Please dont mistake me sir, but I am a newbie and cant tell the difference between right and wrong information posted here.
Please do guide me and help me. If you think the posts here are wrong then do guide me to the right information. being a newbie all i can do is to look up to experienced traders like you and many others to guide me. Always looking for your advices.
Thank you.
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When traders answer black and white questions, Those questions are answered by facts. You can verify by searching pips school google and forex, training guides. Example what’s a pip, what’s a pipette, what’s the difference, how does leverage work?
Correct Grey answers are based on a balance of probabilities : Whats the best forex indicator, should I trade a demo or real, what’s the best time frame. Those answers will mostly be opinions,based on a balance of probabilities. Some will be based on the traders experience, some will be based on a trader trying to sell you something, and some won’t be based on a balance of probabilities but on someone’s ego or very little experience .
Success in forex is based on decisions. The better your decisions; the better your success. The way to make better decisions based on a balance of probabilities is to first; Gather as much information as you can, then verify what’s true and what’s not, and you do that by researching, asking questions and common sense. Next Look at your Options. Then pick the least of the evils.
Don’t feel bad if your questions spark debate, that’s a great thing when you get opposing statements to the same question. Do some research and find out who’s right and who’ wrong if anyone is either right or wrong, just remember sometimes there is no right or wrong, there’s what closer to what YOU are trying to achieve.
Actually leverage is mainly considered a loan by the broker that allows an investor to grow his market exposure to a level that exceeds the initial investments.
the broker! your broker is on the hook 100% for your live trades to the counterparty, so if you are at 100:1 then know, for every $100 in trades you have $1 in equity in the trade, and as soon as youu lose 50 cents of that your broker will stop you out
if you are leveraged you cant cover your losses, YOU broker covers (is 100%^ financially responsible), meaning if you lose more than your deposit on your live trades all the remaining losses are your brokers. So be assured they wont let you lose any of THEIR money, most will stop you out at 50% DD.
and see thats why I trade for a living and dont hang out in forums I make money everyday I dont need to talk about it heh, and I am anything but new, and wasnt even knew when I joined here what 10 years ago?
Hope were able to catch that GU short off 1.4150 like I said
I didn’t see your recomend and I wasn’t up in time - but I would have taken that bet at 6am if I had been.
I did take 147 pips out of the up move Wednesday and would have taken (short) 50 out of the action yesterday, but my TP was at 125 and although the action went to 123, it was not triggerred, so I got caught for a small loss.
The couple of pics you posted a few weeks ago showing your level 2 and the associated chart with annotations has been food for thought and my trading has benefitted greatly from your input and my own thoughts and research around it THANKS !
Treating the motion like a chess game rather than a benevolent “opportunity” is definitely the way to go !
Even at the institutional level, major financial firms trade forex with each other based on credit lines and/or margin. This means that just as you the retail trader do not have to put up the full face value of a trade in order to take a position in a market, your retail forex broker does not have to put up the full face value of their net exposure in the market in order to offset it with their institutional liquidity providers.
Why is so much leverage available in the forex market to magnify gains and losses at both the retail and institutional level? Consider the following page which shows the average daily volatility on currency pairs: Forex Volatility - Mataf
At the time of this post, it shows the average daily volatility for EUR/USD over the past 10 weeks to be 0.73%. That means, if your retail forex broker requires you to put up 1% of the face value of your position as margin that’s still more than the daily average volatility in that currency pair.
For this reason, traders are required to put up more margin for more volatile currency pairs. Furthermore, your broker should monitor your margin position in real time and automatically close your trades, if your account falls below the minimum margin requirement.
(Click here to read more about the perils of trading with brokers that do not enforce margin requirements responsibly: LOW leverage is in fact dangerous)
Respectfully, I think you’ve missed Lukas’s point: when you trade spot forex with a counterparty, you’re NOT really using margin or credit lines at all, because they’re not really brokers at all. You’re just betting against a counterparty. Anything else is a fiction and a pretence, and that’s what the industry’s full of. Having worked in the industry, himself, Lukas would know. Rrram2 doesn’t know any better, but I think you do, really, Crypto?
great there are but not for FREE, sorry I left the FREE word out, thanks for pointing there is if you are willing to pay. But we all know 90% of losses posted by RT’s are a result of Stop loss Orders
MAYBE not but they are still on the hook for the full amount, and must have credit, or CREDIBILTY with their “institutional liquidity providers.” so thanks for pointing out its a house of cards and that you are overleveraged at Gain
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I make money everyday 
