I am sailing my way forward to trade with .5 pips or less. I have sort of finalized the currency pair CADUSD or even USDEUR.
Preferably I want to work my way out without commission but lower commissions are fine too.
Please give your advice.
You mean your profit target is .5 pip? That’s too low. What would be your stop loss? Around 1 pip would be spread even if you choose zero spreads account with commission. And for without commission the spread would be 1 pip+.
The comedy section is not here… 
There is no such a thing as a 5 pip strategy, and it can never work in the long run, sorry.
I don’t think that’s for 1 person to say. I know enough traders which have been using this strategy quite successfully. It is if you ask me a good beginning ground for new traders. One does not have to stick with this value for life :>
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Not sure how is that viable considering there are pairs where 5 pips is only the spread…
How do you run this one? When do you find are the opportunities?
Do you mean .5 lots?
Just be certain it’s only 2% of your account or less.
However, .5 pips isn’t very much at all. It’s such a small movement.
Could you explain more about your strategy?
Just to clarify here, what I meant here was 5 pips and not 0.5 pips, my bad. And as per my strategy I am planning to use on brokers and pairs that give less than 2 pips, isn’t that a possibility? I hear so many brokers offering 0 spread accounts. I believe if I trade only when volume is high, I might get low spreads.
with 0 spreads you’ll have high commissions, there has to be a way for broker to earn. if you ever come across such read terms carefully. else you’ll end up loosing more.
I have sort of made this cap for me where I won’t go beyond $4 commission rate with a broker so I don’t end up paying a lot either way, spreads or commissions.
Use a lower commission broker than a no-commission one. Your costs are gonna be explicit. You will know what exactly and how much, you will be paying as your trading charges.
I second that! Had a bad experience with a 0 commission broker. The spreads were wide, swap charges over the roof and I don’t even wanna start on monthly fees.
Any suggestions on brokers, I want a simple interface to use, and more importantly, price chart should be real time. Also looking into fills and orders.
Good choice of currency pairs there, can even add USD/GBP to the list. Trading them on the 4-hour EMA is a very easy way of making a quick buck. These pairs are almost predictable and will rarely give you unexpected surprises. Obviously, you must trade only when the market is most volatile and also when some elections or big corporate announcements are not expected.
Positive correlation with these pairs is in fact my reason for selecting these pairs for trading. As a beginner I think it’s safer to stick with these options. Also not looking at very large pips movements as of now. And definitely not gonna hold positions overnight.
Are these even regulated, easymarkets, fxview? Be careful on that!
Don’t be stuck up on pip.small or large, either way they can damage you. Not necessary that a certain price change will be in your favour.
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I don’t think that’s what he meant, it’s known that not just any change in price will bring in money. And with small changes, the magnitude of profit or loss will be small. I think it’s a good move.
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Ya that’s what I intend. Till the time I gain full confidence I don’t want to risk much.