Hey guys I’m new to forex I have done my investigation on forex and I need help on detecting trends also I need help on how to make a big profit with only 10,000. If maybe writing my own ea I am very good at programming so if u can please reply thanks
First step- school of pipsology
I think after going threw it your questions will change to other questions
Thank you,
Albinas
writing your own EA? To do that you first have to know how to trade manually and make a profit. Speaking as a programmer myself, you know you can’t program a computer to do something that you yourself don’t already know how to do.
Programming will help you in your trading, but as Talon said, you must learn to trade first.
Attempting to “make a big profit” will small starting capital can lead to ruin.
May I recommend the Ichimoku Kinko Hyo method of trend trading? For a great system based on Ichimoku just type Ichimoku into the search function on baby pips and there is a guy who explains a fantastic system based on it, its very simple and most importantly it seems to work!
I have been back testing this system for about 10 hours now and for 8 currency pairs, over the last 18 months would have resulted in 70% winning trades, 19640 pips total profit, over 30 trades coming to average profit per trade of 840 pips.
Now to Pipso Facto’s point about needing sufficient capital before you start, I must respectfully disagree. The reason that newbies lose their shirts is because they go overboard on leverage and use improper money managment.
If you open an account with Oanda, you can trade in individual currency units, so you have complete control over how much you can lose/trade.
As an example, lets talk about the EUR/USD which may offer a long term shorting position next week.
If the OP, (with a $10K account) risks 3% ($300) on a 250 pip SL, then he/she should short 12,195 units (assuming a valid selling point arrives), something that Oanda allows. With the ability to trade variable lots, (as little as 1 unit of currency) you can scale your trading to match your account.
For example, if you don’t want to risk too much, you can put $10 into an Oanda account and then risk $.30/trade, which in my above example would mean trading 12 units of currency. The leverage remains the same, (1.81:1) and the % profits from trades is also unaffected.
Heck, the minimum at Oanda is $1 and by trading just 1 unit of EUR/USD, you risk 2 cents/trade, but you can still trade.
I am seriously considering opening a real account with Oanda by the end of the year and putting in $10, (I will have been demo trading for a month) so that I can get the feel of the real thing while risking essentially nothing.
I figure if I prove succesfull over time I can add more, and in the mean time I am learning and earning the same % profits I would have had I opened a $1000 or $10K account.
so that I can get the feel of the real thing while risking essentially nothing.
Thats not the real thing.
I totally agree that to write a good EA you need an understanding of trading. I think the main problem with a program doing the trading is its not flexible. My thoughts are to have a bunch of EAs for different market conditions and manage them based on market conditions, or write another program to manage them.
… which they have to do because they don’t have enough starting capital’
So you agree, you just don’t know it
for a starting account I agree with starting small with Oanda, that’s what I did, opened an account with them with $50 and traded small until I proved to myself that I could make consistent gains. With a small account like that you wont make much quantity but the percent is what counts. Once you can gain consistently then add more.
EAs can have their pros and cons, I wouldn’t rule out using them for specific market conditions like Shr1k says. But don’t trust the hyped up heavily marketed ones.