hehe.. well here i am again
SOME GOOD AND HONEST ADVICE FOR ALL YOU NEWBIES
Take note Kiddies, Unless you want your money taken from you
here is the truth of it
My name is Martin
i Literally was here around 4.5 - 5 Years ago, Just like you guys, New Blood Ready for the Kill.
Now let me say something here,
profanity is necessary sometimes to illustrate or emphasize a point.
but, instead of using the F word, I'm going to say "Firetruck" instead... ok
i'm doing this so baby pips don't get the Firetruckin' ****s with me hehe.
let's move on
oh guys,... you LITERALLY HAVE NO IDEA WHAT YOU ARE WALKING INTO
you guys are so new that i can smell the NEW SMELL on this forum and i feel Weird being here
but, i figured, Hey what the hell, i hate seeing people get taken advantage off, so.. i thought i'd let you guys know once and for fall. WHAT REALLY LIES AHEAD
Hopefully, this will save a lot of you, a LOT OF MONEY
Me, Personally, over the first 3 years. I lost around $5,000 before i had any Firetruckin idea of what was going on.
at this point, i literally may as well have walked up to the broker and said "Hi guys here's $5,000 because i'm a stupid newbie and i have no idea what i'm doing, so you may as well take this cash right now and save me the headache of losing"
that's 100% true.... BANK ON IT
now.. after that , i ACTUALLY STARTED TO LEARN
in total.. long story short $14,000 was lost until i learnt how to trade VERY VERY SUCCESSFULLY.
i now no longer lose money AT ALL
i consistantly make 2% a day of my overall account balance
NOW..maybe that doesn't sound like much to a newbie, so.. to put that in perspective.
if you start today with $1,000
and a trading year is 245 days
you end up with approx $125,000 at the end of the year
not bad huh
and if you keep it rolling to the next year, i think you're looking at around $3 Million Dollars
so, i'll say it again
I MAKE 2%.. CONSISTANTLY , EVERY SINGLE TRADING DAY OF THE YEAR
and i do that before i even go to work, Usually takes me around 1 - 4 Hours in the morning or if the morning trade session is Firetrucked , then i'll do an evening session
so. enough about that
HERE IS THE ADVICE I HAVE FOR ANY NEWBIE STARTING OUT
Please note (i'm actually going to start a you tube channel or something) (Note to Baby Pips..... no.. i'm not fishing here)
i'm starting a channel, and what i'm trying to say is.....
i like to help people, and since it takes time to do that, i'm going to charge people $100 to show them how to get started properly
but, i have not done that yet,
so... YOU GUYS ARE BASICALLY GETTING THIS STUFF ABSOLUTELY FREE
Why am i doing this.
well... go to any forex binary options you tube channel
this is what you'll see hehe
some newbie comes on and says something like
"I've got $300 and i want to make $900 a day, how can i do that" hehehehehe
GUYS.. don't be stupid ok
Forex is a business, and (Heed my words here).... IT IS NOT FOR EVERYONE
so... if what i say upsets you
QUIT FOREX NOW... (better that than have you lose all your money)
so Guys, i'll give you guys a few lessons / Rules to live by in forex
Rule 1. NEVER TRADE BINARY OPTIONS (it's a scam) Plain and simple
Binary options are for idiots who think they can pop in $100 - $300 and think they can CONSISTANTLY Make
$500 + dollars a day (Don't be stupid guys) it doesn't work like that
now. if you don't believe me.... PROVE IT FOR YOURSELF (Because Forex is all about testing)
so.. i'm not posting any links here, BUT, a few years back i found a binary options site that gave you
the ability WITHOUT SIGNING UP FOR A DEMO (you could literally just go to the site and try it out)
this site was good because i could show newbies why it didn't work,
but, you go and try binary options.. DEMO ONLY ok (don't put 1 cent into it) and do this
Trade Binary options ANY WAY YOU WANT TO , and ... if you can sustain a profit each day and have your
account grow and that keeps happening for a minimum of 6 months. Go Nuts, Make a million
but, IT WON'T HAPPEN.
what will happen is... you'll win a few
then you'll get greedy and you'll lose everything
so.. NEVER TRADE BINARY OPTIONS.... PERIOD
PICK ONE CURRENCY PAIR and learn how it behaves
i made the mistake of picking all 5 Major Currency pairs to begin with, don't do that, it'll confuse you.
Pick one Major, something like EUR/USD or AUD/USD, Probably EUR/USD is better
but, whatever you pick, be comfortable with it
Example, for some reason, i really love EUR/AUD and i don't like how USD/JPY behaves so i don't trade it ... ever
PIPCRAWLER IS CORRECT...... but there's a catch
you guys need to understand that pipcrawler has a job to do, PipCrawler can't tell you stuff the way i can.
but, pipcrawler has a responsibility to you,
Now... babypips is a firetruckin awesome site..... NO QUESTION ABOUT IT... you've come to a good place to learn.
and.. for the record, Everyone that asks me "Martin, Please tell me how to start off correctly."
first thing i do is send them to babypips SCHOOL TAB (you're welcome baby pips, You've deserved this, thats why i do it)
but understand something guys
you know the analogy of michael jordan and he had to work at it
WELL... HERE'S SOMETHING YOU DON'T KNOW YET
- Pipcrawler himself, may not be able to trade to begin with (i don't know it for a fact, i'm just saying, his job is to write articles and give opinions)
so don't take what he says as gospel, but, in saying that, don't dismiss it either.
Verify stuff for yourself
now. back to the michael jordon thing
here's the thing you don't know
Michael jordan picked a basketball career... right
he went to the courts. he practiced his arsed off
but,... when he was shooting and practicing..... DID THE HOOP MOVE ? No...... right
well. in forex, the Hoop Moves
so it's not really fair to give a newbie the impression that
as long as you work hard you'll get there,, THAT'S CRAP
guys here's the thing
THE MARKET IS OUT TO GET YOU, Make no mistake about that fact
but, there is a way around it, and you have to find it,
but.. it'll cost you a lot of money to do that.
BROKERS and how to choose a good one
well. as a rule of thumb
a) Any broker that says to you "we'll give you $300 or so to start you off if you join on a live account now" - Avoid these guys, they are trying to suck you in
b)any broker that says they have a compensation plan, so that when you lose, they return the money to you.... are full of crap (even if they do actually refund the money to your bank account) GUYS,, IT'S A TRICK that will leave you broke.
.. stay away from it
c) when you choose a broker, they may say "we have a personal analyst that is available to you FOR FREE, if you have any questions about how the market is moving, he's there to help you" LMFAO... yeah right
Guys, this guy will sound like your best mate, he really really will, he'll become facebook friends with you if needed.
BUT YOU SHOULD KNOW THIS
there's only 2 kinds of guys you are going to come across in forex companies
Type 1. : Stupid guys, (We call them Monkeys) they don't have a clue about trading,
these guys come to work and THEIR SOLE JOB IS TO GET YOU ON A LIVE ACCOUNT, they don't actually trade
they will say crap like this
you'll ask "so.. John how are you today mate, hey, i want to ask a question, i'm trading EUR USD today and i want to know if i should buy or sell"
then he'll say this "well i didn't have a very good look at the market this morning, but, i did manage to get a quick glimpse just before starting work"
so i strongly feel that the market will go down today and be very bearish
but, if the market hits the support at the 50% Fib Level and finds Support at [Price goes here] then i'm confident it'll turn up and become bullish
NOW. WHAT DO YOU HAVE FROM THAT......
Absolutely nothing, that's what
because, HE'S AN IDIOT
Not an Economic Expert
GET THIS CLEAR IN YOUR HEAD
YOU'RE TAKING ADVICE FROM AN IDIOT... ok
and.. if the trade goes in your favour,
he'll say ... "No worries mate, i'm glad i could help" and then... he uses this coincidence next time to convince you that he is on your side
if the trade falls over out of your favour , he'll say "hmmm yeah... well. mate, i really thought it was also going the other way, i also lost money myself on it"
he really didn't, but he'll say it
type 2 : this guys is actually an Economic expert, he has a degree , this guys job is to tell you the opposite of what is happening
(now. if you're smart, you'll use the advice that he gives you and do the opposite)
but... if you do that continuously , he'll give you the right advice, so you do the opposite and lose
so.. how do you find a good broker ?
well. a broker that says to you "we don't actually offer financial advice, you should go and get your own financial advisor for that, and pay him "..... this is a good sign of a relatively fair broker (not the only sign, but, it's a good sign)
- Don't stay with a broker that will not allow you to put a stop loss wherever you want to put it
LET ME TRY AND FINISH THIS POST AS QUICKLY AS I CAN hehe
what else is important. let's see..
HOW MUCH TO START WITH
- Well... when starting out... Start with Nothing.
Trade Demo, UNTIL YOU CAN SHOW CONSISTANT RETURNS FOR A MINIMUM OF 6 MONTHS
then.... START WITH NO LESS THAN $1,000 (But i would recommend $5,000)
HOW MUCH DO YOU TRADE / RISK MANAGEMENT
Guys... RISK MANAGEMENT IS EVERYTHING
it's the difference between blowing your account out and not doing so
you know those facts how ...95% or traders lose ALL THEIR MONEY in the first 3 months..??
you know why that happens....
Very Bad Risk Management, that's why
so here's what you do
START WITH SOMETHING LIKE $1,000 (as an example)
Trade size should be 0.01 Lots (this means for every pip, you are risking 10cents)
now... Your instinct will be to up it to something like 0.1 lots (which is risking $1 per pip)
doesnt sound like much, but,,
if you're in a trade and it goes the wrong way by let's say $80 pips,
you then instantly lose $80 in 1 trade
so... if you have $1,000
HOW MANY TRADES CAN YOU LOSE BEFORE YOU ARE BROKE ?
Answer : .... 12 Trades
so basically.. 12 trades and you can sit there crying and wondering how the bloody hell did i just lose $1,000
THIS IS THE REALITY OF IT
and the answer is..... YOUR RISK WAS WAY WAY WAY WAY FIRETRUCKING TOO HIGH
if you traded 0.01 lots and it moved 80 pips, you only lose $8
so you can afford to lose 120 trades before you're broke
now HERE'S THE MATH OF IT
if you have 120 trades before you go broke
YOU MUST ENSURE THAT YOU CAN SUSTAIN A WIN TO LOSS RATIO THAT IS BETTER THAN THAT
Worst case scenario
i can do 12 trades and lose no more than 2 trades , so.. i win 10
but.. realistically, i win like 20 to 30 in a row and only sustain 1 or 2 during that time
Most days i place around 6 to 8 trades and don't lose a single one
every 3 days or so, i might lose one
see how that works
so to sum it up
GET A DECENT BROKER
LEARN FROM BABY PIPS SCHOOL
MANAGE YOUR RISK
MANAGE YOUR REWARD TO LOSS RATIO
MANAGE YOUR MONEY
Remember, Money and Risk are 2 different things that you need to manage
oh.. ALMOST FORGOT
IF YOU DON'T OR CAN'T DO THIS..... DO NOT TRADE AT ALL. DON'T EVEN GIVE IT A GO
YOUR EMOTIONS ARE THE FIRETRUCKING MOST IMPORTANT THING
if you can't lose $2,000 in one day and be TOTALLY OK WITH IT
DO ..... NOT.... TRADE...
it's not for everyone guys ok
let me explain this a bit and then i'll stop typing ok
if you start out with $1,000 and you're trading 0.01 Lots (10cents per pip)
and let's say you want to win 30 pips (so....$3) but let's say the trade goes against you
and it goes the other way by like 50 pips, (so.. $5)
not really a big deal huh
well. let's now keep things proportionally the same and say you have
$100,000 in your account
so.. your now trading 100 times more so your lot size will now be 1.0 standard lot ($10 per pip)
so... you stand to win $300
and to lose $500
COULD YOU REALLY LOSE $500 IN ONE DAY AND BE OK WITH IT ???? think about it
how about this
you have $10 Million dollars in your account so 10,000,000
your now trading 100.0 Standard Lots so (ready for this...... $1,000 per pip)
so.. same scenario
you stand to win $30,000
you stand to lose $ 50,000
COULD YOU REALLY LOSE $50 GRAND IN 1 DAY AND BE TOTALLY OK WITH IT
if you can't... don't trade
simple as that
so... get your emotions 100% in check BEFORE YOU TRADE
ok guys that's it
I've done my best to make sure you don't get slaughtered and
MOST OF YOU WILL.. ACCEPT THAT
Good luck and don't be stupid with your money