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Discussion in 'Beginners Bootcamp' started by keith miller, Mar 2, 2010.

  1. keith miller

    keith miller Recruit

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    :Dhello everyone looking foward to great advice from all. I currently have deposited money with fxcm but review say a little slow etc. i was wondering should i move the money to a different platform. I am going to do micro accounts until I feel more comfortable I have learned more and have a better understanding of the forex world thanks keith
     
  2. funnelweb

    funnelweb Recruit

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    funnelweb

    Hello,
    Ihave been trying to trade the news signals that you guys have been sending me without much success. I am finding they dont retrace as described, which just leaves me watching as they keep travelling along with out me. or is it that i am just on the wrong time frame i have tried both the 15 minute and the 5 minute. I have contemplated straddleing but also not quite sure how to set this up for a favorable result. thankyou Any help is really appreciated
     
  3. Ricex

    Ricex Sergeant

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    That's good thinking Keith, a FXCM micro account is a pretty safe place to put your money.

    You need to be on a 1min chart, remember news trading is basically scalping but with a precise timing start point.

    Straddling the price is risky and should really only be used in situations where you are unlikely to have a lot of 2 way volatility before the release, you would need to study the history of the event to see recent reactions before deciding. Add in the effects of slippage and your magnifying your risk considerably. The recent Australian interest rate change is a good example of how you could get caught out, a very whipsaw movement that could have opened both positions and closed both positions with a loss.

    News trading takes practice, experience and normally some news trading software to be successful in the long term.

    Hope this helps.
     
  4. West Coast Pips

    West Coast Pips Sergeant

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    FXCM and more info for new traders

    I always remember getting into forex about 6 years ago. I have a medical background and never thought I would get involved in the financial sector. I stumbled across forex one day by going to a trade show and learning a little bit about it.

    I then invested a lot of time and effort in forex: going to courses, seminars, having home study kits and more. You do need to spend some money upfront to get started.

    When Refco (Canada) was still around I funded an account with them, $300. This was a good month after I had sprung in to forex. I made my first trade with 1 mini lot and was so nervous! (I now trade anywhere from 10 - 50 standard lots at any one time). It is imperative as a new trader to have a sound risk management strategy in place before you make ANY trade. Basically you need to risk a small amount of your balance when making trades. You do not want to dive in risking your entire capital. Keep things on the small scale at first. Get used to making money AND losing it. It WILL happen whether you are a new or established trader.

    As I got more stuck in trading and learning about forex I adopted my own style. Everyone is different, whether you are technical trader or fundamental one. You need to get your feet wet though and just experience forex on a daily basis, whether you make trades or not. Learn about the economies of different companies. I read these websites every day: FXTimes – Forex News, Commentaries, Technical Anaylsis, Education, Live Events, and more![/media] , DailyFX - Currency Trading News, Forex Trading News, FX News, Forex News[/media].

    One thing I will say to new traders is be very careful who you give your money to. In January 2010 I was the victim of a terrible scam broker and lost a huge chunk of my life savings. Study this pdf document: http://www.cftc.gov/ucm/groups/public/@financialdataforfcms/documents/file/fcmdata1209.pdf. It shows you the capital of many forex brokers. Some time ago the NFA clapped down on those brokers having small net worth and stated those with less than their required net minimum will be closed down. Make sure you sign up with a broker that is well regulated, be it the NFA, CFTC, FSA, CYSEC, etc.

    You really need to ask brokers a lot of questions before you give them your money. Ask about leverage (i.e. 400-1 or 100:1, the higher the leverage, the more money you can make OR lose). In addition ask about spreads, if they are fixed or variable, what the deposit process is, how to make withdrawals, why your funds will be safe with the broker. When I hear of a broker that is regulated by a good governmental body (like FSA) and has your funds 'segregated' it is good news. In the event such a broker would go bust, your funds are protected.

    I have literally gone through over 20 different brokers. I have been somewhat lucky to only have deposited funds to one scam broker. This scam broker stated many good things on their website and I got very good communications from them initially. Then when I started to make a lot of money they manipulated my account and I lost a massive amount of money. So once again, make as sure as you can be that the broker you sign up with is a good one. Ask the appropriate questions.

    My current broker is FXCM. I actually am a gold client with them and get preferential treatment because of my account size and trading amounts. FXCM are a huge broker and your money is very safe with them. I have heard about their micro account. I would suggest you stick with that for now until you get comfortable with their platform and trading in general. I would go with FXCM UK as their margin requirements are much better than FXCM US. Your funds are also segregated with FXCM UK. In addition there is the possibility that FXCM US may be forced to lower their leverage in a big way to 10:1 if the CFTC proposes the new change. That will mean you can trade much less micro/mini/standard lots.

    FXCM do have very good service and their platform is very stable. Stick with them for now. If you have any questions, shoot me another reply!

    All the best.
     
    #4 West Coast Pips, Mar 4, 2010
    Lasted edited by : Aug 15, 2015
  5. keith miller

    keith miller Recruit

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    thanks

    hello west coast,
    I thank you for the info but how as a us resident do I use the fxcm uk trading account and where do you feel is the best advice for news events that move the market. km
     
  6. West Coast Pips

    West Coast Pips Sergeant

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    FXCM UK & News Trading

    Hi Keith

    You will need to open FXCM UK's website: Forex | currency trading | forex trading | forex broker. Then to open an account with them go to this page: Open a Forex Trading Account | FXCM Currency Trading Account. I live in Canada so not sure if there are any different rules to opening an account with FXCM UK if you are a US resident.

    As far as news trading goes you really just have to expose yourself. I knew nothing at all about forex and more so news trading many years ago. I simply got a demo account with the myriad of Metatrader (MT4) type brokers out there. To give you a an example of a big broker/Metatrader type platform go to this website: Interbank FX: Forex Trading Software, Currency Trading Online, Forex Broker. Then to open a demo account with them go here: Forex software for Forex trading. Free currency trading software system. - Interbank FX.

    What I did years ago is look at price action on MT4 platforms when news came out. I studied how the market reacts to different news releases. There are many out there. Have a good look at these websites: Forex Calendar @ Forex Factory, DailyFX - Currency Trading News, Forex Trading News, FX News, Forex News, Forex Trading Calendar | Currency Events Calendar. You cannot simply dive in with a live account and start news trading. You really need to familiarize yourself with the different reports and get to know which ones are worth trading. I would suggest you sign up with Secret News Weapon: FastEconomicNews.com. They will give you trigger suggestions for the main reports and you will learn effectively how the market moves when specific news releases come out.

    Hope this helps!

    hello west coast,
    I thank you for the info but how as a us resident do I use the fxcm uk trading account and where do you feel is the best advice for news events that move the market. km
     

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