There are no traders making a living from FX.

Simon Edwards

Corporal
Messages
90
Johnny2pips (why not 200pips??), I suggest you go over to 100Forex Brokers.com and read some rather concise explanations on trading forex.
I have found the articles there extremely useful to me (when I started out on on my forex journey) and I am very sure you will too.

Hang in there and don't give up on forex trading just yet!

Thats a good site for info , my issue is with the reviews and recomendations

For news trading :


Gain Capital Group (Forex.com) 2% (2 votes)

if you try news trading with forex.com you will get incredibly fast execution , with an instant requote, you can bypass this by using a 30 pip margin.....useless

MB Trading 4% (4 votes)
Great broker. the issue is with the speed of execution , i had a 50 second delay while placing a trade at news time.


General.

on fpa and 100forexbrokers.com HotForex.com gets great reviews , looking through the site i notice that they ban the use of FapTurbo.

Fapturbo is one of the few Ea's that can in the right hands , work without cheating. Alarm bells ringing!!!! Why would a broker that makes money on the spread ban a ea that can work ?

I predict seeing them in the traders court pretty soon.
 

Johnny2pips

Sergeant
Messages
178
Johnny2pips (why not 200pips??), I suggest you go over to 100Forex Brokers.com and read some rather concise explanations on trading forex.
I have found the articles there extremely useful to me (when I started out on on my forex journey) and I am very sure you will too.

Hang in there and don't give up on forex trading just yet!
See my other thread. FX Brokers suck big time and all. They are all Ponzi schemes.
I have seen trades NOT made by me on 2 of my brokers. All losses that I with some trouble eventually managed to close.

FX sux.
 

FXCC

FXCC Representative
Messages
22
After months of research, I have not found any trader making a living from FX.
The good traders will sell their system or their signals. Or they will train.
They know that the Brokers will not allow withdrawals exceeding the initial deposit. That is why there are so many "Managed Accounts" and paid "Signals".
This is the only way they can make money as the Brokers will pay the "Manager" the fee every month as long as they keep getting new subscribers.
This seems all a game.


Johnny2pips

If I may, a clarification please.

Withdrawals over and above the initial deposit are of course allowed. If traders couldn't withdraw profits, what's the point of trading?

There is a bit of a misunderstanding regarding deposit and withdrawal procedures. Regulated forex brokers operate under very strict regulations governing amongst other things, money laundering provisions.

Somebody opens an account for example and deposits an amount using a credit card. That deposit is then requested as a withdrawal to a different credit card or to a bank account. This could leave significant scope for money laundering as the destination would be different from the source. Initial deposits have to be withdrawn to the same source used during funding.

Funding from one source and withdrawing to another means funds could potentially be moving from illegal activities into the banking system.

However, if a client wanted to withdraw back to the same credit card used for deposit, a regulated broker is not allowed to send any amount higher than the initial deposit made by that credit card. Alternatively, trading profits made on top of the initial deposit can be withdrawn via wire transfer or Moneybookers for example as agreed between the client and the broker.
 

Johnny2pips

Sergeant
Messages
178
Thanks Fxcc,
However, if a client wanted to withdraw back to the same credit card used for deposit, a regulated broker is not allowed to send any amount higher than the initial deposit made by that credit card. Alternatively, trading profits made on top of the initial deposit can be withdrawn via wire transfer or Moneybookers for example as agreed between the client and the broker.

I did not know this.
 

FXCC

FXCC Representative
Messages
22
Johnny2pips

Offering a reliable platform and services to our well intentioned traders is one half of the equation.

The other half, unfortunately, is preventing abuses of issues like money laundering. It might sound excessive, but believe me, it's a major issue.

Glad I could be of assistance.
 

cjforex

Recruit
Messages
9
Most legit brokers have an institutional arm. The first question isn't your deposit size but your volume. You need somewhere close to a yard in volume before they will put you on an institutional feed. But then, you are trading with the real deal.

All the rest is retail. Good luck with that. I would especially be wary of any broker with "bonuses." Most are selling you your own money. ie. Trade X many lots before you can withdraw your bonus...

There are also some FX traders who make serious money. But they are only making 5-10% per year notionally on very very large accounts, and usually have 8 out of 12 months in profit. I personally know of two. One works for a bank, the other for a fund. They both trade proprietary manually.

There are also several firms with published results using automated systems in the FX space making money. But again, 5-15% per year (depending on the year).

Google "Barclay Hedge" and you can see some of them.

Again, the level of sophistication is at a different level then your average EA retail trader who paid $97 bucks.

Can the average retail trader make money?

Yes. But you're in for a serious education. Six EAs aren't going to cut it. You need more. You need position sizing, money management, portfolio management and more.

Google "Max Dama"

Google "Quantivity"

Google "Diversify to Manage Risk: a Lesson from Medieval Peruvian Farmers"

Don't be discourage, become educated. It's not easy, but it's not rocket science either. I enjoy every bit of it, I hope you do too!

-cjforex-
 

RahmanSL

Major
Messages
2,536
Good info there, cjforex.

Yes, the BIG BOYS most certainly don't trade crazy like a lot of us...eehhh...Traders do : )

5-10% profits per year should be a piece of cake for most of us...eeehhh...Traders, but then, we are not trading millions of dollars at a time; are we? There must be a lot of stresses involved trading such volumes.

Cheers and all the best!
 

FXCC

FXCC Representative
Messages
22
Good info there, cjforex.

Yes, the BIG BOYS most certainly don't trade crazy like a lot of us...eehhh...Traders do : )

5-10% profits per year should be a piece of cake for most of us...eeehhh...Traders, but then, we are not trading millions of dollars at a time; are we? There must be a lot of stresses involved trading such volumes.

Cheers and all the best!
Yes Rahman, there were some good points made.

One thing that stands out is the returns professional, full-time institutional traders make. 5-10% on a big pot is a very respectable neighbourhood to be in, no doubt.

That figure needs to be taken in context though. If a potential investor has a pot of $xxx to invest, the various options open need to be considered.

Some traders might look at the numbers and say "only" 5-10%. I prefer to look at that and say "it's more" than I could have got from putting my money in the bank for example.

cjForex made another good point. Diversify. Any type of speculative investment carries a degree of risk. Spread your investment capital over low, medium and high risk investments for example. Your annual average return might be lower than investors who only stick to high-risk investments, but you'll be in business for a lot longer.

Guarantees? There is only one thing guaranteed in the world of speculative investment. You'll win some and you'll lose some. Win more than you lose and you're in profit.

Nobody ever went bust from "only" making 5-10% return on their investment though
 
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