Apologies to William Shakespeare for adulterating his famous line from, As you like it,when the mournful Jacques utters these famous words, “all the world’s a stage and all the men and women merely players; They have their exits and their entrances, And one man in his time plays many parts, His acts being seven ages’.…
Apologies to William Shakespeare for adulterating his famous line from, As you like it,when the mournful Jacques utters these famous words, “all the world’s a stage and all the men and women merely players; They have their exits and their entrances, And one man in his time plays many parts, His acts being seven ages’. I was thinking this week about the different stages of FX growth. I remembered back to when I first entered the world of FX and I wanted to give a brief outline of the different stages of a trader drawing on my own experience. Very few people talk about their development as a trader, and yet everyone has to learn.Starting from the ‘birth’ of a trader through to ‘adulthood’ and beyond this two part series will elaborate the five stages of growth I have identified for an aspiring FX trader. Let’s start with the birth stage. It’s rarely pretty…
Birth : The horrible world of the rookie
Being an FX rookie anywhere is hard. Being a retail FX rookie is nearly impossible. Certainly breaking through the stage is. Approximately 90% of retail FX traders give up. You enter the world of FX keen and enthused. You may have seen a video, demoed a MT4 platform or known a friend who ‘made a lot trading’ and you decide to take the plunge. You can do this, you say. For me, back around 2002-03, I was working for a charity for the time and my wages were very low. In fact at the charity we worked at we were grateful that we received any wages. Prior to my joining, a salary was not a standard thing each month. Hard to believe, perhaps, but true! Well, one day our charity had a conferences and one of the conference speakers was a pensions adviser. I had a wife and thought ‘ok, I had better sort out a pension’. So, off I went to the advisor’s seminar.
However there was a problem! The advisor was recommending that I saved what to me was a ridiculously high amount of money. So, being a creative thinker, I thought there must be a way of doing this more efficiently. Then it occurred to me. So, I said to the advisor, ‘If I save my money in GBP’s but exchange it into USD’s when the exchange rate is in my favour and then do the opposite when the exchange rate changes again, I can make my pot grow faster’. It was what the pensions adviser said to me next that led me to FX. He just said, ‘then you will be doing what I am doing’.
You quickly realise when you are learning FX that you have a lot to learn. FX robots, Technicals or Fundamentals, google is awash with trading gurus ! There are so many ways to go wrong. That is not to mention the internet forums. They are full of people who are frankly quite odd. You would have some so called ‘expert’ hammering a guy for being an ‘idiot’ and a ‘trading loser’. Then huge ego-driven arguments. Not an easy learning environment. So, if you are there right now at this place, what should you do?
What to do as a rookie
Focus on learning the basics. Check out a good site like babypips.com. Work through it. Trading takes time. The jargon, the concepts. You don’t need to know it all, of course, but put time in to learn. Don’t get a FX mentor at this stage, spend time learning the basics on your own.
Realise that you need to use fundamentals to decide your instrument to trade and then technicals to time your entry and exits. Work on understanding what that last sentence means.
Toddler: Finding your feet
You are now trading and getting mixed results. You have worked out that some news events have a big impact on price and you are ready for it. You know about key support and resistance levels and you can see that some places are technically great for entries. You may have backtested a system or a dozen and you are confident and ready.You are not a beginner anymore, but you have gaps in your knowledge. You may not understand the role of the bond and equity market in FX and options and central bank language is still a but of a mystery. You know what a ‘spike in cable’ means, but you don’t understand what is moving the currency pairs.
When I was learning to trade at this stage I discovered the beauty of a ‘sell on stop’ in combination with a market maker broker. It was a beautiful time. The market maker brokers I was with got caught with their trousers down when I’d sell on stop out of a big market event. Because the market maker has an artificial market the fills I got tended to be quite good (this will depend on different brokers obviously). They honouedr the trade on the hope that next time I would mess it up, over leverage and hand all my money over to them. However, what bugged me during this time was yes, I was making money, but I didn’t know why or which direction the market was going in. I had constant insecurity in my mind. It was horrible as I only understood the technicals of trading. This stage ended for me when I got an e-mail closing my account I only worked out many months later why they had shut my account because I was exposing their market making model.This made me assess where I was at and decide that I wanted to not just trade the markets, but have an understanding of them. If you are here, wanting to understand the markets and why it moves then here is what you need to do:
What to do
Get a mentor. Pay for training from a professional. You will save years of frustration. I mean imagine trying to learn any skill without guidance.Yes, you can do it, but it doesn’t mean you should do it. Only the most persistent and able will persevere through the incredible frustration in self teaching a profession
What to avoid
Do not use high leverage at this stage. There is a phase that gets bandied around that ‘90% of new traders lose 90% of their capital in the first 90 days’. I personally recommend that during this stage you do two things:
Don’t use leverage. If you have invested 1000 units of currency only trade 0.01 micro lot. This is trading without leverage. If you leverage up, lose your account then you will create mental barriers to your success further down the line. Trust me and follow this advice.
If and when you lose 10% of your account, stop trading, Something is wrong and you need to re-evaluate. Demo trade until profitable and then get back on the bike.
By following this advice you will almost certainly learn to trade before blowing out your account. You will also avoid losing a painful amount of money that you most probably need. Oh, and by the way, learn to trade with as little money as possible. You may very well lose it at first, so whatever you do don’t invest a lot. Finally, if you do lose a lot. Don’t worry. You can rebuild and re-start. Just don’t do it twice.
The next article will be on the ‘Adolescent and Adult ‘stage of trading. I hope that this has helped some people out there and please share it around to anyone you think might benefit from it. Remember trading takes a long time to learn, despite what you may have been told. However, most of the ability to succeed just comes from not quitting, so it is a skill that you can master.
EOS is a cryptocurrency that was introduced in 2017 and is based on blockchain and smart contracts. Its key features are scalability, decentralized apps, and huge throughput (a few million transaction per second).
This is another step towards developing our crypto portfolio.
Our clients do value the flexibility and state of the art technologies we offer them As for us, our mission is meeting their expectations and constantly improving the trading conditions by opening the door to new instruments and opportunities.
says Denis Golomedov, ;Marketing Director at RoboForex.
Roboforex and Cryptocurrency
This Broker has been on the forefront of crypto trading on the Metatrader 4 and Metatrader trading platforms from the beginning and pushing for more and more trad-able assets to be added to their offering .
it took this broker a little bit of time but now that they got them selves into the cryptocurrency trading arena they come to lead the pack. this in combination with their the trading platforms they are offering makes this a broker to take notice of.
as yet there are not enough brokers that offer metatrader 5 and especially one where you are able to trade bitcoin ethereum, litecoin and now also EOS.
RoboForex is a brokerage company catering to clients from various countries. The broker’s focus is providing the traders with access to its own financial market platforms.
RoboForex Ltd is a licensed company (License No. IFSC/60/271/TS/17).
Indicted: Local bitcoin Trader Jailed for Money Laundering
Local Bitcoin trader, Theresa Lynn Tetley, also widely known as Bitcoin Maven has been indicted for indulging in illegal bitcoin-for-cash transactions. According to the Central District of California, the LocalBitcoins.com trader has been sentenced to 12 months in prison.
She has also been handed a three-year supervised release and a $20,000 fine. A former real estate investor and stockbroker, the court ordered her to relinquish $292,264.00 in cash, 25 assorted gold bars, and 40 bitcoin.
money launderingTetley pled guilty to one count of operating an unlicensed money exchange business, and another related to money laundering. Her case is the first of its kind in the Central District of California.
Tetley was procedurally supposed to register her business with the Financial Crimes Enforcement Network, an agency of the United States Department of the Treasury.
The agency is responsible for analyzing transactions to curb money laundering and related financial crimes. She also failed to implement standard anti-money laundering protocol, including reporting of certain financial sources as per the requirements of this type of business.
Tetley is said to have traded over $6 million for clients within the United States and charged higher rates as compared to other traders within the LocalBitcoins platform.
Also noted in the court documents was that Theresa Lynn laundered bitcoin for a customer who had been suspected of having acquired the cryptocurrency through illegal activities, including drug sales on the dark web.
She also carried out a bitcoin to cash transaction for an undercover agent who had explicitly declared that his bitcoin was tied to narco-trafficking operations.
According to the report, Tetley’s service was responsible for fueling the growing use of cryptocurrencies to launder money and supported a black market system set up purposely to circumvent the law.
The organizations involved in her investigation included the IRS Criminal Investigation and the Drug Enforcement Administration.
Just One of Many
That said, the government has been committing significant resources to counter the crypto – dark web menace, and earlier this month, a major sting operation was carried out against a major money laundering network. Thirty-five suspects were arrested.
One individual, identified as John Edward Monette, was charged with Conspiracy to Distribute a Controlled Substance. He was also alleged to have carried out numerous bitcoin for cash exchange transactions on the dark web, most of them in 2017 and totaling about $19,000.
Another dark web vendor busted during the operation, Ryan Farace, 34 was indicted for being involved in an alprazolam tablets manufacture and distribution scheme.
He sold the drugs on the dark web, with all transactions being made in bitcoin. Additional digital currency money laundering transactions were made to conceal the sources.
Blockchain tech – so revolutionary in nature that some are calling it the “new internet.” It has applications in just about every industry, and has completely altered the way we think about internet security, the processing of information, and the speed of transactions.
Blockchain is the technology that supports the digital currency or cryptocurrency called Bitcoin –
however this is not what it is really about as it has a far wider scope of applications and is being commercialized in a growing number of areas.
It has generated much interest in technology circles and beyond, because of the new possibilities it opens up in financial services, the public sector and other areas.
According to sites like BitFortune.net, blockchain tech is definitely worth keeping an eye on due to the myriad of benefits it provides.
Blockchain and Bitcoin are not the same thing – Bitcoin is implemented using blockchain technology, but blockchain technology can be used in contexts much wider than Bitcoin or other cryptocurrencies. so when we are talking about the blockchain we are talking about a combination of a number of technologies, these including:
The blockchain data structure.
Public key cryptography.
Part of what makes it so exciting is that it is completely open source. As a result, there are already a number of interesting blockchain apps, and the number is growing daily.
The technology is so secure that it is already being used by DARPA to secure military data. Various governments around the world are working on ways to use the tech to protect their own data.
The tech is tamper-proof, and the data stored within it is permanent. It cannot be erased or altered, and this is what makes it so enticing to those needing more secure networks.
But there is more, folks. (Okay, so that sounds a bit like an infomercial, but the benefits are real nonetheless.) Transactions can speed across the network – taking only as much time as it takes for them to be authorized.
The blockchain cannot be described just as a revolution. It is a tsunami-like phenomenon, slowly advancing and gradually enveloping everything along its way by the force of its progression.
The system runs without the need for an intermediary, and this reduces the time it takes to execute transactions. This, and the unique way that the tech works, means that costs are significantly reduced as well.
What makes it so revolutionary is that the information is spread across every computer within the network. With Bitcoin, that means the data is securely “backed up” over thousands of computers.
Now, it is unlikely that banks will entrust their data to a public network in the same way, but they have been working on creating networks of their own instead.
The potential savings in terms of cost and time are extensive. If you want to learn more about these savings, check out the infographic below.
Why You Need to Get Onboard With Blockchain!
Why You Need to Get Onboard With Blockchain!
Visit bitfortune.net . for more interesting Infographics