Profitable strategy for us.

[alex50]

a freind & i have been investing in forex for about 10months thru (fx solutions),this is our strategy & we started with $250. & have turned into $5k..we have been using ( CAD/USD), we open 2 accounts and have the same amount of $ in each account.then we ( buy ) with 1 account & the (sell) with the 2nd account both simultaniously.always investing only 40% $ of whats in each account.. 1 account goes positive making $ & we let it ride to see how high it will go,then we close it..the 2nd account goes negative,then we let it (ride out),wait for it to go back to were we bought both at, at this point the negative account is even & now we buy again with the account we closed 1st, and we repeat the same proccess over & over..so 1 account goes positive & 1 goes negative.u cant loose if u have enough $ in ur account to ride out the negative trend...we have never lost $ on forex using this system,u just have to be pacient..i was woundering does anybody else use this system & what do u think about it?

 

[Enivid]

First, I do not understand why do you need a second account for that? Second, how can that be profitable? That strategy is inferior to any other out there just because it uses twice as much spread and margin.

 

[FarrisFahad]

First, I do not understand why do you need a second account for that? Second, how can that be profitable? That strategy is inferior to any other out there just because it uses twice as much spread and margin.

I agree

 

[GTOptions]

Better to make our own strategy by keeping in mind the latest market trends. Make graphs and charts, which is helpful in preparing strategy.

 

[Rob Taylor]

Double spread, double margin, and rollover charges, make this a very poor strategy that can quickly lose you a lot of money.

 

[PaladinFX]

First, I do not understand why do you need a second account for that?

Probably because they are based in the US and aren't permitted to hedge.

Second, how can that be profitable? That strategy is inferior to any other out there just because it uses twice as much spread and margin.

lol yeah, so ... Thanks for the liquidity!


The really amusing part is the one about 'using only 40% of the account balance on a single trade' ... coz we're serious traders who understand about money management.

I wonder how often that 'system' worked before one account was wiped out by a strong price movement in the wrong direction.
The only smart aspect was using USDCAD, which is rather docile and has a comparatively small daily range of about 100 pips maximum. Try doing this with GBPJPY, GBPUSD or EURUSD.


Cheers,
P.

 

[Agnnis bingamin]

Better to make our own strategy by keeping in mind the latest market trends. Make graphs and charts, which is helpful in preparing strategy.

Agree with this, better to analyze well and update well with all news and aspects that have an impact on trading.

 

[John_Davy]

I know. "HOW? is your first question! Right? Well, it's really a simple answer. I scale GOLD. And here's the HOW I did what I did/do.

I use Forex Auto-Scaler. I have the internals set to 6 additional trades with 3 pip separation @ 1.0 lot each. My opening MT4 order is set to 0.01 lots. The big question here is WHY? If price moves away from the trade, I lose less than $1USD by closing out. If it moves my direction, I'm good.

After price breaks clear of the generated order field, I ramp up the MT4 order form price to 2.0 lots and start dropping orders in it's path. I may have 15-20 orders running before there's a retrace. When price retraces OVER my last order, I use a script to "close all open orders."

Then, I "rinse, repeat." I follow this outline over and over, using the NY session only. I've made $5K in 8 minutes several times this way.

GOLD is volatile! I'd suggest you practice this on Demo first and take the time to watch price action for several days. You'll figure it out. Trade small and often and you'll learn quickly. I put a month into learning and testing this idea before I exposed it to real money and it's proven itself greatly.

Now that I know it works, I'm happy to share it with you.

I'd like to share this one, keep the ideas running!

thanks,
John