My Trade with Murray: 09/01/2008

26 September, 2008

LEVEL GBP/USD 26 SEPTEMBER 2008

GBP/USD

GBP/USD
Buy Stop 1.8440 TP 1.8470 SL 1.8410
Sell Stop 1.8300 TP 1.8270 SL 1.8330

LEVEL USD/JPY 26 SEPTEMBER 2008

USD/JPY

USD/JPY
Buy Stop 106.70 TP 107.00 SL 106.40
Sell Stop 106.20 TP 105.90 SL 106.50

LEVEL EUR/USD 26 SEPTEMBER 2008

EUR/USD

EUR/USD
Buy Stop 1.4660 TP 1.4690 SL 1.4630
Sell Stop 1.4580 TP 1.4550 SL 1.4610

LEVEL USD/CHF 26 SEPTEMBER 2008

USD/CHF

USD/CHF
Buy Stop 1.0930 TP 1.0960 SL 1.0900
Sell Stop 1.0850 TP 1.0820 SL 1.0880

LEVEL GBP/JPY 26 SEPTEMBER 2008

GBP/JPY

GBP/JPY
Buy Stop 196.20 TP 196.70 SL 195.70
Sell Stop 195.00 TP 194.50 SL 195.50

Money management strategy

Your risk per a trade should never exceed 3% per trade. It's better to adjust your risk to 1% or 2%
We prefer a risk of 1% but if you are confident in your trading system then you can lever your risk up to 3%

1% risk of a 100,000$ account = 1,000$

You should adjust your stop loss so that you never lose more than 1,000$ per a single trade.

If you are a short term trader and you place your stop loss 50 pips below/above your entry point .
50 pips = 1,000$
1 pips = 20$

The size of your trade should be adjusted so that you risk 20$/pip. With 20:1 leverage,your trade size will be 200,000$

If the trade is stopped, you will lose 1,000$ which is 1% of your balance.

This trade will require 10,000$ = 10% of your balance.

If you are a long term trader and you place your stop loss 200 pips below/above your entry point.
200 pips = 1,000$
1 pip = 5$

The size of your trade should be adjusted so that you risk 5$/pip. With 20:1 leverage, your trade size will be 50,000$

If the trade is stopped, you will lose 1,000$ which is 1% of your balance.

This trade will require 2,500$ = 2.5% of your balance.

This's just an example. Your trading balance and leverage provided by your broker may differ from this formula. The most important is to stick to the 1% risk rule. Never risk too much in one trade. It's a fatal mistake when a trader lose 2 or 3 trades in a row, then he will be confident that his next trade will be winning and he may add more money to this trade. This's how you can blow up your account in a short time! A disciplined trader should never let his emotions and greed control his decisions.

24 September, 2008

LEVEL GBP/USD 24 SEPTEMBER 2008

GBP/USD

GBP/USD
Buy Stop 1.8560 TP 1.8590 SL 1.8530
Sell Stop 1.8420 TP 1.8390 SL 1.8450

LEVEL USD/JPY 24 SEPTEMBER 2008

USD/JPY

USD/JPY
Buy Stop 106.30 TP 106.60 SL 106.00
Sell Stop 105.40 TP 105.10 SL 105.70

LEVEL EUR/USD 24 SEPTEMBER 2008

EUR/USD

EUR/USD
Buy Stop 1.4780 TP 1.4810 SL 1.4740
Sell Stop 1.4640 TP 1.4610 SL 1.4670

LEVEL USD/CHF 24 SEPTEMBER 2008

USD/CHF

USD/CHF
Buy Stop 1.0880 TP 1.0910 SL 1.0850
Sell Stop 1.0790 TP 1.0760 SL 1.0820

LEVEL GBP/JPY 24 SEPTEMBER 2008

GBP/JPY

GBP/JPY
Buy Stop 197.00 TP 197.50 SL 196.50
Sell Stop 195.00 TP 194.50 SL 195.50

22 September, 2008

LEVEL GBP/USD 22 SEPTEMBER 2008

GBP/USD

GBP/USD
Buy Stop 1.8380 TP 1.8410 SL 1.8350
Sell Stop 1.8290 TP 1.8260 SL 1.8320

LEVEL USD/JPY 22 SEPTEMBER 2008

USD/JPY

USD/JPY
Sell Stop 106.20 TP 105.90 SL 106.50
Buy Stop 107.20 TP 107.50 SL 106.90

LEVEL EUR/USD 22 SEPTEMBER 2008

EUR/USD

EUR/USD
Buy Stop 1.4540 TP 1.4570 SL 1.4510
Sell Stop 1.4450 TP 1.4420 SL 1.4480

LEVEL USD/CHF 22 SEPTEMBER 2008

USD/CHF

USD/CHF
Buy Stop 1.1060 TP 1.1090 SL 1.1030
Sell Stop 1.0980 TP 1.0950 SL 1.1010

LEVEL GBP/JPY 22 SEPTEMBER 2008

GBP/JPY

GBP/JPY
Buy Stop 197.00 TP 197.50 SL 196.50
Sell Stop 195.00 TP 194.50 SL 195.50

16 September, 2008

Stop-loss Discipline

As you can see from the description above, there are significant opportunities and risks in foreign exchange markets. Aggressive traders might experience profit/loss swings of 20-30% daily. This calls for strict stop-loss policies in positions that are moving against you.

Fortunately, there are no daily limits on foreign exchange trading and no restrictions on trading hours other than the weekend. This means that there will nearly always be an opportunity to react to moves in the main currency markets and a low risk of getting caught without the opportunity of getting out. Of course, the market can move very fast and a stop-loss order is by no means a guarantee of getting out at the desired level.

LEVEL GBP/USD 16 SEPTEMBER 2008

GBP/USD

GBP/USD
Buy Stop 1.8080 TP 1.8110 SL 1.8050
Sell Stop 1.7930 TP 1.7900 SL 1.7960

LEVEL USD/JPY 16 SEPTEMBER 2008

USD/JPY

USD/JPY
Buy Stop 104.80 TP 105.10 SL 104.50
Sell Stop 103.80 TP 103.50 SL 104.10

LEVEL EUR/USD 16 SEPTEMBER 2008

EUR/USD

EUR/USD
Buy Stop 1.4290 TP 1.4320 SL 1.4260
Sell Stop 1.4210 TP 1.4180 SL 1.4240

LEVEL USD/CHF 16 SEPTEMBER 2008

USD/CHF

USD/CHF
Buy Stop 1.1180 TP 1.1210 SL 1.1150
Sell Stop 1.1100 TP 1.1070 SL 1.1130

LEVEL GBP/JPY 16 SEPTEMBER 2008

GBP/JPY

GBP/JPY
Buy Stop 189.20 TP 189.70 SL 188.70
Sell Stop 187.50 TP 187.00 SL 188.00

15 September, 2008

LEVEL GBP/USD 15 SEPTEMBER 2008

GBP/USD

GBP/USD
Sell Stop 1.7930 TP 1.7900 SL 1.7960
Buy Stop 1.8070 TP 1.8100 SL 1.8040

LEVEL USD/JPY 15 SEPTEMBER 2008

USD/JPY

USD/JPY
Buy Stop 107.10 TP 107.40 SL 106.80
Sell Stop 106.50 TP 106.20 SL 106.80

LEVEL EUR/USD 15 SEPTEMBER 2008

EUR/USD

EUR/USD
Buy Stop 1.4350 TP 1.4380 SL 1.4320
Sell Stop 1.4270 TP 1.4240 SL 1.4300

LEVEL USD/CHF 15 SEPTEMBER 2008

USD/CHF

USD/CHF
Buy Stop 1.1240 TP 1.1270 SL 1.1210
Sell Stop 1.1160 TP 1.1130 SL 1.1190

LEVEL GBP/JPY 15 SEPTEMBER 2008

GBP/JPY

GBP/JPY
Buy Stop 192.30 TP 192.80 SL 191.80
Sell Stop 190.50 TP 190.00 SL 191.00

12 September, 2008

Margin Trading

Foreign exchange is normally traded on margin. A relatively small deposit can control much larger positions in the market. This means that in order to trade one million dollars, you need to place just USD 10,000 by way of security.

In other words, you will have obtained a gearing of up to 100 times. This means that a change of, say 2%, in the underlying value of your trade will result in a 200% profit or loss on your deposit. See below for specific examples. As you can see, this calls for a very disciplined approach to trading as both profit opportunities and potential risks are very large indeed. Please refer to our page Forex Rates & Conditions for current Spreads, Margins and Conditions.

LEVEL GBP/USD 12 SEPTEMBER 2008

GBP/USD

GBP/USD
Buy Stop 1.7650 TP 1.7680 SL 1.7620
Sell Stop 1.7570 TP 1.7540 SL 1.7600

LEVEL USD/JPY 12 SEPTEMBER 2008

USD/JPY

USD/JPY
Buy Stop 107.50 TP 107.80 SL 107.20
Sell Stop 106.90 TP 106.60 SL 107.20

LEVEL EUR/USD 12 SEPTEMBER 2008

EUR/USD

EUR/USD
Buy Stop 1.4050 TP 1.4080 SL 1.4020
Sell Stop 1.3970 TP 1.3940 SL 1.4000

LEVEL USD/CHF 12 SEPTEMBER 2008

USD/CHF

USD/CHF
Sell Stop 1.1340 TP 1.1310 SL 1.1370
Buy Stop 1.1420 TP 1.1450 SL 1.1390

LEVEL GBP/JPY 12 SEPTEMBER 2008

GBP/JPY

GBP/JPY
Buy Stop 189.20 TP 189.70 SL 188.70
Sell Stop 187.40 TP 186.90 SL 187.90

11 September, 2008

LEVEL GBP/USD 11 SEPTEMBER 2008

GBP/USD

GBP/USD
Buy Stop 1.7530 TP 1.7560 Sl 1.7500
Sell Stop 1.7450 TP 1.7420 SL 1.7480

LEVEL USD/JPY 11 SEPTEMBER 2008

USD/JPY

USD/JPY
Buy Stop 108.00 TP 108.30 SL 107.30
Sell Stop 107.30 TP 107.00 SL 107.60

LEVEL EUR/USD 11 SEPTEMBER 2008

EUR/USD

EUR/USD
Buy Stop 1.3990 TP 1.4020 SL 1.3960
Sell Stop 1.3900 TP 1.3870 SL 1.3930

LEVEL USD/CHF 11 SEPTEMBER 2008

USD/CHF

USD/CHF
Sell Stop 1.1340 TP 1.1310 SL 1.1370
Buy Stop 1.1420 TP 1.1450 SL 1.1390

LEVEL GBP/JPY 11 SEPTEMBER 2008

GBP/JPY

GBP/JPY
Sell Stop 187.40 TP 186.90 SL 187.90
Buy Stop 189.20 TP 189.70 SL 188.70

10 September, 2008

LEVEL GBP/USD 10 SEPTEMBER 2008

GBP/USD

GBP/USD
Sell Stop 1.7550 TP 1.7520 SL 1.7580
Buy Stop 1.7650 TP 1.7680 SL 1.7620

LEVEL USD/JPY 10 SEPTEMBER 2008

USD/JPY

USD/JPY
Buy Stop 107.10 TP 107.40 SL 106.80
Sell Stop 106.50 TP 106.20 SL 106.80

LEVEL EUR/USD 10 SEPTEMBER 2008

EUR/USD

EUR/USD
Buy Stop 1.4170 TP 1.4200 SL 1.4140
Sell Stop 1.4090 TP 1.4060 SL 1.4120

LEVEL USD/CHF 10 SEPTEMBER 2008

USD/CHF

USD/CHF
Buy Stop 1.1300 TP 1.1330 SL 1.1270
Sell Stop 1.1220 TP 1.1190 SL 1.1250

LEVEL GBP/JPY 10 SEPTEMBER 2008

GBP/JPY

Sell Stop 187.50 TP 187.00 SL 188.00
Buy Stop 189.20 TP 189.70 SL 188.20

09 September, 2008

Trading Tips to Supercharge Your Profit Potential

1. Leverage Stops and Risk

Most traders get 200:1 leverage from their broker and want to use it but this is a huge mistake - a trader should use leverage wisely and 10 20: 1, is enough. This allows you to risk more to your stop and this is vital to success.

Most traders put stops so close they are guaranteed to get stopped out by normal volatility. They get the direction right, see their stop hit and then see prices reverse back the other way and make thousands and their not in!

If you want to win, your stop must be far enough back so you don't get hit by random price moves in the trend. This isn't being rash this is sensible investment strategy

2. Risk More Per Trade

In line with the above forget all the rubbish you read about risking 2% per trade.

On a small account its so little risk it guarantees you will get stopped out.

Sure if you have 100k you can do this - but not on a small account.

Many traders try to restrict and control risk so much they create it and lose. To make meaningful gains, you need to risk 10 - 20% on a small account.

3. Learn Patience

Most traders think the more they trade the more profits they are going to pile up - dead wrong.

You don't get rewarded for your trading frequency; you get rewarded for being right!

The high odds trades only come around a few times a month in each currency - hit these and hit them hard.

Hitting the high odds trades and hitting them hard can make you a lot of money. I know lots of forex traders, who only trade a few times a month and still pile up big triple digit annual gains, because they are hitting good risk to reward trades and hitting them hard.

4. Forget Diversification

OK on a 100k account there is an argument for doing it but not on a small account.

If you have a great trade, why potentially dilute its profit potential by taking trades for the sake of trading? It doesn't make sense and will dilute your potential profits.

Hit the high odds trade you like and focus on it. (www.articlesbase.com)