5 January 2009

Happy New Year everyone.

Special New Year greetings to my 2 followers, Amit Sharma and Marcus Lee. Welcome and New Year greetings to my newest follower, Eshwar.

My first trade for 2009 gave me a profit of $34! My biggest achievement yet! I am excited to share this trade with you below.

Look at the chart below (Chart from my trading platform):


Between 7-9 p.m., my High price was at 1.3698 (T2 line on the chart), my Low price was at 1.3552 (T1 line on the chart).

So here was my plan.

Take profit target was:

1.3698 (T2 line on the chart) - 1.3552 (T1 line on the chart) = 143 pips

Stop loss was also 143 pips.



Look at the chart again (Chart from my trading platform):



Between 1-2 a.m., Price hits my 1.3552 (T1 line on the chart) line. This signaled me to go short.

So I placed my sell order at 1.3552.
Take profit target was 1.3409. (143 pips profit)
Stop Loss target was 1.3698 (143 pips stop loss)

I must confess. I was worried. Stop loss was huge. But I was tired at 2 a.m. I still had work the next day. So I shut off my computer and went to sleep.

Price remained range bound until 12 p.m. the next day. But I stuck to my strategy.

Looking at the chart again (Chart from my trading platform):, you can see price breaking my short signal line at 1.3552 again between 1-2 p.m.


Price continued to fall and hits my take profit target of 1.3409 between 4-5 p.m.

Thus, my profit for the day was;

143 pips - 7 pips (spread) = 136 pips
136 pips x $0.25 = $34

Good start to the new year! I will stop trade for this week and see you guys next Monday!

Reader's e-mails!

I am always excited to receive e-mails from you guys. However, please try to ask questions under the comments section under every post. This will save me the hassle of copy-pasting your questions and others can also learn from your queries. Thank you.
Also, if you have queries on Easy-Forex™ just click on this link: Easy-Forex™ and go to their FAQ section.

Try to restrict your queries to discussing trading strategies on my blog. That is what my blog is for after all. :)

I have had an e-mail from Stan with regards to Forex safety using my forex platform.
Question
"How safe is our money using easy-forex?"

Here is what they say in their FAQ section:

Answer
Literally, the best. Easy-Forex™ treats the issues of data security, privacy, integrity and backup with the utmost attention and care. This is achieved through:

• Ensuring authorized access only, Easy-Forex™ uses two layers of top class firewall: one at the server level and one at the application level.
• For user authentication and data transfer Easy-Forex™ uses an advanced SSL by Verisign
• Separating the application servers (the servers that handle our clients'' online activity) from the transaction information: those are stored on a different data server.
• For data recovery, integrity and replication Easy-Forex™ uses two different server farms, physically located away from each other. Data has to be synchronized in both locations, thus cannot be tampered with. All the information on the servers is stored encrypted.
• The physical security of each server farm is very high. Armed guards are situated 24 hours a day, and access to the premises is strictly forbidden except for authorized personnel.

Another e-mail from a Metatrader user, Kenzie, asked,

" Do you have to leave the computer running when you have excuted a trade? When I place trades on my forexmeta, I have to leave the comp running. at the end of the day whatever profit i make, i have to pay the electrical fees"

Answer:
Well Kenzie, Easy-Forex™ Trading Platform is the only Forex platform that enables users to start trading immediately. With no software download required you may login to your account and trade anytime, from anywhere.

What this means is, once you execute a trade, you can switch off your computer until you want to check on your trades again. Just make sure the "Rollover until..." date is specified to the period to the period you wish to trade.