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    Awesome. Btw, what trading platform do you use?
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    Forex-FXCM
    Equities-Scottrade
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    (Original post by mahras)
    Dollar should go down and as the prices of oil and gold are denominated in dollars it will go up also.
    :confused: hows that then dolar goes down and gold and oil go up?
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    When dollar goes down what happens is that oil and gold costs more. My dollar going down it means you can get more dollars vs. say the euro. So as the cost is denominated in a set principia of dollars the direct correlation exists. For example, Yesterday dollar lost 1.5% value against the euro so today crude oil reached 51 dollars a barrel here in the NYMEX. Gold stocks (view NEM and CDE) gained because of the dollar fall.

    This article was posted on a forex forum ones and is one i keep for reference as it is possibly one of the best writings I have personally ever come across:
    ------------------------------------------------------------------
    "Regarding Iris’ ocean waves and Time the Trend theory.
    What is so hard to understand?
    Throw a rock in a pond and a wave will come to the shore. Each wave had fractal waves of different timeframes within them. They and the big primary one will get there in a predictable time. Sometimes another rock is unexpectedly thrown in and sends a wave in the opposite direction. If it is bigger it becomes dominant and changes the direction and speed. Sometime they are cancelled out and then one has to wait for another rock to be thrown in, and who can predict which direction it will go. One has to be watching for the rocks. Markets are interdependent and each one does not function on its own. E.g. If Interest fall then stocks up, if US$ fall then interest up, if inflation up then interest up, if GNP down then interest down, if Ger Bund down then interest down, if p/cap spend up then inventories down, if unemployment fall then p/cap spending up, if inventories down then production up, if production up then GNP up, if Fed Money Supply is added then interest falls etc and vise versa. Each of these are rocks, each making waves. How to look for the waves: e.g. News Flash: "Unemployment Rises"; = p/cap spending falls, =inventories rise, = production falls, = GNP falls, = interest falls, = stocks rise. What is missing from the nonexistent perfect computer equation is Iris’ Time Delay i.e. each sequence (and there are many permutations of the variables) has a reaction time, and each reaction is two swings of the pendulum. So, the “Time Trend” of Iris is actually the completion criterion; so, at the end of the above hypo should be added e.g. “over the next 3 months” to complete the thought process. Single waves are not realistic in reality – events are often multiple and 2 or more significant rocks may cause conflicting waves in time (look at the BoJ pitching in huge bundles of cash to keep the JPY moving almost permanently in a sideways motion – you want to trade it and not get whipped to death, you have to have insider information as to when they throw in the wheelbarrows of Yen into the perpetual bottomless Yen pit of hell!). Back to reality: Factor in actual statistics versus market (experts!) expectations, cumulative differences of these results over the last few time frames (Boy were they ever and always permanently wrong!), and over longer time frames (everyone is a Guru that eventually makes excuses for their ignorance and incompetence – do they ever give back any money?), and throw in the longer time frame mean values (Governments are always revising, but the damage they caused is long gone, and all you can do is average out the mess made by the Economists (world wide) – did you ever actually see an economist really trade a market with their own money instead of hiding in the basements of banks or lecture halls of Universities and theorizing?).
    Finally interwoven, is the Inter-market technical analysis: Bonds and its inverse ratio to stocks, dollar follows interest rates (T Bills) but only after a period of time, falling dollar is bearish for bonds but also only after a while, gold usually does best in an inflationary environment and during a bear market in stocks. E.g. rising interest rates = dollar up, gold peaks, CRB Index peaks, Interest rates peak, bonds bottom, falling interest rates, dollar lower, gold bottoms, CRB Index bottoms, Interest rates up, bonds peak, stocks peak, rising interest rates pull dollar higher. All the markets (National and International) are tied together. Computers (the Holy Grail Machines (sic!)) cannot read the causes of the waves (see Iris’ prior post regarding the Ultimate Oscillator – the Human Brain) – computers can only read the effects of a wave, after they occur – therefore the myth of Program Trading, and the myth of Trading Strategies and the fallible Black Boxes. The key is inflation and the role of the business cycle (often quoted as 4 years). Every major downturn in the stock market has almost always coincided with a major downturn in the bond market. Bonds have bottomed an average of 4 months prior to the bottom of the stock market in times of recession. Stocks begin to turn down at least 6 months prior to the onset of recession and begin to turn up at least 6 months prior to the end of recession. A rising dollar is bullish for bonds and stocks, and opposite is true, but is not that simple, and there is a significant Time and Trend delay – the impact is not direct, but indirectly related to the effect on the dollar of commodities, and the dollar’s impact on inflation. Clearly, the EUR is impacted by the dollar - therefore what in reality impacts the EUR? A falling Bond market is almost always bearish for equities, but the opposite is not necessarily true, because deteriorating corporate earnings during an economic slowdown may overshadow the bullish effect of a rising Bond market and falling interest rates (as now, for e.g.) – but a bull market in stocks can almost never occur without a rising bond market. Therefore to see it all, “Time is the Trend”, and as Iris said, one must look at the Monthly, Weekly and Daily charts to see the waves “and the nature of things” (Tao Te Ching – Lao-tse). If M, W, D do not agree, someone has thrown another rock. So, trading inside the daily timeframes, without “Time the Trend”, is a roller-coaster ride. Sure there are waves up and down on the ride, but you are moving so fast that you cannot see the scenery, and you cannot hope to know when you are going up or down. All you can do is hang on and hope that the ride ends soon because you cannot get out, and when it does, hope that you can still walk despite the pain. In reality, you do not need to know any of this, because wisdom of the markets have factored it in over Time!. The charts tell it all in plain pictures – did you ever notice that fancy stuff like Stoch’s, RSI, Divergence etc, is the self-same line picture of that chart, and tells you nothing more, other than in delayed time and slow motion of what is long gone? The markets tell you what they have done. Nothing can tell you what they are going to do. Listen to the Markets - they teach basic principles and often repeat themselves for those that want to see. Markets are the greatest ego equalizers of all time in history. Time is the Trend!" by Wall in Iris's thread

    I couldnt agree with that article enough.
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    Hey mahras what does 'margin call' mean, and a few other margin xxx? (See attachment)
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    so you started forexing huh?! welcome aboard!

    Margin is how you leverage. A .5 lot trade is 250 dollar margin. Basically you are putting 250 dollars into the broker to get 50000 dollar position! Thats what makes forex risky.

    A margin call is when your usable margin reaches 0. Thats when you take INSANE position where the broker believes you will blow up so they cancel all your trades.

    BTW dont trade on that platform. Thats the worst charting system I have ever seen. Get a mini demo account from FXCM. They give 5K hypothetical which is more realistic for beginners. And then get metatrader for charts.

    Good luck! If you have AIM contact me there or you are always welcome to post here.
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    One advice:

    PLAN THE TRADE AND TRADE THE PLAN

    Have a PHYSICAL plan as in one that tells you WHAT to trade WHEN to trade HOW to trade.
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    I made an Entry, but the bad thing about it is that when the currency rises above your Entry Rate, you still only get the rate you put for your entry. Are there any other disadvantages?

    BTW Mahras, the leverage is 1:100 so If i put in 5K into account I can have 500k to play with, so trading 500k orders pretty dangerous right? Just that yesterday you said to be that 500k is the safe trading level if I open a 5K account.
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    PS Any other FOREX traders here? (Doesn't wanna bug Mahras all the time)
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    No worries. Fire away the question. You have my SN.
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    Cool. So as I asked you on AIM, any chance you could show me your trades of a day? like a screenshot from FXCM (closed positions) or anything would do. :cool:
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    course i will post them here
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    Okay these are the trades I entered today. I talked about them to wolf although I really cant remember. Forex was slow today (Friday) and I focused on equities for the day.

    Airght. All my trades are done through alerts on this program that actually tells me when to buy/sell based on a system that I trade with. The screen shot shows arrows. The red arrow is when it tell to short, the yellow when to long. As you can see both trades were successful. I will post some bad ones soon though .
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    Are work placements extremely important in securing an internship or graduate work?
    Would having worked since the age of sixteen in a Bank, ABN Amro, in the back office doing various administrative projects and then at seventeen help, or working in a a burgershop have the same effect! lol
    Is it possible to find mini internships, be able to shadow someone in an IB in the summer of one's first year? If you're willing to work for free it must be possible! lol
    And would going to work in Paris for the first year be a nice plus for gaining an internhip in london the next year, or would staying in london be best!
    thanks for the feedback
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    (Original post by mahras)
    Okay these are the trades I entered today. I talked about them to wolf although I really cant remember. Forex was slow today (Friday) and I focused on equities for the day.

    Airght. All my trades are done through alerts on this program that actually tells me when to buy/sell based on a system that I trade with. The screen shot shows arrows. The red arrow is when it tell to short, the yellow when to long. As you can see both trades were successful. I will post some bad ones soon though .
    It'd become automatic if you somehow could create an interface between the trading station and your program. No more waking ups at 3am
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    I will be doing a group activities/exercises as part of a final round assessment centre in a couple of days. As I'm a postgrad in Elec Eng/Comp Eng, I'm applying for the Technology division.
    I know they're going to eat me alive! :eek:
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    "It'd become automatic if you somehow could create an interface between the trading station and your program. No more waking ups at 3am."

    Heh. I am trying to do that but a good programmer costs too much and the programmer friends I have arent up to it yet.

    Good luck Samtheman .
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    Hey Mahras,

    Pip's definition:

    Pip (tick): The term used in currency markets to represent the smallest incremental move an exchange rate can make. Depending on context, normally one basis point (0.0001 in the case of EUR/USD, GBD/USD, USD/CHF and .01 in the case of USD/JPY).

    So how does the amount of pips depend on your leverage?
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    Aigrht. Say you trade eurusd so the pip is 0.0001.
    Now say you trade 1 lot (my trade size) which is 100000 currency units. So basically when you buy eurusd you are literally BUYING 100000 euros against the dollar.

    Now say after you buy the currency goes up 1 pip. So basically multiply.
    (100000 currency unit*1pip)=10 dollars/euros/pounds etc (whatever your account base currency is).

    So when you use say a 200000 leverage a pip is 20.
    When you use a 1000000 (million) dollar leverage a pip is 100 dollars.
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    Is it possible to go into trading at a top IB (e.g. GS) after studying a scientific degree (e.g. NatSci at Cam), or do you *really* need to study economics?
 
 
 
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