Sunday, July 27, 2008

Trading strategy - multiple time frame - RSI


RSI for H4 and D1 are used for reference. Single post strategy, compounding system, 5% capital risked.

potential return of 400-900% in 7 months.

Bulls and Bears, Support and Resistance

Bullish market starts when Bearish market ends and vice versa.

Remember to look at both Support and Resistance, not on either one only.

Saturday, July 26, 2008

Trading strategy - combinations

combination of strategies applied on 1 pair. multilot and plus strategies, using 2 trading robots on 1 pair to reduce margin usage or drawdown.

Trading strategy - multilot strategy

when price move certain points/pips, new order is opened with lot size of double the previous lot.

example:
1st order buy 0.1lot
2nd order buy 0.2lot
3rd order buy 0.4lot

Trading strategy - minus lot

when price move certain points/pips, new order is opened with lot size smaller from the previous ones.

example:
1st order buy 1.0lot
2nd order buy 0.9lot
3rd order buy 0.8lot

Trading strategy - plus lot

when price move certain points/pips, new order is opened with lot size of plus the same size.

example:
1st order buy 0.1lot
2nd order buy 0.2lot
3rd order buy 0.3lot

Advantages of automatic forex trading systems

1. You do not have to physically trade the system.

2. Automated trading can take trades at anytime of the day or night. This is particularly important for systems where the performance is increased when taking a majority of trades in the system, which occurs in systems where trading opportunities occur at times when the person may be sleeping or otherwise cannot get to the computer. So being available for trading 24 hours a day, unlike a trader can, will the profitablility of these systems.

3. You can trade multiple systems, such as systems that rely on different types of indicators, or which trade shorter or longer time frames, in order to diversify risk, as well as to smoothen out your equity curve and reduce drawdown.

4. An automated system is unaffected by a trader’s psychology, which can sometime cause a system to be not traded properly. If your trader discretion causes you to improve performance, then that is fine, but if it causes a worse performance than if you traded the system mechanically, then this is an issue that is overcome by automated forex.

5. Enables the development of new systems that may be difficult for a human to trade, such as systems with a high frequency of trades using tick data. Designing a system is no longer be limited by how practical or easy it is for a person to trade it.

These benefits of automated forex of course is based on the fact that:

• You have chosen a profitable forex system and has acceptable drawdown, as evidenced by historical performance.

• The forex system is not just mechanical, but is fully programmable.

• You are aware, with either active trading or automated trading, that you must monitor the performance to see that the system is still working as well as its past performance.

Information on type of accounts offered


1.Minilite (recommended for capital up to USD5000)
MINILite The MINILite account group has been developed for beginners above all, but can also be used by traders who wish to test their mechanical trading systems. The main advantage of the MINILite managed Forex account is that you only need a starting deposit of 1 US dollar. After you open the MINILite managed Forex account you can trade through our company on the same terms as other traders, who work on other account groups. The only difference is the operating amount.*

2.100KLite
100KLite The 100KLite account group has been designed to help with the psychological aspect of trading during the period of transition from virtual or mini-trading to live trading. This managed Forex account can be used as an intermediate stage while transitioning from virtual trading or the MINILite account trading to the MINIForex or 100KForex* professional managed Forex accounts.

3.Miniforex (recommended for capital at least USD5000)
MINIForex MINIForex is the most popular type of managed Forex account among traders of Straighthold Investment Group as it offers wide and versatile opportunities to start getting stable incomes.

4.100KForex
100KForex This account group is particularly intended for Forex professionals who have sufficient experience working with large sums. After you study the comparison characteristics of the account groups at the top, you can make your choice.

Introduction to Liteforex

LiteForex offers revolutionary trading technology for beginner traders, and lets you start trading in the Forex market depositing just ONE DOLLAR! Your deposit appears in US cents on the Lite group accounts, so you feel like you are trading the same amount in US Dollars. This new technology allows Forex beginners to learn Forex in a REAL life situation with minimal investment!

LiteForex also offers competitive trading conditions for Forex professionals all around the world, and provides a dedicated Forex trading server and experienced customer support as well as analysis of Forex market and a professional affiliate program.

With more than 124,000 serviced users, more than 45,000 unique and live Forex trading accounts, more than 300 new traders every day, and more than 700,000 live orders every month, LiteForex is one of the most popular and fastest growing Forex companies in the world.

Take your first step to financial freedom. Enter the Forex world!