Interesting CFD Trading Stories

There are CFD trading stories about this or that trader who made millions fast. But the methods or markets involved were surprisingly different that suspected.

Best CFD Trading Stories of Success

Some of the best CFD trading stories are about traders who thought differently than the rest. So we know about a trader – investor who made $2 million dollars though trading CFDs on sugar. And also about various scalpers and day traders who also made good money, at a similar percentage gain rate. The sugar trader was rich already, or at least able to somehow fund large exposure to the sugar market through leveraged CFDs. He simply bought sugar at the right time. And sugar simply followed the rest of the commodities higher and higher over few months. The probability of success was high, as sugar was coming out of a multi year down trend. And he even kept buying new dips on the way. The scalpers and day traders were mostly poor people, or at least people who could not afford to lose big money in the markets. So they put less money and much more active trading time. But they were able to make very good money over few months to 2 years. Much more than their former day job paid. So examples as these are stories of success. Since all these traders were very selective in the markets and methods they used. They knew how to trade CFD contracts and how to manage risk. And used a good CFD trading company, what is known as a broker. And these are not the only examples, there are more success stories of people trading various markets. And not two of these people think alike when it comes to trading. Each one is unique, in many ways. This emphasizes the complexity and opportunity seen in the financial markets. Remember that a market is not simply up and down, there’s also cost of leverage. Also known as foreign exchange currency swap in the forex market, which is either paid to you, or paid by you as a trader. Complexity is immense in all markets, even in that sugar market where one would think it’s just another commodity. It’s not, you can actually assess and calculate market risk in sugar. Based on seasonal and fundamental data.

CFD trading stories
Traders never really reveal the secrets behind the success. But it seems they all broke this or that classic trading rule, and somehow did something differently than the rest. Because some classic trading rules are severely outdated or have been wrong all along. The majority of traders don’t dare to break classic trading rules because their strong discipline won’t allow it. The daredevil on the other hand has no problem breaking a rule or two.

Wild CFD Trading Stories

Some strange CFD trading stories sometimes come from wild traders, who took all kinds of risks to make their money. And while they don’t reveal their trade secrets, they do in fact make more money than you could possibly believe. And it’s not about using some magical forex calculator software, which tells them when to trade and when not to trade. Rather, they use years of experience, huge stops which defy belief, and risk management. The weird thing is that they are no more capable of predicting market direction than anybody else. These wild traders are daredevils willing to take more risk than normal. They simply cut losers short through empirical assessment skills. We have no way of knowing their secrets, but it’s safe to assume that they use some kind of mental stop strategy. It could be mental stops in the time domain. Or a more complex approach to assessing open trades. It looks risky because the trades need plenty of room to prove themselves, this means huge stops. But despite looking so messy, risk is actually less than it would otherwise be. Because they somehow feel the probability of the trade, and take action when necessary.Australian traders are savvy traders who tend to apply such wild trading methods, and to break classic, limiting trading rules. The kind of CFD trading Australia witnesses, does involve many such trading ideas. Which may in fact be innovative.

What to Know: Forex Trading Scalping Made Easy

Forex trading scalping requires intensive efforts but small trading capital. Earning potential is as much as $300 per selected trading day, in a small account.

Forex Trading Scalping Reality

Forex trading scalping is all about selectivity and trust in your trading system. Even flawed scalping systems can be turned around simply by allowing for greater risks, whilst also knowing how to deal with these risks. And the only risk is price breakout. Given enough trading online practice and risk evaluation, wise forex scalpers realize that there are ways to boost profitability. It’s all about scalping fewer, and better days, and during inactive trading hours, always. Wise scalpers identify a baseline price level, during those inactive hours, and trade the ups and downs of the market. If a good hedging idea is in place, so that they know how to deal with a breakout scenario, risk can be kept under control. The worst that happens to scalpers is when they expect a flat trading session, but the market seems to gradually move in one direction, leaving them trapped in a losing trade. So their assumed baseline is no longer valid. Hedging traders think as follows, first they start the session as scalpers. But when the session is ruined by unforeseen volatility or solid breakouts. They simply quit scalping and treat the open losing trade as a directional longer term trade. Now the daily chart becomes relevant, and if caught on the wrong side of the market, they will simply hedge the trade so as to be able to get out of it tomorrow, at minimum possible loss. Scalpers do make $100s per session, but some of them give it all back in a single breakout event. At least through hedging, one has time to relax and think things straight, through many stress-free hours. And as a result, they might be able to get out of very bad losing trades at very low loss. A loss which can be made good with only 2 scalping trades later on. Trading online made easy is only true, when one is flexible and adapts to market conditions fast.

forex trading scalping
Sophisticated, well thought-out scalping has allowed traders to do the impossible, to recover almost totally ruined trading accounts back to their full balanace and above. The only catch is the huge time commitment, as scalping trades cannot really be left unattended or trusted to stop loss orders alone. The entire scalping session needs non-stop commitment until the session is either over, or interrupted and open losing trades are dealt with until tomorrow. Other than that, such good scalping is very similar to an ATM machine, it gives you money when you need it, at a rate faster than you can physically count it. And it’s a secret weapon many wise traders have in their arsenal. Because for the most part, is all about directionless trading, where you don’t have to have an opinion on market direction. And even when you do, it’s only for a day or two, so as to get out of a losing trade at minimal loss.

Forex Trading Scalping for Account Recovery

Forex trading scalping is priceless when it comes to recovering a blown trading account. Traders who lost even 90% of their trading balance on large day trades and swing trades. They were actually able to recover it all through scalping. It’s almost like attempting to drive a car, whose engine has lost 90% of its power output. The only way to drive it is in 1st gear, and it is possible. Against all odds, such traders were able to regain all their losses through tiny scalping trades, doing as many as 60 in a day! No trading online account is ever doomed, if the trader has a scalping emergency plan up their sleeve. Losing and retreating is normal in trading, but being able to adapt fast and recover, is a really remarkable achievement. Successful scalpers end up making a lot of money later on in their careers, through the experience gained. And even though we call them scalpers, their methods are actually more intricate and do involve hedging and day to day trades when necessary. Because that’s what tough market conditions require.

$300 Per Selected Day

Scalpers do make $300 per selected day, it has been proven on small accounts with $2,000 initial balance. Now imagine what can be done on a $20,000 account, per such selected scalping day. That’s more money than one can physically count, considering the speed at which scalpers operate. And yet it’s real and possible, for dedicated traders to achieve. Because market conditions make it possible during inactive forex trading hours.

Recommended Day Trading Forex System for 2016

A proven day trading forex system is that of LSS pivot levels. The daily LSS pivot levels are the levels where market price and momentum tend to react most.

Day Trading Forex System Based on LSS Pivots

The day trading forex system which works based on the LSS pivots has been proven to work. It works much better than news trading or any other kind of daily strategy. LSS pivots have great depth, and can therefore offer both simplicity and complexity. It all depends how far the trader wants to take things. But anyone who has studied LSS pivots even for just a week. Is bound to have seen market price stopping or starting right at some such pivot. And this is important in more ways than one. Because remember that asymmetries in price momentum can be used to adjust your hedging trades. LSS pivots also help traders achieve better risk control, by adjusting their stop loss orders accordingly. As oppose to using fixed size stops, which is so inefficient. All forex trading strategies can be greatly improved through the use of some LSS based method. And all forex charts today offer LSS indicators at a mouse click, there’s no need to calculate anything manually. 2016 was a year where LSS pivots were extensively used by traders, in an effort to enhance their trading methods. You can think of LSS as a momentum indicator, as support-resistance numbers, or simply as indecision levels. Where traders are not sure what’s coming next. The point is that they do work, much more often than not. And they are a great trading tool, as opposed to news based tools. They are also useful to scalpers, because scalpers have to figure out the price baseline to scalp around. And LSS numbers provide a solid picture of what is likely to happen. If the baseline happens to fall right on some LSS number, then there’s a serious risk of a breakout. So the wise scalper will not trade on that day. Or will look to find some other currency pair.

 day trading forex system
The classic LSS pivot theory is one old concept which has stood the test of time and is well defined and accurate. Trends tend to reverse once past these pivots, and momentum stops or begins at these levels. Today’s market charts provide these pivots right away, there’s no need for a daily calculation.

Day Trading Forex System for Wise Traders

A day trading forex system is expected to deliver some kind of edge, some advantage. LSS pivot numbers are often underestimated by new traders. And yet they work way better than Fibonacci, Elliot wave theory, or news based trading. The natural volatility cycles of the market often match LSS numbers. And this is the greatest insight a day trader can have on a day. The debate of day trading forex vs stocks is another interesting debate. And generally, traders prefer to use LSS pivots on forex trading. But the concept applies to many markets. Stock day trading is more advanced, more difficult. And it will have to include the use of complicated level II quotes. But when all this is combined with LSS, day traders gain good insights and can make very good money.

Forex is Simpler, at Least for Beginners

Forex is simpler than stocks, in all ways. Day traders may choose to trade one or the other, from time to time. But forex is simpler, there are no level II quotes, and there’s wide range of choice. Among so many foreign exchange currency symbols. Stock day traders are looking for something else in the market, not wide range of choice. But rather increased probability that the stock in question will move in one direction. This is possible to tell through fundamental analysis and daily level II quotes. But regardless of what one is day trading. All markets can be traded efficiently through CFDs. And there’s no need to reinvent the wheel or develop the next superstar CFD trading app.

Using a Forex Calculator to Profit and Increase Your Trading Success

Using a forex calculator to profit wisely, it’s about assessing data and seeing patterns no one else can see. Patterns visual chart inspection cannot reveal.

A Forex Calculator to Profit from Hidden Patterns

Using a forex calculator to profit from hidden market patterns is not a new thing. Many strategies rely on this concept, because visual chart analysis is not enough. Every market, every foreign exchange currency rate is continuously changing. A market may be overvalued or undervalued at specific times, offering possibilities for arbitrage trading. Or simply for getting a better entry price. By doing numerical analysis on certain parameters traders can figure out profit margins as well as other data. Data that can be used in more advanced probability analysis. But as far as getting a better price, simple numerical analysis can get the job done. This is why traders use calculator spreadsheets and apps in assessing market conditions. Forex trading platforms come in with basic calculator tools, LSS pivot tools and more. But the more advanced tools are usually developed by traders themselves and are first tested on a spreadsheet. Because there is a long learning curve where by error and trial, and fine tuning, adjustments to formulas are made. Arbitrage and hedging traders are bothered with valuations, especially in carry trade strategies where the complexity is enormous. But so is the earning potential too. Because in the carry trade strategy one has to calculate pip value, interest rate margins, and hedging protection all at the same time. Complexity is phenomenal, and yet calculators come to the rescue. Since they can do all routine calculations fast and accurately.

forex calculator to profit
Global markets are not 100% efficient because they are way too large for the average analyst to understand. Large investment banks and hedge funds do not fully understand them, and neither does any actual team of specialists. Only single minded independent traders understand them, and they keep their finding to themselves. Through mathematical tools they are able to infer patterns which cannot be inferred visually from market charts. Then, through the use of spreadhseet and app calculators they can use these findings in their trades. The most interesting and complex domain is that of the carry trade. Where traders analyze everything about a currency.

A Forex Calculator to Profit through Hidden Global Opportunity

A forex calculator to profit from factors such as interest rates and price asymmetries is exactly what carry traders are after. How they do it remains a mystery. But basically it is possible because global markets are not 100% efficient. There are profitable patterns that are either unexploited or simply being exploited by small individual traders, so the margins never cease to exist. No forex trading strategy is as impressive as the carry trade, because the level of complexity is so great. So great that a small retail trader can actually out-think even large hedge funds and investment banks. This is because single minded people are more productive in their thinking than teams of people working in highly procedural environments. And it’s no wonder, since all great math breakthroughs come from single individuals and not from teams of people. More specifically, complex math problems are impossible to break down to smaller sub problems, so that many people could solve them. As a result, the greatest carry trade strategies remain a mystery, but they do exist. And their creators use calculators utilizing mathematical formulas. This is how they are able to hedge market risk in carry trades. In ways that we can only dream about. And while we all want to learn how to trade forex better and more profitably, the nagging thought remains. The thought that visual chart analysis alone is not enough to really see the markets.Global opportunity is hard to define, because it spills from one market onto another. From stocks to bonds, from currencies to commodities and so on…

The Basics of Forex Trading Broken Down for Beginners

The essential basics of forex trading boil down to understanding things such leverage, swap rates and pip value. These are important for trading accurately.

Accurate Trading through the Basics of Forex Trading

In many trading strategies, beginners fail to measure risk and overall exposure to the market. Because they don’t know the basics of forex trading. In order for someone to refine a trading methodology and look for ways to mitigate risk. They should know these few basics well, and beyond basic definition. The concepts of interest rates, and pip value alone are so important in every carry trade. But also still important in day to day hedging trades. Using a forex calculator leverage and pip value can be calculated accurately and fast. Traders unaware of these definitions will sooner or later suffer from some big losing trade, due to inevitable miscalculation of risk. And equally, on the winning side, good hidden trades await those who understand markets in greater depth. If you take things further and start studying probability patterns. You can combine the inner workings of the forex market with probability based methods. And you could adjust your trading size according to that probability number, in every trade. Probability is based on volatility and market indicators. But it’s all basic definitions. Everything starts at a basic level. The average trading online course will introduce you to these definitions. But traders need to gradually take things further, one variable at a time.

basics of forex trading
It takes a lot of initial effort to start working with the basics, and figure out more new variables, and finally uncover profitable ways to trade. It’s very mathematical too. But it does pay in the end. Just remember to look beyond the daily market movements and into the basic variables. Obvious profit margins exist because of high market risk, which keeps the crowd away. Whereas hidden profit margins exist because very few traders know their existence.

Beyond the Obvious Basics of Forex Trading

Beyond the usual basics of forex trading there is a lot traders can do, to gain an edge. Once you understand the basics. And also what is forex broker liquidity and what is forex trader objectivity. You can start experimenting with your variables, to see how it could benefit your trading. Volatility, trade size and pip size are just 3 such variables. Whereas there are also derivative-variables when you take a closer look. And good profitable trades can be made possible through such analysis. Where a subtle small change in one variable, can result in asymmetric risk-reward figures. So it is wise to pay attention to the small and not so obvious. Rather to the obvious and the easy. Take scalping trading for example. Volatility studies, and LSS pivot analysis can help you develop an amazingly accurate scalping day selection system. And the forex market’s inner workings will show you which pair is best for trading this way. The whole scalping concept is severely overlooked by most traders. It’s not even visible on the daily charts. That’s why most traders don’t even suspect there’s a profit margin there. Everybody wants to catch the next 300 pip daily move. Because that’s the obvious profit margin. And yet, probability favors the not so obvious trading systems. Where profit margins are determined by small changes and asymmetries in basic variables, and their derivative variables.

The Importance of Reading and Understanding CFD Trading News

CFD Trading News Does Matter when Markets are Volatile. News is not the cause of market movements, but rather the triggering cause. These conditions matter!

CFD Trading News Can Trigger Major Day to Day Movements

CFD trading news, though little understood by all the traders and analysts, is useful from time to time. The news itself is an indicator of volatility. And in already volatile market conditions, it can be used to refine market timing. Simply by regarding the news as the triggering cause of these market price moves. No CFD trading system is ever complete without risk and volatility analysis. And news can be used to confirm apparent volatility. In order to better anticipate what’s coming next. CFD traders who know their markets well, especially commodity CFD traders, do use news. The secret is in not getting carried away and biased because of the new. Because the market can discount, or price in news, much faster than any trader can. So the old adage of buy the rumor, sell on the news… it’s definitely true. Wise CFD traders attempt to see how the market collectively will react to news. And if a news trigger is enough to unleash momentum in price. And as the market moves beyond critical stop loss levels, more and more traders will change direction. And the market may continue to move in the direction of the original momentum. For as long as several days at a time.

CFD Trading News in Commodities

CFD traders know their commodities and other related markets. CFD trading news is bound to shake their exposure to the markets, and that’s why technical calculation of risk is never enough. The market simply defies technical support and resistance in a confusing way. And tight stops fail miserably to maintain a good overall risk-reward figure. Wise traders know their markets and simply get around this problem by looking into longer term direction. And by utilizing large stop loss orders, so large as to embrace the higher volatility. Foreign exchange currency trading online for beginners tends to teach the exact opposite. And this is why new traders misunderstand risk management right from the beginning. The very act of using tight stops, is a recipe for total failure, especially during high volatility. Tight stops simply don’t work, period. And anybody who is afraid of embracing market risk, is not a candidate for becoming a profitable trader. Volatility and surprise moves are what make markets interesting, so risky, and eventually so profitable.

CFD trading news
Wise CFD traders have figured out, all through experience, that they should fade their own analysis from time to time. Market volatility and news triggers can delay the coming impact of their analysis, in other words they get the direction right and the timing wrong.

Market Risk Redefined

Market risk as seen through volatility and the news is still hard to measure and put to good use. Wise CFD traders go a step further by first identifying fundamental direction. Which may or may not be triggered by the news in the coming several days. And then, they are willing to trade either direction, or even both. They are essentially ready to make trades against their own fundamental analysis. Because if the trend is not triggered by the news, all kinds of counter moves are to be expected. And far more often than not, this is actually the case. Fundamental analysis gets right the direction, but its timing is horrible.