http://www.trade2win.com/boards/ Community website for active traders (short-term and daytraders) with live trading rooms, trading discussion boards, trading book store, infomation about trading/brokers/software/technial analysis en Fri, 20 Nov 2009 22:18:00 GMT vBulletin 60 http://www.trade2win.com/boards/images/misc/rss.jpg http://www.trade2win.com/boards/ http://www.trade2win.com/boards/podcasts/79922-advantage-funds-trading-desk-special-video-edition-trading-desk-r.html Fri, 20 Nov 2009 22:10:07 GMT In this video podcast Peter Nulty interviews Lyle Fitterer, CFA, CPA, and Managing Director of Wells Capital Management's Municipal Fixed Income Team. He manages the Wells Fargo Advantage Municipal Bond Fund. Lyle offers his thoughts on what might be expected in the muni-bond space going forward and where he sees opportunity. Plus, he responds to audience questions, among them, industry regulation and the future of bond rating. Thanks for watching.

Download this Podcast (Duration: 14:32, Format: *.MP3)

Each Friday, veteran journalist Peter Nulty interviews portfolio managers for Wells Fargo Advantage Funds(R) to recap the business and Wall Street events that shaped the week as seen through the eyes of professional money managers. ]]> Podcasts Wells Fargo http://www.trade2win.com/boards/podcasts/79922-advantage-funds-trading-desk-special-video-edition-trading-desk-r.html http://www.trade2win.com/boards/forex-strategies-systems/79920-what-best-trading-strategy.html Fri, 20 Nov 2009 21:22:59 GMT Hello, i am new to Forex. i am just asking if someone knows which is the best trading strategy in Forex. please if you can reply to my answer Hello,

i am new to Forex.

i am just asking if someone knows which is the best trading strategy in Forex.

please if you can reply to my answer ]]> blogger961 http://www.trade2win.com/boards/forex-strategies-systems/79920-what-best-trading-strategy.html http://www.trade2win.com/boards/podcasts/79918-week-barrons-november-23-2009-a.html Fri, 20 Nov 2009 21:10:05 GMT This Week in Barron's: There's a handful of companies to consider adding to your retirement portfolio; why AT&T is underrated; there's a way to avoid high credit card costs; and further gains are likely for Discovery Communications.

Download this Podcast (Duration: 00:05:17, Format: *.MP3)

Highlights of top articles in the current edition of Barron's magazine. ]]> Podcasts http://www.trade2win.com/boards/podcasts/79918-week-barrons-november-23-2009-a.html http://www.trade2win.com/boards/forex-discussion/79914-leverage-double-edged-sword.html Fri, 20 Nov 2009 18:08:58 GMT The foundation of the forex industry is leverage. A few years ago we saw how LTCM used $4 billion to leverage over $1 trillion dollars in assets. George Soros used forex leverage to earn $1 billion dollars against the British pound. On the other hand, this same forex leverage drove LTCM to the... The foundation of the forex industry is leverage. A few years ago we saw how LTCM used $4 billion to leverage over $1 trillion dollars in assets. George Soros used forex leverage to earn $1 billion dollars against the British pound.

On the other hand, this same forex leverage drove LTCM to the brink of bankruptcy and nearly caused worldwide financial meltdown. We also saw George Soros hit with a $2 billion dollar loss in the Russian ruble. When trading forex, leverage is not to be taken lightly.

Leverage is defined as "the use of investment capital in such a way that a relatively small amount of money enables a trader to control a relatively large value". In forex trading there are many instances when you can have leverage as high as 100:1, sometimes even higher. Putting up a few hundred dollars to have a position worth hundreds of thousands can definitely be worthwhile.

An important fact to remember is that, in forex, the money used to leverage a position does not have any intrinsic value. The margin is not a deposit on the actual position. Instead, it is considered "earnest" money, or a "good-faith" deposit .

In forex, the margin is a flat rate that helps put you in the game. This type of leverage can be terrifying for speculators.

Typical Over the Counter (OTC) leverage rules might look like this: You must put up a minimum margin of $1,000 per unit for accounts less than $25,000. Traders must maintain a balance $1,000 or 1% for each open unit.

Such an FX policy permits you to trade foreign currencies on a highly leveraged basis—up to 100 times your investment. An investment of $1,000 would enable you to trade up to $100,000 of a particular currency. A 50% loss in the value of the account, also known as a "draw down" in usable margin, will generate a margin call.

Typically, a speculator new to forex trading will initiate his first trade by getting as many contracts as possible, thereby over-leveraging his account. The greed demon has set in. It is no longer acceptable to get just $7 for every one pip move, it's better to get $70 or more for every one pip move.

Unfortunately, this behavior is not discouraged by the majority of brokerages. Instead, they fuel this greedy behavior. A broker or dealer is paid either on a commission basis or a pip spread, according to the number of contracts his client margins. So it's more profitable for the broker or dealer, at least in the short run, for the client to get as many positions as he can afford to take on margin.

This over-leveraging does a disservice to both the client and the broker. It exposes the client to too much risk at one time, and it forces brokerage to continually get new clients to trade. As a matter of fact, it is not unusual for the first trade a new speculator makes to go against him.

Disciplined speculators know to expect that every trade they take may work against them. That being the case, the disciplined speculator paces himself by investing a little at a time until he hits upon a successful trade.

As is to be expected, even the best trading systems that exist rarely have better than a fifty-percent success rate. Therefore, you must let leverage work for you, and not allow the demon of greed convince you to abuse it. ]]> Forex Discussion Joe Ross http://www.trade2win.com/boards/forex-discussion/79914-leverage-double-edged-sword.html http://www.trade2win.com/boards/trading-software/79912-coding-your-own-trading-platform-adding-database.html Fri, 20 Nov 2009 17:46:33 GMT Not sure if this is the right forum, but for you guys who code your own platform, did you implement a database for your historical stuff (quotedata, trades, executions, etc, etc) or just store things off as a textfile, .csv, etc? What are the tradeoffs/advantages of having the database? And, if... Not sure if this is the right forum, but for you guys who code your own platform, did you implement a database for your historical stuff (quotedata, trades, executions, etc, etc) or just store things off as a textfile, .csv, etc?
What are the tradeoffs/advantages of having the database?

And, if you do, since I'm not too familiar with databases, any suggestions? (free is good).

I code in c#, if that matters and I've been investigating WPF. Although I don't have a ton of experience with it, data-binding to a database appears that it would get rid of quite a bit of drudgework.

Thanks for any input. ]]> Trading Software goonior1 http://www.trade2win.com/boards/trading-software/79912-coding-your-own-trading-platform-adding-database.html http://www.trade2win.com/boards/trading-journals/79910-pro-swing-trading.html Fri, 20 Nov 2009 17:16:09 GMT Hi all, Already i have a thread on ForexFactory and one of my friends asked me to open the same thread here for share some of my ideas about how i trade on market, and hope this thread help and provide good pips for you. Hi all,

Already i have a thread on ForexFactory and one of my friends asked me to open the same thread here for share some of my ideas about how i trade on market, and hope this thread help and provide good pips for you. ]]> Trading Journals FXAdvice http://www.trade2win.com/boards/trading-journals/79910-pro-swing-trading.html http://www.trade2win.com/boards/general-trading-chat/79908-call-random-trade.html Fri, 20 Nov 2009 16:44:56 GMT I need to blow up my free spreadbetting account; but i'm so god damn talented its impossible for me to do it on my own.

Just call a random trade, with a stop loss and a target and i'll place it.

Go! Yeahhh Yeahhh Yeahhhh

I'll go first
'Long @ Market, Sell instantly @ market'
Now that losing the spread is out the way... Lets continue. ]]> General Trading Chat GladiatorX http://www.trade2win.com/boards/general-trading-chat/79908-call-random-trade.html http://www.trade2win.com/boards/podcasts/79906-morning-stock-talk-market-i-get-knocked-down-but-i-get-up-again.html Fri, 20 Nov 2009 16:40:03 GMT Acknowledging that Thanksgiving week already has begun for Wall Street with light volatility and trading volume expected today, Loren Danielson nevertheless finds it encouraging that losses are muted. The senior vice president of RBC Wealth Management tells Andrew O'Day "I view it as encouraging that when the market gets knocked down, that investors are looking for an opportunity to get in. So it seems as though every selloff has some pretty good support underneath it." Looking to next week and a full slate of reports on home sales, consumer confidence and personal spending, Danielson says "it does concern me that all of that news is coming in what will probably be very light trading volume. A lot of traders won't be around."

Download this Podcast (Duration: 00:07:59, Format: *.MP3)

Dow Jones' MarketWatch Morning Stock Talk discusses the big stock movers, economic data and investment trends with Wall Street's top analysts, strategists and traders. Hear about what's driving the stock market from those in the know.. ]]> Podcasts MarketWatch.com http://www.trade2win.com/boards/podcasts/79906-morning-stock-talk-market-i-get-knocked-down-but-i-get-up-again.html http://www.trade2win.com/boards/first-steps/79904-combining-trading-forex-normal-full-time-job.html Fri, 20 Nov 2009 15:25:01 GMT Do people have suggestions on how a beginner can learn and practice trading FX whilst holding down a normal 9-5 job? I gather the market can be traded at all times of the day based on the pairs you choose, but is it realistic to sit down in front of the computer for 3 hours every night after work -... Do people have suggestions on how a beginner can learn and practice trading FX whilst holding down a normal 9-5 job? I gather the market can be traded at all times of the day based on the pairs you choose, but is it realistic to sit down in front of the computer for 3 hours every night after work - think not.

What end-of-day strategies are there for FX, and how successful are these, I would be interested to hear people's experiences. I think I could managed an hour a day of analysis, setting up trades for the next day, etc., but not much more than that.

How do people make the transition to day trading? Obviously giving up the fulltime job takes a bit of time, faith and of course, making consistent profits.

Thanks all ]]> First Steps hfu1 http://www.trade2win.com/boards/first-steps/79904-combining-trading-forex-normal-full-time-job.html http://www.trade2win.com/boards/forex-discussion/79898-spike-usd-index-around-12-00-friday-20th.html Fri, 20 Nov 2009 14:31:34 GMT Spike in USD Index around 12:00 Friday 20th?

Both Interactive Investor and Tradefair charts show a massive spike in the USD Index for around 12:00 on the 1H chart for today, Friday 20th November 2009.

Doesn't seem to be reflected in the major pairs, except perhaps in the AUD/USD, although not to the same extent.

Thoughts anyone?

Thanks, ]]> Forex Discussion montmorencyt2w http://www.trade2win.com/boards/forex-discussion/79898-spike-usd-index-around-12-00-friday-20th.html http://www.trade2win.com/boards/forex-discussion/79896-annabel-meade-forex-trader.html Fri, 20 Nov 2009 12:50:26 GMT Has anybody come accross Annabel Meade, who apparently is a forex trader who has written a book, Trading from Home, her web site is Forex Trading Info.org Good Trading. Has anybody come accross Annabel Meade, who apparently is a forex trader who has written a book, Trading from Home, her web site is Forex Trading Info.org

Good Trading. ]]> Forex Discussion scoptions http://www.trade2win.com/boards/forex-discussion/79896-annabel-meade-forex-trader.html http://www.trade2win.com/boards/general-trading-chat/79894-tradestation-vs-esignal.html Fri, 20 Nov 2009 11:34:28 GMT Hi peeps... Soon i will need to get rid of mine Sierra charts and choose between Tradestation and Esignal as charting solutions. Is there anyone who has used both charting packages and can tell me is there any significant difference between those two softwares? Thanx! Best, VTK Hi peeps...

Soon i will need to get rid of mine Sierra charts and choose between Tradestation and Esignal as charting solutions.
Is there anyone who has used both charting packages and can tell me is there any significant difference between those two softwares?
Thanx!
Best,
VTK ]]> General Trading Chat VingTsunKuen http://www.trade2win.com/boards/general-trading-chat/79894-tradestation-vs-esignal.html http://www.trade2win.com/boards/general-trading-chat/79892-hate.html Fri, 20 Nov 2009 11:33:44 GMT Guys im about to open an account with IB brokers but HATE their platform...apart from tradestation what front end could I use to route my trades through IB which has ok charts, is free and I can automate my trades? J Guys im about to open an account with IB brokers but HATE their platform...apart from tradestation what front end could I use to route my trades through IB which has ok charts, is free and I can automate my trades?

J ]]> General Trading Chat jamespp83 http://www.trade2win.com/boards/general-trading-chat/79892-hate.html http://www.trade2win.com/boards/brokerages/79888-demo-account-fix-trading.html Fri, 20 Nov 2009 11:01:19 GMT hello. i am launching a custom app that will use fix (quickfix engine). looking to find out what experience others have had in getting a brokerage account where they could connect to fix as part of a demo account. it's going to take me a number of months to build it. IB charges $100/month, and fxcm requires a $25k account minimum. was hoping to work on my account without moving that much cash around.

anyone know of a brokerage to consider?

thanks,
gt ]]> Brokerages glok_twen http://www.trade2win.com/boards/brokerages/79888-demo-account-fix-trading.html http://www.trade2win.com/boards/planning-risk-money-management/79870-drawdown-simulation-trading-systems-selection.html Fri, 20 Nov 2009 08:02:08 GMT Method
Suppose i have a trading system A which has historical 100 trades data. I ran simulation 10,000 trials and look at the worst drawdown that this system A could have produced by chance alone. Let's say that

System A has max simulated Drawdown (DD) at -40%. Now if I set my maximum drawdown of my portfolio at -20%, i will be trading system A by only half of my portfolio to ensure that when the worst comes, i

won't be down more than -20%. By the same token, if system B has max simulated DD of -10%, i will be trading 200% of my portfolio on system B.

Questions:
Currently I set every system that i have equally at -20% max portfolio DD. Here's what i mean

System/ Max Simulated DD/ Portfolio Max allowable DD/ Market exposure adjustment % / Annual Expected Returns (100% market exposure)
A -30% -20% 70% 36%
B -63% -20% 33% 24%

For example, if i have $100,000 portfolio, i will trade system A at 70,000 market exposue in a given trade. And i will trade only $33,000 worth of market exposure on system B. This also mean that my expected

returns will be geared down accordingly. So system A will now have expected returns to my portfolio of (36%*70%) = 25.2%. And system B will give me 7.9% returns to my portfolio.

Now here's my question, by setting each system max DD to -20% of the total portfolio, i am willingly allow each system an equal chance of damaging my portfolio. You would ask, why should i allow system B

which can generate only 7.9% returns to my total portfolio to have the same damaging effect on my portfolio. In other words, should i set B at -15% instead of -20%? How about setting A at -25%? What should

be my method in setting this Portfolio Maximum Allowable DD when i take into consideration the expected returns of each system?

Any comment is welcome.

Thank you ]]> palm http://www.trade2win.com/boards/planning-risk-money-management/79870-drawdown-simulation-trading-systems-selection.html