Forex Portfolio

bakano

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When it comes to forex, speaking on analyzing individual currency pairs, the pair being the most traded pair eur / usd.

Based on each graph of the asset in question is determined by an input long or short, with a definition of risk and income, based on a strategy.

Since I long ago stopped watching this market like this.

Thus I propose to demonstrate the results of my strategy.

However I started publishing a blog where I intend to compile all the information on this trading method and is accessible at the following address.

http://forex-portfolio.blogspot.com

Therefore I intend to share with you a study that have developed in recent times, and that is inherent in the following objectives:

As it is done with shares, which is a portfolio that is being updated, I believe that the forex market posture must be the same. A long time to negotiate forex combining multiple currencies, particularly the most traded globally, usd, eur, jpy. gbp. and chf aud. It is a system of arbitration between currencies.

1 - The study of each coin is only done on weekends, and this time it will take for the week following the coins come out and enter into the portfolio. Or even change the direction of the pairs, making up this adjustment portfolio at the beginning of the new week, Sunday at 20:00 hours GMT, the market opening.
The fact that the portfolio review at the weekend, is based on the fact that we always define strategies when the market is closed.

2 - The level of investment in each pair is done by assuming that the number of open contracts in each pair to take the equivalent of $ 100 for 1% of the closing value on Friday prior to each respective pair.
That is to say that a given pair when we are earning 1%, would amount to $ 100.

3 - Stop Loss will not take, since the objective is to identify as only this type of strategy. Depending on each Money management should define its position in a particular trade.

This portfolio will have the principle "always accompany the market trend."
There will always be times of change and it is this sense of analysis work to be done calmly, and experts say whenever the market is closed.

I'm studying various methods for trading the portfolio, so if it considers beneficial, will introduce changes in the way of negotiation. Always follow based on the direction of the market, not trying to find funds or high.

Since the 17th of October, I've been sharing this strategy in a blog I keep in my language of origin, the Portuguese, so I will start this study based on existing findings from this first week.

http://traderdeforex.blogspot.com

So now, updating the portfolio already with results from the 1st week, we have:

Initial value: $ 10,000.
Weekly earnings: $ 925 (9.25%)

Only as a supplement to the definition of forex portfolio set for the week ending, I will say that after several studies, I considered that we would have a hierarchy of three currencies strong and weak currencies in March:

Strong currencies:

1 AUD
2 JPY
3 EUR

Weak currencies:

1 USD
2 GBP
3 CHF

Arranged so every strong currency, with each weak currency, leading to nine currency pairs.

On Sunday, I hope to publish here so my portfolio for next week, so we follow and discuss the issues they consider relevant.

Then I present a framework which can identify the weekly results of the portfolio, and are published on the blog, now that I created, where the daily results to complement the week that ended.

Good Business.

Note: Sorry for my English, because my source language is Portuguese
 

Attachments

  • Results3.bmp
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Forex portfolio for the week of 24/10/2010-29/10/2010

Based on the study of currencies that I analyze individual, EUR, USD, AUD, GBP, CHF, JPY, I note that the currencies that are strong are the same as last week, so the weaker ones remain.

In any case the hierarchy between them has changed.

So next week we have:

Strong currencies:

1º JPY
2º EUR
3º AUD

Weak currencies:

1º GBP
2º USD
3º CHF

So, keep the same portfolio of currency pairs that we had all last week.

Then becomes the framework that we analyze daily during the next week, with quotations from the end of the day 22/10/2010.

Good weekend.

http://forex-portfolio.blogspot.com
 

Attachments

  • week 2.bmp
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My concept of Activity in the forex market

When looking for investment ideas in forex trading, and seek to obtain strategies for action in the market, whether in blogs, forums or publications, we verified that underpins the analysis that we find or defining trading systems, concepts of individual analysis of a given pair currencies.

We also showed that 99% of trades that are analyzed correspond to trades of short time duration, mainly business intraday.

This is a way of trading that interests all forex brokers.

How many more businesses, in and out of trades, the brokers earn more. Well, they always get the value spread.

For this reason it encourages both short-term business.

For this reason we mainly disseminated ideas daytrade.

Have they stopped a little and looked at how much you pay spreads in a month?

And in a year? If you do account perhaps come to conclusions very interesting.

Even if you maintain a methodology to obtain a consistently positive results, it would be nice to compare the personal gains, the gains of the broker relating to your trading. Maybe you are shocked.

For all these reasons, I chose to trade forex through a strategy that does not pose a large cost in spreads. I consider myself a trader position, maintaining a portfolio of currency pairs, creating an arbitrage strategy.

I Consider an arbitrage strategy, because it negotiates six currencies, usd, aud, eur, jpy, gbp, chf. And always in every portfolio created, each of these currencies are represented in three separate pairs.

If for example the Fed intervene with its monetary policy on the dollar, leading to an opposite sign to keep that portfolio, simply close the three currency pairs usd in which it operates. Or can even reverse the direction of these three pairs.

This means that a strategy to maintain market position without stress, accompanying the entire schedule of events that may negatively influence the position of certain currency pairs that I keep in the portfolio.

I should mention that today also trading in intraday, but only with entries in each pair in the sense defined in the portfolio, seeking to capitalize on weaknesses, I believe that pair off and temporary.

Of course here set to keep a portfolio each week, but be able to reset each week through the portfolio, but just based on central bank interventions representative of each currency, or the dissemination of consistent data that will allow me to identify a change of course.

http://forex-portfolio.blogspot.com
 
Daily analysis of developments in the portfolio (25/10/2010)

Daily analysis of developments in the portfolio (25/10/2010)

Week 2:

Based on the portfolio of currency pairs listed in the portfolio, we observed the following:
In the couple negotiated the long side (5), 3 yielded positive results daily.

In pairs traded on the short side (4), all showed a positive result.

Based on the daily closing values of each pair, which correspond to the values of GMT 21 hours, we found that the overall outcome of the day, shows a gain of 2.13%, corresponding to $ 213.

Just updating

Initial value of the portfolio: $ 10,000
Valuation day: $ 213 (2.13%)
Appreciation week: $ 213 (2.13%)
Present value of the portfolio: $ 1.137 (11.37%)
Expected weekly return: $ 1.065 (10.65%)
Expected annual return: $ 49.270 (492.70%)

Table is updated daily with the results:

http://forex-portfolio.blogspot.com
 

Attachments

  • daily 25-10.bmp
    10.8 KB · Views: 550
Daily analysis of developments in the portfolio (26/10/2010)

Week 2:

Based on the portfolio of currency pairs listed in the portfolio, we observed the following:
In the couple negotiated the long side (5), only two have produced positive results daily.

In pairs traded on the short side (4), only 1 had a positive result daily.

Updated tables, and based on the daily closing values of each pair, which correspond to the values of GMT 21 hours, we found that the overall outcome of the day, has depreciated by 4.41%, corresponding to $ 441. This negative result was due mainly daily to the great appreciation of the GBP, having been published important data supportive of this currency.

Just updating

Initial value of the portfolio: $ 10,000
Daily Valuation: $ -441 (-4.41%)
Weekly Valuation: $ -227 (-2.27%)
Present value of the portfolio: $10,698 (6.98%)
Profitability expected weekly: $-567.50 (-5.67%)
Expected annual return: $30,247 (302.47%)

Table is updated with the results daily and weekly:
 

Attachments

  • daily 26-10.JPG
    daily 26-10.JPG
    59 KB · Views: 302
Weekly analysis of forex portfolio (2010/10/30)

Week 2:

Based on the portfolio of currency pairs that were part of the portfolio for the week ended, we observed the following:
In the couple negotiated the long side (5), 3 yielded positive results weekly.

In pairs traded on the short side (4), 2 yielded positive results weekly.

Analyzed the results indicated that the major factor that led to the devaluation of the portfolio was the fact that the GBP, has shown great strength, contrary to popular expectations, since the beginning of the week were released data that strengthened this currency

Updated the table attached, and based on the weekly closing values of each pair, we found that the overall outcome weekly, shows a depreciation of 1.80%, corresponding to $ -180.

Just updating

Initial value of the portfolio: $ 10,000
Weekly Valuation: Euros $ -180 (-1.80%)
Present value of the portfolio: $ 10,744.48
Expected annual return: $ 19,356 (193.36%)

During the weekend will define a new portfolio for next week.

Table is updated with weekly earnings:
 

Attachments

  • Weekly 2.bmp
    9.7 KB · Views: 201
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