Ok Need Lots of Advice! I'm serious about this..

[markpetrovski]

yes its a learning stake.. but i can't really lose that money either..

i'd like to be able to turn that money (maybe just 50k more) into a living tho although i expect it to be a very gradual process -

however, despite being fairly cautious) i am hoping my trading instinct and being naturally analytical (if not at all quanty) will get me on the right path soon enough

 

[Crap Buddist]

YouTube - Jaws Theme Song

 

[markpetrovski]

thanks that is really helpful

 

[DT]

If you're going to trade the bund then why not try approaching a few prop firms.

If it doesn't work out then you've lost nothing except time if it does work out then, potentially, you'll end up being able to chuck around much bigger clips than you'd have been able to using your own cash at a brokerage.

 

[mp6140]

Mp -- My Thoughts

FIRST AND FOREMOST, WHAT type of trader are you --- with bonds, one would expect you trade the longer term trade, although ive seen many an intraday trade in that market.

with stocks, the actual percentage profit is realatively small in comparison to what margin allows with the others you named, while forex is my absolute personal favorite.

if you wish to daytrade, i would say that its practically impossible to make on stocks what one can make on forex, simply because of the great range of movement on many of the forex pairs, and the great amount of money needed to take advantage of the smaller movements in stocks (under normal conditions, not news, take overs or earnings)

forex, to me, is one of the most easily learned games, although the same game is pretty much played by the Dow, S + peas, FTSE and others --- its just learning each game, and for someone with already 6 years of trading experience, its just a NEW game, with a lot of the same rules.

as far as enough income to live --- form a corporation or LLC or whatever version of those exist where you are, learn or get a good bookkeeper, and youll find taxes to be a breeze. After all, WHAT exactly do you think those CEO's who take $1.00 USD a YEAR are doing ? They have every PERK known to man and that can be provided by a business entity, yet they earn NOTHING ? Or they earn 20K pounds a year and pay taxes on that, but the company car, offices, jet and etc are there for the picking.

OK, the jet may be out for a few years, but one good talk with a tax lawyer and a read of your tax loopholes, and a smile shall appear upon your visage and your head in the clouds ---- THERE IS ABSOLUTELY NO REASON TO DO THIS AS AN INDIVIDUAL --- in fact, one would say that might be the silliest thing in the world !

enjoy and trade well

mp

 

[dcraig1]

as far as enough income to live --- form a corporation or LLC or whatever version of those exist where you are, learn or get a good bookkeeper, and youll find taxes to be a breeze. After all, WHAT exactly do you think those CEO's who take $1.00 USD a YEAR are doing ? They have every PERK known to man and that can be provided by a business entity, yet they earn NOTHING ? Or they earn 20K pounds a year and pay taxes on that, but the company car, offices, jet and etc are there for the picking.
mp

Hmmm .....

I should think the relevant tax authorities are likely to be all over that like a rash. For example company cars are heavily taxed in the UK unless you have some sort of (quite large and justifable) business milage. Australia is much the same - a fringe benefit tax was intoduced in the '80s, covering compay cars and other such jollies.

As a contract software developer, I had my own limited company in the UK, and I know the Reveue is pretty strict about expense deductions of any kind for these small one or two person limited companies.

 

[mp6140]

Hmmm .....

I should think the relevant tax authorities are likely to be all over that like a rash. For example company cars are heavily taxed in the UK unless you have some sort of (quite large and justifable) business milage. Australia is much the same - a fringe benefit tax was intoduced in the '80s, covering compay cars and other such jollies.

As a contract software developer, I had my own limited company in the UK, and I know the Reveue is pretty strict about expense deductions of any kind for these small one or two person limited companies.

=================================================================

certainly not to argue, as im in the states and used to our laws, but while we have to justify also (and DONT take off too much for entertainment !)I have always been a closely held corporation with excellent tax people who found every possible deduction possible, which is where my thoughts came from.

if its that bad over there, my simplest solution is to MOVE ! i understand from a couple of brits in spain that its comfortable, little traffic and the laws are very liberal !

mp

 

[markpetrovski]

hi thanks for your advice, just read,

yes with only a little research it seems clear that it wouldn't be too hard to create a favourable tax situation..

the move idea isn't a bad one.. considering my parents have an uninhabited house in cyprus! (and am half cypriot)

fyi.. at the bank i worked at i had a maximum 3 month holding period on bonds however, naturally, a high level of strategy/market reading was involved, often out of positions in a day or two, with other carry positions held closer to the internal risk deadline.. (which in 6yrs i almost never broke despite being a relatively illiquid product)

a lot of information flew around between traders, which is where i see losing out the most trading from home i guess.

i have been warned on forex that although you can make big its also the easiest way to wipe your stack due to the leverage required.. would u be able to recommend any training websites? fxcm have a course i might take..

 

[MrGecko]

Would recommend emmigrating.

Wouldn't recommend taking a course.

Have you considered STIRs? I think alot of prop guys trade these as their bread and butter, and you've already got a solid foundation in FI.

 

[mp6140]

a lot of information flew around between traders, which is where i see losing out the most trading from home i guess.

single person shop is just fine AS LONG as you can deal with being alone, although one can always hire another trader --- if you love that cross talk with other traders, it can actually be set up thru Skype, Yahoo PM and a few other services for very little out of pocket !

i have been warned on forex that although you can make big its also the easiest way to wipe your stack due to the leverage required.. would u be able to recommend any training websites? fxcm have a course i might take..\

forex, indexes and commodities have a "day run" that is very similar EXCEPT that forex is 24 HOURS, and one has to keep in mind it does a MAJOR reversal every 12 hours.

the DANGER with forex is the EASE of overextending your margin on an incorrect trade, which, because unlike equities where you can deposit more money in your account to cover a margin call, forex essentially goes "DING --- YOU HAVE A MARGIN CALL --- DING, WEVE CLOSED THESE 43 POSITIONS TO COVER YOUR LOSSES !

They give you no time to handle that margin, which is what kills most new traders. There are 2 very SIMPLE steps you can take to get around that - - - -

1 -- DONT EVER BE WRONG !
2 -- DONT EVER USE MARGIN, or if you do, VERY VERY LITTLE !

ok, sounds silly to me also, but forex is a game that is very learnable, reasonably predictable and responds to tech analysis nicely.

IT TAKES LEARNING, and a week on a demo (unless you happen to be one of THOSE people !) is just not enough. If you learn and practice till your nerves or any gambling addiction is under control, theres a sizeable income that can be achieved, and pretty soon you will be driving the maserati, walking with your trophy wife or girlfriend (or both) and wearing the double breasted blazer and wingtip shoes of the international banker !

talk to you in a year --- thats a good beginning !

mp