FOREXTRADINGMAJIC.ZULUTRADE.COM
Whenever I'm quiet it means I've been working on something important for traders. Read this post for details of what Jerry's been setting up.
Go to the link above and sign up for a free demo account. You must sign up from this link in order to receive the resources that I provide with Lcm. My zulutrade name is ( trading majic ) add me as your service provider. The website will explain the details.
This will allow my trades to be mirrored in your account. But the Lcm money management system is the key.
Money management is the key to profits. A trading system is the key to making good trades, but your money management system is the key to actually being profitable in this business.
A good money management system is an entire course by itself.
Below is today's trading journal from the London session this morning.
Note: The money management system comes with a purchase of one of my Lcm products. The mirrored trades are free when you sign up for a zulutrade account through the link I provided.
WED JUNE 1 2011
GBP/CHF
3:05 AM gbpchf - Long on bullish reversal bar... 1.4060 and 1.4037 but news came out at 3:13 am EXTREMELY bullish RETAIL SALES data for chf. moved stops below days
low bur will most likely be taken out on strong move off news. CHF DATA MUCH BETTER THAN MARKET EXPECTATIONS.
3:30 AM sTOPPED OUT AT 1.400. Market hit 1.403 but spread widened to 6 pips to take out stop.
NOTE: Made mistake of not looking at the 4hr. would have seen that volume was low previous 3 4hr bars and price up against 20 avg and last bar was inside bar.
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gbp/usd
3:30 am lomg gbpusd. 1HR UNPLUGGED BULL PIVOT... @1.6481 soft stop and tp for now... 3:40 am set tp @1.6508 previous week high.
3:50 AM EXIT ON 5 MIN REVERSAL. LOOK TO REENTER OFF 5 MIN PULLBACK.
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4:14 am long 1hr bull pivot. unplugged entry break above bull reversal bar. 1.6496... Also pending order to enter on pullback to pivot point @1.6473.
NOTE: PIVOT IS ON LOWER VOLUME BUT OPERATOR PARTISIPATION.
wanted to enter limit on unplugged entry but got message below from zulu.
New trade message on 2011/06/01 08:08:00 : Did not Open trade for 1.0 lot from Manual BUY GBP/USD, reason: Invalid rate. Broker Message: Invalid rate value:
Provided rate 1.6494 is less than 8 pips away from current rate 1.64906
4:22 AM Market quiet waiting for gbp news at 4:30 am... If news is bad for gbp we may have to early exit. Can't control the news. News changes everything
instantly.
NOTE: I hate it when news comes right after a perfect setup because news is the one thing that trumps everything.
4:30 am news came out with immediate spike against gbp. stoped out immediately. Gave no chance to stop and reverse to short.
Glad I'm scaling in with micro lots on a $10,000 account.
I look to exit and reverse directions on news against my position but today was extreme spikes that gave no chance. That's by design of course.
NOTE: THE OTHER PAIRS ARE QUIET. WHEN TRADING, FOCUS ON THE PAIR THAT HAS NEWS PENDING...
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SPECIAL NOTES:
Down 159 pips on 5 trades. Starting account balance $10,000. Now down to $9,984. Down $159.00
instead of $159 So, we can see how our money management plan helps us here. If were are trading $10 per pip standard contract instead of $1 mini per pip we would
be down $1590.00 (15.9%) instead of only $159.00 (1.6%). This is why the use of my money management plan that I provide is so important. The trades are based on my
mm plan so, when I take additional risk, like today trading the news, it's accounted for in the plan and if I lose there is little pain.
This is why I spent so much time stressing money management in the videos. My traders need to understand what I'm doing in order to follow me. On the zulu site
you will see many impressive looking stats but when you look at the numbers deeper, the drawdowns these signal providers generate are not realistic unless you
have a $100,000 account.
The zulu trade platform only allows for standard lot sizes. That means I can't break them up the way I can in actual trading. The account settings in my signal
provider account are different from my actual trading account. I have a $10,000 trading account linked to my signal provider (SP) account. So, the stats posted by
zulu will not necessarily be a true reflection of what I am actually doing in my trading. The purpose of Zulu is to get you the signals. BUT IT IS THE MONEY
MANAGEMENT SETTING THAT ARE GOING TO MAKE THE DIFFERENCE IN REAL DOLLARS.
EXAMPLE: Using today as an example, most everyone with 10,000 are trading standard lots at $10 per pip, and this is the only parameters that zulu can display
$10. per pip. In real trading we are using mini lots $1 per pip. We want to trade micro lots .1 per pip until we have at least $2,500 in equity.
SUMMARY:
AT 5:20 am I'm down only 1.6% . With 98.4% of my account still remaining, I have no fear of taking additional trades as they present themselves. But the zulu stats
will look quite different. My objective is not to get as many followers on zulu as I can. My objective is to train my Lcm people properly.
That being said, today's trades were technically off system for Lcm because I should have waited until after the news before trading but, sometimes I will take a
high risk shot as long as I can keep my risk around 3%. Or like today 1.6%.
5:30 am Tired now, need a nap before the u.s. employment data comes out at 8:30 a.m when I will focus on the u.s. pairs.
Cheers, Jerry
JERRY@FOREXTRADINGMAJIC.COM
JERRYJSTEW@YAHOO.COM
