Online FX Currency Trading Strategy

If you have an online currency trading strategy, then you should incorporate the advice given in this article to make bigger profits - and maybe even change a losing system into a winning one.

The advice we’re giving here is contrary to almost everyone else on this subject - keep in mind however that 90% of traders lose! So, let’s stay away from the losers and make some profits.

Get Set for Bigger Profits

So, what’s this insider secret anyway? - It’s about looking at money management in a different light.

Money Management and your Odds of Success

Most traders are virtually guaranteed to lose - because they have money management strategies that ensure they are constantly going to get stopped out by normal market volatility.

For example, many traders risk say 2% of their equity on a trade. On small accounts, this amounts to just a few hundred dollars. They enter the trade, and market volatility ensures their stop is hit.

The market then goes back in the direction they had anticipated - and piles up thousands of dollars! Our trader though, thinks he was just unlucky - and tries again, but he wasn’t unlucky, and volatility will take him out every time.

Getting Rich Trading Foreign Exchange

If you've read much of what I've written, you know that I solidly refute the idea that you can start trading with a couple thousand dollars and turn it into a million in 18 months or some other short amount of time.

That's true, and I stand by it.

However, you can get rich trading forex. There are two ways that I know of. Both require serious work, but I'm going to lay it down for you.

First, you could start your own hedge fund. There are Firms that will help you set up your own hedge fund. With a hedge fund, you make money based off of how much you made for your clients.

Just for the sake of illustration, let's say that you have $20 million under management (a rather small amount). Let's say that you earned a 10% return that year on the $20 million. Your take is 20% of the profits (remember you don't take anything unless you make profits). You would make $400,000. How's that for an annual salary? Not bad.

And all the numbers I gave you above are conservative.

So how do you become a hedge fund manager? You need a track record. I'm not talking about a 2 year track record. You need at least 5 years of profitable trading under your belt.