Good intentions won’t pay the bills

skinheadsIt seems no matter how good someone’s intentions are, they’re rarely what you want to hear. And rarely give you anything other than an unnecessary headache. Like my partners brother got one time by listening to good intentions from their mum… more on that in a minute.

When I was learning the foundations of financial trading I soon realised that trying to explain to anyone what I was do was only ever met with negativity or good intensions that were only negative. So I stopped telling anyone or discussing it.

In the beginning of my trading career I had invitations to follow Vince Stanziones trades via monthly subscription. And a couple of other offers from other financial marketers; I never took any of them up at the time because I felt that they were, in a way just good intentions. Let me explain.

If I had taken any of these offers up so early on my trading journey, it could have negatively affected my own trading skills developing. Yes I could have copied the trades but I’d have learnt very little. And what if one day for whatever reason the service I subscribed to stopped? I’d be up the creek without a paddle for sure.

So I decided to go it alone and learn from my own mistakes. This way I had a trade/career that I could operate independently whatever.

Other good intentions tend to be advice on why you can’t, or shouldn’t or why you might need to see a doctor regarding your mental health. These good intentions often come from the ones closest to you. They are only telling you all this because they love you so much. But these good intentions can be totally debilitating in more ways than one.

Taking on someone’s good intentions is often useless. You’ll never learn and you’re always left wondering what might have been if you never took action.

Other good intentions can be physical in nature but equally costly… like this true story.

My partner’s brother is half caste as is my partner. When they were growing up in London the Southall riots broke out a few miles away from them. There was huge tension in London and ugly racial scenes were all over the place.

Some of the local skin heads in the area had taken to following and waiting for my partner’s brother when he was coming and going to school. They’d chase him and bully and slap him around if they caught him.

So one day my partners mum had an idea. This time on his way to school, brother was going to have a trick up his sleeve. She decided to make him take a briefcase to school instead of his usual bag. But unbeknown to the bully skin heads, in the briefcase with all his school books were some bricks so he could take them out and throw them at the bully’s instead of running…

So brother sets off to school as usual, and as usual the skinheads see him and start to run after briefcasehim. But as he stops to open his briefcase to get his hands on the bricks, he can’t open one of the locks on the heavy brick filled case. So he’s off on his toes, but the awkward shape and weight of the case only slows him down and makes it easier for the skin heads to catch him. Slap, bang, wallop…

And what makes it worse is he turns up to school black and blue with a businessman’s briefcase filled with bricks and his school books inside that he can’t even use.

It’s funny now and they still laugh about it to this day. But the moral of the story, if someone has some advice to give you, with all good intentions, make sure it’s not just going to be bricks in your briefcase.

 

 

 

How to manage your trading bank

Your trading bank needs to be preserved at all costs. It makes no difference if you have been Trading Banktrading for a week or a year, that rule is law.

When I first started trading using Vince’s system I paper traded for months and months. And even after that, when I finally moved onto real money, I was still unprepared for the live markets.

I had many a shaky moment because I was still nervous, but in hindsight my bank was always well safe. As a beginner though and even as positive as I was you still imagine all sorts of crap.

So what and how did I manage my bank? Well it’s nothing new but this is what worked for me.

First I divided my bank into 20 unit blocks. Each block was my liability that I was willing to lose on a single trade. This took away a lot of the fear of losing my money. If I was to fail after all the paper trading, it meant that I’d have to have 20 continuous losing bets.

I could not see that happening after my test results. And I was right, it didn’t happen, not even close.

Each block was then divided into whatever number of units it had to be so that I could trade the market properly. If I needed 50 points to trade a particular share that was the price per a point. If I needed 300 points that’s what I divided it by; I never deviated. I remember once trading at 10p a point on certain markets.

I only ever had 6-8 separate positions open at any one time. So even if there was a stock market crash or something that wiped me out, I’d still have enough of a bank to start again.

At certain points I let my trades expire/closed as many as viably possible and then divided my bank by 20 again. Although this was not really necessary, there was something about looking at my bank as a whole in the early days. It gave me a clear picture of where I was.

Once this was done I’d increase the price per a point. I only had to decrease my point size once.
I also regularly use a sliding stop so I locked in profits and reduced my liability along the way.

There are many ways to manage your bank and of course it’s whatever suits you. But that is what and how I have done it. Add to your winning trades and cut out your losers.

Asian handicap financial bets

Asian handicap betting is often associated with betting on football. Binary.com has however introduced this type of bet to their trading platform. Now you can bet on the random markets with the added advantage of a handicap.

The normal “Rise” markets have a fixed price barrier. But now if you use the Asian bet feature you have the advantage of a moving barrier/spot price.

For example, if you purchase an Asian “Rise” bet, you are betting that the price of the market will be higher than the price you bought at. But if the price of the market was to fall and move against you, the barrier also moves unlike the traditional bet.

This is very interesting and could be a great way to trade. Like all Asian handicap betting you are being given the advantage of better odds of winning the bet.

Asian handicap betting

The safest way to test a trading strategy

For most people that are new to any sort of trading, their biggest fear is wasting their money. This is totally understandable, but you have to start somewhere and you can’t win them all. So what do you do?

Use a virtual account is one option, but it’s a crappy solution really. The big problem with virtual money is that you are never going to feel the emotions that come with using real cash. And it’s these emotions that often dictate the new trader’s results.

The one place a virtual account does have a place though, is actually using it to see how the website works, how to place a trade, how to put stops in and so on. Just don’t expect to recreate the virtual success when it comes to your own wonga.

Another thing is I dislike the saying only put money in that you can afford to lose. To me this suggests that it’s money that you have no respect for and don’t care about. For many of us that is just not reality and I think should never be so.

So what is the safest way to test your new skills or system? Personally and from what I know now its to open an account at binary.com and fund it with just enough money. Just enough that it’s going to be gutting if you lose any but not so little that it doesn’t bother you at all. Everyone is different and obviously finances vary so you have to find your own point of comfort/fear to invest. It might be £50 or it might be £250.

Here’s a good way to judge what this niche point is. Imagine going into a High St. Bookie, and you know that you have a 90% chance trebling your stake if you win whatever bet you place, but understand that you still have a 10% chance of blowing the lot.

So let’s say I’m happy having this one bet for £50 because I have a really good chance (90%) of trebling my £50 into £150 but I could live with it, just about if I lost my £50 trying.
Really get the feeling for doing this as it will give you a sensible starting bank. And you will also evoke real emotion.

Then once you have decided on your bank size either split it into 50 units if it’s large enough or set a percentage to bet with something from 2-5%. Remember there is a £2 minimum stake.
Then just place a single bet at a time until you gain some confidence.

The good thing is that you know your total liability upfront using fixed odds (binary) but you can get to test your system, skills and emotions for real and all together.

They do also offer you a virtual account over at binary.com so you can get used to the idea first.

OMG Millionaire Traders

Did you see the BBC2 documentary on last night, Traders, Millions by the minute??? Everything seemed to point at day trading. It was almost like long term trend trading didn’t exist.

I mean some of the utter madness that they showed was astounding. Computer screens here there and everywhere. Investing with no actual plan, just guessing market direction. No profits for 7 years. Unbelievable.

Funny thing was that they mentioned the richest people on earth of which many were traders. But I bet my last trading penny that none of them were day traders.

If you haven’t seen it, it’s on iplayer and you really must try to watch.

I was writing the script for the programme as it was playing. Like the mum that traded a demo account up to 1.6m. I sat there thinking wait until you use real money. And the guy that had been trading for 7 years and never made a profit. Crazy… why didn’t he try something else?

Also, not once did they mention the type of trading method or system the people were using.

In fact I’m sure some of them had no system at all. Even though some were of the thinking they had some insight, they were just talking garbage and had no idea.

The guy with the porche, who most certainly looked like he was making a good living; never gave an insight into his activities which I think should have at least been mentioned. He said he had been trading for 17 years so maybe he had something to share?

Supplying information on how to profit from the financial markets is not like supplying tips for horse racing. The price is not likely to be affected. So that guy had nothing to lose by spilling the beans really; even if not in its entirety. But he admitted to not making more than a £1000 a day after 17 years of practice. And obviously he had losing days.

There is just no way a day trader will beat a long term trend trader, that’s for sure. Yet so many people think day trading is the golden goose. Yes you could make a profit by the looks of things. But to make certain I’d need to test a system for a year. And there is no way I could honestly manage to do it. Or do it without going bonkers.

Day trading is so stressful. And that’s going to be whatever system you’re using to do it. But I get so many emails asking about it from one angle or another. Just what is the attraction?

One thing is for sure though, a least have a plan of attack before you start to trade. Even if it’s a plan to only break even, you’ll be gaining experience without the cost.

 

Binary Trading System

It seems like I haven’t had 5 minutes to myself over the last few weeks. From the last week of the summer holidays my partner and I have been working on a new website. Well let me re-phrase that, I’ve been doing a lot of writing for him as it’s his new venture.

I have written and re written a course that he will give away on the site, and even though it’s at last almost finished, the finish can’t come soon enough.

It has been really stressful and hard work. They say never work with family or friends, but seriously working with partners can be sooooo trying!

As I’ve said a million times before, trading is so much easier than most other things. But if you are like me and need to have something to do, you’ll find yourself in these situations from time to time.

Anyway his site will hopefully develop over the coming years and become a brand. It’s all to do with writing copy, SEO and advertising. It’s something he really wanted to do because he is very creative. He kept putting it off, amazingly through fear of failure in a roundabout sort of way. But as we all know, winners find a way and losers find an excuse.

So that’s what I’ve been up to, and checking my positions as always once a day.

Binary forex system

I’ve mentioned forex trading and binary’s before, and had planned to include this system in a new eBook. Instead I have decided to detail it in this post.

 

Pinbar Binary System

Binary option trading is a great opportunity to get started trading for a small bank but can also accommodate the largest of traders banks, so there’s plenty of room for you to make some serious money.

There are many ways to trade Binary’s and why many have their merits, I find most over complicated and the other inaccurate.

Unsurprisingly my favourite strategy relies on trends and price movement using simple candle charts and support and resistance lines. All you need to do is make a decision once you have identified the trend.

Getting Started

So first you start with a blank chart, remove all other indicators, so all you are left with is the candlestick chart. Use this for your charting, Meta Trader and it’s free.

Next, identify the direction of the trend. Is the trend moving up so you buy, or down so you sell?

Once the trend has been identified add support and resistance lines using the chart information.

Now what you are looking for is the moment the price rebounds off a support or resistance line and moves in the direction of the trend. This is when you look to place your trade.

This will work with all time frame of charts but the longer the time frame you use the easier it will be to identify a trend that is stronger which will help produce better and more accurate trades.

Take a look at this chart so it’s easier to understand.

Pinbar trading system

 

As you can see, this is clearly a down-trend. You can also see the trend lines that are identifying support and resistance rebounds and our trading opportunities.

OK so now using all the above information we are now looking for a particular candlestick called a pinbar reversal, this will signal that the current mini trend is about to reverse.

A pin bar reversal pattern is made up of a much longer wick and a small body, which will be protruding from above or below the body. They are very easy to identify on your charts with a bit of practice.

pinbar

As a rule the wick should be at least 3 x the length of the body.

Trading a Pin Bar Setup

Firstly you must make sure that the identified pin bar matches the details outlined above. You do this once the candle you are analysing has closed. This is because there is no other way the candle can be identified to confirm a true pin bar.

Next you must make sure the pin bar has formed at the top or bottom of a trend, the ideal scenario being at key support or resistance levels.

If you find the pin bar forms at the top of a trend and this area corresponds to market resistance, this a great sign for a potential short trade, and a pin bar which forms at the bottom of a trend at an area of support is promising for a long trade.

pinbar1

Entry Point

You only want to enter a trade where the pin bar has formed above or below a support or resistance line. This may mean waiting longer for a trade to materialise but your strike rate will be that bit higher.

Then simply buy or sell the trade on Binary using the higher or lower trades. 15 minutes is a good place to start.

binary screen

This is a very simple binary system to use. And as I said, you can use meta trader for your charting and that is free.

As always, don’t rush into this and start with real money. Take it easy and paper trade and see how you get on. It’s has around a 70% strike rate so a good idea is to practice a 100 trades and tally up.

How to get a free copy of Vince Stanziones course

I thought of this over the weekend and realised it’s a great way that you can invest in Vince’s course without even using your own money.

If you have read the blog for a while you’ll know that my partner and I love football, and we make money claiming the bonuses from bookmakers offered on football matches.

Also you’ll know I totally endorse Vince Stanziones course. But another product that is unrivaled is bonus Bagging. Although the profits are way smaller than trading the financial markets, it’s quick easy money that only ever takes a few minutes to implement and is risk free.

In fact once you have claimed all the bookie bonuses, you can sign up for the profit maximiser that gives you a constant stream of reload bonuses that you can batter the bookies with month in month out. On average you can make an easy £1000+ each month from the bookie bonuses.

So back to my idea, if you go over to Bet365 and sign up you get up to a £200 bonus. Ladbrokes £100, betfair £50 and Betdaq £50 so in all £400 in freebies.

You’ll cash out around 2/3 of that once you have arbed it off. You then buy Vince’s course and bonus bagging with the profits. If you have bonus bagging then get profit maximiser. Then you can go on to make, well whatever your imagination can handle.

What’s more is that you have never risked a penny of your own dosh so you have an even greater chance of success. Why? Because you shouldn’t have the fear of losing your own money, frightened traders that are scared of losing normally do just that.

Obviously don’t act like a moron, you still need to respect your money even though it’s free.

So there you have it, a genuine way to get your hands on Vince’s course for free.

It’s a trader’s privilege

This is probably the first year that I have really decided to take a break over the summer holidays. It actually made me realise how very fortunate I am.

My partner is super busy working on eBooks and designing a new site. So we agreed that I’ll do the lion’s share of family commitments so he can move forward at the fastest pace.

It’s been great to be honest, and we are not going abroad during this period so there is no pressure there. It’s also a great chance and excuse to catch up with friends and family.

I went to London today for lunch and shopping. I love London, and as the train pulls into waterloo my heart always skips a beat. I’m off to the Zoo on Friday and we are having friends over for a curry Saturday evening.

I couldn’t do all these things if I had a regular job, so I’m incredibly grateful. But there is no way I’d have the time to do it all if I was working the 9-5.

When you put it into perspective, doing what you want to do and not what you have to is the real indicator of success. Wealth is secondary.

The best time to start a business online is now.

making money onlineMaking money online seems to remain a dream for most people yet now is the best time to be starting an e-Business. Why? Because building a solid business/website now has clearer guidelines to make you and your business successful.

Another consideration if you already have a local business that you are running like electricians, hairdressers, dog groomers for example is that you can dominate your local competition with relative ease by following some basic guidelines.

So even if you don’t actually sell a service or product online you can still make more money by having your dog groomer’s website ranking well in Google business pages. So it beats trying to rank on the first page of Google when you’re up against all the other competition from the entire planet.

The thing you need to be aware of is trying too hard. I see that a lot in trading. New traders overdoing it and ruining it for themselves before the party’s got going.

You need to plan out what you are going to do. If you’re building links, don’t build 20 in a week and then none for a month. Do it steady, a couple every day or so. If you’re writing posts have a system or method in place. Write one post a week for SEO value and one post a week for reader value.

It’s hard work to run a business online but the rewards far out rank any hardship. You just need to keep going.

You don’t need to come up with the next big idea to make money from the web. Most things have already been done, you just need to do things better… or different… or for a certain market.

An example: go onto Amazon and look at the bestsellers, I found this it’s got over 150 reviews so it’s popular. But how about doing a body weight programme for women? Or over 50’s?

Or what about a trading website for the over 50’s, or a women’s poker blog? The possibilities are infinite when you think about it.

 

Shares to watch

If you are still undecided as to whether financial trading is for you, I thought it an idea to give you some charts to look at to see if you could make a profit.

These charts are all potential BUY positions, they are all US shares, and all found using Vince’s system so we are keeping things simple.
You can bookmark this post or take a note and see how many points profit you might have made up until January or May 2015.

Using sharescope you can flick through once you have set your moving averages and find trades that might be about to really kick off with ease.

Amazon had a weaker start to the year but looking at the signals I think this could start to pick up especially coming up to Christmas.

amz

 

 
Starbucks is still strong and I can see this going on to $100 + if you look at the thick black moving average you’ll see where the price rebounded of it and continued. Can you see it’s a nice trend that is steady without to much volatility.

Starbucks

 

 
Intel has stayed in range for the last 10 years but is about to reach its highs of 2004. If it brakes $32 we may see it keep going.

intc