Forex Edge - Trading for pips

Wrapped up for the year

2006-12-24T14:04:00.000-08:00

Happy holidays to everyone. I'm wrapping up my 3 months of trading, with nice returns for all the systems mentioned.

I have opened up an account at one world capital group, as recommended by FreedomRocks. They are paying 3x the swaps, with 400:1 leverage on the 98% correlated pairs EUROUSD and USDCHF. I'm switching to use this pair as it pays decent swaps on a yearly basis and its hedging positions is 98% correlated.

I'm resuming in January 2007.

Nov 11th - update

2006-11-11T11:34:00.000-08:00

FreedomRocks

The found has found us a new broker, who pays us 3x fxsol's interest rates!

I closed my positions last Friday and jumped back in the market on Thursday. Increased by lots to 7x what the system recommends, and made a nice few trades on Friday.

I'm reclosing my position and going with new broker.

First Full Month Results!

2006-11-04T22:41:00.000-08:00

FreedomRocks

My results for the month has been no less than spectacular, as I closed my mini trades and all hedge positions with a nice 22% up... I decided to liquidate the hedge so that I can either:

1) move money to interbankfx to gain twice the interests
2) or, buy back gradually larger margin and compound my gains
3) keep in mind I only earned around $210 in interests due to FXSOL cut back its swaps!... but made the rest in trades from going 3 to 5 times recommended lot size

Moving money around could cost me a week of interest and trades... I might just wait for GBPUSD to pull back after its run; however, calling top of the market is difficult and speculative.

I would enter a small 2% position, and gradually increase to 10% as the market pulls back... but this time, my position size will increase according to how much the market pulls back... for example, if a currency pair pulls back 100 pips, I would buy in at 0.03 lot, if it keeps pulling back another 100 pips, I would increase next position to 0.06 lot, and again to 0.09 if it pulls back another pips... but not to exceed 0.09 thereafter.

GMT system is going along as usual, and I am writing various EA in demo mode to automate some of the mudane market movement.

I'm trying to put content together for www.currencyhedger.com , to discuss hedging and create new EA to help us trade.

Oct 22nd-29th

2006-10-29T09:00:00.000-08:00

So far the FR system has been excellent. The open positions are in profit as the GBPUSD swings higher. There were several trades trigger for yen, swiss and pound. Overall, the system posted $70 in interests, three trades of $97 to $105 a piece.

I'm up over 13% since inception, drawdown +$150.

At this point, I believe the equity drawdown is now mitigated, as my account balance has grown to offset a +/-10% swing in the portfolio.

Disclaimer: Past performance is not an indication of future performance.

Oops. Can't post results any more

2006-10-25T18:56:00.000-07:00

Oops. Just went through complianc training. It appears that i cannot place any results here, only historical return range plus alot of disclaimer.

I have to remove these reportings or they might terminate my freedomrock representation. Sorry guys, you can always email me to get a copy of trading statement.

Cleaning up...

October 16-22nd Updates

2006-10-20T22:51:00.000-07:00

First of all, I want to thank all of those you signed up under me for FreedomRocks system. It helps to motivate me to have people following my trading activities and helping out each other to create an additional income stream. Aside from the money, it's the learning a new financial tool that makes it exciting.

If you decide to join FreedomRocks or any other system, please have an entry, exit, and money management plan. Don't over trade your account size. Market will always be there, and we can always come back and fight another day.

As usual, don't hesitate to contact me via email khustin@safe-mail.net if you want more explanations, have a question, or want to see some proof of trading activities. I can't post PDF on this blog. I need to migrate to another platform.

FreedomRocks Update - For starting traders
There has been some nice corrections this week from various currencies such as EUROUSD and GBPUSD being oversold. This helps FreedomRocks system quite a bit by bringing drawdown into positive territory from $-1200 to +$104.

I got three trades: USDJPY, CHFUSD, and GBPUSD with a little bit of gains and swaps.

{stats edited out due to compliance regulation - contact me }... historical data does not guarantee future performance.

FreedomRocks Signup

GMT Systems for intermediate/advanced traders

100% hedges
GBP/JPY has been quiet for the past two weeks until Friday. This currency is on a rampage for the last year and will continue to go up as GBP will increase its rates and JPY economy remains more or less the same. Plus carry traders love this currency and will jump into to make it stable.

The interests payment is still $22.4 a lot, seen as high as $30 this week. But due to interest rates increases from central banks in Europe, this will keep going up, while Japan will prop its economy with artificially low rates.

Total Interests earned on 4 lots so far: $1000 (expecting $2700 a month).

System challenges:
1) big swings in the market requires that I deposit more cash into the hedge account. I might have to reset it soon costing me about $150 to reset to pay the spread.

2) I got caught on the wrong side from shorting currency without proper stops. This essentially wiped out all my piggy trade profits. {keep in mind piggy trade is meant to keep the broker happy from trading activities}.

3) Lesson - never over trade, and always go buy piggy long on the short gbpjpy account. This will cancel out margin requirements.

October 8-15 updates

2006-10-14T23:09:00.000-07:00

Another steady week of trading activities. I'm available on SKYPE as "forexedge", so don't hesitate to contact me about my trading activities and FreedomRocks experience.

I think with recent HYIP fallout, it's best that we all learn to trade for ourselves without much effort. The philosophy is to take safe reasonable trade size calculated risks, and get steady returns. These HYIP programs are risking way too much margin. Statistically, they will fail due to one or two bad trades. They are always under pressure to produce spectacular returns to pay themselves and speculators.

My approach is to find a system that has least drawdown and excellenet returns, and scale up with more margins and money.

The theme for this blog is "take control, take charge, trade for yourself, become indepedent of other people's actions".

I believe FreedomRocks offer decent returns with reasonable drawdown (as long as you make small trade size and small margin hedges). Sign up under forexedge, and I'll do my best to support you FREEDOMROCKS SIGNUP

FreedomRocks - Good entry point to learn hedging, Forex, and make some money!

FXSOL - the recommended broker platform for FreedomRocks reversed its swap policy and is now paying interests once again! FreedomRocks has about 2000 customers trading with FreedomRocks. So the lobbying seems to have helped.

I had changed my mini trade size from 0.03 lot to 0.05. My profit went up to $112 to $121 per trade. Pretty happy about that... The portfolio does seem to be out of balanced, but if it does, I'll probably readjust quickly. This lot size is about 5% of the hedge position. Ten of these could quickly imbalance the hedge positions... so I must be careful. Others have tried up to 12% and seems to have no problem (yet).

For those who are beginning, please demo with 7.5% margin and make your trade about 0.03 lot size. You should see acceptable drawdown (10%), decent interests, and profitable trades.

Since Inception:
{stats edited out due to compliance regulation - contact me }... historical data does not guarantee future performance.

So far so good. Made some good numbers:
1. 100% Hedge - {stats edited out due to compliance regulation - contact me }... historical data does not guarantee future performance.

2. GMT Hedge - {stats edited out due to compliance regulation - contact me }... historical data does not guarantee future performance.

3. Piggy trades on GBP/JPY lot size 0.01 , profit target 8-12 pips to keep interest free brokers happy : made $150, lost $120 due to trades caught in high market range.... lesson #2 - remove greed/fear and replace with logical trading plan. Learn to straddle!!!!

4. Studying Grid Trader EA combined with hedging - paper traded 144 trades this week, made $150 on 0.01 lot size, profit target of 10 pips, with open position of +$2... no drawdown yet for the week. Not bad! If I just trade with 0.03 lot size, we're looking at $450. Refining and finding a broker to do this.

Summary - Not a bad week. Let's see if we can keep this up. So far, all of my trading strategies have cleared all drawdown and sailed into profit level. Lets see what October brings.

Status Report

2006-10-06T07:26:00.000-07:00

Freedom Rock - For anyone
I have enhanced this system's returns by tripling up on the trades from 1k lot as recommended to 3k lot. My trade profitability increased from $12 to $45. Total running profits for last two weeks are $518! ... using only 7% margin of account and drawdown of less than $1000. The actual drawdown today is only $506 and decreasing by swap payments. Swaps are interests payment made by the broker.

This system works well with its buy low, sell high approach. The hedge positions keep you in the market at all the time, while earning interests slowly during quiet time. Please don't miss this opportunity and signup with me. I'll support you to get started, with this an other strategies: http://www.freedomrocks.com/forexedge

100 % Hedge and GMT - For advanced traders
Not bad for passive income $153 on 100% hedge, $116 on piggy trades, and a nice net $1000 this week on GMT system. Check out the GMT forum. This requires a little more work for you to setup and navigate, but in the end, it is less risk, more profitable, but requires more capital. The market will always be there, build up with FreedomRock or 100% hedge first.

Lets see if I can make it through October in profit... now that I have a buffer. I have change freedomrock to trade 5k lot size now instead of 3k lot size per trade, leveraging my profit margin... expect each trade to profit $74 instead of $45.

One must always balance fear and greed by having strong money management, properly size accounts, and patience.

100% Hedge System

2006-10-02T21:52:00.000-07:00

It's my second day of the 100% hedge system, where I bought 1 lot of GBP/JPY and sold another lot at a different broker. In addition, I'm doing 10K mini trades along within the support and resistance range.

So far, I'm doing $22 a day in swap and $28 in total trade after the market moved like crazy. It's a simple yet effective system. My mini trades hopefully will keep the broker happy.

I have found another IBC who support Metatrader. Hopefully, I'll be deploying an Expert Advisor who will punch in my grid trades automatically.

Projected revenues: $660 minus $150 spread the first 30 days, equals $510. Hopefully, the mini trades will make another $100 a week or so.

Now, I just need to scale up to 10x the amount and safely earn my revenues for a little while.

Introducing GMT System

2006-09-24T07:35:00.000-07:00

I am studying GMT system with incredible intrigue using my demo account.

100% Hedge on any high yield pair
This pays around $22-38 daily, based on a 1 lot 100K. Requires $12,000 to let account swing. Rebalanced is required once margin call is almost reached, but little capital lost due to 100% hedge (buy and sell on the same pair). Only the spread is paid, but interests should cover the spread within a week.

Requires piggy trades of .1 lot of 100k to keep the interests free broker happy with spreads. Little bit of maintenance work, but it's fun to do.

Although not 100% risk free, it comes pretty close.

GMT Hedge on GBP/JPY and GBP/CHF

Hedging with a single broker by buying GBP/JPY and selling GBP/CHF during GBP/JPY touch around lower band of bollinger band. Entry can be spread about to even out the risks.

Interests are paid using spread, typically $10 per 1 lot of 100k units. Pair correlation is not bad, so drawdown should be within 100 pips. Sell when in desired profit level.

Current Status:
Opened accounts at BPS to transfer funds for free to FXDD, CMS, and now Forex Liquidity. I got three wonderful broker to execute 100% hedge, with piggy trades with EA grid microlot.

Freedom Rock Live with Triple Hedge GBP/USD, CHF/USD, JPY/USD

2006-09-24T07:17:00.000-07:00

Well, after observing about 7 different accounts and understanding the volatility, the market has corrected and I have entered into positions due to USD/CHF and USD/JPY corrections.

I entered into USD/CHF, USD/JPY and GBP/USD in proper proportions. The projected interests daily is $10.25 with only 6.5% margin invested. I'm expecting volatility to be around +/-$1000 at any time, of course, major corrections could occur, but buying in during correction seems safer... but a fully hedge portfolio and small margin entry is less risk than a naked trade.

Is this the best entry point, perhaps not... but bottom is very hard to find especially when I'm not in front of terminal all the time. But I should be loading up with 3000 units per trade as we keep going down 100 pips at a time... increasing my chf positions and earning a bit more interests.

Yen corrected to a comfortable entry point. Hopefully volatility will give us good piggy back trades.

Swiss Francs did a good job of correcting as well, although bottom is not found, it's a better entry point now than a couple days back.

The british pound is at an all time high once again, but we're fully hedge with CHF, so we should protect ourselves from a crash... Enough to let account float +/-10%... while earning swaps.

Welcome

2006-09-09T11:15:00.001-07:00

It was labor day weekend. High yield investment programs were failing, even some of the most reliable solid programs were having trouble with drawdown. But, it's a good thing none of them actually closed out and ran away... yet.

I was determined to find an alternative... Marchols told me about FreedomRock thread on HYIPDiscussion. At first, I thought it was a gimmick, and a waste of my time. After reading the thread about trading strategy and how people are performing in the last 6 months, a lot of it makes sense. I had worked for a hedge fund and they tried to automate the process using similar hedging strategies.

After debating back and forth whether to join, I started posting and communication with Freedom Rock traders and representatives. The results since March has been incredible in real accounts (some were doing double digit gains per month).

How does it work?

You use the portfolio allocator to determine the best mix of currency pairs to purchase. The mix would create a hedge to protect you from market movements and volatility. It attempts to lock the portfolio in a range of profit or drawdown. With fluctuations, you place small buys and sells to take advantage of volatility... yet you're protected from draining your account. Another tool is provided called the portfolio manager. It creates trade recommendations based on open positions and portfolio allocation.