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Foreign exchange margin trading capital management


As a speculator, the primary purpose cashback forex profit calculator the market forexcashbackprofitcalculator to obtain sustainable cashbackforexpipcalculator stable profits, and the method to achieve this goal is a variety of opinions, and there is no agreement, as in the Xiaoyaojiang Lake in the Huashan school of gas sword argument, there are many arguments in the field of speculation, such as long and short term, homeopathic counter-trend argument, wave Adam argument …… these These are some of the benevolent, the wise see the wisdom of the issue; for speculation is not to do learning, is a charlatan or scientist does not matter, the key is the final result: profit or loss Although in the analysis of forecasts and investment strategies filled with a variety of contradictory views, but everyone without exception in the management of funds and risk control to achieve a rare consensus that these two points are the most important factor in obtaining long-term stable profits One, how to make your margin and the number of open positions to form a ratio Before talking about this issue, I want to correct a misunderstanding of margin trading Many people think that margin trading is more risky than live foreign exchange trading. A foreign exchange dealer to provide investors with 200 times the capital leverage, not the same as investors in the transaction to bear 200 times the investment risk leverage ratio and trading risk is not directly related, and trading risk is linked to the amount of margin in the investors trading account and the number of open positions!  For example: a foreign exchange dealer to provide a mini account and standard account two kinds of margin accounts: mini account minimum number of open positions is 10k, in the open 10k positions, the exchange rate fluctuations per 1 point, the account to bear the risk of $1; standard account minimum number of open positions is 100k, in the open 100k positions, the exchange rate fluctuations per 1 point, the account to bear the risk of $10 is also 100 times the leverage, why the risk of mini account is less than the risk of standard account? The reason lies in the number of open positions on the number of open positions, the greater the risk of the account, I think elementary school students can understand this reasoning, but some friends who do real foreign exchange trading insist that the risk of margin foreign exchange than the risk of real foreign exchange, I am speechless Many friends who just contacted the margin to see me ask you where to open an account, how much leverage Belgium and other issues, I usually give them the answer is in Where to open an account, how much leverage does not matter, the risk of investment mainly comes from your own effective risk control method is to learn to self-control Back to the topic, how to make your margin and position match, my advice is: margin in less than $ 500, the number of open positions shall not exceed 10k; margin in less than $ 5000, the number of open positions shall not exceed 50k; margin in $ 10000 Below, the number of open positions shall not exceed 100k Second, the currency price fell to the important support near the position-building skills (a) difficulties: 1, to determine the strength of the support; 2, if strictly in accordance with the arrival of support to buy, easy to miss the opportunity; 3, if bought in advance, often the price is high, making the risk of loss of earnings ratio, stop loss is difficult to set (b) response skills 1, such as the strength of the support cashback forex is high, you can enter early; 2, such as the support level is moderate strength; 2, if the support level is moderate strength, you can enter early. 2, such as the support level strength moderate, can enter in batches near the support level, fall below the support level a certain magnitude of stop loss, and in the price rebound from the support level near the code, but the high level of the code position should be increasingly light (i.e., pyramidal code principle) 3, such as the support level is weak, you can choose to continue to wait and see 3, the price rises above the important cashbackforexprofitcalculator to open positions 1, before breaking to determine the strength of the resistance level and the probability of breaking  2, such as a high probability, you can consider entering in batches, such as: a) 20% of the funds in the rise above the resistance level before entry; b) 20% of the funds in the rise above the resistance level of a certain magnitude (in accordance with the principle of effective breakthrough space) after entry; c) 30% of the funds in the rise above the resistance level back to confirm entry; d) 30% of the funds in the process of rising exchange prices in accordance with the pyramid principle of continuous increase 3, such as the rise above the probability is low, you can choose Watch and wait for the breakthrough to enter; such as a) 30% of the funds to buy after the breakthrough b) 40% of the funds to buy after the pullback and turn up again c) 30% of the funds in accordance with the pyramid principle after the confirmation of the rising trend plus code IV, the price rose to the important resistance near the closing skills (a) difficulties 1, determine whether the trend market or range market; 2, prematurely close positions so that profits can not be maximized; 3, close the important resistance (2) response skills 1, such as weak resistance, breakthrough probability is relatively large, and the market is in the trend market a) close to the resistance level to close 10% b) near the resistance level to close 30% c) set up a stop loss below the resistance level by a certain margin, the price falls back and reaches the stop loss price, close 60%; d) if the stop loss price is not reached, and break through the resistance, the formation of a valid breakthrough, in accordance with the rise through the resistance Position building skills, will have closed 40% of the position to wait for the opportunity to cover 2, such as strong resistance, and the market is in the range market a) close to the resistance level of 30% b) to reach the resistance level of 40% c) in the resistance level below a certain range to set up a stop loss, the price falls back and reach the stop price, flat 30%; d) if not reach the stop price, and break through the resistance, the formation of an effective breakthrough, in accordance with the rising resistance building skills, will Has closed 40% of the position waiting for the opportunity to backfill V. Stop-loss setting skills 1, to determine the characteristics of the market, whether it belongs to the trend market or range market; 2, a good stop-loss price to a good position price as a prerequisite; 3, uptrend operation in the operation of the trend, the stop loss can be moderately relaxed; 4, for the rise in the probability of a relatively large position stop-loss range can be appropriately relaxed; 5, the range market in the position stop-loss range can be Relaxed; 6, down in the process of grabbing the rebound counter-trend operation stop-loss range should not be too wide