This is a personal misery article, you may not learn much about trading, so don’t read it.
I started trading forex in 2013 after moving back to Europe. Here, in the smaller money, more scammy world you did not need 25k for a trading account, the bookmaker style, we write IOUs on a white board somewhere on an OffShore island was not particular about size.
In March 2014 I signed up for a Forex course in London. This was a month long proposition by SouthEgg Capital to try and earn a living trading Forex. Noone ever did, the company went belly up. So much for conventional risk managrment ideas.
I had 3 personal accounts throughout the yesrs. The first one was “fixed spread”. Big mistake. The second one gave me 300:1 leverage, but to avoid a margin call I had to call in and beg the clerk at the desk to credit my deposit already at any hour of the day.
I probably lost £35k of my own capital, and all IOUs got wiped off the white boards without exceptions. I even had an equity call one time, which is really hard to do: a fully hedged account can be blown up by the broker cranking up the spread until they manage to take the equity below zero.
The current, 500:1 leverage account is over 2 years old now.
It has been blown up a few times. $146,000 got posessed by the broker, and some of it was my own capital (After taking out $7,600 later today, the net deposits would come to $35k). Not sure why, but Forex Factory shows it like all of it was deposited I have also made some withdrawals with this broker.
So now, that we pointed out that I cannot make money with Forex, let’s talk about what I can make: large percentages.
The account had $500 on it on the 23rd of November, 2021.
Today, on the 25th of February, after 2 withdrawals (2x$1,300) the equity reached $18,469, so the total got to $21,069.
The balance is higher, as I have open positions 100% of the time, but that money less the equity is the broker’s end of the bargain.
The time period was about 3 months. What does 4100% remind me of?
I have never seriously considered trading cryptos. The white board companies run some opening hours that I can’t figure out, and the crypto exchanges with access keys & wallets is a whole new level of endless scams that I am not curious about. Crypto Face and his 20 years of trading ecperience is safe from me for now. Phemex does not cater for Europe and I have no reason to start calling myself Clepto Face and start naming my indicators Market Stifle etc.
This blog entry was meant to show you how difficult it is to make & keep Forex gains, and when someone is claiming to have made 41,000% gains, be very, very sceptical & that’s all I’ve got to say. Don’t follow my lead, but learn from my mistakes as someone has to.
the 4,100% Guy