Im back.

Ok, well I am up to $1004 now. Earlier today, I broker a cardinal rule and tried some scalping.
BAD move. I lost $300. Ick. No more scalping for me.

New Balance $300

Well kids, this makes for a 300% return. Yikes, that was alot of work.
I learned a few things.

1. My broker, FXCM has terrible slippage
2. Find a broker who doesn't manipulate prices

So that being said, I gave a buddy of mine a call and asked him who he uses.
He uses IBFX. The guys that do my charts also use IBFX.

So.... Im closing my account, and transferring funds into a IBFX account.

This means no trading for a week or so.

Its a learning process, and Id rather get this out of the way now with a lower balance than later with hundreds of thousands =)

New balance is $155

Ok so I started with $100, I am at $155, Thats a 55% return.
I didnt trade this week due to a lack of good setups.
This happened because of the Japanese central bank's intervention into the market.
It turned everything upside down. I have several good setups coming up.

FOREX Scalping - Making Regular Profits to Build Long Term Wealth. And Why Scalping Could Cost You.

It’s a traders dream, getting in and out of the market each day and earning a few hundred dollars here and there which over time to make huge long term profits.

It’s the aim of an increasing number of traders, but you need to be aware of one important fact.

Day trading does not work and intra day trading in forex markets means the only person who gets scalped is the person trying it – normally of their entire trading account quickly.

So why doesn’t forex day trading and scalping work?

The answer is obvious if you think about it, so here it is:

Each day trillions of dollars are traded by millions of traders who fall into four main groups:

1. Hedgers – Who are not looking to profit from currency fluctuations but simply looking to hedge their portfolios.

2. Central Banks – big players, who intervene occasionally to stabilize currency, markets should they believe it necessary.

3. Large traders – Well capitalized individuals and professional money managers.

4. Small speculators – Everyone else.

They all think differently and they all have different objectives and different methods and to say you predict what these vast diverse groups or traders will do in under a day or less is laughable.

But people buy into the myth and they lose all the time.

So why do people attempt it?

Well many are attracted by marketing copy that promise riches with low risk, but of course the people who tell them this and sell them the secrets, don’t trade themselves they make their money selling courses.

Other traders think it is a low risk way to trade but if you cannot predict where short term volatility will take prices you will lose – you can’t get the odds in your favour and may as well flip a coin.

So forex scalping does not work and by its nature will never work as volatility can and does take prices anywhere in a day.

Ever seen anyone who sells a course or claims to have made money forex scalping with the proof?

By this I mean a real time track record ( not a meaningless hypothetical track record done in hindsight) no neither have I.

Forex scalping is not a guaranteed way to win, it’s a guaranteed way to lose in forex trading and lose quickly.

Forget the hype of forex scalping and see the reality for what it is, a great way to lose.

If you want to trade currency markets get the odds in your favour by trading in periods where the data can actually help you put the odds in your favour

Todays Trade

GBP/JPY was in a oversold condition today. Moved out of oversold and is on its way up.
I am up 60 pips and counting. This is going to be one nice easy trade.

I've decided to refine my trading strategy a bit a stop scalping. I believe scalping will not work in the long term and may actually cost me my entire account. I refuse to do it anymore. Its too risky.
Read my post on scalping.

taking a break

Well with the financial markets melting down, Forex is way to volatile to be predicable, and my pip spreads are horrendous. So I am gonna wait a bit to see how things pan out before I take rash trades.

Nice

Its been a good morning. Before work I did a little scalping on the 1 minute charts.
Todays P7L $28.83

Off to work.....

On another note, I dont expect $125% returns to happen forever. So Im not going to bother to update the "weeks to goal" since it wouldn't be realistic.