Master Forex - V courses - the best for forex education
3 forex books about technical analysis - Sensational Findings
The 6th delusion. Is a successful trader a lone
wolf or a team member? The great traders' experience.
A popular stereotype, saying that a Forex trader is a lone wolf, who never shares the secrets of his/her TS with anybody, can be met at numerous internet forums on Forex. In the near future the saying can be turned into another Forex pseudo-axiom impressed on the world's traders for some reason.
Aren't there too many weird things?
· Wolves live and hunt in packs (only the sick, the old/feeble, and the useless are got rid of)
· DCs warn the clients at their forums on behalf of some successful traders against sharing their successful TSs otherwise they will stop bringing profit as the market will take the methods into account.
· So, what is the advantage of such a lone wolf (with his/her fears, complexes and lack of aid) coming face to face with the market? Can he/she handle the situation without well-timed online data – his/her DC has just caught the stop-losses or it is a correction wave of the senior TF that will probably be followed by a strongest trend wave.
Then who will benefit from telling stories about majestic lone wolfs? Traders or those who want to turn them into preys?
Have you ever seen such a trader who wouldn't like to discover another successful trader's secrets for fear that the elements of another successful trader's (!) TS could be revealed and taken into account by the market? (Probably, that is the reason why the caring agents of some brokers/ DCs like Alpari, Forex Club, Kalita Finance, Liteforex and dozens of others (who nurse their traders) banned mentioning Materforex-V)
How is the market going to take into account these secrets? Will dozens of millions of traders in the world read the very same message written in Russian and hidden among thousands of internet forums on Forex? Or maybe the Founder of the Game lives at the forums of Russian/Chinese/Mexican/Indonesian-speaking internet communities of Forex traders and makes changes to the software installed on the Main Computer each time somebody posts a message in any of the 100 (or more) languages… doing it daily…annually?
May be there exists another reason why DCs/BCs create such stupid myths for manipulating traders?
Those who tell traders tales about the majestic lone wolves want them to be feeble and unprotected. They (DCs) want the traders to thoughtlessly open real trading accounts and to base their trading on the recommendations of the analysts hired by them (DCs)… Well, that is not a wolf… it is a representative of a flock of sheep bred for flesh.
Who has more chances to win: a single person or a team?
It depends on the specifics of your work.
If you perform some simple tasks where a team cannot make your business MORE PRODUCTIVE then you do not need the team (for example, an artist, a translator, a sales manager of the unique-product department with a few customers a day etc.)
Team work is needed only where:
1. A rich market niche exists
· For example, compare Forex with the market of landscape (paintings) buyers (Which group of people is more numerous: the buyers or the street sellers of landscape paintings?)
· Traders work at the world's richest market, so they do not rival each other in trading (as opposed to the graduates of art schools) as the work and the profit will be enough for everyone.
2. A specialization is needed as in any corporation from motor industry to trading
· It is impossible to be at the same time an expert in painting technology, electronics, design, assembly technology, engine elements, brake system, air bags, fluid mechanics and hundreds of other professions. After that make a conclusion on your own by answering the question: can the world's greatest inventor bite a niche of the auto market off any motor vehicle company and hold it. No, he has not a ghost of a chance.
· And what about traders? If the global financial system they decided to work against is thousand times richer (and consequently more complicated and powerful) than motor vehicle industry.
Trading is as difficult as radio-physics, neurosurgery, where nobody can work and rival and achieve the same results alone as the core enterprises of some institutions do (teams including experts in all the fields involved).
Having understood MF's algorithm of team-work advantage at Forex you can easily trace the algorithm of the regularity of a Forex trader's path.
a) A novice trader decided to trade after learning 2-3 Forex secrets from some books (for example, channel drawing + stochastic divergence)… What does he/she need a team for? To draw a couple of channels for some currency pair on some TFs? To monitor the stochastic?
I hope you understand what his/her trading will result in? (Him being a lone wolf dreaming of beating the whole global financial system through the channels as well as dreaming of making a fortune equal to Soros' one). It goes without saying that such secrets are taken into account exactly to search for preys.
b) If you are (or want to be) a professional trader you need systematized info about the changes in the following algorithms of the current market:
· Protective orders of the exchange market
· Commitments of Traders Report (COT)
· Bulk of prey-traders' orders
· The work-off of the current-trend waves and sub-waves
· The positions of the allied currency pairs (from over 100 currency pairs to energy sources, metals etc.) – whether they will force the trend to advance further (when in the middle of an H1/h2 wave) or they are ready for a 100/200-point correction after reaching (completing) the targets of the whole D1 wave.
· The related indexes of each currency pair
· The match of S/R levels based on the theory/calculations of Murrey, Fibonaci, Demark, Dinapoli, MF and others.
· The signals of unique private indicators developed and combined with a certain market zones by specialists, who are equally good at Forex trading and programming.
· And many others, owing to which each step of the controlled Forex market becomes logical, consecutive and understandable.
Amateurism vs. Professionalism: the differences on the example of the simplest trend reversal pattern.
Every Forex newbie knows the classic reversal pattern Head-n-shoulders.
· The classics recommend opening a SELL position when the pattern is spotted on the chart (see the zone on the picture below that is marked with a circle.
· The classics' recommendations hold true only in half of the cases.
· Even in the working cases (when the H-n-S pattern shows up) the classics do not provide traders with the techniques of calculating each step of the currency movement at the reversal shown on the picture the way it is done in the new TA by MF (see the picture)
· The classics do not even explain that the SELL position is obligatory to be closed at the minimum of the movement otherwise the market will definitely catch your stop-loss+1 in non-profit (the so-called MF's short-term deals with the obligatory closing of the position at the pre-calculated minimum)
The reversal algorithm from the viewpoint of MF TA (tech analysis)
· The protective orders under the base of wave 5 are broken through
· 162% Ŕ + 200% ŕ(Ń) + Oanda's buy-limit orders + the protective options of banks
· The next similar level is at 76% (a kickback from 62%)
· A 3-wave pattern (with a 5-wave pattern of wave C inside, belonging to the junior TF)
· An upward FZR
In the rest of the cases the H-n-S pattern doesn't show up. It turns into the trend continuation pattern called the Hound of the Baskervilles by Elder/MF
The picture showing an example of the Hound
It is necessary to repeat the calculations of the following:
· each step of the Hound by Elder/MF concerning your working currency pair
· the allied currency pairs
· the indexes
· the work-off of a full wave-and-subwave circle
· the orders
· the options etc.
A warning for novice traders:
· The patterns are usually easy for beginners to identify on historical data (post factum) and on the pictures… In real-time trading it is much more difficult to do… including the possibility of a 3rd and a 4th variant.
· It is necessary to decode the 4 variants in real-time to follow the market (to not go against it by choosing the 1 suitable variant out of 2/3/4 possible ones before the trend wave starts unfolding or at the very beginning of the process, not at the time when all the traders of the world spot the trend – when it happens the trend comes to its end).
A question to professionals:
· What minimum of 2 patterns can be added to the mentioned ones in the current situation?
· Having answered the question you will understand why it is necessary to work as a team for revealing these and other Forex secrets and mysteries in daily real-time trading during the whole period of professional work.
Such a UNIQUE work cannot be done alone in real-time as fast and with the same complexity and quality as a team can. That is why a team with a strict role division and mutual real-time help is needed to trade at Forex properly.
Only then you can get a real advantage over those who supply all the readers on the globe with Forex currency quotes with the simultaneousness of a split second.
The great traders' teams
If you study the great traders' biographies in detail you will be surprised to found a regularity, which hasn't been noticed before by any analyst and bibliographer in the world - most great traders (as opposed to the millions of losers) … had a team. http://forum.masterforex-v.org/index.php?showforum=110
Soros, Cohen, John Templeton, James Simons, Paul Tudor Jones II and other billionaires made their fortunes with the help of their teams. The details are given below on the example of investors http://www.masterforex-v.org/dop_001_004.htm
There follows the 3 components of the great traders' success:
· The uniqueness of some TA elements discovered by the trader himself and used in his trading (not taken into account by the market)
· Applying unique MM techniques to Forex reading
· A team
Think and rearrange the 3-item list in the order of importance/value
It is not what you consider more important (TA, MM or a team) that is really important. Which item will become primary for you is also not important. It is the combination of the 3 items as an entity that is important, as well as the conscious understanding of what these elements can give you and why they can do it.
· New Soroses and Buffets cannot be born outside the professional Forex environment… the same as a gifted physicist/biologist/mathematician has more chances to score a success and reach the top at the states' main university than at some provincial higher education institutions and schools unitedly (he/she gets a higher support level for his/her upward trend of career to make a start from. The Harvard/Cambridge/MSU support level is the unbreakable resistance level for many provincial universities whose scientists have UNEQUAL starting opportunities as compared to the leaders).
· When writers and analysts analyze the great traders they pay no attention to an important thing: each of them became successful in the team. Read attentively what has been given at the open part of the Academy for a couple of years and realize why we gave the detailed biographies of the greatest traders of today.
Here I want to cite some quotes from the biographies.
Steven Cohen. Has a 3-billion fortune. Steven was born in Great Neck, New York. He studied economics at the University of Pennsylvania, played poker and got interested in stock exchange. Steven opened a trading account with the Gruntal broker company and deposited 7000$ to the account, the money was intended to be paid for his education. He would visit the broker office nearest to the residence hall to watch the market and owing to a couple of successful deals he earned enough money to settle all the bills. In 1978 Steven was employed by Gruntal where he was given control over a 75-million$ portfolio and a team of 6 traders. (End of quote) http://forum.masterforex-v.org/index.php?showtopic=6679
I trade in a team. My team consists of only 2 persons –me and the other man, but it helps me trade better than I would trade alone. Team trading is a concept that I introduced into my training seminars because the traders happened to achieve amazing results after catching up each other's ideas. It doesn't necessarily mean that they make the identical deals, but at least they can share their ideas, get a feedback, plan the deals together and support one another. (End of quote) http://forum.masterforex-v.org/index.php?showtopic=5891
Paul Tudor Jones II
It was Peter Borish, an admirer of computer methods, who became Paul's partner in the fund. His major concern was to search and study new opportunities. At the end of 1996 the fund was controlling 2.6 billion $ of assets, had offices in London, Greenwich, Chicago, Melbourne and Boston. Only the Melbourne office employs 25 traders, who represent the fund and ensure its presence at the Asian markets. 50 traders work in London, 20 traders - in Boston. They are engaged in the fundamental analysis of capital investment perspectives. In 1998 at the investment forum Paul Tudor Jones said: The world has changed. There won't be a one-man show any more. http://forum.masterforex-v.org/index.php?showtopic=7626
Follow the links to find other examples. Read, analyze, and answer the following questions on your own: What do the great traders need a team for? Do you need a team to trade successfully?
Or maybe you are a lone wolf? Then it means the following:
· You are more talented than Soros (then you do not need a team as opposed to Soros)
· You know more about the market than Soros, Paul Tudor Jones and other great traders do unitedly (you can beat the market and permanently take some money from Soros and others by knowing the weak spots of their TSs)
Indeed, work alone! What do you need a team for?
The Masterforex-V Academy team of professional traders.
What did the teams of each great trader do and how did they allocate the duties? It is a puzzle wrapped in a mystery as through their duties we can trace and reveal their logic, the techniques and the TA they applied and consequently the TSs that each of the great traders used in their trading.
That is why in 2005 a team of professional traders from MF-V Academy entered their own path after getting the essence of the great traders' success, without copying the details. These are the achievements of the team:
· Books 1, 2, 3 by Masterforex-V containing over 100 global discoveries in TA.
· The practical training of beginners based on MF's new TA and mutual help during DAILY trading at the closed Academy forum.
· Establishing the departments of the Academy, each of the dept was founded upon MF's global discovery that doesn't have analogs in the world
· The publication of the Academy's own internet magazine Market leader http://www.profi-forex.org
Thereby the team was created to do the following:
· To not leave a novice trader face to face with the market and with his/her fear and lack of self-confidence.
· To provide the beginner with the support of skilled traders, many of who started trading with big (hundreds of thousands of dollars) and huge deposits at Forex, futures market etc.
Another reason is that they followed the non-standard path that had been followed only by… the great traders.
The Path is called the new technical analysis by Masterforex-V (The Synthesis of Binary Patterns)
The Synthesis of Binary Patterns by MF is based on the axiom of complex market analysis made with the tools INDEPENDENT from each other and not taken into account by the market.
· When the parameters of any 2 tools match it is a strong signal to enter the market (sloping channels, the AO, ISF, FZR, the break-through of MF pivots, the capture of buy/sell-limit orders, allied currency pairs, indexes, EMA etc.) that should be gradually confirmed by the 3rd/4th/5th…20th extra signal
· The details are at http://www.masterforex-v.org/_001_202.htm
· So we can always follow the market this way… not guessing, but seeing the supplemental (confirming one another) calculations of dozens of departments (through the orders of the exchange market, the WA by Elliot, Nili, Prechter, MF, Fibo/Murrey/Demark levels – when the data of all the working TSs match), understanding and calculating each step of the market with an accuracy up to one point even within the range of some hundred pips of an impulse/correction wave.
A team is not a crowd because each member of the team is an individuality, he/she is not a cog in the machine, not a unit of the crowd. Consequently a team helps to reveal a personality, who helps himself/herself and others in further development as there are no identical personalities in the world. In book 1 there is a separate chapter telling about each department of the Academy.
Now read the list of the Academy departments with a brief annotation of the global discovery as the starting point of the research direction and practical recommendations of the particular department
· The Department of Extra training in MF TS – over 100 global discoveries
· The Department of SHORT-TERM trading of Magister's Trader Team http://masterforex-v.org/f_magisters_trader_team.htm
· The Department of GTMT patterns http://masterforex-v.org/k_gost.htm
· The Department of Market tendency/COT analysis by Dr. Keyhttp://masterforex-v.org/f_dr.key.htm
· The department of Non-Elliot WA http://forum.masterforex-v.org/index.php?showforum=102
· Many other departments (over 20) and faculties of the Academy, each being the world's ultimate development point in the particular direction of TA
An example of the real-time synthesis of the data provided by different departments and faculties of the Academy
1. The Departments of LONG-TERM analysis and COT (=COMMITMENTS OF TRADERS) analysis are the first to spot the incoming end of any trend. They analyze the following:
· The match of the factors of the balance change in investors orders, the work-off of a full LONG-TERM wave-and-subwave cycle… this match cannot be accidental… especially if this coincidence involves a group of allied currency pairs (not a single currency pair)
· For the first time this method is applied at MF-V Academy, yet it is the basis of the new Forex TA.
2. The departments of SHORT-TERM and MID-TERM trading are engaged in calculating exact points of the end of the current trend (as well as the trend reversal in the opposite direction). They define the points and patterns of the reversal of the trend that can be over in 15 minutes… or in 3 days.
· They give 2 preliminary variants of movement after the ISF (intersession flat) for the forthcoming trading session followed by indicating the calculation of the support and resistance levels.
· Then the market chooses the direction… which should be followed by traders.
Then the targets of the downward movement are calculated for each step of the short 1st wave of the MID-TERM movement in the opposite direction.
This is done daily, step by step.
It is only you who can decide which way to go.
If you cannot tell the difference between the 1st and the 2nd levels (a beginner and a professional) it is useless to keep on reading the book – then Life will persuade you. It always gives a chance. A human only chooses 1 out of 2-3 ways, given by the destiny or life. Therefore a human being can influence his/her own life and destiny.
What is the real price of the secret settings of the Maim Computer?
Forex is one of the few spheres of human activity, where new knowledge and real discoveries cost a fortune (not a virtual fortune). Any pseudo-discovery is a loss.
· You cannot cheat Forex, no discovery – no profit.
· If the great new TS (there are thousands of them on the net – the separate chapter called How to tell a working TS from a fake in 5 minutes) is not based on some global discovery, which allows you to calculate the future market movement at least one step before the market quotes given by the Main Computer, then the TS is worthless.
In order to understand the approximate market price of some secrets of the algorithm of the market quotes read attentively the following quotes from of mass media (I want to remind you that each department develops and applies to trading 1-2 discoveries, then follows the synthesis of trading signals). The article is about the sensational exposure in July 2009 of Sergei Aleinikov, a Russian hacker, who hacked the access codes used by Goldman Sachs in market trading. Pay attention to:
· what force was involved in securing the market secrets
· what sum of money was paid to release the hacker on bail
Immigrant from Russia 39-year-old Sergei Aleinikov, a former programmer of Goldman, was arrested July 3 on charges of stealing trade secrets. As representatives of the department to combat economic crimes, the New York office of the FBI, who worked at the bank from May 2007 to June 2009 Programmer Aleinikov after the transition to work in another company stole trade secret codes.
Prosecutor's Office United States believes that the theft of the codes may be harmful to the financial markets. There are fears that the one who could get the program can use it to manipulate the markets, - said prosecutor Joseph Fachchiponti at the preliminary hearing in the case Aleinikova.
GS hired Aleinikov to participate in developing high-speed trading platforms for market trading, i.e. it was the so-called program trading – cold-hearted robot-brokers capable of instantly performing exchange operations, realizing the artful will of their creators. It should be noted that according to NYSE program trading constitutes a serious part of the total amount of deals: 25% on average for the last year, about 30% since the beginning of 2009, 40% from June 15 to 19 and 48% from June 22 to 26%. In most reports on the amount of deals performed by program trading GS left the rivals far behind. But it disappeared from the list after the reports of June 22-26 (from the 1st place to nowhere).
By the way Wikipedia says the following about program trading:
Program trading is a generic term used to describe a type of trading in securities, usually consisting of stocks traded on the New York Stock Exchange, and their corresponding options traded on the Chicago Board Options Exchange and/or the American Stock Exchange; and the Standard & Poor's 500 Index futures contract traded on the Chicago Mercantile Exchange. The trading of these items is based purely on their price in relation to each other on a predetermined basis; and not on any fundamental analysis reason such as an individual company's earnings, dividends, or growth prospects; or, on any overall economic reasons such as interest rate movements, currency fluctuations, or governmental or political actions. According to the New York Stock Exchange, program trading accounts for about 30% and as high as 46.4% of the trading volume on that exchange every day. These historical percentages show the dominance of Program Trading listed on the NYSE.
Program Trading is a strategy normally used by large institutional traders such as Goldman Sachs (the largest program trading firm)…
During the second quarter of 2009, Goldman Sachs recorded record trading profits, with much of those gains ascribed to program trading… http://en.wikipedia.org/wiki/Program_trading
Yet Program Trading is considered to be one of the reasons for the exchange market default on October 19, 1987.
The question arises: Was GS manipulating the market with the help of the program? If so, then was it legal or not?
Maybe after reading this article lone wolfs will understand the true power of those whom they decided to work against as Forex traders?
· Banks… trillions of dollars… FBI… The US Public Prosecutor's Office and the US Court…even though the hacker didn't steal any money.
· Under the order of the US Court it is a felony when a trader uses the same software in trading as a bank does (it is punishable for a trader, not for a bank)
· There are thousands of daily hacker attacks in the world. If your computer is hacked and some information is stolen except money… do you think that anybody is going to search for him? (If you do not believe, check it… Go to the nearest police station, make a complaint about it…. And listen to what they will answer to you if the hacker didn't steal the money). After that recall the forces that were searching for the Russian hacker.
If the situation is clear then the only safe and legal way to discover the algorithm of the global market quotes is to work in a team against the SYSTEM and to become a Forex expert. This way implies decoding the market settings (or the settings of those who is above the market). Any other way to get the secret algorithm, including hacking, instantly leads to the situation when the USA authorities use all their power to chase after the hackers (FBI, Court, Public Prosecutors)…
It happens that 750.000$ is the real price of professionalism at Forex from the viewpoint of the USA justice in 2009.
Those who hope to become Forex experts after reading some books or buying some indicators… should understand whom they are going to work against… and what techniques they chose for this.
The way of hacking is useless.
· An attack instantly leads to changing all the settings of the market
· The USA authorities will instantly start using all the power to prosecute the hackers and their bosses/employers.
You can discuss the topic What is the real price of the secret computer settings of Forex and global exchange markets? here http://forum.masterforex-v.org/index.php?showtopic=13255
Traders and Forex
Before opening a real trading account try to understand objectively:
· Who you are in this world? (The answer will probably disappoint you: each of us is just a tiny grain of sand)
· What you will have to do after choosing the profession of a trader? (To permanently beat the global financial system… every month…every year…every decade)
Make an objective comparison of the weight class of the compared values… and the answer to the question why the winner-to-loser ratio of Forex traders is 3-to-97 will become obvious to you at once.
For those who still won't agree: Compare yourself (as a personality, as human being) with a hierarchy of the phenomena less significant than the global financial system.
· For example, with the mayor of the city/town you live in (or with the head of the company you work with)… whom you are going to beat alone on a daily basis in anything (elections, propaganda etc.)
· Then take a step further… compare the mayor with the governor…the governor with the Head of the President's administration… the Head with the President himself or with the Prime Minister (each level is junior to the succeeding level of the hierarchy).
If even the President of your State (or the Prime Minister) is junior to the global financial market, then who are YOU to Forex?
A team's role in politics and at Forex.
The role of winner team in politics was most brilliantly developed and put into practice by… V.I. Lenin.
Lenin asked: Can a hundred people beat a thousand people?… and he answered Yes, they can if the hundred is well-organized.
· October 1917 is a classical example of how the 350.000-people team of the Bolshevik party (which was far from being the biggest party – in February 1917 the party counted only 10.000 members) seized power in the country with 180-million population (and controlled it for 74 years).
· The second goal of the party was to capture the whole world (global proletarian revolution) failed in 1917-20 ( the power was not enough yet the world saw the results of the first post-revolution years in Russia)
Now proceed (from the revolution) to the routine examples: the winning of the president elections by any candidate is the result of his/her own work… as well as the work of his/her team, the members of which follow each of his/her further steps.
Then proceed to Forex… remember Soros and other great traders' teams.
During 5 years at the Academy I can cite many examples when some gifted and bright traders caught star fever (they say I know everything… what do I need a team for?… having forgotten a copy-book maxim, saying If you do not swim against the stream it will definitely carry you away)… they left the Academy… then they returned in a couple of years and started from the level lower than it was when they were beginners.
If you understand the role of the team you should think with no worry over the theses never mentioned by anyone before, to consider them as an inseparable part of the great traders' success and to make the right decision… This decision must be made only by the trader himself/herself.
Delusion #7 – the last delusion in the book but not the last one in a Forex trader's life.
This is the last delusion of 97% of traders in the world that we take a close look at in book 1. We did it deliberately as by learning from the past mistakes we avoid repeating them in the future. The old popular wisdom, which serves as the basis for Hegel's 1st law, goes: The development goes through the resolving of contradictions.
· If you can solve the contradictions that the life sets up in your way then your development continues. If you cannot do it the development stops.
· The main 7 delusions are the first contradictions and barriers that prevented 97% of traders from becoming successful at Forex as the traders got lost among the stereotypes.
· Before reading the next part of the book about the new TA by MF learn a lesson from the (7) common mistakes made by several generations of traders that lost at Forex. Do not repeat their mistakes, do not share their destiny.
You can discuss the chapter here http://forum.masterforex-v.org/index.php?showtopic=10749
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Risk WarningBefore deciding to participate in the Forex market, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly, do not invest money you cannot afford to lose. There is considerable exposure to risk in any off-exchange foreign exchange transaction, including, but not limited to, leverage, creditworthiness, limited regulatory protection and market volatility that may substantially affect the price, or liquidity of a currency or currency pair. More over, the leveraged nature of forex trading means that any market movement will have an equally proportional effect on your deposited funds. This may work against you as well as for you. The possibility exists that you could sustain a total loss of initial margin funds and be required to deposit additional funds to maintain your position. If you fail to meet any margin requirement, your position may be liquidated and you will be responsible for any resulting losses. To manage exposure, employ risk-reducing strategies such as 'stop-loss' or 'limit' orders. Placing Contingent Orders (stop loss, limit, etc) may not limit your losses to the intended amounts”