21 June, 2017

The best conservative Forex formula?

This is a funny formula I created from my statistics beginner knowledge and some practice making to learn how to write a book about Forex. Here is just a show off of what I'm doing with the demo accounts.

The 5 results from the Forex currency purchases. The value would; increase, decrease, even, sold at the stopping loss rate, sold at the total win rate. The currency has some value above 0.0000 while the currency is backed up by the countries using it. The PIP would be added for this 0.0000 calculation. Most Forex sites give the customers to see only their profits without no hidden costs such as the fees. Fees would be calculated for showing the profit already. The CDFs would be sold with 5-10€ handling fees, so I only discuss the Forex trading here to explain my Forex formula I'm into the practice.

1000€ for the potential gambling as the good example with the easy calculation purpose. For the real trading, the total would be calculated with 1000€ x (number) = total deposit. I would just say, half of the deposit to be used as the safe way of trading. For the trading, 2000€ total would be the safest way of preventing the total loss.

So, the half of the amount would be 1000€ when 2000€ is the deposit.

1000€ / 5 = 200€ * 5.
What it means that the trading change would be 5. So, 3-4 out of 5 purchased currencies to gain the profit can make the potential total money for the trading. This is the psychology of me in gambling saying what to be used and not to be used as the safe stuck to keep the gamble going on.

Note: I'm not explaining what to buy for the trading. But it should be something moving and stable for making the increase for the weekly level chart at least. I can discuss this which to buy in another posting.

I think the best profit making chance would be around 7.35-8% profit increase from the original purchased value. Total win could be around that point and the Stop Loss value must be hell below if the trader is certain that the value would go up later. I would rather set any SL value if the country is not going to corrupt.

Here, I just use 6% as the beginner's profit making point on the Forex trading. This is just the easy understanding explanation. 200€ with the 6% increase would give the trader 12€ from the profit. This could be counted as the simple backed up money for preparing the losses of the same amount. Any loss plus the same amount win would still keep the trading money even. How many times the first gambling would be? Of course 5 chances! 5 of the 200€ trading slots gives the trader (gambler) 5 potential wins and 5 total losses. Since the winner can sell the currency anytime profitable, so I omit the 5 total losing chance. There should be 0.5% wining is just enough for the beginners sometimes. But that is not really the case here. So, the basic aiming is 3-4 wining out of 5 to keep the winning time above the losing time to be safe to continue trading. The currency trading to be calculated simply by the probability check. 3 winnings out of 5 can give 200€ value back after 5.56 times of trying the 5 currency tradings. And 4 out of 5 winning could be 4.1 times. So, the optical image of the winning ratio can be increasing one slot more after the purchase and the practice of 4/5 or 3/5 winning in total at the 5 currencies trading after 4-6 chance checking. So, if it works, just keep the 5 times trading as the original way and keep the 200€ as the optional one more slot for the trading.

The new way of seeing Forex trading from the pure statistics and mathematics approaches.
And the above formula helps to see how people actually lost without hoaxes.

And the top secrets are what, when, where to buy the currencies. Also, the psychological reasoning of the Forex trading is one of the top kept secret, also. The psychology? I would say that's true.
Such parts are not shared on this post. I would rather do some more basic researches for writing the Forex trading.

I'm thinking to write the parody book named "The Wall of Wolf Street" after seeing German stocks just went down and always down after my demo account purchase of the small potions such as DTE.DE (T-com Germany) for 100€. It was just the joke and my first purchase option from the recomended list and went down and still down. I'm working on Forex now, but I might try the Black Monday formula research with the multiple German stock purchases from my virtual money account.