How To Make Consistent Weekly

Profit In Forex Trading

Proudly brought to you by

Disclaimer:

Trading foreign exchange on margin carries high poten6al rewards but also high
poten6al risks that may not be suitable for all investors. Before deciding to
trade foreign exchange, you should carefully consider your investment
objec6ves, level of experience and risk appe6te. Past performance is not
indica6ve of future results, which can vary due to market vola6lity. The
possibility exists that you could sustain a loss of some or all of your ini6al
investment and therefore you should not invest money that you cannot aord
to lose. You should be aware of all the risks associated with foreign exchange
trading and seek advice from an independent nancial advisor if you have any
doubts.

Any opinions, news, research, analyses, prices or other informa6on discussed in
this webinar or linked to from this webinar are provided as general market
commentary and do not cons6tute investment advice. FXPRIMUS does not
accept liability for any loss or damage, including without limita6on to, any loss
of prot, which may arise directly or indirectly from use of or reliance on such
informa6on.

Money
Management

Money Management

The Golden Question:

Why do so many traders blow
their live trading account?

Money Management
Brokers

Standard account of USD2,000

USD3,000
1 pip = USD10
Margin call! Lose WHOLE account!
FOREX is Risky!

Money Management
How do most people trade?

USD3,000 (Leverage 100:1)

3,000 x 100
Lot size =
100,000
= 3 standard lots
Assume trading with both the profit
and loss as 30 pips.

Money Management
If you win ?
(Lot size) x (# of pips) x (pip value)
Profit =
Capital
= 3 x 30 x 10 / 3,000
= 30% return per trade !
But what if you LOSE ?
You will lose the same amount,
Loss = 30% loss per trade !

Money Management

The #1 Mistake of Most Traders:

RISKING TOO MUCH
of their capital per trade

Money Management
Are you still in the game after FOUR
CONSECUTIVE LOSSES ?
Amateurs are concerned with how
much they can make.
Professionals are concerned with
how much they will lose.

Money Management
Capital = $2,000
-10%

+11%

$1,800

-50%

+100%

$1,000

-90%

+?%

$200

Money Management
Capital = $2,000
-10%

+11%

$1,800

-50%

+100%

$1,000

+900%

-90%

+?%

$200

Money Management

The Golden Rule of Great Traders:

Great traders NEVER risk more than
3% of their capital per trade

Money Management
So how do we practice good money
management skills for our trades?

Start with Risk.

Assuming we are willing to risk only
3% for each trade.

Money Management
Formula for calculating lot size.

Lot Size x (# of pips x pip value)

Risk =
Capital
Risk x Capital
Lot Size =
(# of pips x pip value)
= (0.03 x 3,000) / (30 x 10)
= 0.3 standard lots

Money Management
1. Your capital is USD5,000, using standard
account. To trade at 2% risk with 30 pips stop
loss, what is the trading lot size?

Risk x Capital
Lot Size =
(# of pips x pip value)
Lot Size = (0.02 x 5,000) / (30 x 10)
Lot Size = 0.33 standard lots

Money Management
2. Your capital is USD3,000, using standard
account. To trade at 3% risk with 25 pips stop
loss, what is the trading lot size?

Risk x Capital
Lot Size =
(# of pips x pip value)
Lot Size = (0.03 x 3,000) / (25 x 10)
Lot Size = 0.36 standard lots

th
8

Wonder
Of The World

8th Wonder of the World

$3000

+20%

$3600

+20%

$4320

+20%

$5184

+20%

$6220

+20%

$7465

+20%

$8958

Journey
To a
Million Dollars

Journey to a Million Dollars

Year

Month

Capital

Lots

Pips

Trades

Profit

$3,000

0.30

30

$180

$3,180

0.31

30

$186

$3,366

0.33

30

$198

$3,564

0.35

30

$210

$3,774

0.37

30

$3,996

0.39

30

$4,230

0.42

$4,482

Year

Captital
(6% growth per month)

$6,000

$12,000

$24,000

$222

$48,000

$234

$96,000

30

$252

$192,000

0.44

30

$264

$384,000

$4,746

0.47

30

$282

10

$5,028

0.50

30

$300

$768,000

11

$5,328

0.53

30

$318

8.3

$1,000,000

12

$5,646

0.56

30

$336

$1,536,000

Journey to a Million Dollars

Year

Month

Capital

Lots

Pips

Trades

Profit

$3,000

0.30

30

$180

$3,180

0.31

30

$186

$3,366

0.33

30

$198

$3,564

0.35

30

$210

$3,774

0.37

30

$3,996

8.3

0.39

30

$4,230

0.42

30

$4,482

0.44

30

$4,746

0.47

10

$5,028

11
12

Year

Captital
(6% growth per month)

$6,000

$12,000

$24,000

$48,000

$252

$192,000

$264

$384,000

30

$282

0.50

30

$300

$768,000

$5,328

0.53

30

$318

8.3

$1,000,000

$5,646

0.56

30

$336

$1,536,000

5
$96,000
$1,000,000
$222
$234

Journey to a Million Dollars

$1,200,000
$1,000,000
$800,000
$600,000
$400,000
$200,000
$0
0

5
Year

Trading Profitably
With
Divergence

What is divergence?
1. Divergence is a comparison of price to
technical indicators. It occurs when price
makes one pattern and a corresponding
indicator makes the opposite pattern.
2. Divergence can signal
a) change in trend, i.e. reversal
b) continuation in trend

Indicators used for divergence

1. Stochastic

Personal
Favourite

2. RSI (Relative Strength Index)

3. MACD
4. Other Oscillators

Divergence (Stochastic)

Divergence (RSI)

Divergence (MACD)

Types of divergence
1. Regular
2. Hidden

Regular Divergence
1. Used as a possible sign for a trend
reversal.
2. Two kinds of regular divergence
a) Regular bullish divergence
b) Regular bearish divergence

Regular Bullish Divergence

If price is making lower lows (LL), but
oscillator making higher lows (HL)

Buy

Regular Bearish Divergence

If price is making higher high (HH), but
oscillator making lower high (LH)
Sell

Hidden Divergence
1. Used as a possible sign for a trend
continuation.
2. Two kinds of hidden divergence
a) Hidden bullish divergence
b) Hidden bearish divergence

Hidden Bullish Divergence

If price is making higher lows (HL), but
oscillator making Lower lows (LL)

Buy

Hidden Bearish Divergence

If price is making lower high (LH), but
oscillator making higher high (HH)

Sell

Lets play a game

Spot The
Divergence!

Spot The Divergence

Spot The Divergence

Spot The Divergence

How To Trade Divergences

Divergence
Type

Price

Oscillator

Trade

Regular

Higher High

Lower High

Sell

Regular

Lower Low

Higher Low

Buy

Hidden

Higher Low

Lower Low

Buy

Hidden

Lower High

Higher High

Sell

6 Rules For Trading Divergence

1. Divergence on longer time frames
are more accurate (At least 1 hour
time frame)
2. If you drew line connecting 2 highs
on price, you MUST draw a line
connecting the 2 highs on the
indicator as well. (Have to match)

6 Rules For Trading Divergence

3. The highs or lows you identify on the
indicator MUST be the ones that line
up VERTICALLY with the price highs
or lows.
4. Do not enter a trade if U have
already miss the boat (Divergence
played out)

6 Rules For Trading Divergence

5. Always practices first before start
trading. (Do back-testing)
6. Practice good money-management.
(2-3% risk per trade)

Lets Go To
The Charts

Gift for U!
No matter how great the talent or
effort, some things just take time:
you can't produce a baby in one
month by getting nine women
pregnant.
Warren Buffett

FXPRIMUS Ltd. is a
GLOBAL online trading
institution

Operational Office in USA

Compliance office in
Mauritius

Serving Traders in 205 Countries Across 6 Continents

8 Reasons
To Trade With
FXPRIMUS

1. Full STP Broker

Full STP Broker

Straight Through Processing to Liquidity Partners

One of the largest liquidity pool with contractual

agreements with more than 30 banks worldwide

No dealing desk

Transparency of platform. Real market execution

We do not trade against clients

It is in our interest that clients grow their accounts

2. Unprecedented
Fund Safety

Unprecedented Fund Safety

Financial Services Commission

Affiliates
or
IBs
Client opens
account with
FXPRIMUS
Client

Fund
Transferred

3. Regulated by FSC

Regulated by FSC

Financial Services Commission (Mauritius)

Safe and well-regulated

Tight anti-money laundering laws

No limitations in trading

Offshore financial centre (OFC)

Regulated by FSC

Regulated by FSC

4. International
Standard Certification
ISO 27001:2005
ISO 9001:2008

International Standard Certification

FXPRIMUS is the first and only non-Swiss based FOREX

brokerage firm to earn the ISO 27001, the highest certification
in information security.

International Standard Certification

FXPRIMUS has been awarded the ISO 9001:2008 certification

in recognition of our standardised Quality Management best
practice protocol.

5. Choice of
High Leverage

Choice of High Leverage

Leverage up to 1:500
We provide you with choices!

6. Wide Range Of
Counters

Wide Range Of Counters

FOREX
Gold & Silver
Gas, Crude Oil
US Indices
Commodities
Other Indices
Major Stocks

7. Awards

Awards

In 2012, Global Banking & Finance Review Awards FXPRIMUS

1.
Most Reliable Broker 2012
2.
Best Trade Executions 2012

Awards

In 2013, we won the 2 awards again.

8. FXPRIMUS Coach

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