AGREED and AGREED!
Fortunately, from only dealing in physical bullion I learned to look at the daily "daily" the 3, 5 and 10 year charts as well before paper trading.
YET! Once I started "paper trading" had I heeded the advice of the teachers I had, to LEARN THE HIGHER TIME FRAMES FIRST AND FOREMOST! "then you can do anything," I could have saved an account or two... Especially when I started trading FX...
Already had a good enough handle trading gold/silver, yet as many, I too fell victim to the FAST allure of making - Quick Money with Leverage. - thinking, scalping,
or "day trading" short term positions was a sure fire way to easy wealth....
Personally I hate the Dodd - Frank act, and the restrictions it has put on US ONLY traders with FX.
Yet, I have learned and now LOVE, only trading with an ABSOLUTE MAX of 50:1 leverage for FX.
Gold is a bit of a mix, futures are now FAR cheaper to trade in the US than any FX gold account, due to the fact that the few brokers that still offer it to US clients give you 1:1 leverage. Which means that the amount of Margin required even to take a mini lot is staggering compared to what other countries offer with 100 to 500:1 leverage on spread betting or CFDs.
I have even seen 1000:1 leverage. Which equals a MARGIN CALL! if you abuse it.
Anyone offering or promoting anything above 100:1 to INEXPERIENCED traders is just making it easier for you to commit account suicide.
Most institutional or "bank traders" here only use 25:1 leverage, yet they are pushing around MILLIONs... so the ends do justify the means, just means you need a
large account. AND - people do lose jobs for trading in an excessive or careless way.
Buying physical gold / silver as well, if timed properly and with a broad based clientele, usually I use a mix of internet friends, forums that don't charge for little buy sell trade threads, as well as a few large brokers and custom coin shops, there is money to be made. The game requires more patience and being a bit frugal with the spreads you pay on top of spot. Also, playing the simple GSR or Gold to silver ratio is a way of bullion trading used by many.
Yet, catching a 10 USD move in silver with MULTIPLE OUNCES "troy" is essentially about an 8 USD move NET. Depending on your spreads again. Not too shabby when you bought the bullion for say 20 and sold it for 30. Even 5 USD moves make cash. All depends on the amount of ozts and covering or eliminating certain costs,
eg: free shipping, gas money, buy back price, spread above spot, shipping insurance, etc. everything eats into the bottom line.
This is where - Numismatic coins and knowledge, as well as the history you learn about the entire monetary system comes into play...
Jeese, I was on an auction website the other day Specifically looking at LARGE DENOM, eg: 5000, 10,000 and 100,000 USD old banknotes and some of the sale prices for graded even FAIR condition notes were pushing 500,000 and 1mln for rarities.
There was an old, old, OLD, trend where some people thought acquiring and "holding" these notes would prove a good investment. And unless near mint, uncirculated or Rare, it has not. Even putting 10k in a low yield IRA or other such fund with a stable 1 to 3 % over 50 years would have yielded more cash.
Yet, collectors will be collectors. Gold even in a ten year span has FAR outgrossed as an investment the means of holding any paper currency.
Bearer bonds are yet another thing outlawed in the US as paper based goods, they are now only offered through said, company, fund, etc, in a purely electronic nature that has specific notes as to who the owner is, purchase date, coupons and such.
In the old days and to those that still exist today, as long as you bear the bond and have the coupons YOU are the owner. A highly sought after item by criminals.
Fortunately, from only dealing in physical bullion I learned to look at the daily "daily" the 3, 5 and 10 year charts as well before paper trading.
YET! Once I started "paper trading" had I heeded the advice of the teachers I had, to LEARN THE HIGHER TIME FRAMES FIRST AND FOREMOST! "then you can do anything," I could have saved an account or two... Especially when I started trading FX...
Already had a good enough handle trading gold/silver, yet as many, I too fell victim to the FAST allure of making - Quick Money with Leverage. - thinking, scalping,
or "day trading" short term positions was a sure fire way to easy wealth....
Personally I hate the Dodd - Frank act, and the restrictions it has put on US ONLY traders with FX.
Yet, I have learned and now LOVE, only trading with an ABSOLUTE MAX of 50:1 leverage for FX.
Gold is a bit of a mix, futures are now FAR cheaper to trade in the US than any FX gold account, due to the fact that the few brokers that still offer it to US clients give you 1:1 leverage. Which means that the amount of Margin required even to take a mini lot is staggering compared to what other countries offer with 100 to 500:1 leverage on spread betting or CFDs.
I have even seen 1000:1 leverage. Which equals a MARGIN CALL! if you abuse it.
Anyone offering or promoting anything above 100:1 to INEXPERIENCED traders is just making it easier for you to commit account suicide.
Most institutional or "bank traders" here only use 25:1 leverage, yet they are pushing around MILLIONs... so the ends do justify the means, just means you need a
large account. AND - people do lose jobs for trading in an excessive or careless way.
Buying physical gold / silver as well, if timed properly and with a broad based clientele, usually I use a mix of internet friends, forums that don't charge for little buy sell trade threads, as well as a few large brokers and custom coin shops, there is money to be made. The game requires more patience and being a bit frugal with the spreads you pay on top of spot. Also, playing the simple GSR or Gold to silver ratio is a way of bullion trading used by many.
Yet, catching a 10 USD move in silver with MULTIPLE OUNCES "troy" is essentially about an 8 USD move NET. Depending on your spreads again. Not too shabby when you bought the bullion for say 20 and sold it for 30. Even 5 USD moves make cash. All depends on the amount of ozts and covering or eliminating certain costs,
eg: free shipping, gas money, buy back price, spread above spot, shipping insurance, etc. everything eats into the bottom line.
This is where - Numismatic coins and knowledge, as well as the history you learn about the entire monetary system comes into play...
Jeese, I was on an auction website the other day Specifically looking at LARGE DENOM, eg: 5000, 10,000 and 100,000 USD old banknotes and some of the sale prices for graded even FAIR condition notes were pushing 500,000 and 1mln for rarities.
There was an old, old, OLD, trend where some people thought acquiring and "holding" these notes would prove a good investment. And unless near mint, uncirculated or Rare, it has not. Even putting 10k in a low yield IRA or other such fund with a stable 1 to 3 % over 50 years would have yielded more cash.
Yet, collectors will be collectors. Gold even in a ten year span has FAR outgrossed as an investment the means of holding any paper currency.
Bearer bonds are yet another thing outlawed in the US as paper based goods, they are now only offered through said, company, fund, etc, in a purely electronic nature that has specific notes as to who the owner is, purchase date, coupons and such.
In the old days and to those that still exist today, as long as you bear the bond and have the coupons YOU are the owner. A highly sought after item by criminals.
Disliked{quote} I like daily to trade the 4h hour and I wish I started doing it when I first started trading 2 years ago.This will possibly go to at least 1282 before london opens and they mark it up with london, or they take it down with london and ny marks it up.I expect a similar pa as 17.10.2013 !Ignored
XAU-XAG/USD_Gold n Silver Trader's Thread = Technicals, Fundamentals & News