Want to do TC futures style, but don't have enough $? DO NT with FXCM on spot FX

#1

Okay, this is what I learned. I was frustrated because I wanted to trade TC futures style, but couldn’t because I didn’t have the capital, and wouldn’t have it any time soon. Let’s be honest, with the average futures model of 10$ a tick or more, with a reasonable stoploss to the strategy of 15-20 points or more, so that it has a good chance over time , you are talking an average loss of 150-200 dollars. To do this and keep your average risk at 1% you need 15,000-20,000 dollars. This is difficult for some, and I am included in that number. So, I have been looking at FXCM, because Darrell has said that you can trade this with forex as well as futures. I took this to mean spot fx, which could be FXCM. I chatted with the help there, and they said that they can use NT to trade directly with them, and that they have the choices of mini lots, and micro lots. So, a mini lot means that you can trade to 1$ per tick, and micro lots mean that you can trade down to 10cents per tick…!! So, for mini lots, that is a stop loss of 15-20 dollars, or for micro lots it is a stoploss of 1.50-2.00!! Oh, and their fees match the size that you are trading, so you will not get raped with fees at the micro level percentage wise, or dollar wise… Here is the catch, to do this, you need to either pay NT to purchase the platform outright, which means that you own Ninjatrader for life, and all the upgrades that it ever does, and all brokers it ever works with, for 1,000, or you can rent it for 50$ a month. The other catch is obviously you wont be able to trade the futures like CL and TF, until you have enough money to trade them with a futures broker like NTB, but you are still left with a lot of other fx options, and remember Darrell said that it isn’t the instrument that is important, you just need something that moves.

This for me is an absolute no brainer, and I am setting up what I need to get started, and I have stopped training myself on how to trade Cl, with TC, and how to trade EU, UJ, GBP_UJ, and AU with TC…

Let me know if anyone else sees this as a possible windfall for the small guy like I do!!!

SeriouslyexcitedsmallguyinKentuckyhopingforthebestforallofyou!!! :slight_smile:

Josh

#2

By the way, does anyone else think that this may be a very good quick webinar for those of us who want to trade TC the futures way, but don’t have the capital?

If so, let em know!!!

#3

Yoshi,

Trading micro or mini lots on FXCM is just fine. There is no difference in trading the TC on forex; just follow the rules.

PS - Are you in KY? I am too.

#4

[quote=yoshi54]Okay, this is what I learned. I was frustrated because I wanted to trade TC futures style, but couldn’t because I didn’t have the capital, and wouldn’t have it any time soon. Let’s be honest, with the average futures model of 10$ a tick or more, with a reasonable stoploss to the strategy of 15-20 points or more, so that it has a good chance over time , you are talking an average loss of 150-200 dollars. To do this and keep your average risk at 1% you need 15,000-20,000 dollars. This is difficult for some, and I am included in that number. So, I have been looking at FXCM, because Darrell has said that you can trade this with forex as well as futures. I took this to mean spot fx, which could be FXCM. I chatted with the help there, and they said that they can use NT to trade directly with them, and that they have the choices of mini lots, and micro lots. So, a mini lot means that you can trade to 1$ per tick, and micro lots mean that you can trade down to 10cents per tick…!! So, for mini lots, that is a stop loss of 15-20 dollars, or for micro lots it is a stoploss of 1.50-2.00!! Oh, and their fees match the size that you are trading, so you will not get raped with fees at the micro level percentage wise, or dollar wise… Here is the catch, to do this, you need to either pay NT to purchase the platform outright, which means that you own Ninjatrader for life, and all the upgrades that it ever does, and all brokers it ever works with, for 1,000, or you can rent it for 50$ a month. The other catch is obviously you wont be able to trade the futures like CL and TF, until you have enough money to trade them with a futures broker like amp, but you are still left with a lot of other fx options, and remember Darrell said that it isn’t the instrument that is important, you just need something that moves.

This for me is an absolute no brainer, and I am setting up what I need to get started, and I have stopped training myself on how to trade Cl, with TC, and how to trade EU, UJ, GBP_UJ, and AU with TC…

Let me know if anyone else sees this as a possible windfall for the small guy like I do!!!

SeriouslyexcitedsmallguyinKentuckyhopingforthebestforallofyou!!! :slight_smile:

Josh[/quote]

Josh, you can do mini’s on a lot of instruments. Here are some screen shots from NinjaTrader brokerage on some you can trade. You would have the main chart up and take trades looking at it but would have a dom on a the smaller contract. Such as QM you would have all your settings on CL chart and base your trades on CL but take trades on a QM DOM.

On MJY and the other futures pairs being 1.25 a tick is nice.

2015-03-05_2019.png1078x231

2015-03-05_2025.png712x77

2015-03-05_2132.png710x226

Just something to look at and something I may consider. Scott

#5

[quote=travishawkins]Yoshi,

Trading micro or mini lots on FXCM is just fine. There is no difference in trading the TC on forex; just follow the rules.

PS - Are you in KY? I am too.[/quote]

Thanks Travis, I was hoping that it would essentially be the same, but ya never know till you ask!!

And yep, I am in Kentucky, just the northern section, right by Cincinnati.

#6

[quote=scottfreedom]Josh, you can do mini’s on a lot of instruments. Here are some screen shots from NinjaTrader brokerage on some you can trade. You would have the main chart up and take trades looking at it but would have a dom on a the smaller contract. Such as QM you would have all your settings on CL chart and base your trades on CL but take trades on a QM DOM.

On MJY and the other futures pairs being 1.25 a tick is nice.

2015-03-05_2023.png939x104

2015-03-05_2132.png710x226

Just something to look at and something I may consider. Scott[/quote]

Thanks Scott!! Had no idea that you could trade any futures at those levels…That really is interesting. I will look at the Ninjatrader brokerage to see what they offer… Some of them may still be a little above my head, but it doesn’t look like it is as bad as I would have thought. Thanks again!!

Quote from Hannibal on the “A Team” that seems perfect for the moment… “I love it when a plan comes together”

#7

Hi Yoshi, I am also going to look into this …great thread. I also …do not have a huge account …great option.!!! Anyone in particular I should speak too?

#8

I don’t know who to speak to directly, I just got on FXCM’s website and chatted with them, asking to chat with someone who knows about using Ninjatrader with FXCM they found someone for me, and he was able to answer every question I had, no problems at all… and I guess any other questions that FXCM can’t answer, throw those questions on the forum here, or ask in the helpdesk… Right now I am going through the settings that they have for TC under trend, and changing the settings around to come up with something that I can trade in my time frame, and with average win rate, TP vs SL ratio, and winrate vs loss ratio that I am comfortable with long term. I have mostly what I am comfortable with but still tweaking… I know that it is going to take me a little time to get where I want, I am planning on testing for a little bit, but I am not in the depression mode of thinking that I will not be able to trade something that seems to work long term, just because of a “small issue” of starting capital!!!

HappyandstillhopefulinNorthernKentucky

Josh

#9

Okay, it has been a while since I posted anything in here about my testing with FXCM, ( I go slow, so yes, still testing, don’t quite have the live account fully ready yet. ) so I thought that I would let you know where I was. The two weeks or so, I have been testing 6 major pairs, and making my own settings for them, so that I can trade these six pair from 9-12, which is the time that I am prepared to trade everyday. The simple truth is that I don’t have alot of time to trade, but this I can set aside, so I will make it work for that time period. I have been very happy with the results that I have been seeing, and I am getting things together to go live with them as soon as I can. I am not a scalp trader, for some reason, I just can’t seem to get around the psychology needed to scalp, so all of my settings are trend settings, and if you are interested, I will have a link to them by the end of this weekend, on the forum. I planned on doing this today before work, but the data feed from FXCM is down on Saturday for maintenance, and the note that pops up says that they will have it up in time for trading, so I will attempt to get all my settings up on Sunday. If anyone has any questions about how things are going with trading TC with FXCM, just ask, I am very open about my trading, failures, and a few successes. Thanks all, and I hope to post again on Sunday!!

TestingtestingtestinginNorthernKentucky

Josh

#10

If anyone was interested in the settings that I am using to trade TC on forex, I have them up in the forums now…

#11

Awesome thankyou for sharing.

#12

And another in Louisville.

#13

Alright! Another trader in the Ville!