Forex Trading Risk -- A Structure You Can Follow Right Now

Forex Trading Risk -- A Structure You Can Follow Right Now

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Alright guys pop quiz out of all the videos that I have made so far which. One of them has the. Highest impact, on your. Trading account. None. Of them it's. This one the one, you're watching. And. Here, it is it's, the wrist video you. Knew it was coming and I'm. Very glad it's here this is a central viewing because in this video we. Will, talk, about the dangers of bad, risk many, of you have gone, through what, I'm about to show you it's gonna sting a bit but even, if you're just trading for the first time hopefully. You're. Going to learn what having subpar, risk can do to, your account and you, will want to make sure that you never make these mistakes yourselves, we're, gonna go over that magic number what percent, of your, trading account should, you be putting on every trade we will answer that here we're, gonna use the ATR, do you guys remember the ATR video it is the most. Successful. Video I have ever done in terms of views. People. Loved it and it's. A good thing they did because we are going to carry, that forward into every, video I, think I'm ever going to make in terms of money management we're gonna use that today to. Figure out just how much pip. Value, you should put on every, single trade you make from here on out and we're. Going to talk about how many trades you can have open during. This whole time we're touching on that a little bit and then. After everything, we have talked about there are still a couple ways that you can really, really. Screw, this up so stick around till the end you're gonna want to know because you're gonna watch the whole video for nothing if you don't know that part so. I think you know the answer to this but do you know who, pays. Almost, no attention to risk has no numbers in place has no plan in place and just spends all their time worrying, about trade entries it's. The 99%, yeah, it's the exact type of people that we, strive, not to be it's. The exact, group, I am trying to get you out of that. 99%, of forex traders that either lose money breakeven. Or just. Make enough to barely, keep it going but not enough to trade it a pro-level or say for the retirement or any of the places that all of you I know want to be because you all told me this now, one of you took the time to learn Forex risked your own money just to be in this 99% we're, gonna get you out of that but we have to understand, who these people are, and what they do so we don't become them, let's. Talk about that the. 99% has no set. Risk and if, for some reason, they do it's some random arbitrary number, and they pulled out of thin air and that number changes, depending.

On How they feel depending, on if the last trade was a win if the last trade was a loss if, news. Is coming up you know they, have no set, plan, in place, and, after. They end up losing their money which they're going to do they, chase their wins that risk goes way up so they can get that money back, really. Dangerous, slope, to go down and they. Also have, no understanding, of what we're going to talk about at the end of this video a big trap that people fall into now, let me show you what. Happens, when. Your risk is out of whack and it's. Going to ruin your account it's just a matter of when and let me show you how that affects, everything. You're doing and everything you're going to do in the future so if you have a $50,000. Trading. Account it's just the arbitrary, number I always use and that. Account goes, down. 20%. It goes down to 40,000. You. Might say to yourself well that sucks but I can make it back problem. Is it's really hard to, make back you. Have to beat Warren Buffett's average, annual, return just. To get yourself back to break-even. That. Sucks, and at the rate you're going this has no chance, of happening you. Would have to all of a sudden turn into an amazing trader. Overnight. Just. To get back to where you started, not. Good this is not why you started, trading because this is this here alone, is, a, hole that is pretty much impossible to, get out of let's. Say you took, it down to half the value let's, say you brought it all the way down to. 25,000. You're like well that's still 25,000. I can do something with that right not. Really you'd, have to double that just. To get back to your initial deposit there's. Some very very good traders, there that would take them three four years even, after compounding. To, get a hundred percent return on their money it's certainly, not going to happen to you if this, is you you might as well just pull that twenty five thousand, out hit, the reset button learn. How to trade all over again and then maybe, start over if you think you've figured it out but at this point you might just have to take a step back and think that maybe trading, just isn't for you maybe you're better off just giving your money to somebody else because, getting, down to this level is trading, suicide. Do. Not, let, this happen, now. Getting into these holes is the result of trading, recklessly, but there is also a danger, of trading, too timidly, fortune. Favors the bold nothing. Favours the timid at all, and this. Is a bad way to go too because. Even. If you're a very good trader, if your risk is too small it. Just makes your trading not, worth it let's say you took that 50k, up to fifty two over. The course of a year that's four percent that's, good, but there are places where you can just park your money and do nothing and make, four percent if you just had a reasonable. Risk profile, in place. That. Number could be much higher and that number could be really, worth trading you compound, a better number over. And over and that's, why people, trade that will get you out of the 99%, but. If you're, trading a lot and at a very successful, level, and only pulling this number out because your risk is too low you might as well just demo trade learn.

An Actual. Risk profile, see, what that does if you're, good your. Accounts going to look really nice at the end of the year and you can carry that, system, the entries, the. Trade management the money management the psychology, everything, you're doing right carry, that over into a real account and start making real money now look four percent is not bad it's way, better than most traders do but. If, that, number is low, because your risk is too low you're doing, it wrong the. People in the slide before, that. Took their accounts way down were too reckless the people in this slide here were, too timid here's, what you have to understand, about risk, for all of you people who are too risk averse. The, most successful, people in the, world all, of them they, take lots of risks every. Day all the time the. Big difference. Is is they. Know how to minimize, that risk better. Than everyone else when. You think of the word risk just don't think of being reckless. Or jumping, off a cliff that's not how you need to look at it I take risks every single day I trade, but I make sure that, even if I take a loss the, chances of it being a big loss are very very low we're gonna talk about that in this video that's gonna be really great I take, risks every time I make a video or make a podcast you know I'm putting myself out, there I'm opening myself up to criticism I'm opening, myself to, people. That might watch my video for 20 seconds and lose interest but I minimize, that by doing. My best to one find, a big problem, that people want to solve, to. Share. Knowledge that can help that problem and, 3. Find. Out what people want to know about first and then make a video based on that I am constantly trying to be in that headspace of somebody, who is not afraid to take a lot of risks but also every, time I do. Calculate. The odds and do whatever I can to minimize the, chance of failure, this. Guy doesn't, take any risks he will never be successful he's, always going to be unhappy he's always gonna wonder what, might have been, this. Guy takes a billion. Risks he, makes billions, of dollars and I. Guarantee, you it's not because he was reckless with that risk taking every. Risk Richard, Branson takes is very, calculated. And really. This. Is the only mindset, shift that many of you need to make start. Taking more risk but just understand, that you're going to be ok if you take the steps to minimize, what that risk actually is so. Hopefully, you guys understand. That because you cannot be a good Forex, trader without this it's, something I need to touch on before we go forward but I've touched on it so let's go forward now. We're going to talk about that magic, number. What. Percentage, of your trading. Account should. You be risking on every, single trade you make now. You guys that have been with my videos for some time or those of you who listen to the podcast already.

Know How I feel about can, internal wisdom conventional. Wisdom is what gets people into, the 99% and what keeps them there forever. Conventional. Wisdom and Forex is almost. Always the place you do not want to be you want to seek out better and seek out more in this. Case, conventional, wisdom got it right almost, every, where, you see they're gonna tell you the same thing risk. 2%, of your entire. Trading account on every, trade and they're, right there, exactly right I feel the same way 2% is the correct number here but, it's not always that simple there's, some rules to follow behind this. Understand. 2%. Is the most you can lose on a trade make sure your stop-loss indicates. This all right I'm, gonna show you later. On in, this video how to calculate this and the, best news is is when you actually lose a trade more often than not you're, not actually going to lose 2% you, just set your stop-loss there, a lot. Of times you're gonna exit a trade well, before price even hits it if, you have fifty thousand dollars in your, trading account two. Percent is a thousand, dollars that, seems like a lot of money to risk on one trade and I. Suppose it is but you have to look at it from a percentage point you, don't end up like the timid guy who does really well and only pulls in a 4%, return year, after year you have to take risks like this but. Just understand, that, far more often than not when you lose on a 50 thousand dollar trading, account you are not going to lose a full 1000 dollars again. It's about taking those risks but, also doing everything you can to minimize, those, risks so. Here. Is the point in the video and in this. Is the point in any video I have ever done where, you are absolutely. Going to want to take notes if you don't take notes already you, are going to want to have these little, simple. Equations, next, to you somewhere. So you can always go back and refer to it and plug it in because, if not you're gonna have to go back and watch the video and that's a pain in the ass it's better to have it right next to you so, pause the video get, your notes out and here, we go so you, remember me saying this before and I meant it we're gonna use the, ATR, a lot, here you guys probably. Seen the video and like I said before it is my most popular video, to date, I. Think, it's because people love indicators, I announced. In that video and in the title this is the top one that, I've ever used so people got pretty excited over that but its utility, is for money management and this, is the money management section oh if, you didn't, see that video alleged, let me just go over what it is really quick the ATR, indicator all it, does it, just tells you how many pips, from. The top of the candle to the bottom of the candle a currency pair moves, on average. The default, settings, is 14 which. Means it takes the previous 14 candles. Takes. The distance between the, top and the bottom of those candles, and makes, an average out of it and so this can tell you it. Can it's, never going to predict the future but it can best tell you what to expect going forward how much your currency pair is moving, right now and how much it is expected to move in the future if this, is unclear to you just go back and watch the ATR video if, you haven't like I said it's a central view and you're gonna have to watch it anyway but. The. Magic number for the ATR. Alright, guys here's where you gonna want to write this down. One. And a half times the ATR, for. A currency pair is, where. Your stop-loss should be. 1.5, the. ATR, away, from, where the price is right, now so. For example if the ATR, for a particular currency pair is 80 your. Stop-loss is going to want to be 120. Pips away. Simple. As that, now you always, know where, to put your stop loss at. Any given time once you enter a trade now. This will change if you start making, profit. But. For now when you very first enter a trade this, is how you determine where your stop loss goes your. Stop loss does not go by, some support, or resistance line, or on some Fibonacci, level, no just do it this way and you'll, always know where to put it ignore, everything else, now. Also for your notes we, are going to go to my. Charts, and I'm going to actually do this in front of you so you can see it but. We, now need to find out what our pip value is going to be for, any given pair it's not going to be the same across the board that's ridiculous, we've been through this before, what. You need to do is, find. Out whatever 2% of your entire account, is alright, so we said before if it's, $50,000. 2% is 1000. But. Your accounts gonna go up and down so this number is going change a lot so you need to figure out what this is first and once, you do we call this your risk okay, and, get that part let, me move on then. You got to figure out what 1.5, ATR, of the currency pair actually is you may have already done this but, this is where you're gonna put your stop loss and now.

At This point you know your stop-loss goes you. Know how much of your account you're actually risking so, all that is left to do is take. That risk and divide, it by the ATR, and that. Is going to tell you how. Many dollars. Per pip, you. Need to put on this, trade and then. Once you do this equation over again it's going to show you the pip value for every single trade you make from here on out, make. Sure you have written this down I'm. Going to go to my charts and my trading account and show you how, this works and walk you through it but you are going to want to have this written down somewhere so, go ahead and get all that down and once. You do we're, going to go ahead and go to my charts so. Here we are at practice. Account I set up through onda just. So I could show you guys what to do here I literally, set this up yesterday and I went ahead and entered an illegitimate. An. Exact, 50000. So, what I need to do is take. Where my account is right now yes even if I have a trade open this is the number, I want. Right, here and it's. Moving so I'll just go ahead and kind of freeze it right here, 52:36. I don't worry about the cents. But. We're gonna use that number to figure out our risk. 52-36. So. Put your calculator up and I'm doing this with a mouse so. Be. Patient. 50000, 236 and we will multiply that, by. 0.02. And, that's how you get 2 percent of your, account so. I'm, just gonna round that number up to 1000, and $5. And I am going to write that number down that. Is my risk, so. Now I have, to go to whatever, currency pair I want to trade find. The ATR. Multiply. That by 1 and a half and at. That point I will have almost, every number I need let's, go do that so as usual I don't cherry-pick we just go straight to the Eurodollar the most commonly, traded currency, pair in the world go to the daily chart because, that's what I use and I. Already pulled the ATR, up so. The ATR, is currently. Sitting at let's. Just say 86. So. That's good now I know what to do pull my, calculator, up. Cancel. That and. I will take that 86. Multiply. It by 1.5. And. There. You have it, 129. Now. I have the numbers I need and, it's nice in my calculator did this just put them off to the side to. Figure out what my pip values gonna be now. My. Broker. Does, this for me you're. Gonna see this really soon here but. You. Might want to go ahead and figure out what your stop-loss is going to be now and write that down so let's. Just. Look do we want to go long or short here I don't have a dog in this fight I'm, not in this trade I really. Don't care which way I go this is all demo so. Well we are we are trend traders here let's just go ahead and go long. I don't think you can see it but, the price is at, 1.1. 707. As we. Speak it, will show it here, so. No. Matter where it goes after, I'm done talking, let's just go ahead and take that number 1 1 707. You. Don't really need the decimal it's pretty easy to figure out and then, we're going long so this is going to be - if it was short we would do plus but.

Minus A. 129. Pip stop-loss, and. Now. We know to enter our stop loss in at 1.15. Seven. So. Then I would write that number down - so I can plug that in alright so we know where our stop loss is going to be. We. Have these numbers now we just go ahead and excuse. Me we go ahead and figure, out what our pip value is. Take. That. Number. There cuz we round up and then. Divide, it by. 129. Your. Pip value is. About. Seven dollars and 80 cents. Perfect. So. You can write that one down too. You. Won't have to write a lot of these down going forward because you're gonna be used to it but in the beginning it. Doesn't hurt to write stuff down so. Let's go ahead and make, a trade, knowing what we know all. Right so back here on our. FX. Trade. Go. Ahead and pull. This up he's got all our numbers right there which is nice. We'll. Go ahead and make a trade oh we got rid of our calculator, when we did that maybe we can do both here let's see. Can. Both of you coexist, yes. Okay. So. As far as units go you're. Gonna have to kind of guesstimate this because. We. Know, we. Want this right here, to. Say $7.80. We. Just don't always know how it's gonna get there now the good thing with the euro/usd. It's. Generally. Pretty easy I think we can just go. 780,000. Oh. Not. That much seven, 7800 is what I meant to say and now. We have exactly what we need all, right so. Now we got to put our stop loss in and. If. I just go like this if you guys have a Honda you. Can just do this and put in. 129. And. It'll. Do it all for you but some of you don't have that option so let's just go ahead and do it. The. Old way and. We. Know that, we want one point. One. Five seven. All right so, we have everything in order our stop loss is in place our pip, value, is where it needs to be, we. Have the right amount of risk on the table and, we. Enter the trade. And. There. It is. This. Is how you enter a trade with, the correct amount of risk and that, is how you figure, it out, now. Since, I'm not really in this trade let's just go ahead and cancel it. Close. Yep. Take. Our $10 loss and we move on. So. That's how you do it and I just looked. At what I did and I should have got another digit, over on the. Stop-loss, so for you guys paying very close attention that's, the one little mistake I made I went four, digits instead of five, but. We, need to move on here I hope this makes sense to you I just want to give you the gist of how this works now. Let's move on to the really good news because losing. A thousand dollars even, on a 50,000, dollar account, does. Not sound very enviable, but. The good news is I, rarely. Have my stop-loss hid it. Doesn't happen very often, if. I'm putting. Forth fifty. Thousand dollars in a trading account I'm barely, ever losing, a thousand, because. I have. An indicator that, gets me out of bad trades before this happens, and you can find one too I'm not going to hand feed this one to you this one you're gonna have to find but, they are out there and I call them exit, indicators. All, right so let's go to the outline, of the algorithm, that I have and show. You what you need I have already given you the only thing I'm ever going to actually physically, give you and that's the ATR, indicator. If. You guys follow, the podcast, on episode. 9 I talked. About finding that confirmation, indicator, find, an indicator, that says yes we are officially, in a trend, you may go long or you may go short and a, lot of you have already gotten to work on that and I'm really happy to see that but. You are also going to need at some point an, indicator, that, not. Necessarily. Says okay, you, can go long or short but an indicator that says yeah. This trend you're following, that you're on right now it's probably, done, and. When. You find an indicator, like, that it. Is going to get you out of a trade well. Before your stop loss is actually hit when, looking for an exit indicator, you. Want to find one that lets the trade breathe that doesn't get you out of a trade so, soon that you don't that the trade doesn't have time to actually do what it's going to do but, also, an, indicator.

That Gets you out before. Your stop-loss gets, hit that's. What you are going to want now sometimes, a really good confirmation indicator, can do that but. Sometimes you're. Gonna find another indicator, that just works better for that purpose, so. As you guys are all out there demo trading right now trying, to put that great algorithm together. Start. Also, looking for a great. Indicator, that. Gets you out of trades, before. Price, hits your stop-loss this. Is how you take risks and. Minimize. Those risks all, at, the same time if. You go to the blog for, episode, 9 of the podcast, I will link the blog below, it. Tells, you where the best place to go or I guess best is subjective, certainly, the largest place to go when, it comes to finding those under-the-radar indicators. So, if you are stuck for a place to go to find these and test them out hit. That link below and it will tell you and yes. I am leaking. All of this out piece-by-piece. We, go slow here and we do this for a reason I already, feel like I'm giving you a lot telling, you to go out and find a confirmation, indicator and an exit indicator before I even start giving you these other pieces but. If, you, can start finding good ones you're going to get closer and closer to having an algorithm, that really works and if, you couple that with really great money management the, sky is the limit you. Will be doing things than 99% never, even thought of doing and getting. You to that point is the whole reason, this, channel, was even created in the first place the whole reason the podcast was created the. Podcast, sets you up to succeed the, YouTube channel actually shows, you what to do and what not to do so. You have this in place. Start. Getting that in place and that. In place and. You're. Gonna be in a really really good spot and, we're gonna continue to go slow and ever. So. Slightly, move closer. And closer to. Where you're gonna want to be with this so, but there is a warning now, I mentioned, this early. On in the video there, you can really stumble, over this if you're not careful let's. Talk about it so there's a way to over, leverage here and you're, about to see what I mean by that but I didn't create a slide, on this presentation, that talked about how many trades you can have open at one time really. You can have as, many open, as you want all at two percent risk that's fine as long. As you avoid. This. Pratfall, right here do. Not trade, the same currency, more, than once at a, two percent risk. Write. This down if you have to if you've been taking notes add this to your notes this. Is big, so.

What Do I mean by this. For. Example let's, say you. Really. Think the dollar is going to get stronger and you're. Getting signals, left and right on your. Charts, saying. That, you should you need to put your money behind the dollar, don't. Do this don't. Take. A dollar. Short an aussie, dollar short, and, a. Dollar yen long, all. At a two percent risk. Don't. Do that because, if you do that guess, what your. 2% risk is gone you. Now have six. Percent, of your, trading account on the. United, States dollar, if. Anything. Were. To go sideways with, the dollar or if the big banks just woke, up and said no well it's time to take the dollar short. You're. In trouble you. Might have three, trades that all hit at stop-loss and in. One, fell swoop you, could have put an almost. Irreversible dent. Into. Your trading account you, guys know how long it takes to make up losses, like that do. Not let this happen to you all. Right, now there is a way, to do it right to make sure you avoid this let's talk about it what. You can do is if. You got let's say a long signal, on the, euro yen and then. You also got a long signal, on the. Euro Aussie, just. Pick one and write. It whichever. One you saw first, just. Go with it vaya, con Dios now, you can't take every trade out there sometimes so you can just pick one and go with it or you. Can also go. Half and half it's. Like I said if you're getting a long signal on the euro yen, and the euro Aussie, put. 1%, on one and put 1%, on the other I'm, ok with that that way it's. A little bit of a hedge almost, if one of them doesn't do you well, maybe the other one will and it'll save you from a loss which, is important, or, and. I want you to approach this, last one with, caution. Let's. Say that. The euro yen is giving you a signal, now, but. That euro Aussie, is just, like one candle. Away, from. Giving you a signal, you, know tomorrow. Go. Half on the euro yen and. That. Way you can leave the door open if that. Euro Aussie, actually. Does give you that signal. But. I wouldn't, do, this a lot, I would, rather you do, this. Then. Do that because, in doing this right here, in a, way I've given, you a license, to go timid I don't. Want you going 1%. On every trade just. On the thought that there might be something, else coming around the corner in that same currency because. Then you're gonna end up here you're. Gonna end up like the guy who doesn't, make the money they should have made and your. Results are gonna fall flat alright. So just be careful to not do that so in conclusion let's, wrap it all up here, never. Fear, risk take, risks take, lots of risks, that's what being a trader is all about but, just be smart, about it because, that's what being a good trader is all, about be. Consistent. Take. The numbers I've given you and do, not deviate, from them alright, over. Time, after. You've done this and you've gotten experience with it you, can adjust it how you want, if, you think, there is a better way to do it I am all for that, but. Take. What I've given you and just, get really used to plugging it into your everyday trading, you are going to see some really nice. Results, I think as long as your trade entries are good to getting. That money management type is everything. We, just know the calculations, I hope you wrote them down and. Find. That exit, indicator that. Is going to get you out of a trade sooner, than, it would if it actually hit your stop-loss. I have. Literally. Saved thousands. Of pips just. By having my exit indicator in place and not allowing the trade to go all the way that far so. You know what does that worth to you what, are your pip values sitting at right now multiply, that by a few thousand you know that's really. Really adds up and don't. Fall, into that over-leveraged. Trap, I've given you a structure but, I've also given, you a way to really screw it up if you're not careful so just make sure you avoid that too now. I have given you an entire, risk.

Management, Structure, and we haven't even talked about what to do when, your trade is actually winning that's going to be a whole other video but what, I've already given you is something you can actually use every, time you enter a trade with, defined, levels, and numbers who. Else out there is doing that as, important. As risk management and money, management is, it's. Everything who. Out there is doing that nobody. Just. Us, channels. And websites out there might, throw the 2% number out there and talk a little bit about it but that's as far as they go that, doesn't really help you, every. Single video I make on this channel is no. Matter what it's set. Up to do whether it tells you to do something or tells you not to do something is something that you can take away. Plug. It into your actual trading and. Instantaneously. Start, to see better results, so. If I'm doing that with one video, imagine. What. Your trading is going to look like 20 30 videos down the road as, small. And as new as we are there is not in a more, impactful. Forex, trading channel out there. On YouTube does, not exist this is where you want to be so, hit subscribe give. Me a thumbs up and go out there and start looking for those indicators put that system together and now you have a good risk management system already, in place to go along with it, now. All you need to do is start using it get, that experience under your belt get. Used to doing things this way I think you're really gonna like what you see you guys let's, go get it.

2018-09-02 08:21

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Comments:

You have the best insight into what and how to be a professional trader, much appreciation from the West coast.

Another great video, professional-grade forex trading information you can't find anywhere else (I've looked).

hey men i have a huge problem yo never show charts trade samples of what you do,only talk ,talk show me your last 3 trades why you enter and exit did you make or lost money,what the fuc... are you afraid of? what do you fear? you never show your trades,are you a fraud a scam a hoax

We've finally made it guys! The channel's first hater reply. And about what I expected it to look like.

This is next level stuff thanks for sharing.keep going pls fill up the blanks soon very eager to know about it.

Great video as always. Much appreciated. Thanks!

And staying true to form, from the emails I've been getting, this is the #1 video (coupled with the ATR video) responsible for changing traders' results from negative to positive. Just a basic level of discipline can change things dramatically.

Great, simply great. Thanks a lot for such an impact in the whole scene. Have seen "coaching" videos from others before... lost time. This here is all you need. Thanks again and please go on with that.

short and sweet , straight to the point.

Awesome video! Many thanks for this!

1000 views and only 8 comments you people are asleep. Give this man credit for taking his time and effort to make you use your brain. So soneone else will not take your money

More than liking it. I am loving it. I am watching videos as we speak

Ha! FX traders are introverts usually I've found. I give them a pass. Glad you're liking this.

Your are the fucking man keep droping the game to us. I know you will recieve it back 10 folds. Thanks

cool interessant

No One Is giving trading wisdom in this format or this in depth! Thank you! lights of lightbulbs are going off.

Truth

Great video man. You are the real MVP!!

awesome!

Thank you, great content. Will put into practice this week and looking for those indicators. Keep up the great work, really appreciate it!

I did my own test on the ATR after watching this Video and I must say this is the best indicator to set SL. For example i would always use 60 pips SL on a 4 Hour GBPUSD chart, but when I went back and backtest i see that the ATR was would give me a better calculation sometime even lower than the 60 pips I use to set which would give me better reward on my trade when going in my direction. Thanks

Okay - disregard my precious rambling questions. I see the light now

+Walter Whitepaper Cost of....what exactly?

No Nonsense Forex thanks, I’ll check it out

+Walter Whitepaper You don't enter trades in Forex the same way you do other equities. Contracts aren't a thing. If you check out episode 2 of the podcast, it shows you where to go to learn the differences and such.

No Nonsense Forex I still can’t figure out how many contracts I can enter based on this system. Have tried the calculations across a few instruments (crypto) and each time, the stop loss depth blows out. What am I missing?

If you are starting with just a fraction of that capital, does 2% still apply? I assume it does but it will take a very long time to grow.

Absolutely. Just because you're starting with less capital doesn't mean you get to have shit money management.

im kinda confused here, on the atr is it 86pips or 864pips and 78 units is 78 std lots? am i right

86 pips was right, and 78 standard lots for the EUR/USD is $780 a pip, so no to that part.

Why there is always a hater?

Very insightful! How many trades do you do per day? For a given range of volatility?

Eh, average 2-4 a week probably. Some weeks are nothing, some are very active.

how can i get standered lots using this equation and not units becuase my broker does not have units

Either get an Oanda practice account, or look up some pip calculators that might work for you. I haven't used them in a long time, so I can't point you to one, but they're all over the internet.

+No Nonsense Forex actually got it. divide your dollar amount risked by pips u can lose on that trade and you will get a standered lot...thank tho

Lovely video and exactly what am looking for and this video really thought me a very good lesson... Thanks mam

I learn something new every video of yours (Risk on currency pair vs individual trade) A1 info!! Trying to bounce back from the BS education IML got me in. I look forward to finding the indicators that will work for me and learning more from you

......but the meek will inherit the earth.

i love it dude but i cant do this yet on a micro account lol...100 pip stop on the daily would kill me lmao !!..i would apply this as a top down analogy until i cant actually afford a 100 pip stop on the daily lol TY for this

I knew the banks had their paws on the cash, but not on the scale that you mention, new friend. I know it's no conspiracy theory either. My grandfather was a police guard for the federal reserve. He said "the federal reserve is not owned by the US government. It's only on US government soil and pays only land tax. That's all it really pays. Funny part it the federal reserve was a bad idea to begin with. The US government knew this and still did it anyway without the approval of Congress or the people. Attempts to steal our wealth for the Euproean Elitists hangs in the balance every day. Never put your gold in bank. And always keep an eye on the bank's favorite word. Fees." No conspiracy theorist. Just plain scary facts. Thank man.

This video is pure gold ! I listen all of you podcats in 1 week, almost watched all of your videos and red alot of you blog post ! You're the best thanks a lot !

why did you choose 1.5 to multiply the ATR by why that specific number?

Lots and lots of testing led me to that number. It performed best over the others.

Would you ever consider starting a signal service?

i do that, glad to hear from here 2% always = 4 trades = 0.5/trade no need more than that... thanks Mr Nonsense =)))

i dont know if you are sarcastic or gratefull.

i have demo-ed the gbpznd pair on the daily chart. so the atr says 0.02501 x 1.5= 375. so i have to set my stoploss at 375 pips? isnt that too much?

That is too much .Way much try to increase your position size and increase your risk a little or maybe you got wrong setting on ATR.

the Best thing about VP is that you don't sugar coat it! We really appreciate the time you put into your channel!

+Johnathan Grey Johnathan you are here too i thought you only liked Karen foo lol.

Thank you for this extremely informative video and trading strategy! I’ve taken a ton of notes and continue watching this video to make sure I am properly managing my account. When I select the GBP/JPY pair, my ATR is reading 1.4311 (for example) while my USD/JPY pair is reading .6413. The other USD pairing seem reasonable at .0065, etc. How do I calculate 1.5 x the ATR when my numbers are so high ? I am obviously doing something wrong here and would love some guidance in how to fix it so I can trade properly and responsibly. (I am using the daily chart with Oanda platform) If you need to contact me personally, my email is pcompton6637@gmail.com. Thank you for your time.

thank you buddy i appreciate all your advisees

learn me how to trad and i will do 50-50 with you for ever

Thank you VP, I have two (unrelated) questions: 1. Is this the Oanda web platform you are using for trading? 2. Using the 2% rule what is the maximum number of open trades you would have on?

Can't be more grateful VP :)

I don't usually comment on YouTube but, this is great information Thank You for doing this

If you are using lower time frames than the daily, the 1hour for example. Do you suggest bumping that up to the 4hour and using that ATR and setting your stop 1.5x that number? Just curious because 1.5x the ATR on a lower time frame does not give the pair much breathing room.

Yea, ppl will tend to reflect the truth and forget to click the like button.

This channel makes (nearly all) other forex youtubers look unprofessional

What i like abt you. U give us philosophy and want us to do the home work. Reminds me of my head teacher all those years ago :) keep it up helping the budding traders.

u can just trade smaller like 0.01 at the start, why not ? 100 pips on a 0.01 lot is only like around $10 if my calculations are right

+FAIZ STONER you dont know anything about "diversifing?"

Sorry can't see the link for podcast # 9

You sure? I see it just fine from here. Down below in description.

I am so glad I stumbled across this channel. I've spent my whole Sunday watching these videos and taking so many notes! What I like is, your approach to education seems to be 'I will drop you off on the correct road, but you'll have to find the destination yourself'. This encourages people to jump out and say okay, I need to make this work for myself now, and not rely heavily on someone else. I cant wait for more content. This channel will explode in popularity soon, and so it should. Thanks man.

You are awesome..Thank so much for this very practical no BS video lesson! I will watch ALL you have.

Hey VP, thanks for the really nice video. Shouldn't we also take into consideration the spread of the specific pair during these calculations?

I'm speechless. Many thanks. Cheers!

is the ATR period set at 14?

+The Sniper Trader you dont know anything about "diversifing?"

What about Take Profit? You didn’t put a take profit

Please ZOOM in a bit next video, great content ruined by crappy charts

Question did you have to pay for the indicators that you have now and if so what is the right price to pay for these indicators

Nothing I use now was paid for.

#GODSENTPERIOD

VP! Thanks again

Those numbers are really weird... Maybe check if your graph is on 1d and if the settings on ur atr are alright. Average true range is the full name.

I found that ADR (50) makes a great profit target

Don't your calculations only work, assuming a US Dollar account, when the base currency is in USD? If there are other pairs, say EUR/AUD, won't the position size change depending on the relationship between AUD and the US Dollar? https://www.babypips.com/tools/position-size-calculator

Fine but you gotta admit Yo Momma was one hell of a video

Agreed. I held nothing back on that one.

Thanks for this, I've taken notes and watched the video 3 times in order to memorize this info.

Without this you don't have real returns with real numbers your a beast

is this work for $800 deposit?

Awesome Video! Thanks VP

best forex channel I've found bar none thank you sir

vp will you ever expose your algorithm to us or we have find that? and btw I appriciate you because you have denately have the qualities of great traders God bless You,,,,,,

Hi there mate just a quick question, do you have a complete set of course from basic to advance, how you exactly make your trade, what are your entry and exit reasons, what time frames do you use, etc.. Your stuffs are amazing, eye opener, and could potentially help hundreds and even thousand of traders (like me) get in to the right mindset and gain the skill set required to be profitable in the Forex Market. Thank a lot mate!

I don't, but putting out a video tomorrow that should at least make things easier.

Man you are like a breath of fresh air, consuming every vid over and over. Thank you for all this!

Cant believe ive only just found you

Oh that's nice! I'm glad there getting something, cuz they've had a hell of a time.

The problem is no one wants to wait trading multiple days to make like 20 bucks I'm kind of in the same boat

+Johnathan Grey ....touche!

Wow!! Again. This is way better then the way I was doing it. I was doing the ratios. This is the way I was taught. I’m going to spend the hole weekend trying to find the indicators you said to find no matter how long it takes. This what I want to do with my life. Like you I hate going to work everyday to make money to support my family. I will succeed no matter how long it takes. Thank you for your knowledge.

Great video, but still lost on determining a specfic lot size.

Idea for the exit indicator: Parabolic SAR

awsome video thank you

amazing videos

Excellent Atr indicator for Mt4 https://www.forexfactory.com/showthread.php?p=9157494#post9157494

Happy to see this channel. This is very useful tool for a new trader. Thank you vp

VP.. let us know if you plan to train people on personal basis...

great channel. Thank you.

I have to hear and see this video 8 times to see even the hide information that you give us in this video...

I like your approach of how you refrain from mentioning other possible golden indicators so they can remain valid and give us a road map to find the grail ourselves. This is what leaving a legacy is about.

Great usage of ATR.

Hey VP, I know questions aren’t allowed lol but, I’m new to trading the daily chart, so, what do you do on the weekend? do you set you trade up (if you have an entry) before Friday close or before Monday open? I suppose either way you’ll get hit with either spread (Monday open) or swap (Friday close) again apologies for asking here but I just can’t help asking questions

+No Nonsense Forex as a newbie less 12 months I have been watching your videos and podcast none stop lat 72 hours and nearly caught up, I have gone through the Risk/ ATR, Confirmation - undertood stop loss, Confirmation Indicators - inprogress testing from MT4 website, however considering your dirty dozen videos im not left with much in terms of what tools i use now use to trade, i have lost the ability to enter a trade and exit the trade (how mins pips etc...) Also you suggest 27 pairs to trade, but then on other videos you say NOT to trade the populars, so which ones do you trade ? just feels like im guessing, and time is essence for me.....hopes this make sense

http://completecurrencytrader.com/position-size-calculator.php

Thanks VP. Ive never seen an indicator in same time frame ( x) that is good at entry /exit. Have to go lower with same parameters. ( BTW...there are a few of us poorer folk who trade lower to minimize risk...With one laptop AND maintaining a life..hehe)

Thanks VP. I've never seen any indicator on x time frame that can alert for exit/ entry without leaving much on the table. Have to go lower using the same parameters. ( BTW...There are some of us poorer folks who trade lower time frames to minimize risk ....even just using one laptop and maintaining a life...haha)

dam VP six indicators on a chart?? messy no?

Not once you're used to it

Sir please mention the actual magic numbers for all the segments of commodity market to be multiplied with actual ATR value...

Sir, I am respectful about your hard work on the forex market over a long period of time,and also for showing us the actual path of success in trading.I am a commodity trader from India, working on build up a good trading system for commodity & other markets.I have just applied your ATR based risk management method on to it; and I am simply amazed.Again thank you and waiting for your next teaches...

Thanks Million, Your videos are Great.

Im fearly new to forex, and i realy appreciate what you are doing. Thank you so much for making videos so people like myself can learn what to do and what not to do in a detailed and structured manner that will help us to become consistantly profitable traders.

Priceless!!!!. Perhaps the best video I have ever watched in my four+ years as a trader. A huge thank you. I have been working on my trend strategy for a short while and this has helped alot and has already made some major improvements just from watching your videos. However, I use some indicators that you might not agree with but they work well once I have modified the parameters. They now provide really good trade entry and exit levels just from these two indicators

I like this guy

Link to the video?

Sir, I really like your videos. But with due respect the information given here is not fully correct. While the pip value calculation presented here will work for a US Dollar trading account and with a pair that has the USD as quote currency it will not work if that changes, i.e. trading account with another currency or a different quote currency

Very informative video! Thank you very much

Hey VP I actually found this indicator that calculates the risk I think it is pretty cool and I found it to be pretty useful lately since this video, I’m pretty sure you have heard of it.. tell me what you think .. https://www.mql5.com/en/market/product/1437

I have different risk rules for different time frames. I dont have the facility to trade these pairs as I am from India. So mostly I trade equities and Commodities. For a trade on daily and weekly. And I risk 0.5% on my day trades. Does this seem okay?

Regarding the confirmation indicator, one can use any indicator like averages or ichimoku or BB. And for the exit indicator, till date the best I found is the "Wave Trend Oscillator". Will get you out of trades even before it starts going in the opposite direction.

I just put the 2% number on tradingview and it automatically calculates the pip values, the risk and also the quantity. SUper convenient.

Holy Hell, I have been binge watching this channel, listening to the podcasts and reading the website for the last few days. I have been going back retesting old strategies. There are a few of them that were losers that would have been winners if I had applied the risk strategy and money management discussed here. Can't wait till I have a proper strategy and proper risk money management.

This is gold! How to use this with stocks?

Yes I agree

A better word would be " Stupid ".

Any ideas for a confirmation indicator?

For exit indicator use "Royal Wave" indicator. it can identify Trends, Strength of a Trend, Entry Zones and Exit Zones.

My fx book has got a good trade size calculator

VP. Spent the whole week in the truck driving around while working, no pandora, no Xm radio, no talk shows, NOTHING BUT FOREX Q&A PODCAST ON BLAST. Now I gotta catch up on the blog..

Get it!!

Speechless... Shocking

Thanks VP

Hi VP, I really like your videos. They have already made a difference to me. Just using the daily chart makes a difference. So thank you Sir. When I visit the USA I would like to buy you a beer. I am an Aussie.

this may be a fool's comment, but here goes. i've had a close friend whisper in my ear about this market for 3 years. at 21, i've began looking for a way to become self independent, and do what the fuck i want to do while still making money in college. No "i've got to work the next morning so i can't." Traded on a demo account for a week. opened a live account with 100 dollars and turned it into 850 in a week and a half. Got to big for my britches, started using way larger lots than i needed to on way high leveraged accounts, and emptied my profit to back to what i started with. Call it beginners luck, call it an intuition, we all make mistakes. we all succumb at some point to early trading errors. i'm looking for my errors and my positives that managed to nearly multiply my money 10x over in less than a week and what i did to lose that. Your videos have given me as much insight as my own thinking and discipline has and for that, i thank you. Here's to us future 1%. Cheers.

Amazing content, like always!

Thanks for sharing your knowledge with us! Realy great content in every single Video

Anything new here? I also have this values using tradingview: USDJPY-D1: 0.5988 but EURUSD-D1: 0.0077

Brilliant! I have been looking for money management information out there and no one has ever explained nothing even close what you just did. This channel is UNIQUE. Big Thanks to you !

Your channel is very honest and is a great source of reference to many of us. Thank you for the education.

so 3-4 years to make %100 return $100 to $200

Wow!!! HUGE!! Very helpful....thank you VP!!!

VP - in the risk video, you mentioned that the exit indicator should get you out of the trade before the stoploss is reached. If we are to check our charts once a day, prior to the daily candle close, how does the exit indicator get you out of the trade without a conditional order being entered to close your trade once there is an exit indication? The exit indicator could indicate an exit at any time, but one wouldn't know if they didn't check until prior to the daily candle close the following day. Time is pips, but time is time also, so just wondering how you handle this. Thanks.

Richard Dennis formula!

dont be ict.. oh i found something but i wont fucking share it with you.. then dont say anything. worst part is you say somebody showed you. just dont speak if ur not willing to really share

why 2% risk? is that so risk of ruin is higher? you will 100% hit your risk of ruin even trading at 0.5% with no proven strategy.. if something works, bet on it..

because it is not meant for be used in lower timeframes.

Amazing content! much love!

Im excited! Great channel without the greed mentality. Awesome teaching style!

Bingo

Great video, got a perspective on money management. Now on the quest to find the Exit Indicator . Any clue !!

Quick question: Why do we calculate the risk using the "paused" equity and not the initial balance or (if we have trades open); 2% risk - our initial balance?

This video is an eye opener for me, please how do i relate this set up of ATR of Risk/1.5ATR = pips value with a Meta4 trader platform. Thanks MR.VP for sharing

Actually on the over leveraging part, another method of deciding which currency to use is to look at the interest rates. So for example I'd like to short both AJ / AC .. I would choose AC as I'd probably earn a little or nothing much on swaps. However if I choose to short AJ, the daily swaps will eat into my profits. Hope this helps!

Hey there VP! I haven't seen all of your videos (working on that) but I religiously follow you podcasts! Have to say thank you man and a big shout out here from a portuguese guy living in Munich, Germany! Continue the good work!

Is it still Risk/ 1.5 ATR for all pairs?

yep

Confirmation indicator = 200ema or 50&100ema Exit indicator = i didn't even know this exists

I found you channel about one week ago and I must say I am really impressed of the way you teach and even more impressed that you don't charge one single penny for all this great stuff. I will be listening to all your videos more than once in the near future. Thank you and cheers from Sweden VP

V. P you are something else.. No nonsense @ all.. Crystal Clear.. #Lets_go_get_it

I tried to minimize the risks but i often make more than 100% losses daily, i even thought trading is actually a scam.

You have saved my time and life

Man you've been sent from above.I' m going to work hard, when i make it outta 99 % i wanna share some profits with you.God bless

+Jeb Pleb It's the bible playa. Lol.

i didn't understand if leverage changes 100:1 to 1000:1, should i risk my %2 again?

Great video! Thanks for putting this together. I put this sheet together based on your ATR-stoploss and per pip value. https://bit.ly/2rMVVn9 Anyone can view copy etc.

Thank you.

The ATR video.

Well done VP!

Hi brother accepting the risk is a big part of trading without fear, which means being ok with any outcome of the trade, it’s easy to say for me but subconsciously sometimes I don’t feel like I accepted the risk anyhow i need to break through it

That's why VP tries to make us research on how to do stuff more efficiently. I do agree with you that it didn't touch about other crosses but I'm guessing he assumes that the variation between pip values isn't that much to bother with. I however take into consideration the pip value for crosses since I have some sort of OCD lol

the other channels only repeat the old same shit, contributing to 99,5% losers. Lies, deception, and they dont even know it, The only thing they know, is that what they teach didn't work for them, and they spend so much time so instead to just let it go, they start to teach. KATASTROF as we say in Sweden!

another masterpiece, thanx man!

I watched many videos but you're amazing. Thanks for sharing

Sir, is there any way that we as a community can give back to you any value for all this information as gratitude?

Follow the material, and become amazing. That is all. Oh, and let the ads run every once in awhile. Not much, but helps cover expenses.

Here goes my treasure hunt for confirmation and exit indicator :-)

Have been studying your videos over the holidays. My account has been up and down, up and down....cannot seem to hang onto a profit. I can't wait to implement your suggestions. I had already concluded that the dollar was way too volatile for me and looked for other pairs to trade. I'm so grateful to have found your detailed guidance. It has changed my entire way of thinking. I hope I'll be updating you with significant progress in my account.

Subscribed to the channel a couple days ago. I've been around trading for some years now, never consistently taking profits so I decided to give it a last change before quiting. I don't know how I found this channel but all the information provided on it has changed drastically my way of seeing trading. Thanks a lot VP.

https://www.myfxbook.com/en/forex-calculators/position-size

Hi VP I have listened to what you say here which makes sense, but there is something that has been bugging me all along! Before I elaborate further allow me to introduce myself first. I, like you, started researching FX market/ trading since early 2009 shortly after the 2008 credit/market crunch. I really got hooked with the theory of Forex trading and research it the way a scientist might do. I studied the market for 7-8 years, tested multiple systems/strategies, algorithms, on back testing, demo testing, social trading and real accounts. I used real micro-lot accounts each worth no more than £500-1000 through different brokers. I studies many different brokers to find the most descent and reputable ones in the UK. My findings is 100% in keeping with what you stated in the "big banks" video. But what I am surprised about is that you do not tell your follower they have no chance of winning as retail traders, absolutely 0 chance! Instead you have started to sell them hope that you find a holy grail "algorithm" that you profitably use and will not giving it away under no circumstances! I see a time that will come and you would tell others that due to subscribers’ demand you would be willing to put it up for limited sale!! And would renew that limited edition over and over again due to further request and so on!! The truth is that this market is rigged by Forex brokers through which one inevitably has to go to place ones trades. Albeit they say that they are "no desk trader" they all are and taking the other end of the trades. They have access to your trades and know everything about it like your SL or TP etc. They only allow you win now and again to keep the hook on. EN

This guy is awesome! I subscribed two days ago and have learned so much. I have been trading for years without getting the results I wanted but I am now rebuilding and rethinking my trading strategy. Thanks VP, great work!!! I will keep following.

is that the donchian indicator? for exit

the Aroon Up and Diwn is good exit tool as well. I changed to Period 9 and gives even a better reault.

Man on some next level mission

Which link was it to help find the indicators ?

An indicator to help out https://www.mql5.com/en/code/23886

Incredible Channel! That's all I can Say

"yo momma"

Big banks

Hi Vp, Super stupid question: one thing that throws me off - your ATR showed 0.00864 - and you took 86, why not 64? I am looking at ATR values that read 0.2654 - what do I take now? 265? 65? 54? 26? I tried googling it, but not a lot of info regarding reading of the ATR values - and I'm still getting to grips with PIPs, (still a beginner ).

Do not go to the 5th place after the decimal. Ignore it. Your correct #s were 86 and 2654 pips respectively. Unless it's JPY pairs, they're different.

Absolutely the most impactful YouTube channel for trading

VP you are the master. Thanks

He teaches to not cap Your upside

Wow. Major value here. As always, thanks VP!!

Can't wait for the follow up video on winning, less confusion yay. Found this really good indicator and wanted to share it's called fisher_yur4ik_2.mq4 seems to help as confimation indicator informing one early of trends even before they happen

VP-U R OUTSTANDING+A TRUE PRO, A MAN OF INTEGRITY, HELPING ALL OF US [LIKE THAT HILARIOUS PIC OF THE DUMBFOUNDED NEGRO 'WHAT?-GIRL" IN VIDEO] ] U ARE A GOD-SENT BLESSING TO US ALL WHO HAVE BEEN LEARNING FROM THE "KNOWN" INFO ON UTUBE. Learning MOst Tools but I see i would have kept losing without your PROVEN EXPERIENCE. U SACRIFICED SO MUCH to generously and kindly share to enable us to become winners and KILLERRRS! I pray i become fruitful to raise funds for visions I received-affordable housing, music academy for disadvantaged, homeless help center, affordable hip modern lofts in downtown San Diego, etc. I have prayed since 2017 when i began for God to bring people to equip me, and I believe u are an answered prayer, along with a few others i have received. I will continue to pray for u so that He continues to bless, protect, strengthen and bring the right people to help u fulfill your purposes and dreams. U are truly a gift to us all. I will also pray for the ones who want to just run with the $ and never thank u, their selfish plans will never come to fruition. I am truly thankful for all your efforts and I see God delights in well intended hearts. Serg SanDiego

As a way to contribute I have taken all points mention on this video and compiled a spreadsheet that calculates all the formulas for you, if anyone is interest just let me know! Also VP thank you for all the amazing content you post week after week, I look forward to constant improvement to one day be the best trader I can possibly be! :)

OZZY-U TRULY STAND ABOVE THE REST! THANKS SO MUCH FOR YOUR GENEROUS SPIRIT. That would be such a tremenous help, i have no idea how to do that. So thanks for sharing with us! I would love to have that, all i have are screen shots. That is brilliant idea! YES PLEASE SEND.

Only problem is for that you have 20k plus account otherwise this calculation is telling you to put 0.00 a trade. This sucks for people with small and tiny beginning accounts. The only way round this if you have watch all of VP videos and got the 4 indicator for your algorithm is you start by putting 0.01 per trade and build your accounts from there. Great video though again VP

I have a question, If the creator of the video knows the answer, good, if someone else knows it please enlighten me: So in the video it's told that 1.5 delta from the current price should be your stop loss, now the experts say the way to ensure long term profits is by having an adecuate risk/reward ratio, some of them give specific numbers lik 1:3 I once heard that the really smart guys never go with anything less than 1:5, with that in mind, wouldn't the target profit be too high to reach? I really agree on winning more the few times you win rather than winning small every so often. So I feel like this ATR rule kind of defeats that.

Anyone know where to find VP’s Yo Momma video, or am I confused.

Glocktopus. I’ve seen like 3-4 different people reference the ‘yo momma’ video but can’t seem to locate it. Could you please link it so I could view it or explain how to locate. Thank you

Hey VP, what do you think of the "Chandelier exit" indicator? https://www.mql5.com/en/code/19875

Hi VP, this video is fantastic and the education and the willingness to help others achieve their goals is amazing and I applaud you massively. Just thought I would share a indicator which was published on MQL5.com which is called the Royal Wave which gives you confirmation and exit of trends, unfortunately its not a freebie but you can rent it for $25, £20 for three months or 1 year rent for $85, £70 or outright buy for $560, £460. I just want to know your thoughts on this type of indicator and if you know of it? What I will do is purchase this for 3 months and see my findings and if it works well then I would be quite happy to share with all members the results by using this system obviously with my other technical indicators. Like I say thank you again for all your guidance on how to trade forex properly, I already see the advantages of the system algorithm and see that all the indicators we have used before are complete bulls**t! God bless all members.

Thanksss brooooo

*Yo momma* intensified

+vastenvironments I can send to your e-mail if you can provide one? :)

Babypips has a great calculator if you dont want to do the math yourself

Amazing stuff VP... just wanted to add a little value... here is a link to a free ,quick and accurate position calculator https://www.earnforex.com/position-size-calculator/

Awesome like all your video, i really appreciate your help VP. Many thanks

I'm not sure if this is a duplicate comment (I looked and didn't see anyone notice...)... I really like your education!!! I noticed something at the 20min mark... Due to the 'rounding' the actual Stop Loss was $68 more than 'planned'. Again, thanks for the insights to help us not be part of the 99% -- Greatly Appreciated!!!

ozzy2k11 ▒

Thank you

+ozzy2k11 Hey man, if you could send it to me, i would appreciate it a lot! Thanks man, aaronluce@icloud.com

Hello VP what's up, I've been studying your videos for a little while now and your doing awesome job in terms of providing insight and valuable information revolving around one becoming successful trading That's my personal opinion so keep it up as I am hungry for information. I would like to ask you a question in relation to trading which I'd like to ask via email. If I can have your email that will be great, Thanks

Hi VP, you said on your video 2% risk of your capital per trade, right! But i found it WRONG!!! when you make stop loss based on ATR, 2% the risk goes far more up in the actual trade. Example to explain: 400$ account / 2% is 8$. Calculating the ATR for a SELL STOP LOSS trade the way you show in your video GOES to 47$. Please explain! thanks

Send it please ;) ratherberydin@gmail.com

Hi ozzy. I would be interested in your spreadsheet if you could please send it to me. Thank you very much. davidmcewan01@yahoo.com.au

Hi ozzy2k11 am interested please send me the spreadsheet, my email is mariochangala@gmail,com

the lot size is actually pretty simple to work out, just do the same calculation if you would then divide by 10, in the calculation above,divide 7.790697674418605 by 10 gives you ~0.78, given the pip value is $10 USD per lot, if you are on MT4, that's the lot size you enter, correct me if wrong?

Thanku this is gold , im.new hopefully it will help ,thanku

That "#YoMAMA" Option Is Genius......

Maybe I missed something, but you almost put 4000$ on the trade wich is close to 7 or 8% of your capital. This is far from the 2%? I would like to understand...

I would like a copy deleca999@gmail.com Thank You For Your Time And Patience

Hi, Thank you for sharing, Just struggling to keep account afloat. Please send the spreadsheet to jasgiles61@hotmail.com. Eternally grateful.+vastenvironments

I beg to differ with you sir: If your risking $1005 and you place a 129 pip stop on EUR/USD, the risk is $1290. The stop will be -100.5 pips. This video is misleading which I know you would not want to purposely do.

Thanx a lot ,You are awesome.

VP, who ever you are...you deserve a big hug !!...I love you brother...thanks a lot for the time and effort you have put in

Yo momma

Lol I'm guessing RSI at 80/20.

Great videos and I am binge watching! Do you have any videos that help with commodities like oil?

I don't trade oil, but do trade metals. Those videos will come much later, but they will come.

+vastenvironments Wow Your Awesome @Vastenviornments i would much appreciate a if you could send me a copy too ! My email is osshaine@gmail.com Thanks !!! Also Huge THANKS TO NO NONSENSE FOREX ! THERE IS NOBODY COMPARABLE TO YOU SERIOUSLY !

There are good pip value calculator indicators/ Or fopr risk calculation

+No Nonsense Forex thanks for your time. Keep up with the great videos

Sent it to me also : gwomeka@gmail.com

hello ozzy can you please provide the spreadsheet for me please thank you. dreamcoatfx@hotmail.com

God bless you

What about the lot size? How to compute that base on the info?

you cant do this on small accounts if the per pip is below 0.5 as my trading platform only allows me to trade at 0.5 on some pairs or 1 per point on other pairs this right for small account of say £1000/2000

Ozzy, you’re so generous to share. I would greatly appreciate receiving that spreadsheet as well. Rogerdcrisp@yahoo.com Thank you sooooo much!!

Hey man, I'm a complete newb on trading. right now I am working my way through all of your stuff. 1-2 videos daily and already got so much info i've never thought about before. i'll take my time, take notes and look forward to become a smart trader. Bless you, greetings from germany.

Do you also take into account your brokerage or not worry about it ?

Not a big deal, no

I'm just playing my guy. You cool. Your Jamed Bond. Aren't you Daniel Craig. Lol

EXIT INDICATOR - If an exit indicator is to prevent one hitting a stop loss, it suggests that the stop loss has been too aggressive in the first place. Would it not be better to say that the stop loss should be ATR x 1.4 (for example) and not ATR x 1.5? However, I watch these lessons as I am not an expert and I look forward to trying to unravel this exit indicator. Really interesting video and concepts, expertly delivered.

Hi ozzy2k11 am interested please send me the spreadsheet, my email is naquibtenang@gmail.com

jedlevine@gmail.com. And THANK YOU!

Have to say, I am still really confused by pips, lots, sizes, units and points. I would like to say this video helped, but it didnt - but I am following all the blogs and podcasts now and am starting to learn and the most important thing here is - Im going to keep at it. At least I have something useful down in the notes now on risk :)

The problem is the fees to volatility ratio, it's awful in forex. Can you put a buy order in which is lower than the current sell order? No, it's the other way around. You're forced to be on the losing end of a spread. It should be like the crypto exchanges, where you're on the good side of the spread. You can buy at one price, at the top of the bids list, and as soon as it's filled you can immediately put a sell order in at a higher price at the top of the sells list. You can find coins so low priced that it's in the single or double digits of satoshis, like the top buy order is 9 satoshis and the top sell order is 10. You can make 10% on that spread just by waiting for the orders to fill. Granted most low priced coins have very low volume but some have usable volume. You only need to get a 10% spread trade through every few days to double your money in a month. Fees are usually about 0.25% or less on crypto exchanges, so it hardly even cuts into the profits of those kind of spreads. Now I don't suggest trading crypto right now, but once the markets get in better condition it's way easier to win than in forex. BTW, forex volatility averages right about 1/10th of bitcoin's, so to have similar fees to volatility, forex exchanges would have to charge no more than 0.025% per trade and have no spreads where you're always forced to take the bad side of it. Were it not currently in a bear market, crypto would be blowing forex and most other markets out of the water, just no comparison whatsoever. Forex exchanges just straight up ream you out.

If I could put in a buy order which is less than the sell order, I think the world economy might collapse. Hey, can I buy an apple for $1. Great, thanks. And ... you will buy it back from me immediately at $1.10. Um, Ok.

Love the video! My question is when you are calculating the stop loss how do you know which numbers to multiply from the atr there are some that are three and 4 digits after the decimal do I multiply that whole number or do I just do double digit numbers and exclude the numbers following? I want to make sure I calculate the right number so I dont have some crazy stop loss. Thanks

Thank You!

could you send it to me please: sergioandres_ticas@hotmail.com

Hii, could you send it to me please?, i would really appriciate it.: sergioandres_ticas@hotmail.com

Hey Ozzy, Would love to take a look at the spreadsheet. Very kind of you thanks Steveclarke1717@gmail.com

pls share it with me as well - hivauz@gmail . com

are all these (algo of indicators) on your screen? at all times when you are charting your pairs?

VP, I get the premise of the confirmation and exit indicators but if you are on a daily chart? and your viewing the chart for 24 hours and the market goes goes hard the other way to your stop loss, how does the algo automatically get you out? or do you have to evaluate the chart the next day and review your indicators again? to see that one og them is telling you the trade is getting exhausted or tired?

VP , THIS IS INCREDIBLE! YOU GIVE PEOPLE WHO KNOW THEY CAN DO THIS ___A REAL PATH TO AUTONOMY!

Ozzy ,my man. Could you send your spreadsheet to me as well? Thank you and wish all the best! loyalviper@gmail.com

Hi Ozzy, Please kindly send me the spreadsheet via newrehoboth@gmail.com

The problem is the fees to volatility ratio, it's awful in forex, fees usually meaning spread. I tried a demo account and as soon as I placed an order I was already negative $50. How long do you think you could go when you're paying $50 just to spin the wheel. If forex had no spreads or fees it would be worth trading, probably.

+ozzy2k11 that would be just great. pls send to frajen01@bigpond.com

I was very lucky to find your Chanel , i appreciate your great effort , but i always have this question if you really put 50000$ in your account?

In demo? Yes, all the time.

Hi Ozzy can you please send me a copy of the the spreadsheet. shaun.holm808@gmail.com

THANK YOU VP!! Thank you for taking the time to outline risk management. makes a world of difference.

4:15 , this here is what killed 3 of my accounts and nearly 15k. Wished you were around back in 2010 when I started VP, but glad your here now. After starting watching your podcast I decided to try forex again in the future

The first time I watched this video I really couldn’t have known what you meant when you said sometimes you see a signal that looks like it’s just a day away based on the algorithm. I mean, I understood the theory there, but didn’t actually know what that would look like on the charts. Now just over a month later, and with a rough system in place, I know exactly what that means. Must be on the right track. Each of these videos really are golden nuggets. It’s takes time to apply them and really understand. But I determined about 16 months ago that I was going to find a way to EVENTUALLY become a day trader. I see the path now, and it’s very exciting. One step at a time, slow and steady wins the race

ok how did i do it then - I started a trial account with 1000 usd now i ave 4 300 usd just for 3 months this is 400 % i even don't use stop loss. I don't gamble. I use 0.1 volume when i trade. just i never take loses. if a trade goes -400 USD against me, that is a good thing for me because i can just add on it and if the swap is with me, soon or later i get to 0 or plus. is this a bad strategy?

Please do not follow this advice if you are a high frequency trader. If you are hammering out 20-50 scalp trades a week, you need to be at a much smaller risk percentage.

Agreed, not for HFTs at all. Wrong channel altogether.

Sunday and time for re-watching 5-6 of VP's videos so I am prepared for the coming week!! I and a couple other of your fans have a question we dont get the answer to. It's about ATR. Many of us don't use MT4. I use investing.com and the ATR there shows different numbers. Can you explain how to read the investin.com's ATR? Thanx a lot!

You're best off downloading MT4 if you want to follow what we do. You can trade on investing.com, but you'll need to chart on MT4.

ozzy - any chance i can get that spreadsheet? mikehardy03@yahoo.com I appreciate it, thanks for taking the time to provide a valuable tool like this.

Hello ozzy2k11 I would really appreciate it if you could send me one too! Thank you very much for your selfless contribution bro. jeckbusiness@gmail.com

Hi @ozzy2k11 I would like to have the spreadsheet as well. jasonlee1879@gmail.com. Thank man!

Did you say vai com Deus? Haha Thanks again for your videos. I'll buy you beer if I bump into you in Vegas

Great video! Thank you for making sense out of trading!!! I have a question: Does this apply to XAUUSD?

The risk does, the technical analysis videos don't necessarily. We'll cover this down the road.

ozzy2k11 Hey, thanks for your time and generosity, can you please send me your spreadsheet to y2ck@hotmail.com

eeeeekkk ooh I l'm excited again... da da da da darrrrr I'm loving it BTW always love your intro's..its like DROPPING THE MIC ...Boom #letsdothis

Please share the formula to info@mxomash.com

Thank you for your hard work, man! Could I get a copy as well at shampsbg@gmail.com

Hiii.. Thank you in advance. Please send to me... My email is colyn1996swai@gmail.com

ozzy2k11 Hi mate could you send this to me please at cameronwrightt@icloud.com thank you :)

your tution is excellent thank you

According to ATR minimum 120 pips SL so TP should be 240 pips at least. It is long journey. Don't you think is it violating technical analysis?

Just getting into learning about trading. This stuff is not 101 level

Great vids. Well presented.

Lol I paused the video at first and tried to guess. Only to be terribly wrong. Anyone else? haha

No Nonsense Forex I've watched about three-quarters of your videos now. The bad thing is I don't know anything yet. the good thing is I don't know anything yet. Lol

It's more 201, you're right. I made a Beginners video, perfect for those who are just getting started. Check it out!

Thank you ozzy2k11, I will need the spreadsheet as well. My email is ajideoluus@gmail.com

What if the atr is 0.3773. 3773 X 1.5 that's a big number.

Nearly two years into learning Forex demo trading. 30% down but never blown a account...

ozzy2k11 can you send to JohnL.j@pm.me Thanks for your contribution.

What if the atr is 0.3773. 3773 X 1.5 that's a big number. The big numbers seem to only come from jpy pairs.

At 25:14 that says do not trade the same currency pair at 2% risk. Is that within the same day, week or so?

Thx for the content this is very thorough

Because you are risking a fixed amount, in this case, 2%, if you reduce the number of pips by using 1.4 ATR, the only difference is the value of one pip. For example: ATR = 50 Balance: $10000 2% risk: $200 1.4 ATR = 200/70 = 2.85 per pip 1.5 ATR = 200/75 = 2.66 per pip So, reducing the total number of pips will only inflate the value per pip and make your trade have less room "to breath". Hope this helps. ;-)

If your risk is 2% ($8), you need to calculate the value of a PIP based on the ATR. So, for example, if the ATR is 50, your stop loss should be at 75 pips and the value of your pip will be $8/75 = 0.106 per pip - This is a very small trade. You can use this calculator to help you define the size of your trade https://www.babypips.com/tools/position-size-calculator

Hi Ozzy, great to know how much you supported VP cause. Really am thankful if you could share it with me at yusmarin@gmail.com :)

This video puts all the other "gooroos" to shame. I reviewed a few courses I took from back in the day and examined the chapters on risk (more like a couple of sentences). I could find no evidence where risk was explained in such detail and even conducted a little on-line research and found more of the same ineffective literature lacking any real substance. Everybody extolls the virtues, value and necessity of "2% risk" to the masses but pretty much leave it up to us how to interpret how to apply it so our accounts don't end up as vapor. There are no details with regard to specific pip value based on cross pairs (or "exotics"), correctly spreading risk (and strategies to mitigate over leveraging your account), the very notion that going long on a USD based and short on a cross with a USD place too much risk in a single currency, etc. The step by step illustration to correctly calculate the required variables of a trade; simply put, are invaluable. But caution, fellow traders - this ain't sexy indicator stuff (as was mentioned elsewhere) but probably the most important (was it 1a or 1b?) to become successful. Make a cheat sheet. Laminate it. Keep it close and refer to it often (I am, for sure). If you didn't understand it, for the love of Pete, go watch it again and take notes. This stuff is solid gold, friends.

hi pls kindly send me the spreadsheet to angelrock2k9@gmail.com

ozzy2k11 could you please also share this spreadsheet with me, mmbatha3@gmail.com

This video puts all the other "gooroos" to shame. I reviewed a few courses I took from back in the day and examined the chapters on risk (more like a couple of sentences). I could find no evidence where risk was explained in such detail and even conducted a little on-line research and found more of the same ineffective literature lacking any real substance. Everybody extolls the virtues, value and necessity of "2% risk" to the masses but pretty much leave it up to us how to interpret and how to apply it so our accounts don't end up as vapor. There are no details with regard to specific pip value based on cross pairs (or "exotics"), correctly spreading risk (and strategies to mitigate over leveraging your account), the very notion that going long on a USD based and short on a cross with a USD place too much risk in a single currency, etc. The step by step illustration to correctly calculate the required variables of a trade; simply put, are invaluable. But caution, fellow traders - this ain't sexy indicator stuff (as was mentioned elsewhere) but probably the most important (was it 1a or 1b?) to become successful. Make a cheat sheet. Laminate it. Keep it close and refer to it often (I am, for sure). If you didn't understand it, for the love of Pete, go watch it again and take notes. This stuff is solid gold, friends.

Hey man ! I hear you’re paying it forward

Hi Ozzy2k11, much appreciated if you can please send me your spreadsheet. Thank you very much in advance for your generosity and sharing. Have a good one. jharteam@gmail.com

Makes sense the 2% risk is like the last resort should things go the wrong way. Now it's time to "micromanage" the risk within that 2% window so that we never hit it. Believe or not I actually thought that to trade until I hit my stop loss was the plan to trading greatness. Thanks for the epiphany.

I'd appreciate if you would send (varghesepabon@gmail.com) me the file also. Thank you for your ingenuity and altruism.

14:10 why wouldn’t your leverage be factored into this equation?

If you just set it at 20:1, it should never come into play. Episode.....8 of the podcast I think? Check it out.

Hello ozzy2k11 I would really appreciate it if you could send me one too! Thank you very much! listbahamas@gmail.com

Hey mate. I pretty late on this band wagon haha. But thank you for doing this. I know it would be pretty hard for me to do this so I really gotta thank you for speeding up my learning process. Could you send it here please? jkkoria123@gmail.com

Hi Vp, i was thinking, what if instead of scalling out ,would it be wise to use a trailing stop in risk management as an alternative . I have seen this feature in OANDA i don't think mt4 has it.

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