How do bankers trade forex? Part 2: Capital Management

[@Trillizflams]

I have putt in place a capital management system after I stumbled on this video. I now happy to say I’m a profitable trader, going back down won’t be as catastrophic thanks to capital management the key to the kingdom of wealth

[@keithsproson4328]

I have been looking for a REAL institutional trader for 2 years . jackpot!🙋

[@MsCool]

The information that you are sharing is invaluable. Once you apply these capital management rules you get a lovely equity curve. You see it rising up abruptly and crashing down slowly. Interestingly, it may never come back to its previous level (if you know what you are doing and have a robust trading plan). This video is a holy grail for serious traders who want to trade professionally and boring for gamblers as they don’t want to digest the information. Conclusion of this video is : you shouldn’t have a equity curve like a heartbeat but instead shooting up insanely and going down calmly.

[@stevenobinator2229]

Even after writing a book on trading, Cut the Crap trader, this is still so useful and great review. With trading you gotta be on 100% of the time. One small implusive trade can dynamite a whole strategy. Thanks

[@njavwalezabanda6586]

This is the best FX trading video I've seen in a while

[@user-xb7ty7ly9s]

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[@K24travis]

Wow. Thanks so much for this Sir. This is exactly what i need now.

[@PradeepYadav-fq5kn]

Hey Brad, this is the most amazing capital management strategy i have even seen . i do appreciate that you are sharing this with other so that beginners like my self can learn this , so thank you for this. 1 thing i wanna ask you is this , can you please make a video on implementing this strategy during a trade, like an example. i think that will clear all the doubts.once again, thanks alot

[@user-xb7ty7ly9s]

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[@traders4traders]

Sure. I'm going to add a bunch of 'How To' videos shortly.

[@LukaszAdams]

The best video about money menagment i ever see!

[@user-xb7ty7ly9s]

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[@theomiquel2465]

Thanks you so much for this clear presentation

[@traders4traders]

You're very welcome!

[@simaoluis9443]

I will subscribe to your offer after my salary. It's great to learn from someone with Bank trading experience. You are the best.

[@user-xb7ty7ly9s]

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[@EzraRye]

It came naturally to me as I am trying to pass a challenge and went into a drawdown. I should have probably started level down earlier with stricter rules though. But anyway. Thank you for this system, I will definitely implement it more thoroughly. Brilliant video. Some of the most important advice for trading.

[@traders4traders]

Thank you!

[@richardcashmiro2880]

this series are so full of great information thanks a lot for your time sir !

[@user-xb7ty7ly9s]

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[@gaiaelan9898]

Thanks for these videos & they're free? This is great for someone who needs to understand foundations of Forex to really get it!!!

[@user-xb7ty7ly9s]

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[@forextutorialbangla]

Forex market doesn't support this capital management system because 1:3 return isn't something you can expect. Often it would be 1:1/1:2 may be negative return to start with. I think the best way to adapt with FX market are to trade less, risk less, loose as less as possible for your winning trades to dominate.

[@dennisnealon9963]

great segment thank you

[@user-xb7ty7ly9s]

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[@MarkBarclay]

This is probably the Holly Grail everybody is searching for in any market not just Forex

[@user-xb7ty7ly9s]

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[@laneyljk]

Awesome! Thanks so much! 😁

[@traders4traders]

It's a pleasure!

[@wolftradealerts580]

So well put!!! You are the BEST!

[@user-xb7ty7ly9s]

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[@SuperPanthertv]

Fantastic way going about capital management

[@user-xb7ty7ly9s]

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[@joerahman1]

Love this, subscribed! Keep em coming 👍😊

[@user-xb7ty7ly9s]

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[@godwinseibeb4086]

Im confused. Can you elaborate on trade size when explaining the DD and DU

[@traders4traders]

It's pretty simple. Half your trade size when going into DD and double your trade size when DU

[@godwinseibeb4086]

@traders4traders thank you. But could you actually explain what the trade size actually is ? For example, when having a trading account of 10K, you mention a trade size of 100K. Is that just the leverage being applied to the account?

[@coderhaawk8472]

Thanks! Awesome video

[@user-xb7ty7ly9s]

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[@_AndJustice4All_]

I guess there are errors in the Slide utilize leverage. Based on the numbers under capital required a trader from Japan would trade with the maximum available leverage by the broker. Also the numbers capital required numbers for USA and Others are the same (beside DU3) even though it is said that others can utilize Leverage 100 and USA 50. That's kind of odd.

[@Raj-wo9ij]

How much leverage bank can use in forex

[@jimmyduran1714]

thank you for this video sr.

[@user-xb7ty7ly9s]

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[@giovannisantostasi9615]

How much automation these traders use our days?

[@callformotivation]

Great vid! You said if you have 4 consecutive losses we reduce size by 1/2. What if we have 3 losses, followed by one win, and then another loss? Do we wait for 4 consecutive losses again?

[@traders4traders]

Yes, that's right. When you get into more dynamic capital management you make the adjustments at specific capital levels as opposed to the number of losses in a row.

[@SumaSuma-wl6tk]

I made backtest over 100 trades on one pair . I started with fixed small amount at risk. I made 10k . I decided to apply your money management but i ended only with 3500$ profit . So my question is why not just risk small from beginning instead of risk 250$ .. 125$ .. etc . Why not just risk 25$ as fixed amount?

[@isaacsanyaolu3561]

The drawdown process seems more similar to the martingale system?

[@user-xb7ty7ly9s]

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[@MeshalAlhussaini]

This is so frustrating that I know how to manage capital and am completely willing to do so, but I have no strategy to trade with at all. There is no discernable pattern in the damnable charts that one could confidently go with.

[@WorthyVII]

Why is DD3 and 4 the same sizing? at @17:57 Are we just assuming that's the minimum order size?

[@user-xb7ty7ly9s]

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[@zipodipo7923]

The way I see it this is like compounding. It's all in the math. Say isn't that leverage a bit exaggerated ? And how do I switch leverage from trade to trade. What's wrong with 500:1 leverage fixed ? I do like this setup . I'm just wondering how to make it happen totally. I don't want to do it by halves.

[@macrotrader6804]

How does the max losing trades work when you have multiple positions open? Say you have 4 positions open, 2 losses, 2 wins, do they cancel each other out?

[@Slicedbyjb]

No its rather the entire number of trades for that week not necessarily in a row

[@thanostsokas8715]

i have a question:and what are we gonna do if the average daily range is 30 pips only?we use the same risk/reward ratio?

[@user-xb7ty7ly9s]

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[@murphyjr6793]

I can see how this works with a 3:1 Risk Reward. However would this also work with a 2:1 Risk Reward ?

[@user-xb7ty7ly9s]

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[@mariusdawkins8385]

Being profitable in the forex, stock & times market requires a good trade system but remaining profitable that requires skill, experience and expertise. Thats why i choose Mr Ben foster as my trader to lead me to success and achieving my goals.

[@gracefloyd426]

Are you talking about the Turkish trader I saw some good reviews about him so I want to know about his trading platform can anybody here help

[@rebeccatyron3442]

Apparently this is one of the best trader so far around, have only been with him for a short time & learnt such a lot.

[@clifftondeep8115]

i have been using forex for a while now and what i have been earning is not even enough to support my family & kids at college, I need assistance .

[@olivejess8957]

Mr Ben foster & his team are so helpful & timely when I need assistance as a newly signed up members.

[@esmondfinnagan9001]

I have been in search of an experience trader for assistance. How sure is this man?

[@denzelkaleu5704]

For the. First DU level if i make 4 consecutive loss I’ll be lower than my initial balance

[@user-xb7ty7ly9s]

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[@kevtherev8194]

Thanks

[@user-xb7ty7ly9s]

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[@cristianho777]

In summary 3 to 1 is the way to go, every 4 losses you need to reduce your risk in half. Every 4 wins you up the risk double the amount.

[@user-xb7ty7ly9s]

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[@ghahandi]

HOLY-? Graal?

[@imrankhanvlogs833]

Voice is not good quality and clear if you can use Quality 🎙 🎤 Mic

[@stevenjohnstone5833]

Don't go near them. Don't give them your money on any account.

[@user-xb7ty7ly9s]

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[@davidgregg3438]

Total crock- the entire series. What a joke.

[@traders4traders]

Really David. Let's see your credentials and I'd be happy to hear your suggestions on how all this really works!

[@davidgregg3438]

@@traders4traders Take this video for example- If you're trading a million dollar account and you get a 300k drawdown- you're out 30%. That's nuts. Hell, a 25k drawdown is 2.5% on a million. And over 4 weeks? And into news releases? Why doesn't the strategy find a way to hedge risk at these instances- Options on Forex or Futures Hedging? This is a "bankers" traders video isn't it? Reducing position sizes as you continue to lose tells me two things A) You must not know that your likelihood of a win increases as you lose and B) Even if you do win, it'll have to be significantly bigger just to break even. If you backtest your system before throwing around capital willy nilly you'll have the confidence to press it when it counts. Additionally- knowing WHEN your strategy is less likely to work- i.e.- low/high volatility, low liquidity (session), range/trend or political/social issues- is really something you'd think "bankers" are taking into account. Linda Raschke points to maintaining position size/risk, knowing when to exit, and knowing when to trade specific strategies in this video- kzbin.info/www/bejne/nWLLpGljotdphrc. I trust you know who she is and find her more than qualified to have such opinions. Additionally, if you're closing your trades at 3:1- then you're capping your upside- and what could be one swift move to the next level is now halted by the highly improbable string of recurring wins. Why not just close a partial and put the rest to B/E?

[@WorthyVII]

​@@davidgregg3438 A) You must not know that your likelihood of a win increases as you lose ^ Oh really. Do you believe that one coin flip affects the next too? "you'll have the confidence to press it when it counts" ^Lol, the problem is, losers don't know when it counts. The confidence cannot be placed properly. That's the WHOLE POINT of having this drawdown system. It is to save the money because the trader themselves are becoming a risk. to capital. I agree closing trades at 3:1 caps upside, but given that the 3 is 50% of the Average daily range, the probabilities start to diminish over that level. Just looking at the EURUSD right now, the RR would be 28 pip TP and a 9.3 pip SL, and from this page: www1.oanda.com/forex-trading/analysis/historical-value-at-risk-calculator (Use Hourly, 10 candles, 50%) You can see that there is only a 50% chance of it moving more than 35pips in any 10 hour period. That means most likely if we are going to win, it will be done within 10 hours. Closing the partial can be re-written as using two strategies. You had an idea and you set up a trade to capture the gains from that idea. Then, you decided you might be wrong, and it might be going higher than you though (look at the stats above). So what you are suggesting is we potentially half our profit because we lost confidence? What your saying is greed, and everyone knows greed and fear will ruin you in the market. Confidence in your strategy is what's needed. And this DD system makes sure that whilst you fine tune that strategy, you don't lose all your money.

[@KKKkiri]

many thanks, I wouldn't think of something like dynamic capital management looking to my losing trades in advance and how to adapt to it to minimize the risk and maximalize profits at opportunities like the significant monetary announcements

[@user-xb7ty7ly9s]

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