Hello everyone!  My assistant, AJ, just informed me that The Market Mover Edge account has just reached an all time new equity high.  Our account is up by 80% since May, and is up by 7.4% in June alone!  This is in a month when I experienced a blood-bath for two weeks!  This type of performance is only possible with extra-ordinary money management, and a solid trading “method”  that is traded with discipline and precision…even when it doesn’t “seem” to be working.  You see, the market changes constantly.  If you change your system or method every time it starts failing, you’ll always be out of synch with the market.  Let your money management system take care of those periods for you.

Please take a look at the RESULTS PAGE! for The Market Mover Edge.  These are not cherry picked trades.  This is a journal of every trade signal that has been sent to MME subscribers in May and June.  After you see my results, you’ll never view a signal service reporting performance in “PIPs” the same again.  All pips are not equal.  Some pips are cheap, and some very expensive.

I send each signal with my professional money management plan in mind.  I actually tell you how much to risk on each trade.  It’s not as simple as the same old 2% everyone touts.  As an MBA and past Strategic Planner for an investment bank, I can tell you for a fact that money management and risk management should never be looked at that way.  It’s just not that simple.  Why should you listen to me?  I’ve actually been contracted by insurance companies and banks to teach Risk Management. If that’s not a credential, I don’t know what is!

Every trading method has its down phase.  Profiting, even in that down phase, is the job of a professional money management plan, and thoughtful execution of the trading methodology.

Come join me at The Market Mover Edge, and start making money in every market, and every situation.  PROFIT even hen there’s blood on the walls!

The Market Mover Edge

24 June 2009@23:57 CST Sell GBPUSD@1.6455 SL:1.6490  TP:1.6275  Risk=1%

Notes:

This trade has a 5:1 reward to risk ratio.

25 June 2009@10:00 CST:  Results from the above signal:  +180 pips

It’s only fair to note that I did take profit at only +115 pips.  This was a financial decison based on probabilities at the time of closing the trade.  Professional trading is based on probabilities rather than possibilities.  If you want someone in your corner making these decisions for you, pleasestop by The Market Mover Edge and subscribe today!

Buy EURUSD@1.3998  SL:1.3959  TP:1.4097

EURUSD has pushed hard to the upside.  There is nothing on any higher timeframe chart to suggest this will change.  The 1.4000 area contains a confluence of support.  The 1.4000 area is a phychological support area that has proven itself over and over.  It is the 38.2% Fib retracement price, and has the added benefit of being the daily pivot point.  From a pivot trading perspective, we are above the pivot point
and should be trading long.  For my signal service I’ll get this stop loss down to about 15 pips as price approaches the entry point.  I want to be clear of this trade by tomorrow morning’s New York session.

I recently spoke with a one of clients of my forex signal service.  He was very upset that one of our trades had turned against him to the tune of nearly 300 pips.  This trade was part of an Opening Range Breakout method that is placed on the weekly time frame.  large losses and draw downs are to be expected.  When I asked him how much he was risking on the trade, he explained that he was risking 10% of his equity on this trade.  Trading doesn’t have to be all that stressful.  What we’re talking about here is three cents of movement!  When is the last time you even bent over to pick up three pennies?  How about three buttons?  Three beans?  Of course, he chose to risk quite a bit more.  Much more than he can relax with.

Here is an example of the power of proper money management:

Initial Account Value:  $1,000.00

Risk:  2%

Trade 1:  200 pip SL
Trade 2:  150 pip SL
Trade 3:  20 pip SL

Trade 1 risk = $20.00
20 / 200 = .10
Trade 1 stops out:  <20.00>
New account balance = $980.00

Trade 2 risk =  $19.60 ($980.00 * .02)
19.60 / 150 = .13 <–round down to .10.  Never round up!
Trade 2 stops out:  <15.0>
New account balance = $965.00

Trade 3 risk = $19.36
19.36 / 20 = .97 <–round down to .90.  NEVER round up!  DON’T DO IT!
Trade 3 takes profit +48
new account balance = $1,008.20

Pip balance: -302
Equity change: +$8.02

Wow.  A 302 pip loss with a positive financial outcome.  This is the real power of money management.  When you allow your stop loss value to determine the amount of money you leverage instead of the amount of money you lose, you enable huge gains on small stop trades, and maintain a controlled amount of loss.  Let’s say that you can sleep with about $20.00 of risk per trade?  Figure out the percentage of your total account value and trade down to the sleeping level.  This is how you trade emotion free, my friends.

I have an advanced money management system.  It’s much more powerful than “trade 2%.”  Trading % is better than nothing, but it is not a money management system.  I have an MBA and several years in strategic planning and  consulting for the banking industry.  If you’d like to know more about professional “banker” money management systems, email me at support@mmedge.com and I’ll be happy to speak with you.

Thanks for reading!

Tim

Hello everyone.  I’ve been asked by many of you if I’d ever be willing to enter a mentoring relationship.  I have done so in the past, but it’s been quite awhile.  It can be quite time consuming to mentor someone properly. 

I am opening the door to a SMALL group of individuals who seek mentoring.  I’ll accept only ten “qualified” individuals who wish to receive 12-weeks of  real one-on-one mentoring from a professional forex trader.  The first   group meeting / initiation will be on or about 26 June.   If you have questions, or would like to take advantage of a 12 week program of one-on-one instruction, simply click the link below and send me an email.

The cost of this program is three monthly payments of $197.00 or a one-time payment of $550.00.

Inquire at support@mmedge.com

Thank You!

Tim