Education

With the advent of the Internet the financial markets are now more accessable to the retail trader, and the retail traders have responded with enthusiasm. Unfortunately since the CFTC requires the brokers to publish the statistical progress of the trader, we have learned just how few retail traders actually make profits with their trading. For this reason brokers have developed education tools to assist the retail trader, and below you will see our links for Forex, and Futures education pages.

 
FOREX
To see our Forex Education Brochure Click Here.

 
OPTIONS & FUTURES
To see our Futures & Options Trading Education Page Click Here.

 
To See Our Futures and Options Education Brochure Click Here.

The technical trader, and even the fundamental trader is faced with a statistical reality that what they do works only a certain percentage of the time. For example, if a trader’s formula is successful 70% of the time, and the typical profit target is 100 points of profit, while the typical loss is 50 points of profit, the trader needs to be successful more than 1/3 of the time in order to make a profit. This possibility excites many traders and it generates a great deal of enthusiasm. But it works only when the trader is able to enter virtually every formation. So, if the same trader is not able to enter trades 24/5, then the results can be different. For example, if there were 10 trade formations on any given day that a trader would trade, and those 10 trades would have resulted in an overall profit, the trader who enters only 4-5 of those trades due to his personal schedule might be unlucky and enter only the ones that did not succeed. This is one challenge that has frustrated many retail traders.


One response to this challenge is what many refer to as ‘robots’ or ‘trading algorithms’ that analyse the market and enter virtually every formation that meets predefined criteria. This removes the ‘bad luck’ scenario from the playing field.


More recently a new alternative has also emerged and is referred to as the ‘Leader/Follower’ option where the broker automatically enters trades for the retail trader. The trader pays a monthly subscription fee to a professional trader and authorizes the broker to follow the professional trader, and duplicate all of his trades onto the subscriber’s account. This is the same as if the professional trader were trading the retail account, but because of the broker’s involvement and support, there might be hundreds of retail accounts following the same professional trader. With the use of computers, the broker is able to provide a very helpful service for the trading community. This is a major breakthrough for the retail trader who is not able to, or does not want to be actively involved in trading 24 hours a day. If you would like more information about this new and exciting technology Click Here.