Question for those that trade 5-10 standard lots

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vagus
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Question for those that trade 5-10 standard lots

Postby vagus » Mon May 18, 2009 2:55 am

I am new to the Forex market, have traded stocks only. Recently opened an account with MB Trading and using MT4 for charting per Avery's recommendation. All of his work is awesome, there are not many people like him (in terms of talent but more importantly generosity). Anyway I am going to get my feet wet trading 1 mini lot (10,000 units), then once comfortable move to 1 standard lot (100,000 units). Then I would like to trade with 10 standard lots (1,000,000) so that a 5 pip gain is equal to $500 profit.

Therin lies my question, for those that trade 5-10 standarad lots, is there ever a problem getting into or out of a trade using this lot size or are there any suggestions or hints (i.e. times of the day when it would not be advisable to trade with this volume, etc...).

Thank you for your time.

Chris

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rowdy
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Postby rowdy » Mon May 18, 2009 10:36 am

I dont trade those position sizes but I will offer an opinion.
First you said you are new to Forex. If that is the case then it would probably make sense to trade a demo account for length of time. I would assume that you are referring to a demo in your explanation above. If you are new to trading and forex then trading real money at this point would be financial suicide.

Now to answer your original question. With Forex being extremely liquid, I dont think you would ever have a problem getting a quick fill on 10 standard lots. However, that is a very large position size. Others will disagree here but I have always heard that you should never trade more than ten times your actual account value in leverage. So if you want to trade 10 standard lots you would need an account size of $100,000. If you dont have an account size that large then you are overleveraging.

Again this is just my opinion but you would be much better off trying to get a 50 pip gain using just 1 standard lot using a $10,000 account. I know that 50 pips sounds like a lot but I made 125 last night on just one trade and I am a complete idiot. If you follow this forum closely, pretty soon 50 pips will seem easy.

Anyway this is just my opinion. I wish you the best of luck in your trading.
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Postby PINKPANTHER5 » Mon May 18, 2009 2:16 pm

woa! Be careful with trading such lots. If you have to trade that many lots make sure you have a broker with the lowest spread. 5 pips to make consistently is not easy to make as it looks.

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MightyOne
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Re: Question for those that trade 5-10 standard lots

Postby MightyOne » Sat May 23, 2009 9:30 pm

Standard lots are the mini lots of Forex.

You may get filled at 2 different prices here and there, but it is not really a big deal.

vagus wrote:I am new to the Forex market, have traded stocks only. Recently opened an account with MB Trading and using MT4 for charting per Avery's recommendation. All of his work is awesome, there are not many people like him (in terms of talent but more importantly generosity). Anyway I am going to get my feet wet trading 1 mini lot (10,000 units), then once comfortable move to 1 standard lot (100,000 units). Then I would like to trade with 10 standard lots (1,000,000) so that a 5 pip gain is equal to $500 profit.

Therin lies my question, for those that trade 5-10 standarad lots, is there ever a problem getting into or out of a trade using this lot size or are there any suggestions or hints (i.e. times of the day when it would not be advisable to trade with this volume, etc...).

Thank you for your time.

Chris

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Postby MightyOne » Sat May 23, 2009 9:34 pm

"I know that 50 pips sounds like a lot but I made 125 last night on just one trade and I am a complete idiot." -Rowdy

:lol: , you're too hard on your self!

Anyone and their grandma can average 50 pips per day...

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Postby prochargedmopar » Sun May 24, 2009 3:37 am

Where's grandma?
I want her by my side. :lol:
#1BODY in direction of profit #2INCREASE lot size Obsessively
My Losses cause me Great Laughter!
Trading Bible here> therumpledone/the-ideas-that-i-trade-by-t3256/page1670

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