#halfyear #trading #review #forex

I thought I would I give a quick half year review on my trading so far for this year.

First of all I cant believe its July already!!! Its scary isnt it…. but now to trading , 2019 has been tough I have had some success but I have fallen into a similar pattern of poor risk management, poor use of stop loss and at times maybe forcing a trade when a set up is not clear.

At the half way mark of the year, Im in negative territory when it comes to pips gained, equity and size of my account. Over the last couple of weeks I have taken some time out and I have come back refreshed my main aim is have a risk structure in place and risk no more than 20 – 40pips per trade and to use a stop loss with all trades, reduce my size and build my account slowly rather than trying to achieve everything in one day.

Away from trading things have been okay, I have moved into a different role in the day job I am now working in Cyber Security. Other then that a few other things are going on which are preoccupying my mind and at times I feel under tremendous stress which is messing up with my confidence and mindset. I look forward to getting out of this a better, stronger and healthier person.

Wishing everyone happy trading for rest of the year, stay in control and be consistent 🙂

The difference between MAM and PAMM managed accounts

MAM (Multi-Account Manager) and PAMM (Percentage Allocation Management Module) accounts allow fund managers to manage multiple accounts from a single account without having to create an investment fund.

The performance (profits and losses) of a PAMM or MAM account manager is distributed among the managed accounts. The clients’ managed accounts are connected to the account manager’s main account and all trades made by the manager are reflected proportionally in the clients’ accounts.

The PAMM Master account balance represents the total amount of all clients’ deposits. To ensure the security of investors’ funds, client deposits remain in their own trading accounts, the manager does not have access to these accounts and therefore cannot make any withdrawals. The individual investors are the only ones who are able to make deposits & withdrawals to/from these managed accounts. However, the performance fees that are earned by account managers are automatically withdrawn from clients’ accounts, in accordance with the terms of the contract.


What is a PAMM account?

The PAMM account features a management module that distributes the sizes of trades according to an allocation percentage. This solution is offered by many forex brokers for investors and fund managers. With a PAMM account, an investor can also allocate a percentage of his account to one or more managers.

The manager’s PAMM account is a large “main account”, whose capital is equal to the sum of the sub-accounts.

The manager’s trades are automatically replicated in the sub-accounts according to a percentage basis. For example, if the trader makes a 100-lot trade on the EURUSD, the trade is divided among the individual sub-accounts (clients) into smaller parts based on the percentage of equity of each sub-account in relation to the master account. This means that if the size of an individual sub-account is equal to 1% of the main account’s equity, the size of the trade on this account will be 1 lot (1% of 100 lots).

What is a MAM account?

The MAM account should not be confused with the MetaQuotes multi-terminal system, which has its limitations. A MAM account allows you to use the percentage allocation method like a PAMM account, but it provides greater flexibility to allocate the trades and adjust the risk of each sub-account based on the clients’ risk profiles.

For example, the manager can allocate trades on a fixed basis, which means that he can define the number of lots traded by each individual account. This fixed allocation can also be done using a LAMM (Lot Allocation Management Module) account.

The manager can also change the amount of leverage applied to the sub-accounts if his clients want to take on a greater level of risk.


#REFLECTION #trading #forex

I m writing this to reflect on my trading in May, things started off well and I was making some good trades, mainly trading the g10 currencies and going with the market trends.

Because of holding a full time job and trading at the same time, I was not spotting some of the changes in market trends e.g. mainly GBPUSD from where it went from 1.3x to 1.27x.

As I didn’t spot or anticipate the change in market trend it caused me significant losses as I did not use a stop loss effectively either this led to my losses getting out of control and to limit damage I manually closed the trade with around 60% of my account balance affected.

Since experiencing the losses, I have continued trading and have made some further losses I feel like I have lost my mojo, I am not fully understanding macro news and the risk off and on moves.

Going forward with June I am likely to go back to demo trading to regain some confidence.

Wishing everyone happy trading 🙂