Well for a start the pirate auckland birthday party entertainer has really taken off!
Maybe there was a google shake up in the search engine rankings that suddenly made my kids stuff take off – I had 4 bookings made this week, it was great. It means while I’m working on my trading I’ll have friday nights in and saturdays doing the kid’s parties
I guess that is one part of my business I am happy to let grow because it is established as an earner, it’s not particularly challenging other than the physical demands, but also provides potential long term for me to jack the thing up.
Of course being a children’s entertainer is not just about making money. Right now for me it’s all about the aspects that balance out with my forex trading.
Forex trading is pure speculative capitalism, there’s no craft or human aspect to it – outside of understanding the market flows and having a tight psychological game.
The only two ideas that I am serious about right now outside of my core business and trading is pirates and video production, and in regards to video prodction I am really using that as a lens to develop 3 areas I’m committed to: pirates, forex and my artist promotions.
It’s about limiting my exposure to projects so I don’t get stretched out and end up achieving nothing. The overlap means that I can be working ideas that complement each other and have overlap areas where I can make progress over two fronts.
Here I have a little forex video which is helping me get inspiration for how to produce forex videos. I just grabbed this clip because i’m looking at ideas of doing my own forex show.
But I am barely keeping up on here with new thinking and new development.
My forex trading has definitely gone next level now.
What happened was I was forced to implement my new theories before I really had a chance to think them through properly, because that’s how insane the situation has become, it has far overshot what would have been my realistic appraisal fora worst case scenario.
Obviously I was not paying attention to the news but I have learnt from that mistake and have been studying trends. What I didn’t recognise was how deep the trends could reach, but there is enough to suggest I couldn’t have predicted things would get this bad, but because I have been modest, and I do have deep resources I can survive something no one else could have.
So I need to be smart and start coming up with the answers.
I can see how different techniques work in different scenarios. Switching technique depending on what the action and trends are like, or using one technique for one pair and a different one for another depending on the type of movement taking place.
It’s all about experience of how the markets move.
I need to stay on top of my forex thinking, and I need to start talking about new worst case scenarios and what my contingencies will be.
So first let’s go back.
I have had my first major wipe out in trading and I am sorely chastised.
But it happens to everyone.
Part of the cleansing process of my new resolutions is to see a way forward, and in business and in art, we know using other people is the key.
We know we need forex funding to push forward other priorities. But humans and markets are unpredictable and hard to control. But the aspect I can control is limiting the amount of jobs I am taking on. It’s not just freeing up time, it’s freeing up headspace from worrying about issues that are not of priority.
But I think we also have to accept we have too many ideas. Stress caused in the business is an example of an obligation I am maintaining without receiving a significant enough benefit from the stress and energy required.
Much like the pirates also, I am seeing that I am doing too much, and the things that are hard are the ones to go first.
Gigs, CD’s for musicians, Pirates. OThese use energy and focus.
The main issue is paying my bills when I am trying not too work so I can clear my head for more macro organisation of my life. In terms of aristotle, where are the goblins coming to cause me pain? Well if you didn’t have to worry about CD/DVD so much, you might be surprised.
I feel it is a good idea just to mitigate the flow of jobs while I am in a vital transition phase. It is vital that I am available and committed to my property and trading issues, but also I see opportunities to focus on removing stress.
What I am hoping is that by doing less work, I get other things done, which make me more positive. Finishing up video projects will get me more grounded and focused on how I want to move forward.
Having more time allows more maintenance opportunities to get everything prepared how it should be.
I should mention it was secondary account that wiped out, now my primary account, there would be no way of shrugging it off if I blew up my main account.
I am staying with this account even though it was the turkish situation that did me in in the end because I like the way there system is set up for the turkish interest payments. What I am thinking is that I am aiming in a year or two to have 50k in there, and $200k worth of turkish positions making $1800 a month. That’s a $21k return a year on 50 maybe $60k. So you could have $200k in there, and hold $600k in positions and make $5500 a month out of that.
Yes, it would tie up your capital but $66k return on $200k is just too good. What it means is that you have a true passive income – well you might check it every day I guess just to be prudent.
I did a little research it is as it seems. Yes it’s a great investment, but not when the ass drops out of the turkish currency as it just has, and well, I lost grands.
But that was because of inconsistencies in the platform which showed me and taught me a lesson about how an oversight can destroy your whole game. We have been guilty of oversights.
I’m just reading over what I wrote in my last entry because after a very dry and very modest last couple of months coping with the eurozone problems, a transition back into decent earnings became a very sudden and violent switch.
I thought as there was little data this week, it would be quiet, but it’s been the opposite, there’s no reason for traders to hold their breath and they just went in. Now I see why events are even more significant because they quieten markets in anticipation.
The catalysts were there a week ago when the process began with jobs friday, the USD establishing a huge gain on it’s already strong position on much better than expected employment data.
I can see here it was almost a discussion focusing on why I have continually renewed my commitment to trading given that there is so many lifestyle advantages – that once I could get to the point of establishing steady income without stress I am not tied to my business in auckland with all the stress of the clients, I can focus on trading at particular times and events to lessen the time I spend trading, and I can afford to pay other people to do all my other work.
3 Reasons why I felt focusing on trading has been my mission.
I am starting to think the only solution is to go even deeper to a new unprecedented level. Accept I need to put up another $10k to bring my account to $65k because the level at which I can establish myself earning around $2k a week
Yes breaking my term deposits costs me hundreds. Yes depositing $10k will cost me $250 just in fees.
But this is about changing my whole lifestyle from working 20 serious hours and 20 relaxed hours for little more than a grand, with lots of stress dealing with customer service vs. working about 6 serious hours and 20 relaxed hours, for $1500-$2k a week, with decreasing stress as my equity builds.
To have enough money not to really work except on easy jobs because it breaks up trading and avoid stress; To have enough equity that blowing my account is simply not likely; to have enough money on the table that I don’t have to work it constantly to hit my targets and instead focus on wed-fri night
Give up on the days altogether, especially earlier in the week unless theres an australian event, and try to learn to only check it once an hour at most over that time. That does mean being up at 10 on monday to sell on any weekend reactions.
What I am saying is that if this any other opportunity, playing for those stakes are definitely worthwhile.
The other thing about trading that makes it not gambling is skills for life.
I am learning the game. I am learning about these risk events. I am learning about the persistence of trends.
I realised this morning that even if I fried my main account, I am in this for life. Through dedicated persistence over 6 months, I have learned to
But lets move onto the next problem. It’s into july. Say Ive got $100k account with -$80k unprofitable positions. How do I get my money back?
Cool it down. By focusing on lowering your margin – that is, selling more than buying, eventually over time, your equity will rise. Of course by lowering your margin, you lower your profits. But if you’re already kicking $3k a week, you can probably handle a hair cut in the interests of prudence.
I can’t prioritise prudence because I’m still hungry for that $2k baseline level. When I get there, then I can look at doing housework, picking off individual positions. I know when I get to the other side I will be able to look at writing off my past sins.
The market has been very hard for my style in this period because I rely on up and down movement, whereas this year its just be one trend mainly.
That I guess is the point I reached when I decided I needed to change my style.
The euro was flying down terrifyingly so I just worked crazy hedges. I had already started to thrash out some ideas about hedges on my business blog which is becoming increasingly less about promotions and more about trading, and after the crazy dive began, I realised I was going to have to put my new found ideas to the test.
The highs were pounded, I laid down bigger and bigger positions knowing I had the trend behind me, but always selling off when the reversals came so I was left holding less positions as the price withdrew, and throwing down bids recklessly as the price drove higher. It was so epic.
I had really got to the stage of having this real game like interaction with trading as if I’m trying to clock the level, and has been like that this week.
Trading just taking over everything and yet I can’t hep but think this is a turning point a huge battle has been fought.
This just flies in the face of the technique I was using last year of trailing off when a currency reached it’s peak. Now I just keep loading on more positions until it starts falling, then I rapidly pull out of as many of those positions as possible, knowing that any slip or retracement will be brief – the trend is quite clear. The euro will be hammered all the way to parity. Every chance it rallies is another chance to buy shorts, and ride them down again, so that your hedge is rising faster than your original positions are falling. The trick is to pull out before the reversal and take your profit, and let the reversal ease out your profit back to you knowing that the reversal also offers you the opportunity to hit the trend once again.
So firstly there’s a new technique for making money when the trend is smashing new highs.
There is also this aspect of hedging and when you’ve got deep hedges it means you can take risk. Yes you carry a perpetual debt maybe running $50k deep, but eventually you outpace it, much like a mortgage.
And finally, the new possibilities that open up once you can grab this profit and use it to liquidate specific rotten positions strategically to tidy your account up and prevent issues down the road with momentous shifts.
But when you’re hedging, why lose money on a ratty position, when you can hedge against it?
Because our people want to see our equity come home.
But there’s so much to say here with everything I am experiencing and learning . . . I will continue soon . . . because it’s time to to take the hedge to the edge.