In this episode of DrinkForex we sat down with Jason Jenkins and Alec Ziupsnys of JRM Risk Management. The topic of conversation was ICO's and the regulation behind them. If you are not familiar with Cyrpto Currencies or ICOs then this is a great video for you! So, grab a drink, sit back, and listen to the experts simplify them for you!
Get in contact with Jason and Alec
Free JRM Live Chat Room: http://www.jenkinsrm.com/chat-room/
In this episode of Drink Forex we interview Stelios Kontogoulas. Stelios has an interesting background as he began his career as an IT professional before being selected to work at a Major Bank as a Market Maker. After gaining significant experience Stelios made yet another transition from Bank Trader to Independent Prop Trader. Grab a drink, sit back, and listen about the trials and tribulations Stelios experienced during this transition.
Get in touch with Stelios
Forex Analytix: https://www.forexanalytix.com
We recently had the pleasure of sitting down with Blake Morrow, or more commonly known as @pipczar on Twitter. Blake has been a trader and analyst for over 20 years, and brings a wealth of knowledge to this interview. So grab a drink, sit back, and watch as we discuss the UK Snap Election, holding positions through news events, Forex Analytix, and how to become an Analyst.
Forex Analytix 9am EST Daily Webinar: http://bit.ly/2roewnO
Follow Blake on Twitter: https://twitter.com/PipCzar
Visit Forex Analytix: https://www.forexanalytix.com/
In this episode of DrinkForex we have a drink with Dimitrios Charalampidis. Dimitrios is the owner and founder of Snail-Trading, a proprietary and analysis trading firm. Dimitrios has dedicated his studies to Elliott Wave Theory and educates our host on how to apply it to your own trading. Grab a drink, sit back, and learn how to apply Elliott Wave Theory to your trading.
HOW TO JOIN SNAIL-TRADING SLACK ROOM
HOW TO FOLLOW DIMITRIOS
In the most recent episode of Drink Forex George Papazov of TradePro Academy joins the show. George is a passionate coach, educator and most importantly successful practitioner and eternal student of the markets. He founded TradePro Academy in 2012 to assist new traders navigate the emotional roller coaster that is trading. Grab a drink and join us as we discuss why managing your risk and emotions when trading is vital to your success as a trader.
Thanks to a partnership with Choose Forex, our interviews will be translated into different languages.
THINGS DISCUSSED IN THE VIDEO
Free 14 day trial of TradePro: http://tradeproacademy.com/freetrial
How to begin trading Oil by George Papazov: http://www.drinkforex.com/drinkforex-blog/how-to-start-trading-oil-the-complete-guide
Trade The News Vs. Ransquawk: http://bit.ly/2mGMvF7
HOW TO FOLLOW GEORGE
Twitter Page: @TRADEPROAcademy
Facebook Page: https://www.facebook.com/TradeProAcademy/
A little over a month ago we published an article entitled, The Fibonacci Magic. The article was an excerpt from a ebook authored by Roy Cuzin, the self proclaimed Chart Wizard. After receiving a postive response from the article we decided to grab a drink with and interview Roy to learn more about him and really get to know who he is as a trader. Below is the first part of a two part interview with Roy.
Drink Forex - First, thank you for agreeing to do an interview. A few months back you allowed us to post an excerpt from your Ebook, “The Fibonacci Magic.” Thank you for allowing us to publish that article on our site. You and several of our other contributors have been excellent in providing our readers great educational material in order to improve their trading performance.
We wanted to do this interview to allow our readers to get to know you and your history. We believe it is important for them to understand who you are in order to take what you write more seriously, because you are not just some fly by night person. You have a tremendous amount of experience in this industry. So thank you again for agreeing to do this interview.
To start off, Can you explain a little bit about your background and how you got your start in this industry?
Roy Cuzin - Back in 2004 as I was about to graduate with my B.A in Economics, I began an amazing life time journey for becoming a professional trader. It all started with a small $2000 account that I have decided to open after reading a few books on the subject of technical analysis. In the meantime, I went to work as a Forex dealer in a small company so I got the chance to sit in front of the charts most of the day. However, that did not help me much with the trading as I have managed to blow up the account within a few months. Nevertheless, that just made me more focused on “cracking” that code of trading. It took me a few more years till I began to master my domain.
Drink Forex - Last year you made a transition from working for an investment firm to doing your own thing. Can you explain to us what you are doing now and what led to that decision?
Roy Cuzin - For many years, I have been head analyst and head of trading desk in a few companies around the world. Throughout the years, I have accumulated a lot of experience with markets analysis and trading to the point where I felt ready to go on my own. At that point I also had already a large group of followers, which only helped me to make that decision. I wanted to give my followers and traders a unique and highly beneficial experience by sharing with them my trading activities and expertise, in order to help them become professional and profitable traders. So today I’m running a Forex trading website that gives traders all the tools that they need to become a pro. A full trading support package which includes daily signals, forecasts, webinars, videos, training courses, advanced charts, and pretty much all the necessary elements that I was missing in my early years as a novice trader.
Drink Forex - How did you come up with the name, “The Chart Wizard”?
Roy Cuzin - Over the course of the past 10 years I was able to develop an extra-ordinary method of analysis that I named as the “Fibonacci Matix”. A few years later, I developed that formula further into a full trading system that I use very successfully for my own trading activities. The method is very unique and almost revolutionary. It is based on the Fibonacci sequence, which means that it is applicable to all markets and all types of assets. Constantly observing the way price reacts to the Fibonacci-Matix™ system in place is nothing short of a magic. Once you master the Fibonacci-Matix™, you really begin to feel like a wizard.
Drink Forex - Based on your name we take it you focus on technical indicators in order to make trading decisions. Which indicators do you focus on and why do you focus on those? How many did you try before deciding on those indicators?
Roy Cuzin - The focus is definitely on technical analysis, but from a very specific angle. I do not use any indicators what so ever. Just a blank Japanese candle stick chart with a 200 daily M.A. Upon that I apply the Fibonacci-Mtrix™ set up to find trading opportunities. In my early years as a trader I have tried every kind of indicator under the sun. Back at 2008 I specialized as a master analyst (Certified Financial Technician) by IFTA (International Federation of Technical Analysis), so I got to be familiar with all of the technical indicators, methods and techniques. After testing all of these tools over the years, I came up with the final conclusion on how to analyze and trade the markets. I had to become an expert on technical analysis to realize that most of it was mambo jumbo. However, I also realized that the Fibonacci discipline was totally exceptional, as these principles govern the laws of the universe.
Drink Forex - What time frames do you look at? What is your average trade hold time?
Roy Cuzin - I am a swing trader by nature. As oppose to day-traders I focus on the longer time-frames of the Daily, Weekly, and Monthly charts. I take medium term trades that can last up to a few weeks and sometimes even months. In terms of time-frame and trading style, swing trading is placed right in the middle between investing and day-trading approaches.
Drink Forex - New traders often make mistakes, which is expected. Like anything in this world there is a learning curve to becoming a successful trader. But, what is the single biggest mistake you think new traders make?
Roy Cuzin - The most critical mistake would have to be leveraging. Taking high risk leveraged trades right from the get go is a sure recipe for destruction. In fact, even today, 12 years down the line, I am still very cautious when it comes to leveraging my trades.
Drink Forex - Leverage has been a hot topic recently with Cysec and the FCA both coming out stating they are considering capping leverage at 50:1, which would be in line with the NFA regulation. Do you think limiting leverage is a good thing or do you believe traders should be allow to trade on 400:1+ leverage?
Roy Cuzin - I think limiting leverage is a great thing, and that takes us back to the previous question. Since in my view leveraging is the biggest mistake traders do, without the proper understanding of its nature, limiting leverage right of the bat could actually prevent a lot of self-inflicting harm doing, mostly by new participants. I also think that 50:1 is still a huge leverage to use. They should limit it much further and all the way to 10:1, and even that is still pretty high.
Drink Forex - How much leverage do you generally trade with?
Roy Cuzin - I generally trade with no leverage at all. Once I secure my running positions by moving my Stop Loss to break even, I allow myself to put on some leverage. In any case, I never go above 2:1.
Drink Forex - As we all know leverage can be a double edge sword as it can compound your losses. Not that it has anything to do with leverage, but one question we always like to ask in interviews is what was your worst trade and what did you learn from it?
Roy Cuzin - To be honest, my worst trade was actually not about leverage, but rather about the lack of protection (i.e. Stop-Loss). Back in the days I tried trading without any stop loss orders, and it did go well for a while. But then one day came an exceptional move (as it always does) against one of my unprotected trades, which completely wiped out months and months of steady profits. From that point on, I have never left my positions un-guarded.
Drink Forex - We just have a few more questions we would like to ask you before we let you get going. We have discussed a lot of new traders and some of the pitfalls that they might run into. With this in mind, what is one piece of advice you can provide to new traders just starting out?
Roy Cuzin - In a nutshell, stay away from the intra-day charts, as they are very noisy and extremely deceiving. Their sole purpose is to fool traders into reckless overdrive and over-trading.
Drink Forex - If you could have a drink with anyone in the world who would it be and why?
Roy Cuzin - That would be Donald J Trump. That man has always been a fascinating type of character, but to top that all with the presidency of the most powerful country in the world. To me, that’s just legendary.
That concludes part one of our interview. Stay Tuned for part two!
How To Get into Contact with Roy
Website - www.TheChartWizard.com
Twitter - https://Twitter.com/Roy_Cuzin
Facebook - https://Facebook.com/TheChartWizard
YouTube - www.YouTube.com/c/RoyCuzin
Blogger - http://roycuzin.blogspot.ca
Google+ - www.google.com/+RoyCuzin
E-mail - RoyCuzin@TheChartWizard.com
Kiana has an amazing story, from growing up in Iran to getting an advanced degree in Engineering from a prestigious Japanese University. In addition to speaking 3 languages she has run several successful businesses, including Invest Diva.
While in university Kiana needed to convert Japanese Yen into US Dollars. Over the course of a several weeks she had saved herself a tremendous amount of money by converting her funds. This led her to exploring the Forex industry on a greater scale. With being in Japan she was introduced to the Ichimoku Kinko Hyo technical indicator and quickly became an expert on the indicator. Grab a drink and listen along as we get to know Kiana and how to trade using the Ichimoku Indicator.
Don't forget to purchase Kiana's new book: https://education.investdiva.com/ichimoku-waiting-list
Where to find Kiana Danial
From Accountant to unemployed to professional trader. After seeing an ad online this out of work accountant decided to take a major risk. He walked into a bank and took out a £3000 loan and within days he blew his account. Join us as he explains his comeback story and what it took to become a disciplined successful trader.
Where to find Samuel Morton
The response to Mr. Cho’s interview has been amazing. We have received a lot of messages and follow up questions. Most people were amazed at the $65,000 loss he incurred on his first trade. People wanted to know more of the details surrounding that trade and his mindset during and after. As a result we reached back out to Mr. Cho, who was gracious enough to extend us additional time and answer those questions.
If you have not read the first interview with Mr. Cho you can do so by clicking HERE.
Drink Forex - Thank you for giving us more time and answering some of the questions people have had since we initially posted your interview. The response has been amazing.
B.I Cho - You are welcome. Tell me, what questions did people have?
Drink Forex - Can you explain the lead up to putting on the wheat trade?
B.I Cho - Well, back then we really didn’t have any charts or quotes. We would have to call the broker to place orders and get quotes. The one thing we did have at my firm was a Chart Book from Moody’s. Each month Moody’s would send us a book that contained old charts. The book used to cost $1000 a month! We could then draw our indicators manually on those charts and figure out the trades we were going to take. But, on the wheat trade I didn’t use those charts or anything. My mindset was that I just wanted to make money. No game plan, no analysis.
So, I called my broker and said buy 5 Wheat. The position didn’t initially go against me all that much. The first couple of days it just floated around where I was up a little, then it went minus for a couple of days. Then for three days straight it locked limit down. I was unable to get out of the position and just had to wait until it stopped going limit. By the time it was done I had lost $65,000 USD.
Drink Forex - What were you feeling during that time?
B.I Cho - I was so fucking scared. I was feeling like oh shit oh shit. It is one of those things where it doesn’t feel real. It is like you can’t believe you have just lost so much money. Similar feeling to when you are playing large in Seven Eleven and the snake eyes are watching you. I was only 21 years old at the time and $65,000 was a lot of money to me.
Drink Forex - How did you recover from such a large loser so early on in your career?
B.I Cho - It was not easy. It took me 5 years to get back to being comfortable trading. For the next several years I just tried to be + or – 0. I didn’t really try to make money during that time, just tried to get more comfortable with the markets. It was a difficult time.
Drink Forex - Another question we received was what time frames do you look at?
B.I Cho - I have tested a lot of variations on time frames. I have found that doing my analysis on 4 hour and 1 day charts works best for my trading style. I do all of my analysis on those time frames and then use a 1,3 or 9 minute chart to find my exact entry and exit. Using the smaller time frames allows me to get the best possible price.
Drink Forex - What is the average length of your trades?
B.I Cho - It is tough to give you an average. Sometimes it is 1 week, sometimes it is 9 months. I was in a wheat trade about 5 years ago for over 9 months. But most of my swing trades, which is 60-70% of my trading lasts about 1-2 weeks though.
Drink Forex - Jumping back to risk management and mind set, do you ever let a winning trade turn into a losing trade?
B.I Cho - Mostly I put my stop loss at break even in my mind once my trade is in the positive. I don’t ever place stop losses on the platform though. But, if I am wrong I have no issue cutting a position and going the other way. It just all depends on support and resistance. I know when I am wrong. I am a firm believer that every day is a new day in trading. Just because I am a swing and position trader doesn’t mean I don’t look at the markets daily. Every morning I look at the charts for 60-90 minutes during my morning shit and over coffee and a cigarette. Then I decide what type of positions I am going to do and if I need to change anything with my current positions.
When I open positions against the market trend I typically will start with Options to limit the downside risk. When the market starts going in my direction I then start working Futures too. In case the market is going against me I let my options run out and open mostly futures in the other direction. I don’t like to take a loss on trades...so most trading decisions can turn into a win trade too by working with this strategy. Currently, I believed Oil would have a reversal. So, I bought 5 puts when it was trading around 50.80. I knew it could have went higher, but I had a feeling it would turn around.
Drink Forex - What Futures markets do you trade?
B.I Cho - I mostly trade CME and CBOT products for Futures. And trade FX and CFDs during the Asian hours. FX and CFDs are new to me though. I only started 5 years ago because the Futures market changed. It was becoming very difficult. I wasn’t a fan of FX and CFDs for a long time, but I had to adjust.
Drink Forex - We have talked a lot about a bad trade you have done, do you remember any good trades?
B.I Cho - Well… I remember one good trade, but it was more lucky than good. I was a Futures broker at the time. We had a female customer who didn’t really know anything about the market, she deposited $200,000 with us. Her parents had just passed away and she received a large inheritance. It was 1994 or 95, I can’t remember the exact year. But, there was a coffee crisis going on in South America. There were mushrooms or worms growing on the coffee plants and most of the beans were destroyed. As a result coffee prices were running straight up. So this client deposited on a Friday and typically we were instructed to not put positions on during Friday’s session, and certainly not to hold positions over the weekend. Well my boss told me to buy 20 Coffee contracts, but make sure I closed them before the weekend. So, I bought 20 Coffee contacts pretty early in the day. I got busy and on Fridays we would head out for a beer and dinner around 3pm.
We headed out and were drinking and having a good time. Early evening after some cups of beer I realized I did not close the position. I jumped in a cab and rushed back to the office. But, by the time I got there the market had closed. It closed at 8:15pm my time. In the Softs and Grains markets, prices can move very quickly. The whole weekend I was shaking and scared because it was my fault that I didn’t close the position. I thought I was going to get fired. Come Monday, the markets opened and went against me. Now I really couldn’t tell my boss because we were in a losing trade, so I waited. Late during Monday’s session the market started to rally, it continued into Tuesday and Wednesday and the rest of the week. Finally, I went and told my boss about the Coffee trade and how I kept the position on during the weekend. But, the good news was the client now had $1.1 million in her trading account. My boss was so happy and I received a huge bonus on that trade. By the end of the week though the client closed her account. She didn’t know about the mistake, but she realized she was lucky and that the market could have easily went that far against her, and she would have lost everything.
Drink Forex - Yeah, I would say that turned out well for her though.
B.I Cho - We were all lucky, but it was a very memorable experience.
Recently we came across the website, FXMAC. We were intrigued by the website and business model. FXMAC is an FSA regulated asset manager that compiles top performing Forex investment strategies and puts them on display for investors. Investors can then research the strategies history, overall performance, and if they find something they like they can register for a managed account. All client accounts are setup as separately managed accounts where the client’s funds are kept in their account and then through the use of Multi Account Management technology clients receive trades into their account. After poking around on their website for a bit we finally reached out to see if we could do an interview. The Partner Department Director, James got into contact with us and was gracious enough to do an interview.
*DrinkForex does not endorse FXMAC or Managed FX programs. The information below is only for educational purposes. Before making any investment decisions you should consider the risks and speak with a professional.
Drink Forex - What is FXMAC? Can you give us a background on you and your business partners?
FXMAC- FXMAC is an online managed account services company. If you look in Google for ‘Forex Managed Accounts’ we are the number one website worldwide.
Drink Forex - How long have you been operating this company?
FXMAC- FXMAC’s website is offering the services worldwide since 2012.
Drink Forex - Of course we have to ask, what is your drink of choice? Is there a reason you prefer that drink?
FXMAC- We drink coffee. It keeps us hard working and more awake.
Drink Forex - Can you explain what a Forex Managed Account is?
FXMAC- A Forex Managed Account is an account held at a broker that belongs only to the client. The client signs a LPOA (=Limited Power of Attorney) that legally allows the asset manager to open and close positions in the client’s account. The client then compensates the asset manager a fixed monthly fee that is determined by the performance of the account, usually 30-50% of the account performance. Performance fees are also based on a HWM (=high water mark).
Drink Forex - Why would someone want their account managed?
FXMAC-The main reason that any one should have a Managed Account with a very good Asset Manager group is due to the Forex Market has the potential to return significant profits, more so than most other markets, but also it is one of the more risky markets that exists. In our opinion it is better that a person allow a very steady and experienced professional to manage the accounts.
Drink Forex - What are some key criteria someone should look for when selecting a money manager?
FXMAC-The key criteria for selecting a money manager is:
1. First of all, make sure the results are verified by a third party independent company (such as Fxstat, Myfxbook, Fxblue, etc)
2. Second, the verified history has to be long enough (at least 1 year)
3. Third, the average monthly profit has to be similar or lower than the DD (= Draw Down).
4. Fourth, The maximum DD should be under 20% (and similar to the average monthly profit)
5. Fifth, the last 4-6 months has to show a steady tendency (avoid choosing strategies that the last 4 months aren’t performing as steady as the other months)
6. Sixth, the money manager has to assure that they fix a Hard Stop loss (The client shouldn’t accept more than 30% of this Hard Stop loss).
Drink Forex - What are some potential risks investors should be aware of when having their money managed?
FXMAC-As mentioned before, you should always get a third party verified track record. Never accept PDFs or similar. Also look for historical data of no less than 1 year. The reason is that 99% of the Asset Managers that have good results want to show the results in a third party verification company such as Myfxbook or FXstat. 99% of the Asset Managers that only show a PDF or a statement are trying to hide something. Investors should also not consider data that does not have a 1 year history because the DD (=DrawDown) can be low in the first few months, but after several months the account would have gone through enough unique market conditions to see how it truly performs. Then in this case the DD could be large. If the data is only for 1-3 months it could be that the Asset Manager was lucky.
Drink Forex - How important would you say being with a regulated Forex broker is? Are all of your managed accounts setup with regulated brokers?
FXMAC-Regulated brokers are very important mostly in the case of a bankruptcy. It is important not only to be regulated but also that the broker has client funds held in segregated accounts.
Drink Forex - When selecting a money manager to work with what are some of the criteria you look for?
FXMAC-We look for some reference in our sector of the manager first, if possible. Then we give the manager an application test in order to evaluate their background, their risk control, etc.
Drink Forex - You list MyFXBook and FXStat on your website, can you explain what these services are and the importance of them?
FXMAC-They are important because they are an independent third party source. Some of our Asset Managers like FXSTAT more and some prefer MYFXBOOK. We don’t care which one, but it’s essential that all our clients see the real results verified by a third party independent company before making the decision to invest in our systems.
Drink Forex - How frequently do you check the activity of your money managers? Are you quick to remove a money manager if they are experiencing a draw-down?
FXMAC-We control all our MAMs daily. We already have taken away several systems due their DD has changed to much more than their historical DD. Thank God that all our Asset Managers are quite conservative and in the worst historical scenario the DD has still been conservative. We are able to identify a poor performing strategy quickly because we look for a balance among the average monthly profit and the maximum DD, then, in case the DD gets to around double the average monthly profit we inform the clients that the system is no longer being offered and they have 2 options:
Drink Forex - What does your typical investor look like? Size of deposit, location, etc?
FXMAC-Most of our clients are retail clients. Our retail clients profile aren’t kamikaze clients that are looking to get rich in a short period of time with little capital. Those kind of clients aren’t attracted to our managed accounts due to the fact that 100% of our systems get an average monthly profit of among 5% and 15%. Kamikaze clients typically look for a larger return. So, our clients accept this average monthly profit (with a low DD) and understand that they won’t get rich with by investing small amounts of capital. But, they can get a good annual result if they keep the funds invested in our steady moderate profitable strategies. In other words, our regular client looks for a correct monthly profit with a balanced DD (similar or lower than the average monthly profit, which most of our strategy meet these expectations).
Drink Forex - Thank you again for agreeing to speak with us and provide insightful information to our viewers. Is there anything you would like to say before we let you go?
FXMAC-Yes. First of all thank you for your interest in our company. Second we would like to highlight that we don’t pretend to be the best forex managed accounts company. But we do believe we offer a great selection of steady and profitable strategies, and have an excellent service to retail clients, as well as large investors. We have shown through the years that big investors can trust us and we have premium services for them.