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Wiki source code of Forex

Version 17.1 by Drunk Monkey on 2020-11-13 06:28
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Drunk Monkey 6.2 1 == Education ==
2
3 === The Basics ===
4
5 1. [[babypips.com>>https://www.babypips.com/]] [[School of Pipsology>>https://www.babypips.com/learn/forex]]
Drunk Monkey 7.2 6 \\Start here for the basic education explaining all the basics of Forex trading.  [[It's recommended to start with>>https://nononsenseforex.com/forex-q-and-a-podcast/best-place-to-learn-forex-trading-askvp-1/]] Learn Preschool, Kindergarten, Undergraduate to Senior.  The rest may not be necessary depending on your desired style of trading - Indicators, or Price Action?
Drunk Monkey 6.2 7 1. [[nononsenseforex.com>>https://nononsenseforex.com/]] - provides an education on how to trade using
8 1*. proper money management
9 1*. trade psychology
10 1*. technical analysis
Drunk Monkey 9.1 11 1. the inner circle trader
Drunk Monkey 6.2 12
Drunk Monkey 2.2 13 == Risk Management - Pip values and Lot Sizing ==
Drunk Monkey 2.1 14
Drunk Monkey 5.1 15 <to be added>
Drunk Monkey 2.1 16
Drunk Monkey 2.2 17 == Reference Links ==
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Drunk Monkey 5.1 19 * [[Google spreadsheet>>https://docs.google.com/spreadsheets/d/1m_xJOoNJLBYBzZ2h4IuTGRVBD-GD3BeTk5CQeKfQtkw/edit?usp=sharing]] for calculating lot size based on SL pips
Drunk Monkey 6.1 20 \\One problem with many of the risk calculators is that it assumes you know want to know how many pips to set your on your trade.  However, if you're following signals, then the trader has already given you the SL and you want to want to work backwards to figure out what your lot sizes should be.
Drunk Monkey 5.1 21 \\Copy this spreadsheet to your own google drive account and fill in the entries.  Do not use it for Oil or Gold as forex.com/canada uses different contract sizes
22 \\It's still a work in progress, but is useful for pure forex pairs
23
Drunk Monkey 2.2 24 * [[BabyPips Position Size Calculator>>https://www.babypips.com/tools/position-size-calculator]]
Drunk Monkey 4.2 25 \\//**Pros**//:
Drunk Monkey 2.2 26 It is simple to use.  If you wish to do the calculations for other trades, the information remains so you can change only what you need to change.  It also shows the results in the following standard sizes used by the brokers; units, lots, mini lots, micro lots.
Drunk Monkey 4.2 27 \\//**Con**//:
Drunk Monkey 2.2 28 You need to put in the exchange rate between your account currency and the base currency if the two are not the same.
Drunk Monkey 2.3 29
Drunk Monkey 2.4 30 * [[Investing.com Currency Converter>>https://www.investing.com/currency-converter/]] 
Drunk Monkey 2.5 31 \\Often needed when you are calculating risk for Forex pairs not in your base currency.  Near real time rates.  Also includes the various digital currencies.
Drunk Monkey 2.4 32
Drunk Monkey 2.5 33 * [[Investing.com Forex Pip Calculator>>https://www.investing.com/tools/forex-pip-calculator]]
Drunk Monkey 4.2 34 \\Contains data for many, but not all, currency pairs.  Shows the results in a table so you can quickly see the relationship between the Forex pair and the pip value in your account currency.
35 \\I recommend that you put in 100,000 for the units as that is a standard "lot" size and then scale it from there.
36
37 * [[Forextime.com Profit Calculator>>https://www.forextime.com/trading-tools/trading-calculator/profit-calculator]]
38 \\Quickly check the potential profit/loss of a trade.  Only supports 3 deposit currencies so if your deposit currency is different, you'll need to do an exchange rate calculation to your currency.
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Drunk Monkey 5.1 40 * [[Calculating risk, the video way>>https://www.youtube.com/watch?v=4e0Nlt0zJvw&t=3s]]
41 \\Forexed runs a free signals telegram channel.  He's actually been pretty good so far.  His video describes how he calculates risk.  Easy to follow.
42
Drunk Monkey 4.2 43 * [[Calculating pip values, the long wordy way>>https://www.thebalance.com/calculating-pip-value-in-forex-pairs-1031022]]
44 \\It's correct, but I had to re-read it several times to understand what they were actually saying and turn it into an actual formula.
45
46 *
Drunk Monkey 2.6 47
Drunk Monkey 12.1 48 == Unclassified ==
Drunk Monkey 13.1 49
Drunk Monkey 13.3 50 === Abbreviations ===
51
Drunk Monkey 15.1 52 >Abbreviations you might find helpful
Drunk Monkey 14.1 53 >##PDH  - Previous day high##
Drunk Monkey 15.2 54 >##PDL  - Previous Day Low##
55 >##PWH  - Previous Week High##
Drunk Monkey 15.1 56 >##PWL  - Previous Week Low##
57 >##BMS  - Break in Market Structure##
58 >##SMS  - Shift in Market Structure##
59 >##RTO  - Return to Order Block/Origin##
60 >##OB  - Order Block##
61 >##OTE  - Optimum trade Entry##
62 >##IPDA  - Interbank Price Delivery Algorithm##
63 >##FVG  - Fair Value Gap##
64 >##SMT  - Smart Money Tool##
65 >##LP  - Liquidity Pool##
66 >##IOF  - Institutional Order Flow##
67 >##BISI  - Buy Side Imbalance Sell side Inefficient##
68 >##SIBI  - Sell Side Imbalance Buy Side Inefficient##
69 >##COT  - Commitment of Traders##
70 >##AMD  - Accumulation,Manipulation & Distribution##
71 >##SH  - stop hunt##
72 >##RTBr  - return to breaker block##
73 >##RTBm  - return to mitigation block##
74 >##BuIOF - bullish IOF##
75 >##BeIOF - bearish IOF##
76 >##IOF  - Institutional Order Flow##
77 >##OBr.  - Breaker block##
78 >##OBm.  - Mitigation block##
79 >##LSwH  - last swing high##
80 >##LSwL  - last swing low##
Drunk Monkey 14.1 81
Drunk Monkey 13.3 82 === fibb settings for OTE areas of interest ===
83
84 FIBBS setting (mt4)
85
Drunk Monkey 14.1 86 >## Levels Description##
Drunk Monkey 15.1 87 >## 0 First Profit - Scaling##
88 >## 0.50 50% Equilibrium##
89 >## 0.618 %$-62%##
90 >## 0.705 %$-OTE##
91 >## 0.79 %$-79%##
92 >## 1 100.0##
93 >##-0.62 Target 2##
94 >##-0.27 Target 1##
95 >##-1 Symmetrical Swing##
Drunk Monkey 15.2 96
97 === Psychology ===
98
99 The four primary of trading fears.
100
101 ~1. Fear of being wrong.
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103 2. Fear of losing money.
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105 3. Fear of missing out.
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107 4. Fear of losing money on the table.
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109 Successful Trader need to overcome all these 4 things
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Drunk Monkey 16.1 111 ==== The 5 Stages Of A Trader’s Development: ====
Drunk Monkey 15.2 112
Drunk Monkey 16.1 113 **Stage One: Unconscious Incompetence**
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115 This is the first step you take when starting to look into trading. You know that it is a good way of making money because you’ve heard so many things about it and heard of so many millionaires. Unfortunately, just like when you first desire to drive a car you think it will be easy – after all, how hard can it be? Price either moves up or down – what’s the big secret to that then – let’s get cracking!
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117 Unfortunately, just as when you first take your place in front of a steering wheel you find very quickly that you haven’t got the first damn clue about what you’re trying to do.
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119 You take lots of trades and lots of risks. When you enter a trade, it turns against you, so you reverse and it turns again, and again, and again. You may have initial success and that’s even worse because it tells your brain that this really is simple and you start to risk more money. You try to turn around your losses by doubling up every time you trade. Sometimes you’ll get away with it but more often than not you will come away scathed and bruised. You are totally oblivious to your incompetence at trading.
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Drunk Monkey 17.1 121 **Stage Two – Conscious Incompetence**
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123 Stage two is where you realize that there is more work involved in trading and that you might actually have to work a few things out. You consciously realize that you are an incompetent trader – you don’t have the skills or the insight to turn a regular profit. You now set about buying trading systems and e-books galore, read websites based everywhere from USA to the Ukraine and begin your search for the holy grail. During this time you will be a system nomad – you will flick from method to method day by day and week by week never sticking with one long enough to actually see if it does work. Every time you come upon a new indicator you’ll be ecstatic that this is the one that will make all the difference.
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125 You will test out automated systems, you’ll play with moving averages, Fibonacci lines, support & resistance, pivots, fractals, divergences, DMI, ADX, and a hundred other things all in the vain
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127 hope that your ‘magic system’ starts today. You will also become a top and bottom picker, trying to find the exact point of reversal with your indicators and you’ll find yourself chasing losing trades and even adding to them because you are so sure you are right.
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129 You’ll go into the live chat room and see other traders making profits and you want to know why it’s not you. You’ll ask a million questions, some of which are so dumb that looking back you feel a bit silly.
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131 You’ll then reach the point where you think all the ones who say they are making profits are all liars – they can’t be making that amount because you’ve studied and you don’t make that, you know as much as they do and they must be lying. But they’re in there day after day and their account just grows while yours falls. You will be like a teenager – the traders that make money will freely give you advice but you’re stubborn and think that you know best. You take no notice and overtrade your account even though everyone says you are mad to, but you know better.
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133 You’ll consider following the calls that others make but even then it won’t work so you try paying for signals from someone else – they don’t work for you either or may help you grow account for sometime.
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135 There is no replacement for screen time and you still think you know best. This stage can last ages and ages – in fact in reality talking with other traders as well as personal experience confirms that it can easily last well over a year and more nearer to three years. This is also the stage when you are most likely to give up through sheer frustration. Around 60% of new traders quit in the first 3 months – they give up and this is good.
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137 Think about it – if trading was easy we would all be millionaires.
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139 Another 20% keep going for a year and then in desperation take risks guaranteed to blow their account which of course it does. What may surprise you is that of the remaining 20% all of them will last around 3 years and they will think they are safe in the water but even at 3 years only a further 5-10% will continue and go on to actually make money consistently. By the way – these are real figures, not just some I’ve picked out of my head – so when you get to 3 years in the game don’t think it is plain sailing from there! I’ve had many people argue with me about these timescales – funny enough none of them have been trading for more than 3 years – if you think you know better – then ask on a board for someone who’s been trading 5 years and ask them how long it takes to become fully 100% proficient.
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141 Sure, I guess there will be exceptions to the rule – but I haven’t met any yet. Eventually you do begin to come out of this phase. You’ve probably committed more time and money than you ever thought you would, lost 2 or 3 loaded accounts and all but given up maybe 3 or 4 times but now it is in your blood. One day – in a split second moment you will enter stage 3.