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King George11-Insight-1
King George11-Insight-1
King George11-Insight-1
“ If you can read the charts and ignore your natural human instincts to follow the
herd, you can make a lot of money in the markets.”
George Williams
KING GEORGE-11
EMAIL tradinglegacy11@gmail.com
RISK DISCLAIMER
Trading in Foreign Exchange Markets and Indices expose you to substantial
potential gains as well as significant financial risks. You can incur loss of all your
investment or capital. You should always be-aware of the capable risks and be
ready to take full responsibility when they happen. Don't trade with money you
can't afford to sustain a loss of, don’t trade with borrowed money.
BE KIND ALWAYS
CONTEXT
1. 4 Ps Of Trading…………………………………………………………………………………3
2. Shenanigans………………………………………………………………………………………4
3. Price Action and Pure Price Action……………………………………………………..5
4. Brokers………………………………………………………………………………………….…6
5. United States Dollar…………………………………………………………………………..8
6. Big Banks and Hedge Funds………………………………………………………………9
7. Metals…………………………………………………………………………………………….12
8. Number of Pairs To Trade……………………………………………………………...14
9. Currency Correlations………………………………………………………………………15
10. Currency Pairs…………………………………………………………………………………16
“Always remember that, most people get interested in stocks when everyone else
Is. The time to get interested in financial instruments is when no one else is.
You can’t buy what is popular and do well.”
Warren Buffet
1. 4 Ps Of Trading
i. Practice, Practice, Practice, Practice, Practice, Practice, Practice
ii. Patience, Patience, Patience, Patience, Patience, Patience, Patience
iii. Perseverance, Perseverance, Perseverance, Perseverance,
iv. Plan, Plan, Plan, Plan, Plan, Plan, Plan, Plan, Plan, Plan, Plan
Above the all 4 Ps, the prime P is Practice. Because if you practice
deeply, you will gain the rest 3 Ps unconsciously.
“Just avoid being the popular kid. Stop that unreasoning. Stop following the
Herd.”
2. Shenanigans
Shenanigans it’s the term used by Big Banks and Hedge Funds to refer to
manipulations in the markets. When you hear Brokers or Bankers and
Fund Managers using the term Shenanigans, just know that manipulations
are coming. And it is legal to manipulate the markets by Big Banks and
Fund Managers.
“You cannot afford to risk your money in something that you don’t
Understand.”
King George 11
3. Price Action
“Any representation of price movement on any financial instrument such
as Stocks, Bonds, Futures, Indices, Forex etc. On any type of chart such as
Bar chart, Point and Figure Chart, Line chart, Candlestick chart or Renko
chart, and on any Time Frame. It is genetically based. It is a reflection of
human behavior. Price Action on the charts has been the same since
markets began and it will remain the same as long until we evolve into new
species.” A Brooks
“It is the strength of your heart, my heart that will make you and i, who we
Are.
We can’t give in now.” King George 11
4. Brokers
If you are my student and you learnt from me, my lectures, then you know
the definition of the broker. I don’t have to define anything again here.
There is two types of brokers which have their own sub-categories and
these are namely Dealing Desk (DD) and No Dealing Desk (NDD)
Brokers.
Dealing Desk (DD), these take the opposite side of your trade. They trade
against you. E.g when you open a standard account, you will be dealing
with the Dealing Desk, they will be acting as middle men, because you
won’t be linked to an inter-bank which is a network of Banks.
No Dealing Desk (NDD), these have your back. They don’t trade against
you. E.g when you open Straight Through Processing (STP) and Electronic
Communication Network (ECN) Accounts.
Regardless of all these things, both brokers DD and NDD have your best
interest at heart that is to keep you in the game.
Because DD brokers make money in two ways. Firstly from the big
spreads and secondly trading against you. I know this confuse you. But hey,
they know business. They won’t always make you lose money, they have to
make you feel better by atleast giving you some wins so that you keep
playing and feel important. They don’t care if you are milking them
because there is always a lot of idiots out there being murdered by them.
Hence they don’t care what you are doing. With DD brokers, your money
is not safe. And they have Big Aweful! Spreads. Go check your Standard
Accounts you will see spreads starting from 11 or 12 going up to 100s.
NDD brokers don’t trade against their clients instead they want you to win
because they will also win. They offer you Raw Spreads and connect you
directly to inter-Bank. They don’t act as middle men. With NDD your
money is safe and spreads start from 0 going upto 8-9 in most cases. They
make money into two ways that is, from commissions and Tiny Spreads.
Broker
“Always remember that the market has to have more losers than winners.”
George Williams
“If you read Fundamentals, you are misinformed, if you don’t read them, you are
Uninformed.” Mark Twain
-Don’t use the same tools everyone is using. You think these guys are
stupid to allow Robots and Indicators Milk them? No, they ain’t stupid.
Brokers, Banks, Hedge Funds Play the same role, they are genuises and
you retail traders are intelligent. Imagine a broker making a trading
platform for you to trade on? Doesn’t that click your mind on how smart
they are? So now imagine, you the intelligent one wants to use artificial
intelligency on them, Robots and Indicators. You want to use intelligency
on genius. Wow! Something must be wrong with you folks. The moment a
new indicator or robot is released, all brokers and big boys know about it.
And they know how to deal with it, simple. If Indicators work and Robots,
ask yourself, why is it that everyday new systems are being released? That
question answers everything.
-I will repeat this point once more, don’t hang out where popular kids hang
out. By all means and ways stop trading USD pairs. There are many pairs
you can trade and many other financial instruments apart from the popular
ones. Shenanigans don’t happen much or sometimes not at all in non-USD
pairs and non-popular instruments.
-Fundamentals are risk to trade, because you have no control over price
when trading fundamentals. That’s why banks love fundamentals because
they take price in whatever direction they want to take it to and they owe
no one in this world an explanation why they take price in whatever
direction they feel like taking it to.
-Forex Market is never closed, it works 7 days a week, 365 days a year, 24
hours everyday. I know you are confused. Yes that’s the purpose to
confuse you folks. You are asking questions I know that why don’t we trade
during weekends? Lol! Listen Forex Market is never closed, it works even
on Sundays and Saturdays. I will give you a task right now, On Saturdays
and Sundays just when Markets are closed and about to open or anytime,
pay attention and watch your charts, you will see candlesticks, price moving
suddenly from here to here, they will be forming gaps, candlesticks will be
moving randomly any direction, but for you to see that, you have to be
looking straight on the charts, you will see crazy movements of price which
don’t make any sense. Now who moves that price? It’s Big Banks and
Hedge Funds, they trade even on weekends because Markets are never
closed. Big Banks and likely brokers just close the markets for us, they
freeze platforms so that we don’t take trades. In the actual sense markets
are never closed. Sundays and Saturdays Big Banks invest Billions of
Dollars in trades hence you will see price moving harshly. But you cant see
price moving if you are not paying attention on charts. Because it will make
a large move and it will stop for a while then it willl move again.
“Just because you are many, it doesn’t mean you are right” King George 11
“Fundamentals don’t change the trend in any way. Always remember this”
King George-11
7. Metals
-Are easier to manage than FX
-Differences are hard to grasp
i. XAgUSD (Silver)
XAg= X for index and Ag for Silver.
-There are about 3.5 Billion troy Oz available.
-About 0.5 Oz per human when you take world’s population.
-About 50% is used in production.
-Supply Of Silver is also decreasing.
-Way cheaper, so you can buy more.
-Gold low/high grew approximately 768% during this century’s
runup.
-Silver low/high grew approximately 1147% in the same time period.
-Silver United States Dollar almost outgained Gold 2 times during
2019 runup.
2019, Gold will top. Then 2020 to 2025 as far as we can go, Gold
will decline.
“The Chart never lie if only you learn how to read it correctly.”
George Williams
Maybe I can say, Deriv Synthetic Indices have specific moves which you
can master. But it’s rare still. There is no specific moves to these things.
They change everytime. People change everytime. The reason you lose
money is because you expect too much some patterns to repeat. But, are
you the one who contorls the markets? Who the hell are you to be
expectant of what you don’t control? A sorcerer? You can’t master the
moves of instruments just follow what they give you.
Now let me tell you the main reason for trading few pairs according to me.
The reason is, not to have divided attention. To maintain focus that is if
you don’t manage to focus on many pairs. That is a sensible reason and
not that tosh of mastering moves.
“History is not always kind to it’s subject, that is why support and resistance gets
Breached.”
King George-11
9. Currency Correlation
This is not a good idea to undertake. I know you are shocked why am
saying this, after all am the same person who talked about correlations.
Why is this not a good idea? Currency correlations changes daily, almost
daily, so meaning it will pressure you to check correlations each day or
week. And you will be needing a lot of information. So just leave
correlations behind. Trade what you are seeing on the chart in front of
you.
Don’t fall in love with names in forex. Just because you hear correlations
don’t fall in love with it. You have to be very careful in forex because there
is a lot of nice names which can waste your time.
Think about this, GBPUSD and GBPJPY are highly correlated positively.
After that you analyse that GBPUSD will short(sell) but when you look at
GBPJPY you see price in a long term buy. So what do you do?You doubt
your analysis on GBPUSD of selling then you follow what you have seen
on GBPJPY of buying. What’s the implication of that?
i. You disrespected your trading plan if Correlation ain’t part of your
trading plan.
ii. You are trading based on tips.
iii. You don’t trust your analysis.
Currency Pairs
By all means and cost avoid United States Dollar Pairs. Because Big Banks
love to manipulate United States Dollar Pairs. USD is the most popular
Currency and world’s reserve. That’s where most money is. News events
move United States Dollar Massively. United States President make tweets
which move the United States Dollar unpredictably.
Hence Avoid USD pairs, instead consider cross pairs. Cross pairs are
major pairs without USD within them. Take a look at some examples of
cross pairs below,
EURJPY
GBPJPY
GBPCHF
AUDNZD
AUDCAD
AUDCHF
CHFJPY
AUDJPY
EURGBP
EURAUD
EURCHF Trade Cross Pairs
EURNZD
EURCAD
CADCHF
CADJPY
GBPAUD
GBPCAD
GBPNZD
NZDCAD
NZDCHF
NZDJPY
And please don’t mistake cross pairs with Exotic pairs. Don’t trade Exotic
Pairs. These are pairs without the combination of 8 major currencies in
them. See below listing for clarity,
Don’t trade United States Dollar major Pairs. See below list for clarity,
EURUSD
USDJPY
GBPUSD
AUDUSD Avoid these pairs, These are major pairs traded by Big
USDCAD Banks and Hedge Funds
USDCHF
NZDUSD
As you have seen from the above list, all the pairs have USD in them. So I
recommend to never trade such kind of pairs. Because you will be the popular
rich kid and you will find yourself on the finger tips of Big Banks and Hedge
Funds. The pairs above are all majors only except NZDUSD which is a minor
pair but still that doesn’t change anything. Don’t dare it or you will be damaged by
what the Big Banks will do to you. Big Banks and Hedge Funds play up with
USD pairs. Above all, EURUSD is the most played with currency pair, it covers
50% of Forex Transactions all by itself. So stay away if you want to see your forex
career progressing. Most of you have good technical skills but you just trade
wrong things hence affecting you thinking like you just don’t know how to trade.
All above recommendations are not commands. You can choose whether to
follow them or not. When you choose to go against my recommendations, please
always remember to take caution when trading instruments I have told you to not
trade. Take caution and put this in mind,
“Always remember that, most people get interested in stocks when everyone else
Is. The time to get interested in financial instruments is when no one else is.
You can’t buy what is popular and do well.”
Warren Buffet
Put the words of Warren Buffet in mind always. Always do so if you choose to go
against my recommendations. Am not a sorcerer.
- I talked about Risk-on on this pair, what I meant by that is, It’s a mode of
investment behavior in which investors shift low-risk investments to more
profitable high-risk investments.
i. GBPUSD
-It is third on Popularity.
-Almost always volatile.
-It’s a non-commodity currency. It doesn’t correlate with any commodity.
-It’s nick-named Cable.
-It’s almost everytime high related to GBPJPY.
-United States Dollar often drives this pair.
-Expect bigger moves with this pair. Big retracements moves.
-More news events move this pair like hell.
-Great British Pound and United States Dollar are the most news Driven
Currencies.
-Treat GBPUSD as you would treat EURUSD. Be cautious.
ii. EURUSD
-99% of Retail Traders trade this pair and they end up blowing accounts.
-It is the most liquidity pair. Meaning more money passes through this pair. What
do I mean by that? I mean Big Banks and Hedge Funds that’s number one
currency pair they hang around with. Liquidity means money and money means
Big Banks and Hedge Funds. Big Banks and Hedge Funds mean Liquidity. And
liquidity is the last thing you must think of in Financial Markets beacause it has no
use, it is not important. Otherwise it will bring you problems.
-EURUSD is the most played with currency pair in the world. Big Banks
and Hedge Funds moves the markets. Their job is to take your money and
redistribute it back into the market. They do that by staying where the herd
is. In popular instruments.
- United States Dollar is the single most played with, manipulated currency
in the world.
iii. USDCAD
-This is has United States Dollar which makes it not great.
-Economies of Canada and United States run together often.
-Biggest news for Canada and United States comes out on the same day.
-For United States it’s Non-Farm Payroll and Canada it’s Employment rate.
-Don’t use oil to trade Canadian Dollar (CAD), Oil is hard to figure out.
This was the purpose of this PDF to irritate you by telling you to stop doing what
you are doing. But I hopefully pray you understand all of it. Nobody is going to
tell you these things am telling you. So hold this pdf, and if possible please print it
out.