- When you hear the term "volatile," all that is being said is that the currency charts move very quickly up and down throughout the course of a trading session. How much movement do you see in your average stock in a day? Maybe the stock moves 3-5 points. In comparison, the average currency pair will move a minimum of 100 points in a day. For the professional trader that is used to smaller movements in a day, it is easy to understand that without full comprehension of how to safely work in such a fluid market.
- Volatility within Titan's trading algorithm is essential to our success. It is one of the critical main ingredients to our money management system as well as our trade entry methods. Our trading system simply would not work in a market such as stocks where there is such anemic movement.
- When we hear someone unknowledgeable speak about the benefits of large chart movements in currencies say something like "currency is way too risky, it's highly volatile," we simply smile and think to ourselves "thank god for volatility, for without it we would be without opportunity."
- Risk is mitigated through proper account money management and the responsible use of leverage. Risk is not mitigated by avoiding markets just because they move quickly. With proper account management, we can reduce our risk tremendously and still reap the benefits of such an aggressively moving marketplace.
Monday, July 16, 2007
Why Invest With Titan?
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