when we get time deposits from banks, that money that we deposited is actually used by them to trade in the forex market. when we engage directly in forex trading, we see where our money goes, how it is used and how much it is earning according to our controls.
banks usually require the maximum amount in order to start trading, but with megatrend consulting which is an affiliate of Primehill Investment Services Ltd, the international broker, traders are allowed to trade per lot. Lots are at $1500 each. You would need at least $5000 to start. That's a small amount compared to the $62,500 required by banks. The broker uses margin trading so you need not trade in your whole investment all at once. You can do so with two lots now and increase them to what you want, according to how you foresee the market to be. bale, diskarte na jd na nmo.
there is also short selling. this means that you can open any position you want. the game is actually pitting other currencies with the USD. if the USD is weak then you should start investing in other international currencies: the GBP, the EURO and the JPY. you can open a buy position or a sell position whichever is more preferred by you. and you can close the deal as soon as you make a profit. it doesn't have to be a whole week, it could just be a couple of hours. since it is just a point system you can earn in a matter of hours. here is an example.
you open buy 2 lots Euro at 2.0000 then its value increases at 2.0050 after a few hours, you can close sell and earn 50 points already. here is the computation
(selling price-buying price) x $62,500 (the contract size) x no. of lots
(2.0050-2.0000) x 62,500 x 2 = $625
translated into pesos at 44.00 that is P27,500.
the broker's fee is only $70 per lot and that is fixed. so you simply deduct $140 from $625 and that gives you a net income of $485 from trading (P21,340)
not bad huh? and that is just for a few points. if you really want to earn big then you wait for bigger variances, but of course there is also a bigger risk that rates will fluctuate the other way. it is actually a game of strategy and you as the investor, has the complete control over it.
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