The best trader in January 2020 earned 44,6 thousand USD [Forex Competition]

Forex competition - Tickmill - Trader of the month - January 2020

The first month of the new year has emerged another trading talent. Profit in the amount of 44 690 USD i 155 percent rate of return - this is the result of actions on the investor's account Hongjun. Thus he was chosen as Trader of the Month in the January edition of the competition Tickmill.

Congratulations! We also encourage you to read the interview for Tickmill.

Check it out: Trader of the Month earned over USD 60 in December

high efficiency

Does the recipe for a high rate of return and substantial profits always have a high risk implied by a large lot per transaction? It turns out not necessarily. The combination of high performance + a large number of small volume transactions can also be effective.

The Chinese trader achieved 80% efficiency in January with almost 400 transactions. Interestingly, despite the fact that he started with a deposit of almost $ 30 (which he eventually increased by 000%), the positions had a relatively small volume of 150 - 0.1 lots for practically the entire month. Out of 0.5 trades, fewer than 395 trades had a value greater than 20 lot. There were also precisely calculated positions, eg 1.0 lots, suggesting that we are dealing with a clearly defined and precise strategy of managing the value of the volume or… using the "leftover" of the free deposit :). How was it in this case? We are not sure.

Hongjun focused primarily on currency pairs (mainly EUR / USD i USD / CHF) as well as on gold. It can be assumed that the basis of the strategy was "pyramiding" transactions in a specific direction - you can regularly see duplication of transactions on a given instrument in a specific direction at intervals of several seconds, minutes and hours.

The first $ 2000 of profit is a result of closing positions already concluded in December. It is difficult to clearly define the investment horizon, because you can see both transactions lasting from several hours and days, up to lasting even a month. It should come as no surprise that the biggest profit came from the highest volume trade - it was a USD / CHF long position of 8.4 lots, which ultimately yielded a profit of $ 7351.37, or about 16% of the total profit in January.

Of course, the total degree of risk is hard to measure in this case, because virtually no position was equipped with Stop Loss and Take Profit. We do not know, however, whether there was any effective alternative behind it, e.g. Stop Loss hidden or monitoring the situation through a machine. It is difficult to talk about deliberate holding of losses, because among them you can see many positions closed on a slight downside.

The capital curve Hongjun - January 2020

Transaction history in numbers:

• Profit: 44 690.69 $
• Return: 155.16%
• Total number of transactions: 395
• Profitable transactions: 80%

Statement trader (PDF)

Interview with a trader

How long have you been involved in trade?

I have been trading on the Forex market for over 2 years.

How did your adventure with Forex trading begin?

Years ago, I started trading in shares, then switched to futures and finally entered the Forex market.

What is your trading style?

I pay attention to price movements. Not at the fundamental levels but only at the price in itself.

Do you have any risk management policies?

At first I didn't think risk management was very important, but then I noticed that I should practice and pay more attention to them.

What good habits should investors be fooled about?

Always follow market trends and use stop loss over time.

Describe your best / most-remembered transaction (How much did you earn? What strategy did you use? On which pair?)

I traded currency during Brexit last year GBP / USD and I managed to make a good profit. This profit resulted from the correct prediction of changes between GBP and USD.

What advice would you give to novice investors?

New traders must pay attention to risk management.

Considering the current market situation, what do you think data / investors should pay attention to?

Try to avoid keeping your positions open during the weekend because unexpected events may occur due to increased volatility.

What is the most important thing you expect from a Broker?

I like Tickmill because my funds are safe there, it has low commissions and excellent customer service.

competition rules

The winner of the competition is selected by the Tickmill Jury. The win is not only determined by the rate of return - it is the total that matters. Factors such as earned profit, position management, risk and trading skills are taken into account. There is also one more necessary condition - interviewing the broker and consent to make the account history public. Only then does the prize of $ 1 go to the trader's investment account.

The principles introduced are aimed not only at showing that you can make money on the Forex market, but also consciously educate and encourage sharing experience with other traders.