Special New Year Promotion!

In celebrating the Lunar New Year and 1st Anniversary of Sense and Guts Investment, we are currently having a very special promotion for the coming intake in Feb 2010.

Not just learning how to profit from both Forex and Stock markets with our High Probablity Trading Strategies at a very Special Rate, you will be also receiving some great bonuses.

For more details, please go to our website at http://www.sense-and-guts.com/

Do not miss this One Time Promotion!

As the seats are very limited, do act fast to grap a seat for yourself.

Testimonial from One of Our Pioneer Students

"What a 2009 for me!!! I am in the first batch of students in Darren’s class. With reference to my nine months of trading after taking the course, I feel obliged to share my exciting path with all who are keen to learn trading. The methods taught by Darren are very consistent and had helped me to recover my losses from trading before the course.

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I had done 229 trades from Apr to Dec 2009 with 177 winning trades. This equates to a 77.3% success rate for my trades!!! To an experience trader, this may be nothing. But to me, as a new trader, I am extremely delighted with my achievements.

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Taking into account my realized profits for 2009, I am even more confident that being a full time trader is the correct path for me. Now, I can enjoy complete freedom in my work (which is trading) and taking good care of my family at the same time. Hooray!!!"

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Tessa, Jan 2010 (Currently a Full Time Trader on Stock Trading)

Another Great Live Trading Session on 12 Jan 10

An awesome profit of USD656 (59pips) was made within 2 hours from 2 trades during the live trading session.

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Some of our students have joined us for the live trading session on yesterday evening, we managed to enter two trades during the 3 hours session and both are profitable trades.

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One of our students has sent us her trading statement showing trades she has made from yesterday's live trading session. (please see above)

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Great to see our students really enjoy the session.

Good Trading Strategy

High Success Rate and High Rewards Risk Ratio

Very High Success Rate with Moderate Reward Risk Ratio

A Good Trading Strategy need to have at least 50% Success Rate with a 1:1 Rewards Risk or High Success Rate with Moderate Reward Risk Ratio or Moderate Success Rate with High Rewards Risk Ratio. Having such Trading Strategy, a fixed position sizing is good enough.

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Above examples shown the results of Good Trading Strategy with fixed position sizing in a long run.

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(Please note the examples shown are solely for illustration purpose.)

Trading For a Living

After going through the recent recession, many felt that working for people is no longer secure and many are talking about trading for a living, be it in stock trading or forex trading.

Many had failed but there are some who succeeded.

What are the Factors that separate those who succeeded and those who failed?

1. Trading Plan
- Come out with a realistic trading plan. i.e. setting yearly, monthly, weekly or daily target.

2. Trading Psychology
- Able to understand how markets work and how to position yourself in the market.

3. Good Money Management
- Know how to manage your capital which able to last you in a long run.

4. Good Trading Strategy
- Know when to enter and exit with good success rate and risk rewards ratio.

5. Traits of the trader
- Hard working (willing to put in effort to learn and re-learn)
- Discipline (Able to follow as per plan)
- Independence (Able to depend on ownself for decision making)
- Confidence (Confidence in what you are doing - after went through the trial stage)
- Patience (Willing to wait for the good opportunity for entry and exit)

and most importantly - need to have the Passion for Trading.

Live Trading with Intake 0609 - Profit USD820 in 3 hours

Yesterday is the live trading session with Intake 0609. During the live trading, we managed to capture a good profit of USD820 (81pips) in around 3 hours by using one of the setups being taught in the course. Another good thing is, the trade was automatically closed by the AEP system! (AEP System is a Auto-Exit Program which follow the exit criteria being taught in the class)

The setups being taught in the course are applicable to all currency pairs and all timeframe, they can be used for stock trading as well. Quite a number of our students are doing very well in stock trading by using the setups being taught in the course as well.

Next class likely will start from end Jan 10 or Feb 10. To find out more, feel free to contact me at darren.leow@sense-and-guts.com.

You may also visit our official website at http://www.sense-and-guts.com/.

Money Management and Trading Strategy

In trading, different traders have their own different trading style, but as long as it works for them, then that are good strategies.

Some emphasize more on Money Management while some on Trading Strategy but both need to be part of the trading.

Those who emphasize more on Money Management usually have a ok strategy but with the Strong Money Management, a 40% success rate with 1:1 risk reward ratio can help them to make profit from the market in long run.

Those who have Good Strategy with more than 50% success rate and at least a 1:1 risk rewards ratio, or at least 50% success rate with more than 1:1 risk rewards ratio, they just need to have a constant fixed position size will help them to make profit from the market in long run as well.

How about a Good Strategy combined with a Strong Money Management?

That could be an ideal case. But to me, if you have a good trading strategy, you are always in an upper hand. It is easier to master Money Management than a Strategy.

Those who trade mainly base on Money Management usually need a bigger capital. Here is one "Sure Win" trading if you have a strategy with 1:1 risk rewards ratio and low success rate, but a large capital. It's all about Statistics, just like how casinos or brokers make their money.

Example: base on 20pips stop loss and take profit (This is base on making profit with just one winning trade, you can also come out with formula which enable you to make profit with two continuous winning trades, this will bring down the incremental of the lot size)

Trade...Lot size...Win/Loss...P&L/trade...Overall P&L
1............0.1.........Loss........-USD20.......-USD20
2............0.2.........Loss........-USD40.......-USD60
3............0.4.........Loss........-USD80........-USD140
4............0.8.........Loss........-USD160......-USD300
5............1.6.........Loss........-USD320......-USD620
6............3.2.........Loss........-USD640......-USD1260
7............6.4.........Loss........-USD1280....-USD2540 8...........12.8.........Win........+USD2560...+USD20

But Personally, I prefer to trade using a Good Strategy with high success and at least a 1:1 risk rewards ratio or a high risk rewards ratio with at least 50% success rate.

As for Money Management, I'm using a constant lot size base on the capital available. Here are the example of my position sizing base on capital available:

Capital.........Lot size (Max.)
USD2k...........0.2
USD5k...........0.5
USD10k..........1
USD20k..........2

Note: This is provide you've mastered a good trading strategy.