Read? Contra Trading. Damn Shiok!!! (2) - Refresh
hyom hyom
9:52 AM (8 minutes ago)
to me
hyom hyom has left a new comment on the post "How you know you no longer Bei Kambing?":
If a person is a bei kambing and knows he is a bei kambing in certain products, that is enlightenment. In trading/investing, that is a big time saver and money saver.
To be honest, I do not have the balls to trade bitcoin. It can fall 20% within a day. Imagine someone trading leveraged bitcoin futures last week. Futures keep halting due to limit-down. Even popular bitcoin exchanges like coinbase halted trading due to massive panic selling. The wait to get out will be a torture. Don't say only I scared. I think even the broker will be scared.
Uncle8888 is not into contra trading anymore. Chop fingers liao!
One morning when market seriously gap down; his broker called him in the morning to remind him of his outstanding positions to pay up or close by 5 PM or he would force SELL the next morning when market opened.
His broker called him again at 4 pm to repeat reminder!
If your brokers are not scare or worry; it may mean your positions are not large enough! Fact of life as traders!
Posts
CW,
ReplyDeleteThat's the double-edged sword faced by brokers.
During boom time charlie, of course brokers prefer clients who trade in multiples of hundred of thousands!
Where got time for ikan bikis clients who trade in multilples of a few thousands?
But when clients go bankrupt or can't pay up... Siao liao!
The Blumont, Asiaons, Liongold trilogy saga of 2013, one broker got into some pain...
Then there was the EUR/CHF upheaval when the Swiss Central Bank abandoned the floor. Quite a few currency brokers went belly up!
When we owe a little to the bank, we afraid of the bank. (The bank can bankrupt us anytime)
But when we owe a lot to the bank, the bank afraid of us!
When banks are too big to fail, they got politicians and central bankers by the bxxxxs...
OK, lets screw the savers and punish those who were financially prudent instead!
This comment has been removed by the author.
ReplyDeleteSeldom do I see my comment become a blog post. The attention is my honor.
ReplyDeleteGiven bitcoin's huge intra-day volatility (sometimes >20%), I feel it should not be traded with any form of leverage. There is too little time to react if things go south. Not only are the brokerages at risk, even the futures clearing house can be hit.