Strategy users

2. Learn daily what is happening on the Forex market
3. Advice to better benefit you with the 15-day free trial
4. What account leverage ratio and margin values should I use?
6. When should I close my positions or reallocate my portfolio?
7. 2 different ways to reallocate my portfolio
8. How to maximize your rewards? (for representatives)
9. Which broker will I use?
10. Which currency pairs will I trade?

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2. Learn more about what is happening on the Forex market on a daily basis.

   You can read http://www.dailyfx.com/.
   

3. Advice to better benefit you with the 15-day trial and avoid being disappointed with short-term results.

   • To get most out of your trial, I encourage you to attend to the Free live training webinar, it is a great complement to the Forex training document available in your command center. A real instructor walks you through everything on your computer on how to set up and manage the Portfolio Allocator, Portfolio Manager, and the trading Platforms. Plus you can ask all of your questions and have them answered at the same time. For a schedule of the online seminars, login to your command center and click on “Training Webminars”.
   • Do not focus on your portfolio Profit/Loss value because a 15-day trial is not long enough to test a LONG-TERM Investment Strategy that could take 3 to 6 months to start generating accurate and consistent returns on your FX Portfolio. It is possible that you could start your trial during a short-term negative period which could lead to a draw-down on your portfolio.
   • The Investment Strategy is not a HYIP, a "quick cash-grab", nor a "make all the money this week" type of system, so please DO NOT base it's success or failure on whether you were positive or negative on your Demo FX Account after only 15 days.
   • For your trial, you can create many portfolios with any currencies pairs combination, but I strongly suggest you to at least create a portfolio including only the EUR/USD and USD/CHF pairs. These currencies pairs are strongly correlated and they are the best pairs to see how efficient the investment strategy can keep your portfolio profit/Loss value relatively low which is a key feature for your capital protection.
   • After the 15-day trial, which may not be long enough to effectively test the performance of such a system, you may not be convinced, therefore here is my suggestion: Become a paying customer to keep testing the system but continue testing with a demo trading account, this way the only money at risk for you is the $100 monthly subscription fee you need to pay to use the system. After several months, you should know whether the system is worth going live with or not.
   • The trial is designed to see how the system works, not how much profit you can make in 15 days.
     Therefore try to focus on the following:
     • Notice how the system allows you to earn daily interest even if you do not do any trades.
       This is especially true with the recommended brokers, because the has pre-negotiated better rates with them in order for us to continue to receive the desirable interest on our positions that we are entitled to based on current world interest rates.
     • Notice how the system keeps the profit/Loss value (volatility) relatively low in your account due to the "hedging" of inverse currency pairs. This is the key feature of the system which allows you to not be having to watch your computer screen all of the time and not be stressed by the possibility of losing all of your capital. This is possible with the fact that the system forces you to trade currency pairs where their movements go statistically in opposite directions. The best example of this is to trade only the EUR/USD and USD/CHF currency pairs together.
       Consequences: By limiting our portfolio real-time Loss, the system reduces the risk of a margin call. So it allows you to trade with a higher margin (a higher margin requires higher levels of risk).
     • Notice how, once you enter your risk parameters, the system consistently buys lows and sell high.
       Note that because the system was designed for investors and not day-traders then you will only see a few trade executions per month.

Remember that the purpose of the trial is to let you see how the system works, not how much profit you can make in 15 days.

After your trial, consider becoming a representative instead of only a customer, you will be able to participate in the optional referral program and earn extra money by referring the product to your friends.

4. What account leverage ratio and margin values should I use?

   This is rather a personal question because it depends of the risk you are willing to support and the portfolio strategy you use. Our suggestion is: Use your Forex trading account, create a few demo porfolios with different configurations. Monitor their behavior for as long as you want then when you feel ready decide which strategy configuration is best for you. Remember, higher leverage and margins require higher levels of risk.
   
   Other details are shown in the menu "Trading Overview" of your Command Center.

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6. When should I close my positions or reallocate my portfolio?

   There is no specific moment but you should do it only when:

   • You want to change your portfolio strategy or
   • You want to set your % margin back to its initial value in order to keep the same risk level.

After a certain period of time you may have accumulated interest and profits/losses caused by the execution of sell and buy limits. Your margin amount will then be evidently different from the begining.
For example, let's assumed that you started with a 10K portfolio with a 5% margin, that is to say you bought positions for a value of $500. Now let's say that after a few months your margin value is $450 and your porfolio equity value is 12K, then your current margin is then 3.75%. So if you consider this margin to low for you then it is time to reallocate your porfolio to put back your % margin to its initial value, 5%. (See below "2 ways to reallocate my portfolio")

NOTE: Each time you buy or sell some lots you pay a spread fee then you should avoid to close your positions wthout a good reason.

7. 2 ways to reallocate your porfolio

   • Method recommanded by the strategy designer.

     It recommends that you close all of your positions to enter the current portfolio numbers into the Porfolio Allocator and then get back into the market. This is the easiest method that gives you a clear picture of your portfolio. It also allow to give to the Manager tool the correct starting values of your porfolio and currency pairs that you own.

   • Alternative method used by some users

     Warning: be sure to understand what you do to ensure that the investment strategy will work fine.

     Note: This method is used to avoid closing positions that the FR Allocator will tell us to buy. This way we will not have to pay the spread for the positions we already own.
     • Access your Portfolio Allocator tool.
     • In the Portfolio amount field type the equity amount of your trading account (not the account balance). It does not matter if it is not exactly the same amount as long as it is not more than a few dollar difference.
     • Set the other parameters as usual and click on the button "Allocate portfolio"
     • Now go into your trading account and buy or sell the number of lots necessary to end up in your portfolio with the same number of lots provided by the Allocator.
     • Then go to your Manager and add a new portfolio according to your new parameters as you normally do. The currency pairs values must be the ones corresponding to your recent purchase.

8. How to maximize your rewards? (for representatives)

   You do not really need to know how a binary system works because the binary system places your personally sponsored representatives for you in the most outside weaker leg, that is to say the leg with the lowest sales volume. This is the best strategy to maximize your commissions.

   However there are 2 situations where you should places your personally sponsored representatives by yourself.

   1. In order to qualify to start earning commissions you must have one personally sponsored representative in your left leg and one in your right leg. Therefore you must place your second personally sponsored representative by yourself in the opposite leg of your first one. If you do not do it then the system will place it in the weaker leg which might be the same leg as the first one. This would postpone your qualification to start earning commissions.

   2. In order to protect your qualification to earn commissions you should place your 4th personally sponsored representative by yourself in such a way to have 2 personally sponsored representatives in your outside left leg and 2 in your outside right leg. This way if one of your personally sponsored representatives quits the program then you are still qualified to earn commissions

   To learn more about the binary system click here.
   You need the PowerPoint Viewer to see that presentation. Get it free here

9. Which broker will I use?

   You can choose any Forex broker you want but MVIB LLC may assist you with this important decision. On the MVIB web site, some of the world's largest and most well-respected Forex brokers they represent are compared side-by-side and MVIB, because of their large customer base, has negotiated higher than average leverage and interest rates that have only previously been offered to larger financial institutions.

10. Which currency pairs will I trade?

    Forex traders have an enormous advantage over those who trade other markets. The options we have to choose from when deciding what to buy are very few. Indeed, with the strategy, there are only 4 possible choices. Compare that with over 8,000 listed stocks on the major exchanges.

    Correlations
    The key to the system is the correlations between the pairs traded. The most current correlations are displayed in brackets after each currency pair in the Portfolio Allocator. The correlation is a number that represents how similar the movements of the currency pair are to the movements of the EUR/USD. The closer the number is to 1.00, the strong the correlation; the more similar the movements. A minus sign in front of the number means that the movements of the currency pair have historically been in the opposite direction of the EUR/USD.

    It always trade combinations of pairs which, historically speaking, move in opposite directions to allow the gains on one to offset (at least to an extent), the losses on the other. In the product movie, you can see a 1-year graph of the EUR/USD and the USD/CHF. Historically speaking, these pairs have had a very high (negative) correlation of approximately -0.98 (currently, -0.93). Again, historically speaking, the movements of these pairs are the most likely to mirror each other. In the short run, however, anything is possible. If an unusual series of events takes place, the pairs may move together for a time. On half the occasions, these anomalies will work in our favor. The other half will go against us. Again, the most current correlations are displayed in brackets after each pair in the Portfolio Allocator.

    The USD is the primary force in the global economy, and therefore, in the Forex market. There are actually 6 "major" currency pairs in the Forex market: the 4 the starteggy trades, plus the AUD/USD (Australian Dollar), and the USD/CAD (Canadian Dollar). Notice, the USD is either the base or the cross currency in all 6 of the "major" pairs. When either good or bad news comes out of the U.S., the pairs will react.

    If economic news was only released from the USA (therefore pertaining only to the USD), then all the pairs would have correlations of either 1.00 or -1.00. That isn't the case, however. This explains why the correlations differ.

    Europe (EUR/USD) and Switzerland (USD/CHF)
    These economies are very tightly integrated. Good economic news for Europe is typically good news for Switzerland as well, and vice versa. Rarely does something happen which is good for one and bad for the other. This demonstrates itself in the historically high correlation between the EUR/USD and the USD/CHF.

    Europe (EUR/USD) and Great Britain (GBP/USD)
    These economies are certainly integrated, but to a lesser extent than Europe and Switzerland. Economic news from Great Britain (affecting the GBP) may have little or no impact on the Euro. Inflation, housing starts, interest rates, employment, etc., may be (and frequently are) quite different. The historical correlation between the EUR/USD and the GBP/USD is still fairly strong, but nowhere near the EUR/USD and the USD/CHF.

    Europe (EUR/USD) and Japan (USD/JPY)
    These economies have little in common. Certainly, to an extent, the entire world is one huge economy, but economic events in Japan have little impact on Europe, and vice versa. The primary reason the EUR/USD and the USD/JPY are correlated as strongly as they are is almost completely because of the dominance of the USD on the world economy.

    So...which pairs are the "best" to trade?
    There's not a "right" answer here. As with all investment decisions, it comes down to your personal tolerance for risk and your desire for reward.

    Given the background above, the "safest" pairs to trade have historically been the EUR/USD and the USD/CHF. Given the same "Margin Percentage" value in the Portfolio Allocator, however, also produces the lowest interest rate. There's no free lunch.

    Many members have realized they can significantly increase their interest by substituting the GBP/USD for the EUR/USD. This is, in fact, true. The downside, though, is that the correlation with the USD/CHF is not nearly as strong. Economic news out of Great Britain can affect the GBP/USD and have little or no impact on the USD/CHF. Of course, this can work either for or against us. The GBP/USD is also the most volatile of all the currencies we trade.

    Another option is to split the positively correlated pairs and trade both the EUR/USD and the GBP/USD with the USD/CHF. This combination allows us to increase our interest a bit while limiting our exposure to the GBP/USD.

    The strategy would recommend, at least initially, you stay away from the USD/JPY. The interest rate is only slightly higher than the USD/CHF, and the weak correlation makes it far less attractive.