The breaking of the Nationalbank of Schweiz – A Black Swan ?

— A Special Edition —

 

On the 15th January 2015 the Switzerland National Bank – SNB – has decided to get out from his 1.2 EUR/CHF defending line. It means that the CHF could be stronger as much as the market is deciding. I am confident that you could read a lot about this subject in many economical newspapers. But Engineering Investments would like to share with our faithful readers about several important subjects on this special event.

As the 1.2 EUR/CHF has been fixed as a bottom line for defending the Switzerland export, then the market participations have just opened many Buy orders, when the EUR/CHF has been traded near this price line. It means the buyers “know” that they could not lose too much… therefore this line has been strong till the heads of SNB have understood, that if they will not say no more 1.2 EUR/CHF line now, then later on it would be a bigger price movement much more than we have seen on the 15th January !

To see how big is this price movement, i think an one picture is more than 1000 words…

 

The Frank and the SNB
The graph of GBPCHF

For all the market participations this big event is absolute a black swan. But, as you have seen at Engineering Investments Engineering Investments High Gain Managed Account. has gained about 70% during the Black Swan event ! How ?

 

To get into the full understanding of how a black swan could be a good event, we have to understand that our Algorithmic-Trading is usually making gain by trading against the market direction. But for this special event you have to also read our latest article on the 10.01.2015, which had discussed exactly about this subject !

 

Moreover, as a professional forex trader and along the high volatility of the GBPCHF i had to stop several times the algorithm and to open a sell order on the GBPCHF, which has being opened over a long time, just because the intuitive of a professional trader has shown about an absolute abnormal situation !

 

Engineering Investments is not saying that we have found the holy-grail, but only that we are always minimize the overall risk and maximize the gain for achieving the best high gain investments over the time !
 

Open your Real Managed Account
Open your Real Managed Account

Forex Managed Account – The Great Secret of the Riches !

Most people know that you have to earn a lot, spend a little and wait patiently to be financially independent – but that’s only part of the story. Most of them miss the enormous significance of each annual interest percent on investment. The riches, who are investing in a forex managed account just realized it.

 

So what is the right way to gain a personal wealth ? How can parlay really just enough to get into a financial independence ?
 
Many believe that all it takes to succeed in school, get a good job and get a high salary. Indeed, good pay is an important part of the formula for creating wealth – but in fact it is just one part of the three to create the wealth. The other two are:
 
1) Time.
2) A high gain on investments.
 

Most people are well aware of the importance of the first section. Except that, there is interest in return for most people ignorant. I think, actually gain is the most critical part toward creating significant personal wealth.
 

Physicist Albert Einstein once said that the most powerful force in the universe is compound interest ! But what Einstein knew even then, many do not understand to today. Ignorance of most of us about the power of the compound interest always surprises me.

I remember that when I was just beginning to develop the trading Algorithms and to work at Engineering Investments, I was very excited by the fact that you can make a gain of 80% or more per year !
 

Let’s help our employe to calculate him how much money he lost because of his ignorance. Let suppose that at that time he had already managed to put aside 10,000 of dollars. This is quite reasonable amount for the mean employee. Nowadays we have low-interest rate, so let be large and suppose our employee have a very good saving account with a gain of 4% per year, then in 20 years this investment will be $ 21,911. But, with an Algorithmic Forex Managed Account is in the worst case 50% a year, which will reach a total of $ 33,252,567 !!!
 
The $ 33 million that he can gain by Algorithmic-Trading investment are probably higher amount of the salary he will earn in the same 20 years. It means that one of the funds honorable willing to work very hard every day, From Dusk till Dawn, but is not willing to make some simple steps, such open a Forex Managed Account that will yield him a larger sums of money.
 

This matter, i have never understood. How people are willing to work so hard for the money – often at work they hate – but are not willing to invest a little time to manage their money, so doing the best investment. This is despite the money management can yield no small income at all, maybe even more income than their work.
 

The rich people are well understand the power of the compound-interest. They know that to get rich, they should maximize yield as much as possible. Investing their money in their business, Forex market or real estate. You will not find a lot of rich people, who are investing at savings plans or hold millions of dollar in their liquid account.
 

The power of compound interest is huge, and there should not be an Einstein to understand it. Who understands that power can improve their economic situation much, even if the income is not high or is not growing at a rate that provides them. This is especially true of young people, who are in front of them many more years of saving.
 

Forex