The Wisdom of Experienceinterest. If I didn’t have a choice, I would have to pay the interest,
of course. However, because I do have a choice, I would definitely
pick to earn interest. I can go short or go long dollars and still earn
interest. It’s just a matter of which currency pair. It’s not always
easy because some pairs have narrow interest rate spreads and
others have wider, so you may not always know which one to pick.
Q: What currencies do you trade the most?
A: The Swiss franc. I will spend the most time there. I like it
because of the larger volatility. The euro is good too, but sometimes
the volatility is not as big. When I trade, I usually will look at price,
charts, and overnight Dow Jones activity. I think this is enough
Q: What type of equipment do you use?
A: I will use basic, free charts. I think that trading FX these days
is much better than in the past. Back then, more sophisticated
people would use Reuters, but that can be very expensive. I was
also previously sponsored by Reuters to use it for over a year. But
afterwards I did not opt to pay for it myself. When it comes to
information these days, there are many places to get it for free
and during that time you can see how the price moves, which is
as reliable as it gets. Reuters, sometimes has false prices. Like the
highs and lows may be indicative and not actually executed prices.
I prefer to watch the dealing station in real active times because
then I can see more reliable prices that are probably being dealt at
the moment.
Q: So you don’t think that an average person needs very expen-
sive equipment similar to what banks have to be successful?
A: I think that it is not necessary these days. In the past it was. But
in the present information is more fluid, so it allows you to avoid
paying up for those services. Also, I don’t think that people should
not get it just to save money, but because many of the cheaper or