Want to know what trading with BluFX is really like?
We spoke to one of our top traders, N.P, to get some insight into his trading strategy and his experience of trading with BluFX.
Is BluFx your main source of income or do you work and trade like most people?
I trade full time. I spend most of my time observing the markets, following the news and a very small amount of time actually trading, but I don’t have any other occupation.
I also have a futures account, stocks and bonds. I don’t trade like other people: I actually try my best not to trade – other people always have to be trading.
Did you think the BluFX opportunity was too good to be true? And if so, what made you take that next step?
I have been at a more traditional prop firm, but the monthly costs are very high.
Most FX brokers are out to screw you – they take the other side of your trades and spend their time working out how to make you lose, because the more you lose the more they make.
The BluFX model intrigued me as it appeared that they were bringing a brand new approach where they're on your side of the fence.
At the same time, the fixed costs are peanuts – the monthly sub is like a small bad trade to start each month.
Of course they hedge the trades at the start - the trick of course is to get to the larger account sizes. Most people don’t understand this model, they compare it to brokers.
There are other prop firms now with similar model – did you try them?
Apart from the traditional prop firm where you sit in the office and they stitch you with lots of fixed costs – you've got to make around £2000 just to stand still for the month – the newer ones start you on a demo.
That’s just ridiculous, you pay a fee to paper trade and then they eventually give you an account.
Here you pay, and your trial is to get a $1 mil account, but you can get paid along the way and take your time.
As we all know, you can't force the market to help you pass some demo challenge in any particular month, so you end up paying again and again – why not do that on a live market where you can get paid? That’s why I like this model.
What package did you subscribe to and why?
Pro, of course.
How did you trade before BluFx?
I was lucky enough to have started in a financial institution where I observed some good traders first hand, then I traded for them and did well but the costs were too high so I went on my own. Then I came across these guys.
How do you trade now?
Purely price action, no indicators. I am a swing trader and I enter at overbought or oversold conditions based on behavioural observations of the market. I watch what the big players are doing and how the sentiment is changing.
Which signals make you enter the market?
I only get involved at sentiment turning points. That's the only thing you can rely on in the markets: sentiment - fear and greed - changing over and over again.
Not just the big players - it's good to track the retail mindset because they are the main course. They provide the profits for me, so I am always on forums and Facebook, listening and watching.
N.P's current balance of his 1 million funded account:
What best describes your strategy?
Like a shark!
What’s been your biggest lesson so far being a BluFX trader?
Trading without the possibility of going out of business, no matter what happens. If I hit drawdown I can walk away and trade my own account.
You left BluFX and then came back?
Yeah - I was the first guy to hit one million, and I was helping promote the company and answering questions all the time, trying to help the firm because I like them.
But that became too much and my performance suffered, plus they were constantly pushing additional funds on me to trade for investors, so I traded my own account for a while, then I came back because there's something important about having no liability.
How do you keep focused?
I don’t talk about my trades or about the market with anyone anymore. I keep objective and observe without bias. And I wait for the market to scream at me, that’s what I focus on, but it means I trade rarely.
Have you ever hit your drawdown limit, and if so how did you bounce back?
Yes - I dropped from one million to 200k. I was answering questions on Facebook like ‘how much can I make trading?’ and scalping my futures account daily so I lost some focus. I then went back to what works.
What do you look for to enter the market?
I look for blood on the streets – I wait till the markets are truly out of whack. It's easy to spot these huge dislocations or turning points, but the trick is to not be in a position when they come about.
So how long have you had the 1 million funded account?
Almost two years.
What did it feel like when you got to the 1 million funded account?
Just a normal day - though when I got my first withdrawal on one million, that felt good.
How do you manage your 1 million account now?
I just try and trade a few times and target a 2% gain on each trade. I leave lots of money on the table by not grabbing profit, but overall it works for me as I have less stress and the home-runs of 5% do come at least once a month with this approach.
What's your withdrawal process like do you have a predetermined number you withdraw at?
I get half of everything in my account above $1 mil and $35k at the end of each month.
What's the best thing you've bought so far with your trading income?
Flash cars – I traded a couple of super cars, but I end up not making money because I'm really just driving them around till I get bored.
How often do you trade now?
I've traded six times this month, three times totalled a return of about $85k and three losses totalled $15k.
How do you relax?
By watching the markets.
How has trading impacted you as an individual, has it changed you in any way?
It's made me less patient with unrealistic traders who want things handed to them on a plate: they don't understand how things work and are always looking for answers outside themselves.
What advice do you have for other people thinking about joining BluFX?
If you want to make quick money, then you'll have a better chance going to a broker and gambling.
But if you want to properly exploit the opportunity, then you will put aside a couple of grand and use it to get to the $1 mil account.
What lots don’t consider is that because the monthly fee is the same at each stage, you are doubling your earning potential at each stage.
Staying at the lowest level and moaning about low leverage misses the point.
You are not meant to get rich at the lower level - you are meant to get rich from the top level.
But most traders nowadays are too blind to see what's clearly in front of them and would be better off going to a spread bet broker or bucket shop or even casino and spend their $250 each month there.
Want to read more interviews with other successful BluFX traders? You can read an interview with Catalin here.