48 items found for ""
- The US Dollar's Soaring Strength: Implications and Expectations
Recently, the financial world has been abuzz with news about the US dollar's resurgence. It has surged to impressive heights, marking its highest point for this year with an increase of 6.6% since mid-July. One of the primary catalysts for this momentum is the spike in US Treasury yields, which recently reached a 16-year pinnacle. For Americans, a stronger dollar brings several perks. It serves as a buffer against inflation, ensuring that import prices remain stable. Additionally, it benefits those with wanderlust, making overseas trips more pocket-friendly. Companies that rely heavily on imports also find themselves on the winning side, with more affordable goods and services from abroad. However, as with most economic trends, there's another side to this coin. Globally, the strengthened dollar poses challenges. It means US exports become pricier, which could potentially dampen sales for American businesses in international markets. Furthermore, countries with high dependencies on US dollar-denominated debt find repayments more strenuous. Emerging markets are particularly vulnerable in this scenario. Their currencies have been under significant pressure, with some, like the Chilean peso and Hungarian forint, seeing considerable depreciation against the dollar. This not only affects their trade balance but also puts strain on their economic growth and financial stability. In response, many global central banks are taking proactive steps. They are considering policy shifts, tapping into foreign currency reserves, and even using public rhetoric, a strategy termed 'jawboning', to stabilise their currencies. Yet, as we peer into the financial crystal ball, some analysts suggest this might be a fleeting glory moment for the dollar. They anticipate a shift in its trajectory next year. With US consumers drawing from their savings and potential headwinds like resumed student-loan payments, the US economic growth might align more closely with global averages. This could signal a softer dollar in the forthcoming months. In conclusion, while the US dollar's current strength presents a mixed bag of outcomes globally, the dynamic nature of financial markets always implies change is just around the corner. The unfolding narrative of the dollar's journey remains a captivating watch for investors and economists alike. #USDollarRise #GlobalEconomyImpact #FinancialForecast #EmergingMarketsChallenge #EconomicTrends #USFinancialOutlook
- Inrex Indicator Instruction
Perfect Match with YOLO half Auto EA Inrex Indicator is our first Indicator which calculated by many unique data , as Inrex EA do not believe all the common indicators like RSI MACD . Those are replant indicator may cause a misconception to traders . it helps all Manual Traders and EA Traders about daily Range and which pairs to trade with all the Ea in the industry . For EA Traders Multi-Currency Dashboard shows what type of EA should use on those pairs. No matter which EA you are using , You also know which pairs should be put on by your EA . Or Only choose one direction to trade with your EA . Also can match with my EA product to control which direction to trade -- > https://www.mql5.com/en/market/product/64763 For Manual Traders Indicaotor should a Daily Range predicted . So Users will be alerted when the price reaches the sensitive zone (Upper or Bottom) , So users can make a decisions to manage your account . 1. Price reaches or get close to upper sensitive zone - Consider to open with sell orders and set a stoploss user can be endure . 2. Price reaches or get close to bottom sensitive zone - Consider to open with buy orders and set a stoploss user can be endure . 3. Users could use their only trading skills when the price between the range , so when price when sensitive zone , indicator will alert your / push notifications to your mobile . So make decisions . (As many manual traders do not set a stoploss or tp to hide // Like my StoneBreaker EA all hidden TP or SL ) Attention : Users should put on Live Servers to get a correct data (Since Wrong Trading operation , Lack of Bars , Account Information are given by Demo Servers) ECN accounts with Swap are preferred Parameters : For the best using experience , Users almost no need to set parameters , but suffix and prefix can be set if need by a special symbols from brokers Sensitive zone / Target zone Short term upper resistance Short term bottom resistance Daily open Time Daily Open Price H4 open Price MA250 Daily price Strategy sharing : (Keep updating) : The very basic strategy is : M5 when price hit upper tunnel with Red arrow , Take Profit can set at middle line . Otherwise , price hit lower tunnel which you can see with blue arrow , Take Profit can be set at middle line . All timeframe also good , depends on which kind of trader you are . Will be continued to share more about different strategy with sensitive zone and something else in Inrex Indicator . Example, when price hit upper sensitive zone, and resistance found, open sell order and target at lower sensitive zone or Target_3.
- Hollywood Writers' Strike Ends: What's Next?
The Hollywood writers' strike, which spanned five months, has finally concluded, leading to a notable shift in the television and streaming landscape. The settlement implies both gains and losses for the industry, pointing towards a reduction in new shows and a tighter renewal process. Ending of “Peak TV” Era: The settlement marks the end of the “peak TV” era, signaling fewer job opportunities and a contraction in show production. Even though writers secured significant concessions like bonus payouts and higher royalties, the industry faces a more stringent financial atmosphere. Financial Realities and Cutbacks: The entertainment business, burdened by debts and losses, especially in streaming services, is under pressure to curtail expenditures. The settlement will likely further limit the number of new shows, resulting in lesser work for the industry's talent despite the potential for better pay. AI and the Future of Scriptwriting: The deal allows for the use of AI in assisting script creation, albeit with significant protections for writers. It indicates a trend towards utilizing AI for creative processes, though human insight remains irreplaceable. Viewership Data and Streaming Economics: Streaming platforms will continue withholding viewership data, sharing only aggregated information with the Guild. The rise in streaming subscriptions and an urgent need for profitability hint towards further price hikes in streaming services, complicating choices for consumers. Impact on Show Production: Production on many popular shows remains on hold, with negotiations between studios and the Screen Actors Guild still underway. The new episodes and show resumptions may face significant delays, possibly extending into 2024. Conclusion: In essence, the end of the writers’ strike and the new agreement brings mixed feelings. Writers secure better terms, yet the overall reduction in show production and a potential decline in opportunities present new challenges for Hollywood. The industry’s focus now lies in navigating these transitions, ensuring profitability, and adapting to emerging trends like AI assistance in creative processes.
- Revolutionising Cybersecurity: Cisco and Splunk's Bold AI Leap
In a game-changing announcement, the CEOs of Cisco Systems and Splunk have declared AI as a critical component to their colossal $28 billion deal. This significant move is directed towards revolutionizing cybersecurity and IT platforms, making them more predictive and user-friendly. In an interview with The Wall Street Journal, Chuck Robbins and Gary Steele discussed the all-cash transaction, considered to be Cisco’s largest acquisition to date. The acquisition is expected to conclude by the end of September 2024, opening up new avenues of international reach, product expansion, and advanced AI application across various environments. Strategic Acquirement: Steele showcased his anticipation for the enhanced go-to-market capabilities to be gained from joining the Cisco team. This integration signifies an expansion in both domestic and international markets, leveraging Cisco’s extensive global reach and mature channel presence. The application of AI technology across these platforms is expected to offer a comprehensive, technology-driven environment, accelerating advancements on the AI front. Financial and Technological Benefits: Robbins emphasized the financial assets of the deal, highlighting the $4 billion of annual recurring revenue that aligns with Cisco’s transition to more recurring revenue models. He accentuated the financial viability of the deal alongside the technological integrations and go-to-market areas. The focus is placed on the use of predictive AI for enhancing internet performance, outage prediction, and sifting through substantial security data. Moving Towards Threat Prediction and Prevention: The collaboration aims to shift from threat detection and response to a more advanced threat prediction and prevention using AI. Robbins outlined the utilization of AI in correlating multiple threat intelligence, assisting in the early detection and prevention of potential ransomware attacks by analyzing various events and infrastructure data. AI Application in User Behaviour and Incident Management: AI application extends to understanding user behaviour and potential threat areas, as described by Steele. The use of generative AI is underscored, aiming to reduce the learning curve and enhance the understanding and usage of AI for incident summary and management. In summary, the integration between Cisco and Splunk and the extensive application of AI symbolize a considerable step towards innovative cybersecurity solutions. This merger is not just a financial transaction but a collaborative effort to leverage advanced AI technologies for enhancing global reach, product offerings, threat prediction, and user interface simplification, propelling the cybersecurity industry into a new era of advancement and security. #ArtificialIntelligence #Cybersecurity #AIinCybersecurity #CybersecurityEnhancements #TechnologyAdvancement #AIIntegration #SecuritySolutions #AICyberProtection #Cisco #Splunk #AI
- Unveiling New Horizons: ChatGPT Now with Voice and Image Capabilities
In an exciting leap forward, OpenAI announces the integration of voice and image capabilities in ChatGPT, offering users an enriched and more interactive experience. This enhancement not only promises more intuitive communication but also opens doors to diverse, practical applications. Opening New Doors with Voice and Image Capabilities Enhanced Interaction ChatGPT's new capabilities enable users to engage in voice conversations and upload images for discussion, making the platform more versatile and user-friendly. Voice interactions offer a convenient, hands-free experience, while image uploads facilitate practical assistance in real-world tasks. Ensuring Safety and Privacy OpenAI maintains a commitment to user safety and privacy. The deployment of these advanced features is gradual, ensuring the refinement of risk mitigations and the establishment of secure, responsible usage guidelines. Delve Deeper into the Features Voice Conversations Engage in seamless voice conversations with ChatGPT by opting into voice conversations in the app settings. Select from five diverse voices for a customized interaction experience, powered by a robust text-to-speech model. Image Uploads Upload images for a more context-rich discussion, aiding in troubleshooting, meal planning, and more. Use the mobile app's drawing tool for specific image focus, ensuring detailed and tailored assistance. How to Utilise the New Features Navigating and utilizing these new capabilities is a breeze. Here’s a quick guide: Getting Started with Voice 1. Go to `Settings → New Features` on the mobile app. 2. Opt into voice conversations. 3. Tap the headphone button in the top-right corner of the home screen. 4. Choose from five different voice options for your interactions. Exploring Image Capabilities 1. Tap the photo button to upload an image. 2. On iOS or Android, tap the plus button first. 3. Utilize the drawing tool to highlight specific image areas for discussion. Expanding Access The rollout of these advanced features to Plus and Enterprise users will be completed in the next two weeks, with further access to other user groups, including developers, soon after. In Conclusion Embrace the future with ChatGPT's enhanced voice and image capabilities. Enjoy more interactive, efficient, and intuitive AI interactions while ensuring safety and responsible usage. Dive into the new era of AI communication with confidence and convenience, and make the most of what ChatGPT now has to offer. --- **Note:** For a comprehensive understanding and safe usage of these features, users are encouraged to read the detailed OpenAI announcement and adhere to the provided guidelines.
- Graduate Business Students vs. AI: Who is More Creative in Ideation?
Is artificial intelligence proficient at birthing new, innovative ideas? Traditionally, AI has been considered lackluster in this department. Unstructured tasks like pinpointing new venture opportunities or devising solutions for untapped needs seemed beyond the reach of algorithms. But with the emergence of extensive language models like ChatGPT, this preconceived notion is under scrutiny. In our extensive experience teaching innovation, entrepreneurship, and product design at Wharton School, we have witnessed thousands of new venture ideas presented by various individuals, from undergraduates to seasoned professionals. These ideas span the spectrum from extraordinary to terrible. This extensive collection of ideas set the stage for an experimental contest, aiming to discern who reigns supreme in innovative thought: humans or machines. Alongside our colleagues Lennart Meincke and Karan Girotra, we organized a competition. Humanity was symbolized by a selection of 200 ideas from our students at Wharton, while ChatGPT4 represented the machines, tasked to formulate 100 ideas under the same conditions given to the students. Further, we prompted ChatGPT for an additional 100 ideas post-exposure to several successful ideas from previous courses. This maneuver provided us with a grand total of 400 ideas to evaluate. Ideas flowed in abundance, from collapsible laundry hampers to ergonomic cushions for stiff classroom seats. In our analysis, we employed the academic yardstick for creative performance, considering the volume, average quality, and the number of standout ideas. As anticipated, ChatGPT excelled in generating a higher number of ideas in a shorter time span compared to humans. To gauge the quality, we subjected each idea to a customer survey, querying the likelihood of purchase based on the presented concept. The outcomes were translated into purchase probability using established market research methods. The findings revealed that ideas generated by ChatGPT had a higher average purchase probability compared to human-generated concepts. Despite these numbers, in the realm of innovation, the quest is for extraordinary ideas, not just average ones. Our investigation of the top 10% of ideas underlined ChatGPT's dominance once again, contributing a significant majority of the most exceptional ideas. The overwhelming victory of AI in generating extraordinary ideas alongside the significantly lower production costs revolutionizes our understanding of creativity and innovation. It introduces a fresh, invaluable source of ideas, augmenting and enhancing human creativity. The early phases of the innovation process in organizations are now marked by a shift from generating ideas to critically evaluating them. Large language models enable the generation of an exhaustive array of ideas, necessitating an effective, efficient selection mechanism to pinpoint the gems amid the multitude. Current models may not surpass an individual expert in forecasting commercial success, but collective evaluations from the target market continue to be a viable strategy. A collaborative human-AI framework, where AI serves as an assistant, promises comprehensive exploration of possible solutions, contributing to superior products and services, and addressing societal needs effectively in the future. #AI #ChatGPT #Innovation #IdeaGeneration #WhartonSchool
- Exploring Foreign Exchange Swaps and Their Implications
Foreign exchange trading often involves maintaining positions for varying lengths of time, possibly overnight or longer. Such situations necessitate a balancing act, ensuring the account remains neutral at day's end. This is accomplished through a process known as rollover, which might incur a fee known as a swap fee. Understanding the implications and calculations behind this process is crucial for effective trading. Understanding Foreign Exchange Swaps Foreign exchange swaps are an essential aspect of FX trading. These swaps entail understanding the math behind the forward and swap rates, beneficial for those considering trading on forward FX rates. Understanding the intricacies of these calculations, even for day traders, is essential for navigating the financial waters of forex trading successfully. Forex Swap Fee Explained The swap fee comes into play when holding a trade open overnight or longer, signifying a cost or benefit generated during this period. Some brokers might forgo this fee, substituting it with wider bid-offer spreads or commissions. While swap-free forex brokers exist, the cost of keeping positions open overnight is invariably accounted for in some manner. For a fresh example, imagine buying GBP/JPY. You hold British Pounds and have sold Japanese Yen. If you bought £20,000 at a rate of 150.00, you would have sold ¥3,000,000 which you didn’t have initially. Borrowing the yen to exchange for the pounds involves a cost, determined by the interest rates of the respective currencies. If the yen's interest rate is higher than that of the pound, it will generate a cost. The opposite is also true, potentially leading to a benefit for your account, known as positive carry. Positive or Negative Carry It’s vital to research corresponding interest rates for the currencies you're trading to determine which positions will have a positive or negative carry. Positive carry generates income for your account, while negative carry creates a cost. Various online platforms provide central bank interest rates for different currencies, offering a guideline for traders. Foreign Exchange Swaps Overview A foreign exchange swap includes two legs – a spot trade and a forward-dated trade in the opposite direction. For instance, consider a foreign exchange 1-month swap in AUD/USD. The first leg involves buying dollars and selling Australian dollars at the spot rate. The second leg, forward-dated by a month, involves the opposite exchange at the forward rate. The forward rate and the resultant cash flow are affected by the difference in interest rates between the two currencies. FX Swap Calculation The calculation for the FX swap rate is relatively straightforward, reflecting the difference in interest rates between the two currencies in the pair. This difference compensates for the disparity in interest rates, ensuring that the cash flow remains balanced over the duration of the trade. In conclusion, understanding the intricacies of foreign exchange swaps, including swap fees and positive or negative carries, is crucial for effective and profitable FX trading. A clear grasp of the concepts and calculations involved allows traders to make informed decisions, effectively managing the costs and benefits associated with maintaining positions overnight or longer. Proper research and continual learning remain essential components for success in the forex trading world. #ForexSwaps #ForeignExchange #FXTrading #CurrencyTrading #ForexTips #ForexSwapFee #FXRate #SwapRate #TradingEducation
- Sup 9 Scalper Instruction
Please read carefully>>>> Sup 9 Scalper can make 150 - 500 trades per day in Live trading environment, so tester is not functional. Try your best to read all of the instructions here.................... How to install or upgrade? A strong recommendation, do not share the ID; only use it yourself. All friends or related are not allowed. Please withdraw profit daily/ weekly until 100% has been made. Like the S9M, the worst case is a total loss; sometimes, when the drawdown is high, do not scare and let it finish its job. Sup 9 Scalping uses the method of Portion of Lot, which means it will open many orders in a period. Unlike those original scalpers, the slippage killed most of them. What is the portion of the lot Scalping? The portion of lot Scalper helps to avoid those HFT restrictions from the prop firms. And also traps from slippage of the brokers. Key Highlights: Primary Objective: Enable traders to maximize commission rebates by targeting an ambitious 500 trades per day through precision scalping. Underlying Strategy: Our bespoke portion of lot scalping technique is not just about rapid trades but also guarantees protection from the diverse traps laid out by brokers. Exclusivity in the First Round: To honor our longstanding relationship, we're offering the Sup 9 Scalper initially to our old and esteemed clients. This exclusivity ensures you have the first-mover advantage in leveraging this groundbreaking tool. Limited Licenses: Only 25 licenses are available in the first round. This ensures that each trader has our undivided attention, ensuring optimum performance. Post First-Round Plan: The journey doesn’t end after the first round. We will meticulously analyze the performance. Based on our findings and ensuring the best interests of our community, we'll decide whether to launch a second round or make it a limited-edition tool. Ideal Account Types: The Sup 9 Scalper is tailored for raw spread/ECN account types. Moreover, it's also compatible with FTMO, providing you with greater flexibility. Parameter: MarginLevel = 250 >> Which means it will not open order if the margin level is lower than this OrdersAllowPerday >> No more new orders if closed orders over this maxSpread >> will not open the order if Spread is higher than this. UseSLbyAccDD >> True = use stoploss Stoploss by account Currency = 9500 means drawdown > 9500 will close all orders. Don't use it with another EA in the same account. For an ECN/Rawspread Account: 1. Make sure you have this type of account. NO STANDARD ACC. 2. On a Gold M1 chart, set up Webrequest and add your ID. 3. Like with other Sup 9 products, take out your profit daily until you've gotten back what you started with. 4. You need $1,000 to start; using 1:500 or 1:1000 is best. 5. Try to do 100 daily trades, aiming for $50. 6. The much capital to run is preferred. 7. Always keep 0.01 within 10K USD. For FTMO Account: * If You Want to Take More Risk: * With $200,000, set 0.4 lot (or $5,000 with 0.01). * Aim to pass in 10 days. * Set a stop loss at $9,250 to $9,500 (4.5%). * If You Want to Take Less Risk: * Set 0.2 lot (or $10,000 with 0.01). * Aim to pass in 20 days. * Set a stop loss at (4.5%) of your capital.
- Unveiling the Truth: Defining a Good Expert Advisor (EA) in Forex Trading
In Forex trading, I'm often faced with how one can identify a reliable Expert Advisor (EA) product that is genuinely profitable and not a scam. Many novice traders believe that if backtesting trades align closely with those in live trading, this is a solid indicator of a legitimate EA. However, this belief is a misconception fostered by the industry itself, and it's high time we debunked this myth. Consider one of my products, "Draw a Bow." Regardless of the extent or method of backtesting, the results deviate significantly from those in the live trading account. Despite this, it has traded in a real account for the past two years. You might wonder why does this discrepancy occur? Purpose of Backtesting: The foremost reason lies in the core purpose of backtesting. It is merely tool developers use to identify and rectify bugs in the EA, not a crystal ball for predicting the future performance of the EA. Lack of External Factors in Testing Mode: During backtesting, the system operates without several crucial factors influencing live trading. This includes news filters, data mining capabilities, and trend detection mechanisms using external data from Metaquote systems. Broker-specific Quoting Differences: Backtesting results rely on one historical data set, even when using 100% tick data. However, in live trading, the quoting price will differ between brokers, resulting in dissimilar trade outcomes. Inconsistencies Even Under Similar Conditions: I have tested "Draw a Bow" across three different accounts, each running simultaneously with the same server and equivalent capital. Yet, after three months, the results across these accounts varied significantly. In conclusion, judging the efficacy of an EA solely based on backtesting can lead to a dangerous oversimplification. It overlooks crucial variables that contribute to the dynamics of live trading, such as broker differences and external data influences. Consequently, determining whether an EA product is reputable requires more comprehensive assessment methods. Evaluating an EA's effectiveness in the real trading world, its longevity, adaptability to various market conditions, and ability to generate profits consistently are much more reliable metrics. Therefore, traders should develop a more holistic approach to discern between scam products and truly profitable EAs, moving beyond the misleading facade of backtesting results. USEFUL ARTICLES: The most misconception of expert advisor MT4/MT5 Why don't we still believe in back testing?
- Sup 9 Martingale Instruction
Who is it good for: This trading robot is perfect for traders who are skeptical of backtesting results and prefer a dynamic, data-driven approach to trading. It is suitable for both beginners and experienced traders seeking a reliable and adaptable automated trading system. Live Signal Monitor: Weekly make a double (Aggressive) Bi-Weekly make a double (Safer) Structure of InrexEA Database: Clients > InrexEA DB > OpenAI > InrexEA DB analysis > Clients Short Description: Experience the future of trading with the Sup 9 Martingale Trading Robot, a fully automated, 2nd generation system from OpenEA, designed to adapt to the dynamic market by learning from XAUUSD trends and combining the best of Ea YOLO Diamond Hands (retired). Concept of the Product: The Sup 9 Martingale Trading Robot is designed to optimize trading performance and reduce reliance on backtesting. Utilizing machine learning, it continuously analyzes the relationship between USD and Gold Market, ensuring it remains relevant and effective in ever-changing market conditions. What is the best broker in the industry? What kind of tools you should use for your MT4/ MT5 journal? Key Features: Fully automated trading system with machine learning capabilities 2nd generation system from OpenEA, crossover with optimized Ea YOLO Diamond Hands Reduces reliance on backtesting by focusing on dynamic market conditions Unique WebRequest feature for seamless integration (refer to instructions for setup) Continuously learns from XAUUSD trends to enhance performance Ideal for traders who prioritise adaptability and data-driven strategies 1:500 or higher leverage 2000USD to start XAUUSD Additional Information: Dual-algorithm system: The S9M incorporates two complementary algorithms to optimize trading strategies and boost profit returns High-profit target: The robot is engineered to strive to double your returns weekly, thanks to its fast-paced trading pattern Recommended starting capital: To get the most out of the Sup 9 Martingale Trading Robot, it is advised to start with a minimum capital of 2000 USD. Enhanced risk management: The S9M's innovative design not only focuses on profit maximization but also provides robust risk management, giving traders peace of mind Join community :
- Trading is a business
The Importance of Diversifying Services for a Successful Business In today's fast-paced world, relying on just one service is not enough to sustain and grow your business. For instance, if you are building a website, you might need Canva for designing posters and images, Shopify for setting up your online store, and additional software to create videos and purchase copyrighted music. Similarly, trading is a business that cannot thrive solely on a one-time purchase. To make a project successful, a more holistic approach is necessary. Fortunately, there are solutions available to minimize costs for clients while maximizing the effectiveness of the services they use. One such solution is to analyze all the fees associated with various services and provide the best trend detector to the client's terminal. By consolidating costs and presenting the most efficient option, businesses can not only save money but also gain a competitive edge. In conclusion, relying on multiple services and adapting to ever-changing trends is essential for maintaining a successful business in today's digital age. By being resourceful and choosing the right combination of tools, entrepreneurs can ensure their projects run smoothly and cost-effectively.
- Prop Firms vs. Standard Accounts
What is the best broker in the industry? What kind of tools you should use for your MT4/ MT5 journal? Are you still addicted to 80% of the profit share from PropFirms? Trading with Prop Firms vs. Standard Accounts: A Closer Look at Hidden Costs and Probabilities Forex traders are increasingly drawn to proprietary trading firms like FTMO, MFF, and True Forex Fund due to the allure of high potential profits. However, it's essential to approach these opportunities with caution to avoid becoming overly dependent on prop firms. In this article, we will explore a simple example to illustrate the potential downsides of trading with prop firms compared to standard accounts, considering profit shares, probabilities, and the challenge and verification processes. The Example: Let's imagine a trader executes 8 trades, each generating a take profit level at $10 and a stop loss of $10 on gold. We will compare the outcomes of these trades under two scenarios: Trading with a Prop Firm: Assuming a 200k swing account size and an entry fee of $1,300, the trader receives two chances to lose by 5%. Calculate the result with 1 unit and 4 lots for each trade (maximum 8 lots on gold due to margin level), which effectively halves the entry fee. When the take profit (tp) is hit: 4 lots * $1,000 (profit) * 8 (trades) * 0.8 (payout ratio) = $25,600 (final payout). Trading with a Standard Account (100 USD account): Using a standard account, the same trading scenario would result in a profit of $100 * 200%^8 trades = $25,600. If we use the same initial capital as the entry fee of the prop firm ($1,300/2 = $650), the difference becomes very obvious: $650 * 200%^8 trades = $166,400. Comparing Outcomes: By comparing the potential profits, we can see that the trader would make significantly more profit by trading with a standard account using the same initial capital as the prop firm's entry fee ($166,400 vs. $25,600). However, the overall chance of a payout is significantly lower with the prop firm due to the challenge and verification processes. This means traders need to take on additional risk to pass the two steps required by the prop firm successfully. Losing Potential Profit: Although prop firms claim to provide an 80% profit share, in reality, if you have 8 winning trades, you are losing 84% of the potential profit to these prop firms, as calculated by the difference in profits between a prop firm and a standard account ($166,400 - $25,600) / $166,400 = 0.846 or 84.6%. The Reality of Prop Firms: Proprietary trading firms can be seen as a marketing platform for sellers, course providers, and company traders who seek certification. In this example, a trader pays $1,300 to receive a product worth less than $100. This doesn't even consider the probability of successfully passing the challenge and verification process required to trade with a prop firm. Considering Probabilities: Trading with prop firms adds a layer of complexity and uncertainty due to the challenge and verification processes. These hurdles can reduce the chances of receiving a payout, making it more difficult for traders to achieve consistent profits than trading with a standard account. Conclusion: While prop firms may offer unique opportunities, traders must be aware of the potential downsides, such as reduced profit shares, lower chances of receiving payouts, and a higher loss of potential profit. Traders should carefully weigh their options and make informed decisions based on their circumstances and goals, considering the probabilities and challenges of trading through prop firms.