I will present an alternative way to make some pocket money using e-wallets and the surplus of funds not needed in the gaming sector. To make it functional, this system will be based on the following assumptions:
1. There is a surplus of funds.
2. We are not chasing unreal performances and profits.
3. There is a calculated risk involved.
4. We have at our disposal at least 2 e-wallet accounts in different currencies (i.e EUR/GBP, EUR/USD) awarded with the highest possible status in order to avoid fees as much as we can.
5. We don't have time limits.
Based on observation that goes back to 2000, I noticed that long term trends are actually big moves offering space for profits. Take a look at the following EUR/USD graph:
As we see, the price range swings between 0.87 and 1.59. This range is rarely seen and could be justified by the crisis started in 2008 and continues until today.
Detecting the exact turning point of each trend is an extremely difficult task that most probably will lead to mistakes. Detecting the superciluim of major tops and bottoms is another thing and this is my task. When I think that we are nearing a major top or bottom, I enable a small percentage (that would be 1%) of the surplus of my balances in the e-wallets, buying the currency that I expect it will be stronger in the future. If I m wrong in my calculations, I enable an extra 1-2% in the next time that I suspect that we are nearing a turning point. Like this, I keep the medium price very near to the turning point and I just wait for the trend to change.
There is a burden that I need to get rid of, and this is the fee for exchanging currencies. So far, all the moves offered by the major currency pairs are more than enough to cover these fees.
E-wallets are not offering interest (unfortunately). Using this tactic, I secure a small profit for a clause of the surplus of money that i keep in the e-wallets. I see 2 risks here:
1. A currency ceases its existence.
2. I am so completely wrong in my calculations that I enable a big part of my balance having to wait for a trend to change.
Thanks for reading.