MTL - America’s Road To Wealth-Chapter 25 scary forex market

  Chapter 25 The Scary Forex Market

  The international foreign exchange market is actually similar to stock trading.

   Playing is ups and downs.

   It's just that the foreign exchange market can be traded every minute and every second, but stocks cannot.

  In the international foreign exchange market, there are trillions of dollars fighting in the market every second, which is a very scary and attractive place.

  Here, one step to heaven and one step to hell.

  One hundred thousand dollars is one lot.

  If you buy up, and the price rises by one point, the profit is ten dollars.

  If you buy short, that is, the so-called short-selling, and the price falls by one point, the profit is also ten dollars.

   It seems that there are very few.

   But don't forget that foreign exchange is changing every minute.

   And there is a horrible thing called leverage.

   There are 1 to 200 times leverage.

   Like now.

  Abel’s billion-dollar capital was leveraged by twenty times.

  He can operate up to 20 billion U.S. dollars of funds through middlemen.

  Two billion US dollars, in exchange for 200,000 hands.

  One floating point, you can make or lose 2 million US dollars.

  Principal, but also a deposit of 1 billion US dollars.

   Once the billion dollars are lost, or the loss reaches the warning line set by the middleman, the position will be directly liquidated.

  Then floating losses will become real losses.

   Now he is down seven pips on the yen/euro currency pair.

  The loss is $14 million.

   On the currency pair JPY/USD, it fell 25 points.

   That is, a loss of $50 million.

   Adding the two together, it is a loss of 64 million US dollars.

  This does not include the commissions and service fees that need to be paid to middlemen, that is, those banks and financial companies.

  If these are counted, the losses will be even greater.

  This is the horror of foreign exchange trading, the amount of funds has reached this level.

  The profit and loss of a point are very exaggerated.

   Faced with this loss,

  Even a rich kid like David Mellon, a Wall Street elite.

   I can't bear it anymore.

  Even if the money is not his, he only owns a maximum of 2% of the dividends.

   Such a large amount of funds can be obtained, even if it is only the person who handles it.

   It was a test of his heart to get up and down.

   You must know that he has worked at Goldman Sachs for three years and has many clients.

  But those many customers, their funds add up, not as much as Abel alone.

   What's more, most of those customers are not as risky as Abel.

   If it weren't for the fact that he had seen Abel's victorious battles before.

  Maybe as early as a few days ago, David Mellon would suggest that Abel should close the position in advance, so as to save a little loss and settle the bag as soon as possible.

   Now Abel is back and has faithfully carried out all his demands, all directed by David Mellon.

   Desperately hope that Abel can change the situation.

   But when he looked at Abel, he didn't seem to have any feeling for the 64 million dollars.

  Abel even lowered his head and looked at the watch on his wrist.

   That is an Audemars Piguet Royal Oak Offshore Collection, priced at $890,000.

   After reading the time, Abel suddenly said to David Mellon:

   "It's 9:30 p.m. New York time."

   "At this time, what time is it in Tokyo?"

  David Mellon said without thinking: "The time difference between New York and Tokyo is thirteen hours. At our current time, it should be ten thirty in the morning over there."

  As a senior financial person, remembering the time difference between New York and other major financial cities in the world is just a basic skill.

   "10:30 in the morning?" Abel smiled after hearing this: "Then just wait another ten minutes."

  David Mellon: ? ? ? ?

   "What do you mean?" David asked puzzled.

   "I said, wait for a little more than ten minutes. During this time, we can choose to have a cup of coffee. Or go to the leisure room next door and play a table of snooker?"

   "David, I think it's time for us to decorate an indoor bowling alley. It doesn't require too much, one or two lanes is enough."

   "In this way, when we get tired of playing snooker, we can play bowling."

   "I'm really you." Looking at Abel who lost 64 million dollars, he still looked calm.

   There are even discussions about expanding a small bowling alley in the company.

  David Mellon was speechless for a while, but in the end he chose to calm himself down as much as possible.

  Even if it is difficult to do.

   "Forget it. Don't play snooker. Don't talk about your bowling lanes.

   Let's drink coffee, what flavor do you want?

   Blue Mountains or Brazil? You have always liked Brazilian coffee beans, how about a cup of Brazilian coffee? "

  Changing the subject, this is David Mellon calming himself down.

  Don't think about the terrible way to lose money.

   "Is there any Geisha coffee? I drank it once at the NYPD branch in Lower Manhattan two days ago, and it tasted very good."

   "Uh" David Mellon was startled, "What are you going to NYPD for?"

   This is a friend.

   What he cares about is not why he drinks Geisha coffee, but why he goes to NYPD to drink it.

   "There was a little misunderstanding with the agents of the two CAAs.

   Sheriff Brownislaw over there, treat me to a cup of Geisha coffee.

  I think it tastes good. "

   Abel shrugged.

   "That should be a trivial matter. Besides, with your relationship with NYPD, you can't suffer." David Mellon said.

  “There is no Geisha, this is Ethiopian coffee that has only become popular in the past two years.

   In the past, the ladies in Europe liked to drink it.

   I've heard it goes up to $260 a pound at coffee auctions. "

"Ok."

   While talking, Abel simply sat on the sofa where David Mellon was lying on his stomach just now.

   Directly in front of the sofa are two large screens, which display the current real-time international foreign exchange market.

  This is an advanced function that is available only after connecting to the Internet and buying the services of Bloomberg.

   "Then Brazil."

   "But wait until you are free. Remember to buy some Geisha coffee beans for me. I want to drink it when I come to the company."

   Facing Abel's explanation, David Mellon rolled his eyes and said angrily, "Understood, BOSS."

  The company not only has security guards, but also has a 24-hour kitchen.

   is for the people in the safe house.

  The general manager and the chairman wanted coffee, and someone brought it to them immediately.

   But now, David Mellon is still a little nervous.

  He simply decided to go to the kitchen to make coffee himself.

  David tried to make the brain temporarily forget the tension through this kind of light labor.

  The company's kitchen is not big. After all, it is only more than 800 square meters, and it has to accommodate 120 staff members.

   In the kitchen, there are now two chefs on duty.

  One of them is also the head chef of a Michelin star restaurant in New York.

  Michelin-star chefs earn a lot of money, with an annual income of at least $300,000 or more.

   Chefs like this, they have a high standard.

  If you want to eat their food, you generally need to go to their shop.

but

   There is a saying in China that money can make ghosts turn millstones.

  There are similar words here in the United States.

  It is called "If you are rich enough, even the Grand Commander can drive for you".

A meaning.

  So even a Michelin-starred chef cannot refuse a daily income of $8,000.

  $8,000 a day, the Michelin-starred chef happily came to this narrow office kitchen and stayed up all night on duty.

  (end of this chapter)