America's Road to Wealth

Chapter 25 The Terrible Forex Market
The international foreign exchange market is actually similar to stock trading.

It's all ups and downs.

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

In the international foreign exchange market, trillions of dollars are 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 up by one point, the profit is ten dollars.

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

It looks like 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.

For example now.

Abel's billion-dollar fund was leveraged twenty times.

He can operate up to 200 billion US dollars of funds through middlemen.

200 billion US dollars, there are 20 hands in exchange.

With one floating point, you can make or lose $200 million.

The principal, and also the margin, is $10 billion.

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

Then the floating loss will become a real loss.

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

The loss is $1400 million.

On the yen/dollar pair, it fell 25 pips.

That is, a loss of $5000 million.

Adding the two together, it is a loss of 6400 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 the rich kid Wall Street elite like David Mellon.

I can't bear it anymore.

Even if the money does not belong to him, he only owns a maximum of [-]% dividends.

But with such a large amount of funds, even if it is only the hands.

Floating losses is also a test of his heart.

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

But the sum of the funds of those many customers is not as large as that of Abel alone.

What's more, most of those customers didn't have as high a risk 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.

Urgently hope that Abel can change the situation.

But when he looked at Abel, he didn't seem to have any feeling for the floating loss of 400 million US dollars.

Abel even looked down at the watch on his wrist.

It was an Audemars Piguet Royal Oak Offshore Collection, priced at $89.

After reading the time, Abel suddenly said to David Mellon:
"It's 09:30 p.m. New York time."

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

David Mellon said without hesitation: "The time difference between New York and Tokyo is thirteen hours. At our current time, it should be 10:30 am 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 listening, "Then just wait for another ten minutes."

David Mellon: ? ? ? ?

"What do you mean?" David asked puzzled.

"I said, wait 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. Don't ask too much, one or two lanes is enough."

"This way we can play bowling when we get tired of playing snooker."

"I'm really you." Looking at Abel who lost 400 million US 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's hard to do.

"Forget it. No more snooker. No more talking about your bowling alleys.

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? "

Off topic, 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."

"Um..." David Mellon was taken aback, "What are you going to NYPD for?"

This is friends.

What I care 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 go as high as $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 purchasing 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."

There are not only security guards in the company, but also a 24-hour service kitchen.

It is for the people in the safe house to work and serve.

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

But now, David Mellon is still a little nervous.

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

David tried to let his 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.

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

One of them is the head chef of a Michelin-starred restaurant in New York.

Michelin-star chefs earn a lot of money, with an annual income of at least US$30.

Such chefs 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 heaven 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 commander-in-chief can drive you."

A meaning.

So even a Michelin star chef can't refuse a daily income of $8000.

With $8000 a day, the Michelin-star chef happily came to this narrow office kitchen and stayed up all night on duty.

(End of this chapter)