95105Takisd,
Nice ribbon for the openminded....keep it coming. We're listening.
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95105Takisd,
Nice ribbon for the openminded....keep it coming. We're listening.
________
95105Twee was cleaning up a few of those sniveling...Originally Posted by ;
95105I exchange on both dukascopy and also at a different broker... I do not feel like mentioning as people will just bitch.
You're mistaken concerning the process calculate risk.
Risk is how far you stand to shed, not just how much funds you are using. I.E my maximum loss on such trade would have been 4 percent, I close out for a profit of about 5.2percent ( closed it before TP) which means I can now take another 4 percent risk trade with no risk. My risk is calculated with my equilibrium. I.E the first day of the month lets state the account is 100$, then even if I compound around 400$ the 4 percent risk remains 4until the next month.
This keeps head above water, and doesnt require calculations each 20 seconds due to account changes.
This account is real, its not enjoyable. Its money. Its not my major account though, since I trade this in accore to superb finance regulations (its self managed super) and its own at dukascopy. I really don't trade much at home for money in the pocket , since work keeps me tied down and pays the bills. But its always great to have a little additional money floating around when something you really want turns up, (I.E my trip to washington DC and Athens next year).
If you are trading for the money, you might too stop trying. Because you love it, need it, want it you should exchange. . Its not about money, its about success
Oh and also a 4 percent trade is quite a regular thing when you work for a small market maker, therefore its not really difficult to stomach that sort of risk. . It're stretching.
95105Really, I'm not confused. I'm speaking of risk% per capital, and 4% can be considered high, particularly if you've got a maximum 10 drawdown. That isn't the case, and you may loose 20% or whatever. In any event, I'd ask if you know what your max drawdown was before you get canned. Hot shot traders really don't understand money management and shortly find themselves out of a job. Perhaps your expectancy allows 4% per trade, who knows?
95105My mistake, I wrote that in a rush this morning.
Hotshot young traders, something like this.
But drawdown is when it comes to capital invested, do you agree?
If I land my first 5 transactions as profits, it would be a very rare occaision I need to worry about a drawdown on the month.
Yet last month I started off with two losses, the drawdown might have been 2-3% I'm unsure, I will check for you. Provided an 80% win rate, and also the requirements put as a trader by my boss. I wouldnt until 30 % dd is struck in my monthly capital, get fired. But if I got a DD that I wouldnt deserve the job either, so I be fired, since I neglected in my number-one goal as a trader, to be successful.
95105Wonderful attitude!
95105I like that's very helpful and the way you keep things simple. You are also elastic to the market which is even more significant. I believe that this is a good approach.
At the end I see why you can have such a high success rate. It's somewhat deceptive though because your risk will fluctuate depending on market requirements. I think in normalizing risk by adjusting lots traded in order to minimize the volatility of their account balance.
For some reason folks on this forum prefer to focus largely on exits and entries occasion. I feel that much less attention is paid on tracking past operation and the relationship between reward and risk. Success rate alone is meaningless without factoring from the aforementioned.
I really liked things for on this article but there is still a few important points that we haven't touched . How much money you earn determines success in trading. Yes you need to love it to have the essential drive but lets not fool ourselves. You exchange to create success and money is an ongoing process that generates an increasing account equilibrium, and this must be constantly monitored.
95105Well, money makes the world go around. But if your drive is cash, then you're in the wrong location.
I once had to explain my facination with earning money. It was simple, I have always loved amounts, this is a profession, where I like to observe that the numbers go up.
I really don't have an extravogent way of life, and I save alot of the money that enters my bank account (still looking to obtain a place to call”house”). But if you have the means to survive, you shouldn't be money driven.
In my country (I'm unsure as to where you're ), a 60k/yr salary is comfy. It supplies you. The rest is meaningless, if you transcend that. I am not going to disclose my own financials, but I really do work for just a small firm, its not a major job, and also alot of the larger prop companies would possibly piss in my resume with no track listing to indie my'victory' as I like to call it.
In relation to the shift in balance because of difference in risk, nearly all of my trades are generally around 2-2.5% risk. The majority, the thing that is around the exact same is that the reward. So basically, if I take a trade at 1 percent and the reward is just 2%, I'd try to find the exact same benefit from a trade which has been 0.5% risk over the longer term. Its opportunity that is just about what arises.
Equity curves sort of move like the markets really... using the zigzags and what not, so long as the underlying trend is up, your balance is protected, you can attempt draw trendlines in your balance charts. I do this every now and then if I suffer a small string of losses, just to be sure the trend hasn't broken. Its time to look at your mistakes before its too late If the trend break. Thus, basically your equity curve can have dips, so long as the lows are higher lows not lower lows... If that makes any sense, I'm bad at expressing myself unless its mere fruion.
I hope I have covered what needed to be coated, I'm at the office at the moment had to repay some stuff for a client (I mentioned that the eur/aud yesterday). Was a short that is good at aud/usd.
951051 Structure (s) heres a fast chart before I must go. I sold aud/usd.
The reason being that there's no real support in the market right now, so I sold until obvious support. The stoploss at resistance (I will probably be moving up roughly 8 pips to pay any break attempts).
Pretty straightforward trade, not 100% confident in it, I had been once I required it. However, the fact I have to disappear for 2 or an hour makes me a little uncomfortable. The risk is ~3%, havent but they are about even.
Long-term trend is down (no hesitation to market ) their is obvious resistance around 67, since it's tried to breach various times over the previous two months, so a break is less than anticipated, nevertheless stop loss will pay me if there's a break.
Keep well lads.
95105I took 47 pips on the a/u trade (back only in time) I took some profit on g/j and g/u short. I have a guest in my home, so that will probably be it for the day.
Hope you had fun. .
Ciao.
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