Here's a question for all of you probabilty freaks in this forum because this question has me and my mate in disagreement.
OVER A CERTAIN AMOUNT OF DAYS TRADING IS IT MORE PROFITABLE TO TRADE MORE THAN LESS?
We both agree that it makes no difference but my mate's point is you have to work off the assumption that you are profitable trader as you wouldnt trade if you were a loser over a certain period of time, therefore you are halving your profitablity.
I agree with this aswell but my point is that in the theory of is it better to trade more or less should not have any other factors involved as it is a probabilty theory. What do you guys reckon.
Our situation is we are averaging 9-10 trades a night. I suggested to trade half the time, therofre saving on commissions. The underlying question is ..... will this reduce our profits assuming we are making good returns, and also assuming the trades we cut are randomly winners and losers.
OVER A CERTAIN AMOUNT OF DAYS TRADING IS IT MORE PROFITABLE TO TRADE MORE THAN LESS?
We both agree that it makes no difference but my mate's point is you have to work off the assumption that you are profitable trader as you wouldnt trade if you were a loser over a certain period of time, therefore you are halving your profitablity.
I agree with this aswell but my point is that in the theory of is it better to trade more or less should not have any other factors involved as it is a probabilty theory. What do you guys reckon.
Our situation is we are averaging 9-10 trades a night. I suggested to trade half the time, therofre saving on commissions. The underlying question is ..... will this reduce our profits assuming we are making good returns, and also assuming the trades we cut are randomly winners and losers.