Hi Bnaimy
Thank you very much. I was thinking more along the lines of just copying and pasting your statement so that we could investigate for ourselves when and why you took the trades and how all the timeframes align.
Don't worry if you don't want to.
Question: you mention 35 tick max stop loss and 1 contract for every $5000. Isn't this overly excessive? 35 X $5 (value per tick) = $175 / $5000 = 3.5% risk per trade.
Do you use a hard or mental stop?
Thank you for your help
Hi clicsta, thats some valdid questions.
I dont want to sound paranoid,but showing my private statments on a public forum dont really
flow with me, i hope you understand. I will try to be more accurate on future pictures if u want to know the
the excat price.
I wrote that i most ofthe time use 30tick stops, but max 35.
Sometimes u will see a trade and the 30tick stop will be a few ticks above some major support when going long, u will give your trade a better chance of working if adding those +5 ticks.
But 80%-90% of the time u will be using 30ticks, but i agree that 3% is still hight,but you have to look at it in regards with the trading method that you are using.
I you have a method that will be correct 60% of the time then you cant afford that high risk, and i tottaly agree with you. If your method have a hitrate close to 90% then you dont really have to worrie about that little 3% drawdown.
You have 10 trades and out of those 9 are correct, then having 1 looser with 3% risk is pretty chill. And the profits from those 9 trades will grow you account very fast.
But it all depends on the method u are using, if it have a low hitrate then u should never risk more the 1% of your account. But with better hitrate you can make alot of money with very little minimum risk.
Another thing is that most new traders will start with a 10k account, most do i belive. And just trading 1 car will not get you anywhere, u will not makey any good money of this, and most wont. And from that i know most traders do this to make a profit, 1 car will not do that for you, just scrapts. And u will never have the advantage of trailing and having second targets with just 1 car.
I agree that 1% is good way to conserve the account, and works goodf or a newtrader that is willing to learn with real cash and he wont kill his account to fast.
Anyways, i am taking and turning the question in to something else lol :idea:
You have valid concerns with the 3,5%, but its all depends on the whole picture.
Hope this answers your question, if not, please let me know andi will try to be more clear.
With kind regards
Bashir Naimy