My 10 year trading plan
- Thread starter davidh1819
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davidh1819
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Hello
i plan on opening long term swing trades mainly in commodity markets that last a few weeks. I plan on trading whenever my system gives me and idication to enter and exit. However i will have a diffrent system for each market. of course the system will be same at its core for all markets but fine tuned to suit each diffrent market.
At the moment i would say my system will make me open around 15 trades a year on some markets and less on others And i plan on trading on 6 or 7 diffrent markets so thats about 90 trades a year in total.
i plan on risking 2% of my account for 6% return so £3 for every £1 risked
davidh1819
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I honestly could say it would not make much diffrence to my day job wether i have £1,280,000 in my account or just £1280 i would still have guarenteed stop losses on all my positions with the same risk reward ratios relative to account size so no need to worry while im at work
unless your asking me how would i bother getting up every morning to go to work when i have £1.2 million lying around ?
megamuel
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Well there is that as well but no I was just wondering how you'd be able to focus at work knowing you had such big trades on. Would you be able to monitor your trades at work? If I was trading such a big account I wouldn't take my eyes off it for a second! Are you going to compound everything? You don't plan on taking any earnings out? Also what if you don't reach your target of 100% each year? How long have you demo traded your strategy for and what results did you get?
Good luck,
Sam.
Good luck,
Sam.
Bulletbelt
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I think somebody here has just ate a Malcolm Prior book in one gulp!
bbmac
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Great theory, but in practice probably totally unrealistic....I think Paulie_5's post below came nearsest except that I would say year 1-5 should be, as he put it '... Blood, sweat and tears to develop a trading system that works...' and I would add that during that time you need to develop the psychological factors that allso you to make such a system work for you. As has been discussed elsewhere , it is one thing havinga trading plan, it is another thing executing it. As for the annual return and compounding, I too doubt that you will achieve this level of return part-time or less (ie whilst working full time) and of course the compounding assumes that no gains are withdrawn.
Sorry if this is not what you want to hear.
Sorry if this is not what you want to hear.
You don't need 10 years or a Million Dollars (Pounds here in London, worth more than Dollars lol)
£4,000 -98% =£80 risk capital to trade
£80 divide by 20 pips = £4 per pip (Stop Loss)
Target 60 pips = £240
£240 per day = £1,200
Wages to you as trader £800
£400 reinvested into balance
Balance grows
Your wages grow
job done
£4,000 -98% =£80 risk capital to trade
£80 divide by 20 pips = £4 per pip (Stop Loss)
Target 60 pips = £240
£240 per day = £1,200
Wages to you as trader £800
£400 reinvested into balance
Balance grows
Your wages grow
job done
davidh1819
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what happens in the market happens being glued to the screen watching your positions every 2 minutes is not going to make anything change i now a few swing traders who check there positions 3 times a day morning lunch and evening thats it. with the advancment of smart phones and 3G you can moniter anything thats on the internet at work.
and with my trading i paper traded a stratergy a while back for a few month with £1000 and ended up with £996 so i lost £4 over 2 month and done about 20 trades
so my conclusion was it wasent a good system. ATM im working on a new system.
and with regards to the compounding i do not plan to spend a penny of it until its worth 1 million then i can live off the profits from that point. But who knows if i get to £80,000 on year 4 i might decide to blow it all on a new car but i dout i would do that i think the longer you wait the better.
My conclusion:
20 trades lost £4 ! Like WTF
its all a pipe dream but hey I'm on the same boat lol
davidh1819
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My conclusion:
20 trades lost £4 ! Like WTF
its all a pipe dream but hey I'm on the same boat lol
overall i lost £4 with wins minus losses all my losses together mouted up to about £150
Marwan2010
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I'm trying to turn £25 into £1m on Betfair. £23.71 so far.
1 guy i know has turned 25 into 1500 so far!
Marwan2010
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Hoggums
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THIS is why so many people fail. They assume that all trades can achieve a 60 pip profit and there's no plan for what to do if the first trade isn't a winner.
With a W/L ratio of 3:1 I can guarantee that your hit rate will be no more than 50% unless you are an absolute genius. And many of your trades will probably be scratched for zero profit when you move your stop to BE.
Where's all of this in the plan?
Forget these fantasy figures - trade your plan and see what return it gives you and don't try to get a set return from it. THEN use these figures to draw up your plan for the future.
Hey :!:
I completely agree
If you look at myfxbook below over the past week I have had one runner for 100+ pips and the rest in the main hit my protective stops that I moved once the trade went positive.
I was just outlining to the guy you don't need a million dollars just £4k to run a basic strategy to earn from trading if you are good enough. Which I might add I am not (not yet
) I target 50 pips and like you say most of them are by scalping a few pips when I moved stops to protect entries. As you say trade your plan which I have learnt at last and gained 332.8 pips this week.
I am completely open about my trades which can be viewed below in the myfxbook link.
