Under-capitalisation

[scose-no-doubt]

2 things; in order to *trade* there is no excuse for under-capitalisation given you can trade at ten cents a pip or micro lot...

However, in order to make a decent living do you need to be that well capitalised? cba doing the done to death maths in full but if it's SB-ing at 5 quid a pip, taking trades 'off' 10-15min charts/PA, with 1.5% risk, and you want to earn (at least) a grand a week you need what, ten grand?

Based on what you're saying if we say an average profit per trade of 50 pips to match your 30 pip risk, lowest amount of trades per week would be 21 trades a week or average 4.2 per day at a 64% hit rate to break a grand based on 2pip slip/spread per trade.

How long can you keep that up for and how would you decide which to let run to skew those odds in your favour?That seems unrealistic to me.

 

[Black Swan]

Based on what you're saying if we say an average profit per trade of 50 pips to match your 30 pip risk, lowest common denomination is about 21 trades a week at a 64% hit rate to break a grand based on 1pip slip/spread per trade.

How long can you keep that up for and how would you decide which to let run to skew those odds in your favour? That seems unrealistic to me.

I'm thinking 200 quid a day from a ten grand account...

 

[scose-no-doubt]

Fair enough lol.

 

[oildaytrader]

Let me entertain this for a second..

Let's assume someone has a $20 mill trading acc. Let us also use a 2% risk. That would be $400k risk per trade. Let's also say the avg SL is 100 pips giving a pip amt of $4k a pip. How easy do you think it is to get a 400 lot trade on? I would say pretty tricky.

Now the biggie...anyone earning on avg 40% a month with those sort of numbers would be the most successful trader in history. Buffett manages around 30% a year. Turtles managed 80% a year for several years. 40% a month is utter nonsense.

My automated programs make 30 to 40 % a year, seems like the market is full of brainless wits .

These are investors , you are comparing them with traders getting more volatility in a day from trading 20 instruments , than the investors getting some rewards over many years.

 

[shortsell]

anyone who can consistently (for a year say) take an average of a grand a week out of a £10k account is, in my opinion a genius.

i don't know anybody working to those numbers. not even close.

 

[Jaydee]

anyone who can consistently (for a year say) take an average of a grand a week out of a £10k account is, in my opinion the luckiest person alive.

I don't know anybody working to those numbers. Not even close.

fyp

 

[Shanghai]

My automated programs make 30 to 40 % a year,

No they don't.

For one thing by your own admisssion you only started trading a live account 2 months ago. Secondly at that time you stated that automated systems don't work and that was why you were a discretionary trader. And then you said that you had stopped using your automated systems as they didn't work during the market conditions of the past couple of years.

 

[Black Swan]

anyone who can consistently (for a year say) take an average of a grand a week out of a £10k account is, in my opinion a genius.

i don't know anybody working to those numbers. not even close.

Oh...OK...

 

[gooseman]

My automated programs make 30 to 40 % a year, seems like the market is full of brainless wits .

No you don't. Stop pedalling lies and extrapolations.

 

[shortsell]

BS, at no point did i say that my not knowing them means such people don't exist - indeed i hailed them as potential geniuses!

one thing is clear from your attitude though. you're not one of them.

 

[Dubai]

Check myfxbook for some serious gains. One guy has gone from $100-%4500 in a pretty short space of time.

 

[Black Swan]

BS, at no point did i say that my not knowing them means such people don't exist - indeed i hailed them as potential geniuses!

one thing is clear from your attitude though. you're not one of them.

Oh...OK...

 

[Black Swan]

Check myfxbook for some serious gains. One guy has gone from $100-%4500 in a pretty short space of time.

Reliably informed that even in fxcm's ickle micro trading comp a thousand + participants get over 100% in a month...They could be just blasting it, having a bit of fun with pin money, riding their luck, one offs..but perhaps a lot aren't...

 

[scose-no-doubt]

Check myfxbook for some serious gains. One guy has gone from $100-%4500 in a pretty short space of time.

Lucky or exceptional individual.

 

[shortsell]

Oh...OK...

maybe i'm wrong. do you make an average of 10% a week?

 

[Black Swan]

maybe i'm wrong. do you make an average of 10% a week?

No..

 

[shortsell]

so what was your objection to either of my posts on this subject?

strange place this.

 

[Dubai]

Haven't seen much of BS posts but from what I have seen, I think you need to take everything he says with a pinch of sarcasm and salt.

All fun and games.

 

[Black Swan]

Haven't seen much of BS posts but from what I have seen, I think you need to take everything he says with a pinch of sarcasm and salt.

All fun and games.

I've just clicked through to your blog...

 

[Black Swan]

so what was your objection to either of my posts on this subject?

strange place this.

What "objection"?