I'd like to point out a few things and share some of my thoughts.
i haven't contributed much to FF but i have been reading and checking up on the news before i trade, just little things that can increase my "luck".
sharing is caring, so let's begin/fast forward. when i came up with my trading plan the chances of the market going my way is 73-75% chance. i've tried to back test/forward test over and over and over again but i could never get it past 75%. but thats alright. 75% is good right? it's better than flipping a coin.
(so i feel confident enough, saved up for a couple of weeks, managed my spending budget to $340 a month, which is nothing because australia is so expensive but i was pretty sure that once i saved up enough i'd be able to make heaps of money blah blah)
created a mini account and started trading 10k ($1~ per pip) i decided to write down my feelings because everyones always going on about how trading live is so different and all that crap. first couple of trades i won, then i realised something.
i lost twice and i was in negative for the day.. then i would win a couple more times and lose once or twice and id lose most of what i made so it was very very very slow.
so after a couple of weeks i managed to work out the perfect exit for my trades, gave me a better advantage. i worked this out on a weekend. so i was fairly excited to trade the next week. week begins.. trade a couple here and there. 1 or 2 losses brought my profits down.
so i've been constantly trying to workout how to manage my money.. 2% of my funds and all that.
THEN i realized something.. which i cant believe i didnt work out before, i felt so stupid.
if my chances of winning at 72-75% and i know exactly when to exit, then i should take the trades that offer the highest win. i know it sounds stupid but my losses were always catching up.
so to conclude my story, i just wanted to say that no matter how good your trading system is, you can never win with bad money management, and this has been talking about all the time and i finally understand the importance of it.
There is no difference between demo trading and live trading, when you are ready then you are ready.. thats it.
if anyone else has something they have noticed. please share, we can never learn too much.
also, correct me if im wrong but i don't think you need to be a rock to trade, u cant be completely emotionless.. you should not let your emotions determine when and how to enter a trade. i get happy and angry at times.. like a few nights ago i entered a trade hit my profit target. i turned my head around to stretch.. turned back and news occured.. 5 more seconds and i couldve had an extra $150 shit happens
goodluck
i haven't contributed much to FF but i have been reading and checking up on the news before i trade, just little things that can increase my "luck".
sharing is caring, so let's begin/fast forward. when i came up with my trading plan the chances of the market going my way is 73-75% chance. i've tried to back test/forward test over and over and over again but i could never get it past 75%. but thats alright. 75% is good right? it's better than flipping a coin.
(so i feel confident enough, saved up for a couple of weeks, managed my spending budget to $340 a month, which is nothing because australia is so expensive but i was pretty sure that once i saved up enough i'd be able to make heaps of money blah blah)
created a mini account and started trading 10k ($1~ per pip) i decided to write down my feelings because everyones always going on about how trading live is so different and all that crap. first couple of trades i won, then i realised something.
i lost twice and i was in negative for the day.. then i would win a couple more times and lose once or twice and id lose most of what i made so it was very very very slow.
so after a couple of weeks i managed to work out the perfect exit for my trades, gave me a better advantage. i worked this out on a weekend. so i was fairly excited to trade the next week. week begins.. trade a couple here and there. 1 or 2 losses brought my profits down.
so i've been constantly trying to workout how to manage my money.. 2% of my funds and all that.
THEN i realized something.. which i cant believe i didnt work out before, i felt so stupid.
if my chances of winning at 72-75% and i know exactly when to exit, then i should take the trades that offer the highest win. i know it sounds stupid but my losses were always catching up.
so to conclude my story, i just wanted to say that no matter how good your trading system is, you can never win with bad money management, and this has been talking about all the time and i finally understand the importance of it.
There is no difference between demo trading and live trading, when you are ready then you are ready.. thats it.
if anyone else has something they have noticed. please share, we can never learn too much.
also, correct me if im wrong but i don't think you need to be a rock to trade, u cant be completely emotionless.. you should not let your emotions determine when and how to enter a trade. i get happy and angry at times.. like a few nights ago i entered a trade hit my profit target. i turned my head around to stretch.. turned back and news occured.. 5 more seconds and i couldve had an extra $150 shit happens
goodluck