The Earn 2 Trade Gauntlet last until 8/25/18 but essentially I failed it they say you can still pass but Im not sure how that is possible trading and meeting days dont mix something else to add to my list No Fridays, meeting days, angry days, watching kids, lunchtime, multitasking. I ended the day 330 points down in NQ 40 pts in ES. The Gauntlet strategy forces your to trade your best for 60 days there is no resets which i think for most participates will lead to what i did attempt to try and get it all back. Even now i placed trades overnight(which i dont do in my live account) trying to get it back. The fight emotion is strong I would like to think that i wouldn't be susceptible to this in my live account????
Earn 2 Trade the gauntlet
- Thread starter caacapital
- Start date
I looked at my balance and its around $13k today. The 1st and 2nd day were massive lossing days a mix of random entiries holding onto losers. Im in recovery at all cost mode which is probably what is expected of most people once they are down since they technically can go as low as the full margin. Looking at the first day of losing I basically didnt do a real analysis of the day and what i expected to happen and trade it accordingly. Im using this to see what not to do now and what i can get away with.
I actually use $7,000 to scalp ES in automation. Known way too many traders who had to file bankruptcy after 911, and there will be another time where exchanges will shut down and you being long, will lose $3500 plus a week or two later for every contract. History always repeats itself in a worse way. Countries always thought World War one was horrible till WWII, man never learns by the past, and they been killing each other since the age of mankind.
If it was you offering others a chance to trade YOUR money and most are rookies or 9 year losers, you be making rules tough as well. Cause traders who are well financed, don't go through these people, why make a percentage when you can make 100%?
In the other thread on earn2trade that I started, Ryan says that 20% have passed the Gauntlet and the the top trading result was 14%. Ryan also said that the Gauntlet graduates have done in live trading similar to what they did on the Gauntlet. I start the Gauntlet on Monday, July 2nd and will be trading only CL and YM with only one contract each for the duration of the 60 days.
So, that would be a capital allocation of $12,500 per contract at the times I have both a YM and a CL position. I do not want to vary the number of contracts during the test because I would not increase that soon in real trading and it would destroy the consistency. Say you have a good first 30 days and then you double your position then have a draw down. That draw down takes your profits away twice as fast.
https://www.elitetrader.com/et/thre...ding-gauntlet-from-earn-2-trade.322214/page-5
This is the other "earn 2 trade" thread that Ryan answers many questions.
This is the other "earn 2 trade" thread that Ryan answers many questions.
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Ok, thank you for the insight. My thought is with $700 example margin. U will be auto-liquidated once the trade dips below the number and only lose that amount. If u have $7000 margins, you personally will lose much more ch more in a bad situation.
It only seems advantageous to the broker to demand high margins or use them. Not the trader
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Ok, thank you for the insight. My thought is with $700 example margin. U will be auto-liquidated once the trade dips below the number and only lose that amount. If u have $7000 margins, you personally will lose much more ch more in a bad situation.
It only seems advantageous to the broker to demand high margins or use them. Not the trader
Earn2Trade-Ryan
Sponsor
I think there may be a little confusion here about how margin works.
Margin does not prevent you from losing more and it's also not the amount that you get liquidated at. I know some FCM's will liquidate you at a 50% loss on the day, some will liquidate you at an 80% loss, and others vary based on their risk management system. Futures carry inherent risk and you do have the possibility of owing more to the FCM than the cash in your account. This margin is mainly posted to help make the FCM/exchange feel more comfortable that your account does not go debit. Their risk management system should kick in before your account goes negative but in the case of slippage or big market moves, it's still a possibility.
As an example, if you have $700 margins and you have a $10,000 account, you have the possibility of getting into approximately 14 contracts. Let's just say you placed a trade on /ES. With a 14 contract trade, you're looking at $175/tick. You could lose your entire account in about a 14pt move. If you had your stop at 13.50pts, and the market had some massive move, you'd be on the hook for every $175/tick past your $10,000 account. No matter how bad it got. If you had $7,000 margins, it would only allow you to place 1 contract, at $12.50/tick, and it would take a 200pt move to do the same damage.
As you can see, more margin can help protect your account, not increase your potential loss.