Paper Trading to Real Trading-How?

O

osho67

I am paper trading at the moment and I think I have a reasonable profit strategy. I want to slowly enter real trading. Some product which is smooth and value per point is low so my profit or loss is manageable .

All comments much welcome and much appreciated. I am in UK and UK, Europe and US markets are available.

Thanks
 
I think that SPY, QQQQ, DIA, IWM are what you are looking for, they are all very liquid index ETF's, and they are tranding well.
 
Quote from Darior:

I think that SPY, QQQQ, DIA, IWM are what you are looking for, they are all very liquid index ETF's, and they are tranding well.
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Thanks

I am going to try live QQQQ.

Other suggestions from other people welcome
 
An elite trader member since 2002 and still paper trading? You must be taking it real slow....which isn't a bad thing.

Quote from osho67:

I am paper trading at the moment and I think I have a reasonable profit strategy. I want to slowly enter real trading. Some product which is smooth and value per point is low so my profit or loss is manageable .

All comments much welcome and much appreciated. I am in UK and UK, Europe and US markets are available.

Thanks
More...
 
Quote from osho67:

I am paper trading at the moment and I think I have a reasonable profit strategy. I want to slowly enter real trading. Some product which is smooth and value per point is low so my profit or loss is manageable .

All comments much welcome and much appreciated. I am in UK and UK, Europe and US markets are available.

Thanks
More...
He's probably trying out a new strategy, it looks good on paper, and he wants to know how to ease into it.

Simple:

1. Earmark a certain amount of capital as risk capital. IOW, this is money to burn. It doesn't matter what you trade, just make sure you stay within your risk parameters.

2. Apply it to your trading system, starting out very conservatively, and always staying within the parameters of your trading system (always, always, always).

3. Do not try to make money at this point, just try to trade your system as faithfully as possible.

4. This will show you in real-time, with real money, if your system is profitable or not. It will also help you to develop the nuances you need to know to become a really skilled trader.

Good Luck
 
Quote from osho67:

Thanks

I am going to try live QQQQ.

Other suggestions from other people welcome
More...

Is the QQQQ what your system is profitable with? If not, I recommend something more tame, like the YM. Not that the QQQQs are wild, but for a newbie, the YM is more forgiving while you make the switch to cash. Good luck, and stick to your system or you won't know if it works or not.

Success.
 
Quote from Fah Q:

An elite trader member since 2002 and still paper trading? You must be taking it real slow....which isn't a bad thing.
More...

It has been a long journey. Started with selling covered call options with UK broker. Later moved to US broker. Than started selling naked puts and calls on index fututes. Then moved to credit spreads and trying to day trade with futures. And now trying to go live.
 
Quote from MandelbrotSet:

He's probably trying out a new strategy, it looks good on paper, and he wants to know how to ease into it.

Simple:

1. Earmark a certain amount of capital as risk capital. IOW, this is money to burn. It doesn't matter what you trade, just make sure you stay within your risk parameters.

2. Apply it to your trading system, starting out very conservatively, and always staying within the parameters of your trading system (always, always, always).

3. Do not try to make money at this point, just try to trade your system as faithfully as possible.

4. This will show you in real-time, with real money, if your system is profitable or not. It will also help you to develop the nuances you need to know to become a really skilled trader.

Good Luck
More...


Thanks for detailed reply.

I have paper traded Z(FTSE) but that is £10 per point. Risk is high. If I can work initially with £1 per point ,that will be nice to prove my strategy is working. And danger of blowing the account is not there. However I will keep your suggestions in mind. Might be that is the right way to go. Thanks
 
Quote from GermanTrader:

Is the QQQQ what your system is profitable with? If not, I recommend something more tame, like the YM. Not that the QQQQs are wild, but for a newbie, the YM is more forgiving while you make the switch to cash. Good luck, and stick to your system or you won't know if it works or not.

Success. [/QUOT


Thanks

I have tried YM but the noise is too much. As I said in my first post I want something smooth .
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Quote from osho67:

Thanks for detailed reply.

I have paper traded Z(FTSE) but that is £10 per point. Risk is high. If I can work initially with £1 per point ,that will be nice to prove my strategy is working. And danger of blowing the account is not there. However I will keep your suggestions in mind. Might be that is the right way to go. Thanks
More...
It sounds like your real question is how much of your capital should you risk in a give trade.

The answer varies anywhere from 2% to 5% of your base capital per trade. You're going to have to work out the details through your trading experience.
 
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