Position Size?

[MrScalper]

[ Delayed Turtle QUOTE="MrScalper, post: 4428622, member: 159522"]You..... against my prediction ??

You can make and lose money many different ways with the financial markets, but without having money one will find it very hard to make anything.

The industry is full of ways to get the ill informed to part with their limited cash, and those who come up with the "ways" do not care one little bit if it is your first or last $500.

One need only worry about position sizing, and many other areas of control, when one has acquired the relevant experiences, and has accumulated adequate cash to partake effectively.

What I find amusing is that so many are able to offer so much advice, and only about 1 or 2 % who do so actually trade with adequate cash, and have adequate experience.

It is very easy spot the small few.

My prediction stands, the OP is just kidding himself, and even if he gets a lucky streak and turns $500 into $5,000, the odds are he will then blow it all on one or two bad trades. Seen it all before, been there and done that as well, so I do now a little bit about how things go in the big and exciting world of easy money..now that is a real joke

 

[murray t turtle]

%%
My best quotes, Mr Scalper are delayed,LOL, like 50 day moving average, end of day quotes.LOL My answer to question ,was cash markets, like IBD teaches{Investors Business Daily}cut loss @ 8%+aim for 24%+profits.Repeat +Risk 8% to get 24% or more percent........

Speaking of cash markets did you see the 1786 penny/copper coin that sold on Ebay, for more than $105,000.55, in 2011?? My2004 coin book priced it @ $45,000.Like Rich ''turtle trainer'' Dennis said ''expect extremes''. My comments here, concern cash markets.Thanks for the question.

You can make and lose money many different ways with the financial markets, but without having money one will find it very hard to make anything.

The industry is full of ways to get the ill informed to part with their limited cash, and those who come up with the "ways" do not care one little bit if it is your first or last $500.

One need only worry about position sizing, and many other areas of control, when one has acquired the relevant experiences, and has accumulated adequate cash to partake effectively.

What I find amusing is that so many are able to offer so much advice, and only about 1 or 2 % who do so actually trade with adequate cash, and have adequate experience.

It is very easy spot the small few.

My prediction stands, the OP is just kidding himself, and even if he gets a lucky streak and turns $500 into $5,000, the odds are he will then blow it all on one or two bad trades. Seen it all before, been there and done that as well, so I do now a little bit about how things go in the big and exciting world of easy money..now that is a real joke [/QUOTE]
%%
That sounds like a daytrading %, Mr Scalper;
investors/swing/position traders make a much larger group. I'm not really against leverage; but another deceptive thing about leverage when we made some profit-loss-loss some ,first year, it did not mean much @ all. I did so much worse than random my first year; I KNEW the market was NOT random @ all. LOL-LOL

 

[MrScalper]

Without actual stats we can only assume based on experiences. I do know that it is possible to see the accounts online for some major SB companies in the UK, and even though I have not scrutinised them, the one thing that stands out is the vast amount of cash that is on deposit without the SB company in question paying one cent in interest..LOL

Then, when extreme volatility arrives, as it has and will do so again, without fail, the SB company freezes it's quotes and prevents it's customers from trading..LOELr

Talk about suckers

As for swing and position traders, it is hard to say what the real % is without stats, but an educated guess would definitely not exceed 2 to 5 %, with my bet leaning towards the 2%.

 

[MrScalper]

Hi

I am new to this forum and learning to trade now for a few months but still have some questions without answer. I know in trading it is important to not risk more then 1% of account size. I am starting next week with a deposit of 500$ and I will put my stoploss not higher then -5$ about 20 pips away from my buy/sell position with leverage of max 1:100, but my question is : how much should I put into the trade? I was thinking about 5% account so 25$ per trade. This is lowest my broker allows, but I am unsure about this. I dont want to make the same mistakes I made before and can only afford to trade with 500$. Can my position be 25$ or higher or do they mean with dont risk more then 1% that i should trade with 5$ position or should i wait for a bigger deposit? I am confused and hope you guys can clear this up for me.

Thanks for reading.

Ok Ismail, let's give you some constructive criticism, that might actually help you and prevent you from blowing your money.

Show us how you plan to make money.

Keep it very simple..no more than 6 bullet points.

You can expand as much as you like on each bullet point, or you can tell me to get lost and mind my own business.

Either way is fine with me.

 

[murray t turtle]

Without actual stats we can only assume based on experiences. I do know that it is possible to see the accounts online for some major SB companies in the UK, and even though I have not scrutinised them, the one thing that stands out is the vast amount of cash that is on deposit without the SB company in question paying one cent in interest..LOL

Then, when extreme volatility arrives, as it has and will do so again, without fail, the SB company freezes it's quotes and prevents it's customers from trading..LOELr

Talk about suckers

As for swing and position traders, it is hard to say what the real % is without stats, but an educated guess would definitely not exceed 2 to 5 %, with my bet leaning towards the 2%.

Sounds way to low; i included land/home ,real estate,apartment rentals, duplexes rental, triplex rentals, Roth, pension plans, mutual funds, hedge funds. About half of US population have mutual funds,pension plans .............................
Good points on quotes freeze; not random

 

[MrScalper]

Sounds way to low; i included land/home ,real estate,apartment rentals, duplexes rental, triplex rentals, Roth, pension plans, mutual funds, hedge funds. About half of US population have mutual funds,pension plans .............................
Good points on quotes freeze; not random

Yes, but most of them are long only accounts.

Fine now of course, as US market has enjoyed a freak wave, but the problem with these accounts is that when the SHTF, they will just sit there twiddling their thumbs and say.. don't worry, it will go back up again

It is all relative.

Absolutely nothing wrong with investing or position trading, but unless you lock in profits, and even better remove them from the markets entirely, then one should really just put oneself in the merry go round group.

The clever few will always remove profits from the markets and bank them, as they know that a profit is not a real profit until you can feel the bulge in the arse pocket of your trousers

 

[murray t turtle]

Yes, but most of them are long only accounts.

Fine now of course, as US market has enjoyed a freak wave, but the problem with these accounts is that when the SHTF, they will just sit there twiddling their thumbs and say.. don't worry, it will go back up again

It is all relative.

Absolutely nothing wrong with investing or position trading, but unless you lock in profits, and even better remove them from the markets entirely, then one should really just put oneself in the merry go round group.

The clever few will always remove profits from the markets and bank them, as they know that a profit is not a real profit until you can feel the bulge in the arse pocket of your trousers

%% Usually does go back up in US; except for all the bear market$ or sideways slop chop on 200 year chart+/ LOL Has been an unusual long uptrend bull market except for TGT stock..... they have been selling that in 2015, 2016, 2017....................................................

 

[MrScalper]

Yes, many seem to forget ( if they know that is ), that the markets have to go up, otherwise the big wheels of finance will stop, and where would we all be then

This is exactly why one should never risk all of their money on one thing, and keep a good bit in reserve for when it happens again, as it will happen, as sure as day turns to night.

Some would be better off not trading at all, so when the big down spike arrives, you can sit back and laugh at all the highly educated fools twiddling their thumbs and watching the millions of $$ disappearing in front of their eyes.

How does one know when the time is right.

Well, you can never know for sure, which is why you must position size correctly when required

 

[Overnight]

...
The industry is full of ways to get the ill informed to part with their limited cash, and those who come up with the "ways" do not care one little bit if it is your first or last $500...

I absolutely HATE this bit of thinking.

Who or what is this "industry" you speak of? And why would said "industry" want to separate the little traders from their capital to the point where they have nothing left to trade with? That reduces liquidity, which is what everyone is always on about, yeah? Liquidity liquidity liquidity! Everyone keeps banging on about it, but if all the little guys get blown away because of the "industry", then the industry is pushing away the very thing they crave...Liquidity.

I just cannot understand this mindset. It drives me batty.

It is all in here.

I wish I had another 30 years to explain why this is it, and why if it was applied to other socioeconomic constructs it would work. Just no more time...no time...no time...

 

[MrScalper]

Are you feeling alright!

In relation to what I said, it is all there to be seen by anyone who cares to look.

You are the typical "trader", who does not even know the history of the industry that he has decided to be a part of.

Ignorance, really is bliss!