Quote from saxon22:
Because there are trades where you think that there is a 80% probability that it will go your way and in order to see if your assumption is true you go in and see if you were right. Now, there are trades where the risk is minimal or very small. When your set up is telling you this is the one, then you go all in. So with 50 contracts I would only hunt for the elephant not the rabbit.
Quote from saxon22:
So far the greatest obstacle to my trading have been obeying the rules. However, I am working on it and that is why I am postponing my entrance for another week.
As for $2500 a week, that is enough, however, I would like to increase that amount substantially in the future. Thanks for the tips.
Quote from TRS:
Ok. Don't let your goal of trading 50 cars, blind you to the risk you will face in this pursuit.
I'd go after elephants from the very start. They are easier to hit than rabbits, particularly when you're learning to shoot, and ammunition is limited.
Even though elephants are larger, still need a good sight on your gun.
Quote from saxon22:
Very true, but it is not easy waiting for those two times a day that a set up like this comes up.
Quote from trendtech:
This is a good decision. As long as you have a problem with sticking to your rules (although as I understand you are still on a simulator) you are not ready to trade live. You need to stay on the simulator until you become confident that your system is profitable. Breaking your rules means that you are not confident with your system. You will start loosing. How much time and money do you need to lose in order to realize that you don't have a profitable system?
On the other hand if you start trading being confident about your system, you are not going to have any problems with sticking to your rules. The key to profitable trading is a confidence. But you will need a lot of time (and money) to become confident while learning from your losses.
The other way to make it is to find a mentor so maybe you should consider prop firm.
Quote from ammo:
saxon, your dreaming,, in reality this is a business,you make some money day after day ,enough to open your doors tomorrow and then the next day,one foot in front of the other,there is in this business no max amount of money you can make,there lies your dream or illusion,you must focus on the amount you can lose,your risk is your main focus,you need to wear blinders and never lose sight of that,you seem to be ignoring that and looking at the big prize,think of this as a pinball machine where you keep playing for a higher score each time but you eventually lose each game. No matter how much you make you will eventually take a loss,your losses must remain small to succeed,anyone can make money in the markets,a successful trader knows when to ring the register ,a new trader must do this often to build his confidence and his acct.A new trader thinks he's gonna be rich and starts dreaming about what he's going to do with all this money,in the meantime the market is reaching in to his acct and taking it all.You must be patient and stay clear of the pitfalls so you can survive. LEARN TO TAKE SMALL LOSSES and you might have a chance. One other thing it's very easy to make money on simulator,it's painless ,real trading is not.The market is always right,you will not be,you will lose and thats how the trading acct works,if you trade 1 or 2 lots and make money consistently,60% of the time,and lose smaller amts 40% of the time because you have learned to take your losses you have gotten to stage 1 beginner level,you have learned how not to go broke. .Even if in your wildest dreams you make the big money at the start,you will give it back and then some if you haven't learned this lessen of controlling losses first. There is a gas pedal and a brake ,you must be skilled at using both.
Quote from saxon22:
Well, I think that one needs to have a motivation in order to continue learning and improving in this business. That is where the 50 contract idea comes to play. I know what it means to have a business. A decade ago I had about 15 taxis working for me and later I consolidated and had a bus line. I also had an internet place , so I am more than familiar with all that comes with running a business. This is why I have been studying for a year before I even thought of putting my $$$ on th table. So, the business part of this equation, I think I have under control.
I understand, that one needs to learn how to take losses and minimize them, before even thinking of making a profit. If there is one negative aspect of sim trading is that it is relatively easy to win and become confident. It is an illusion according to some here on ET, that will come to bite me once I start a real live trading. So.... I think I need to go live and taste the salt and see for myself how the market lady tastes. Of course, I am nervous and anxious as hell, but I feel that I have hit the wall, and in order to grow and get more experience I need to start trading small (1 contract) and see where it takes me.