Yes that is true, there are several good products available, however the responsibility always rests with you, the Trader. Anyway, all the best to the Traders who have read and joined into this thread. These threads can be a wealth of knowledge to those seeking it and a wonderful refresher to those who think that they have it.
wait...are you risking 6 pts to make 2pts? You better have a success rate of like 90% otherwise this idea stinks.
Well that's one for you but I agree with Steve that a 3:1 RR is not good. One loser means you have to have 3 winners just to break-even (excluding commissions)
Yeah I mean if he does 10 trades and win's, say 80% of the time, he'll only net 4pts and then add in commish, its even less. 8/10 is pretty damn good by most peoples standards. If he is only right 7/10, which is still good, he'll be running at a loss. I think my math is right but regardless, its not a r/r that I'd employ, especially a new trader who will not get anywhere near this win %, the acct will be empty before the trader has a chance to learn what he's doing wrong.
Yea, my math could be off but if he's right 9 out of 10 times with a 2 pt target/6 pt stop I think it works out like this: 9*2*50 - 1*6*50 = $600. Now subtract 10 R/T comm ($45) and you have $555. Divide by 10 trading days and you get an average of $55/day - a little more then 1 ES pt/day - and you have to be right 90% of the time to achieve that. Of course if he had gone with a 1:1 RR today he would have been stopped out so who am I to judge
Congrats to the ESNewbie...it looks like you trade won this morning and you got your 2 ES points today...Congrats and great trading!!!!...keep us up to date...again, great trading!
You're missing the bigger picture, its not great trading UNLESS you can win at a minimum 8/10 times but really 9/10 will make you at a little over 1pt/day avg based on his risk/reward (which is the goal here right?). Guys that make 6 and 7 figures trading rarely hit 90%, most are probably somewhere around 70%, maybe even lower. Your cheerleading is indicative of the fact that you dont understand all the dynamics at play here. Sure he made 2 pts today, but he'll have to keep up that consistency with an almost unattainable rate of success. Remember, one day does not a trader make....