fearless I am really happy to run into these posts of yours because what you are talking about I figured out long time ago only to dismiss it you know why? I couldn't bring myself to actually believe that something so simple and almost "risk-free" could work.
Thanks for the links Steve. My plan is to risk 15% of my account per trade with a stoploss of 50% of the ATR14. I deposited 10,000 since it seems this is a large enough amount to cover my drawdowns, yet small enough to not be significant in case I blow up the accou,nt.
Well they do say that a good secret should be well hidden in the open. I have also noticed that Traders carefully hide their stops in obvious places.
Even though we are openly discusing this subject ( thanks to esnewbie), 95% of traders will continue to lose their money. Obviously A followed by B will not yield C.
This is good. Knowing the base performance bond levels are definitely a prerequisite for any type of trading which incorporates margin. *** At the more advanced levels of trading, this information can be used to substantially decrease your risk will increasing your return, and can be used to grow your account at an exponential rate. Knowing the risk:reward parameters of your setup(s), and how it/they performs over-time will also assist you in the day-to-day business of taking your trades. *** But regardless of whether or not one believes the previous statements are true, the basic premise of the thread is designed around averaging 1 to 2 ES points per day, and I think we can all agree that is doable, regardless of the base margin (and how skillfully it is) used to generate your results. Good trading, Jimmy Jam
Thanks JJ, I follow yours and Apex's trades in the ES Journal and hold both of you guys in high regard. I have learned alot watching you guys trade and hope to emulate your success with my smaller targets.
Come on man, you made a mistake, acknowledge it as a real man! Sure you did. #9 post in this thread: You just calculated the return based on the FV. Hello?? Facts are stubborn things. Will do skipper. By the way what rationale? My explanation how leverage works? You were wrong on the first one you are wrong on this one too....
Anyway, let's leave Gnome alone for a while until he figures out the math, and let's confuse newbies a bit more: Here is how you calculate LEVERAGE, just incase you are the curious type: (Face Value/ account value) X number of contracts Let's see an example: If you have a 75K account and you only trade 1 contract you are not using leverage. Let's say you have a 10 K account and you are trading 5 contracts: (75000/10000) x 5 = 37.5 How you calculate your % return is even simpler: profit / starting account x 100 But you already knew that, right?