Am I trading too risky?

Discussion in 'Forex' started by peilthetraveler, Nov 15, 2009.

  1. The other day i was on a forex site looking for a new broker and I saw this option of managed accounts and i could click the link to see the past returns. I was surprised to see the returns of only about 12-17% per year. When looking at the monthly returns I see around .5 to 2% or so per month returns.

    Now I thought I was being somewhat conservative in my trading with my leverage , but my swings are so much higher than what these guys are making. Last month I returned about 55%. On any given day my account will go up or down as much as 10%. Is this the same with the rest of you guys? Or do you guys shoot for smaller returns like 2% per month like managed accounts?
  2. what size account are you trading? have you calculated a sharpe ratio?
  3. Well IMHO if you trade above 7:1 leverage then you are going to have 20%+ drawdowns...TOO HIGH

    When I see people trading 10:1+ leverage I laugh.

    Those 12% to 17% they are probalby using no leverage. smaller profits but tiny drawdowns. It's what I call professional.

    What leverage do you use? Try 4:1....concentrate on the drawdowns. Keep this less than 15%.
  4. At your own ignorance 'probalby'! :)
  5. Here we go....:)
  6. Yeah, I'm bored, I've made like 12 pips today. :(

    I really must remember to take Mondays off......
  7. Yes.

    Thank you for your time.
  8. I've got 2 longs AUD/USD, could be pulling back for awhile.
    I'm going out to rake some leaves....
  9. I've just done mine....


    "Sit quietly, doing nothing, spring comes, and the grass grows by itself."
  10. Leaves are wet, drier by Wednesday. Check then.
    Nice quote. Very Asian.
    On occasion I still shake the branches to get the last leaf to fall.
    There's a trading analogy in there.
    #10     Nov 16, 2009