Crazy paper trading day

Discussion in 'Trading' started by farmerjohn1324, Jan 6, 2023.

  1. GotherL

    GotherL

    Today was an easy day. Went only short after 10 am and still made a killing. Much easier to trade on paper though. For some reason, when I trade in a real account either things don't go my way or I mess up.

    upload_2023-1-6_21-8-43.png

    I only trade 10 ES contracts. 100 contracts is crazy and if you were trading in a prop firm you will hit your Trailing DD in a blink of an eye.
     
    Last edited: Jan 6, 2023
    #41     Jan 6, 2023
  2. I tried my best to ignore you. You obviously have nothing to contribute and I would guess have never had any real success in anything, except maybe video games.
     
    #42     Jan 6, 2023
  3. What's DD?
     
    #43     Jan 6, 2023
  4. GotherL

    GotherL

    A drawdown is a peak-to-trough decline during a specific period for an investment, trading account, or fund. A drawdown is usually quoted as the percentage between the peak and the subsequent trough. If a trading account has $10,000 in it, and the funds drop to $9,000 before moving back above $10,000, then the trading account witnessed a 10% drawdown.

    Drawdowns are important for measuring the historical risk of different investments, comparing fund performance, or monitoring personal trading performance.

    -Investopedia

    It is used for risk management and a hard rule when your trading in any prop firm.
     
    #44     Jan 6, 2023
  5. spy

    spy

    Ok, I'll contribute something dead serious... be very careful drawing conclusions from a paper trading account to a real money account.

    Paper trading accounts are not backtesting. They're mostly meant to acclimate you with the interface provided by the broker. That way you don't fat finger trades for 100 contracts when you meant 1.

    And, yes... I've had some success with video games. When I was much younger I used to get paid to make them. :sneaky:
     
    #45     Jan 6, 2023
    CALLumbus likes this.
  6. Ok, yes I knew what drawdown was. Just didn't know the "DD" acronym.
     
    #46     Jan 6, 2023
  7. TheDawn

    TheDawn

    So wish this is real-life trading. You could've made $18K profit. All you have to do is not overtrade so you won't get margin called and you would've still made money even with the panicking and the chasing.
     
    #47     Jan 7, 2023
    farmerjohn1324 likes this.
  8. oh dear.
     
    #48     Jan 7, 2023
  9. Sekiyo

    Sekiyo

    What’s the plan ?
     
    #49     Jan 7, 2023
  10. Yea but I probably would have quit after all the panic chasing. Funny that I actually already learned that lesson (not to chase up and down) on Schwab back when I did only 3 contracts. But I forgot it and got rusty.
     
    #50     Jan 7, 2023