How many contracts would you trade on a $250,000 account?

Discussion in 'Index Futures' started by brownsfan019, Jun 21, 2006.

How many contracts would you trade on a $250,000 account?

  1. 0-10

    17 vote(s)
    17.0%
  2. 11-20

    14 vote(s)
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  3. 21-30

    21 vote(s)
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  4. 31-40

    4 vote(s)
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  5. 41-50

    5 vote(s)
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  6. 50+

    39 vote(s)
    39.0%
  1. Hypothetically, if you were trading a $250,000 account in the e-mini indexes, EC, and QM how many contracts would you be willing to put at risk each trade?
     
  2. Pabst

    Pabst

    What value does a quarter mil have to you? All you got? OPM? A drop in the bucket? The fruits of a re-fi? Also what kind of returns are you looking for? What's your trading style? In an information vacuum your original question about size is unanswerable.QUOTE]Quote from brownsfan019:

    Hypothetically, if you were trading a $250,000 account in the e-mini indexes, EC, and QM how many contracts would you be willing to put at risk each trade? [/QUOTE]
     
  3. Truff

    Truff

    no more than 25 which is 1 contract per 10k leverage
     
  4. Quote from Pabst

    What value does a quarter mil have to you? All you got? OPM? A drop in the bucket? The fruits of a re-fi? Also what kind of returns are you looking for? What's your trading style? In an information vacuum your original question about size is unanswerable.


    Pabst - good questions. The $250k is tagged for aggressive growth. My trading style is moderately aggressive. This is a portion of liquid assets.

    The main issue here is if I want to go agressive and am comfortable with my trading style being profitable over the long term, do I really 'swing for the fences' each time or just hit singles, but then not really utilizing the leverage available to me.
     
  5. I agree with Truff...

    1 contract per 10k is my personal rule.

    Thus, for a profitable trader...no more than 25 contracts for a 250k trading account.

    However, if your a newbie trader or unprofitable...

    5 contracts is the max for a 250k trading account.

    Mark
     
  6. The equivalent of 1 big S&P (5 e-minis) for each 100,000.00 for "normal" leverage if trading OPM. 1 EC and 1 big crude contract per 100,000. This way, you can take some big hits and not get too far into double-digit drawdown territory (depends on your style of trading of course).

    In certain situations you can double that to 2 big S&Ps (10 e-minis) for each 100K.

    For my own account, I can get as aggressive as I want but in most situations I would not want to be doing more than 2 big contracts per 100K anyway. That's just me personally for my trading style.

    At the end of the day I would say that the specific answer to your question involves a lot of variables - trading style, your stomach for risk, the probablities in your trading strategy etc . etc. I've tried to keep my leverage logic simple so I don't try to get too cute in the middle of the trading day.

    -eLindy

     
  7. Pabst

    Pabst

    What timeframes do you trade? What's your point risk per trade, ect.
     
  8. Pabst - not a scalper, mainly intra-day. Willing to hold for as long as the signal stays valid. Basically, try to capture the larger moves and probably shaken out of the choppy movements.
     
  9. Pabst

    Pabst

    Do you scale?

     
  10. marketsurfer

    marketsurfer Sponsor


    10k per contract?? why in the world would you hinder your equity growth by being so super conservative? why not just buy index funds like rydex and go to the beach??

    surfer:confused:
     
    #10     Jun 21, 2006