Position sizing

Discussion in 'Commodity Futures' started by TradGab, Jan 5, 2007.

  1. TradGab


    Personal small profile to let focus needs: I am a (relatively new) scale and spread trader in Ag Commodities, I am beginning to look at livestocks, I do not like financials futures, I fear energy which I take myself away from. Math is not a problem, linear regression is a friend.
    Finally, the question. From a strategic point of view, I feel I am still weak in Position Sizing. It doesn't automatically mean I am strong in entering-exiting trades, but so far I feel more comfortable in.
    Search in the forum did not succed, so I am to ask if there is a good text about postion sizing management, other than Van Tharp's ones, to start from.
    Thanks, Regards.
  2. It depends on your capital.
    How much are you working with?
    What kind of risk/trade in terms of $ and % are you willing to accept.
  3. TradGab


    I am afraid there could have been a misexplanation.
    As "I feel I am still weak in Position Sizing..." stands for "I feel not enough skilled in Position Sizing...".
    Of course I have already a position sizing philosophy, but I feel a lot can be learned. That's I'm looking for a text that give me some theoretical instruments to help me in better organizing my trading activity.
    Thanks again
  4. "Start small and then work your way larger, not the other way around." That's it.
  5. OK look what Nazzdack says shall be the whole of the law.
    This was handed down to us by Jesse Livermore in "Reminiscences of a Stock Operator," I like the "Illustrated." But I can send you a pdf of the older version if you need it email me.


    If perhaps you would like to completely understand the theories, screw up your trading for about a year, then go back to what you are doing now. Then by all means Tharp is the way to go.

    Position Sizing is his term. Pyramiding is Jesse's.
  6. Thanks a lot Goldy!
  7. qll


    i have almost 100% all books i needed in electronic format, except trading your way to financial freedom. do you have an e-copy of it? i read a chinese translation, but i am worried it may have errors in translation.
  8. TradGab


    Has anyone had the opportunity to evaluate differences between the 1998 and the 2006 December edition of the legendary Van Tharp book?