Exactly backwards. New traders should learn to control risk first before trying to discern patterns etc.
Flip 1 Loser -100 Flip 2 loser -100 Flip 3 loser -100 Flip 4 winner +500 Net win 200 minus commissions and thats a 25% win percentage
without risk management black swans or 'off days'.. can lead to set backs. Even with extremely high W:L ratio, if you don't use objective risk management, you will be taken out of the game. The trade was in profit, instead of scalping it.. just left it alone. So wins: 66 losses: 1
That's like saying 'winning the lottery is a 50/50 outcome you either win or lose'. You saying your odds of winning lottery is 50:50? Look, I'm trying to help you guys but you will believe what you want. Unfortunately it's ignoring basic mathematics. Best of luck to you
And what about when flip 5,6,7 and 8 are also -100's? You will not have a 25% win rate risking 1 to make 5 without an edge