Interesting... seems that even without using leverage you'd still lose -10K, although it's less than with leverage due to the amount of capital/shares in use during the loss.
In your example, using your own strategy of taking a loss at no more than 10% of your trading account, your buy stop on the 2nd trade would be $105, the resulting loss would be $20,000, and the net gain of the two trades would be $30,000. The risk:reward ratio and ability to follow through on a trading plan is a major edge in any kind of market.
With that kind of money or potential on the line, why don't you go with the best broker you can find?
Just used that as illustration. Cutting losses at 10% does not solve the problem. You could try that on 110 down to 100 back to 110.
To those of you who think Neke's account statements are photoshopped and these kinds of gains are impossible, please take a moment to study how options work. Buying options let you leverage your $$ hugely. I invested $3300 on 5 AMSC calls at the end of a day last spring and upon the opening bell the next morning closed the position for $5350, a 63% gain. Invested $7500 on 10 V calls in the spring when the stocked tanked, and later that day closed the position for $14,700, nearly a 100% gain. Made $3800 in a matter of minutes on a small position in MA calls when they tanked to a major support level after their last earnings announcement and bounced. Now if I had bought 100 or 200 contracts (Neke lately has been trading 100 contracts or more) on these trades, my gains in those same brief time periods would've been 10- to 20-fold. This is Neke's style - limited risk, huge reward. Why would he post this journal, bare his soul during weeks from hell, admit his mistakes, then suddenly decide to start making stuff up???
Hey Neke, Awesome stuff. It is great to have 3 solid weeks of results, but I especially love the evolution of the replies in your journal. Solid week one: "Its luck, take it out while you can." Solid week two: Less negative replies, more discussion between the fans and the disbelievers, a couple of just wait this can't last's. (very) Solid Week three: Fans roaring, and disbelievers can't resort to anything but "PHOTOSHOP!!!" "Prove it, audit it!" All I can say is great stuff, awesome entertainment and keep the good work. I'm keeping my fingers crossed that the disbelievers won't be back in force next week, as it will only take a tiny slip for them to fill pages of i told you so's. S/N: Very very valid point. FGBS