The Wisdom in Expectations

Discussion in 'Trading' started by ElectricSavant, Sep 15, 2019.

  1. SunTrader

    SunTrader

    Really now?

    Care to mention a few?
     
    #21     Sep 21, 2019
  2. Here is one...(It might take a while or me to find others and if I remember I will reply here). https://www.elitetrader.com/et/threads/micro-e-mini-madness-2-per-day.335221/page-19#post-4920029

    I know Ryan over at Earn2Trade posted that many PROFESSIONAL traders are very conservative and trade 1 ES per 100k. https://www.elitetrader.com/et/threads/earn-2-trade-the-gauntlet.322385/#post-4678871

    Read the beginning of this thread:
    https://www.elitetrader.com/et/threads/earn-2-trade-the-gauntlet.322385/


    To be PROFESSIONAL..RETAIL....or GAMBLER that is the question. I feel small balances are gambling. But I do not have time to save up so much money so I am taking the chance with 1-3 (MNQ) micro's with 7k.

    Some might reason that it is according to the timeframe that one trades...trading style....etc. All I can say about that is make sure you have a "global daily loss limit" set up in your platform as this is leverage and you must respect that.

    SunTrader I really enjoy your posts and I hope I have replied with the info that has helped me to understand when I am gambling and when I am not.

    ES

    Is trading Gambling or not .."What say You" Vote here.

     
    Last edited: Sep 21, 2019
    #22     Sep 21, 2019
  3. Over the years I have changed my outlook. I used to equate balance used to trade with and yield coupled together with exposure. I concentrated too much on how much money I tied up when the question should be what system do I trade and what are the worst scenario's that can occur?

    I wish I had just endeavored to beat the S & P 500 with a stock portfolio...but I specualted with leverage instead. I would lose and have to rebuild my trading capital over and over.

    This time around I am not going to over expose myself and trade the max. Instead I will concentrate on survival and trade the min gauged to anticipate any tweet....any war....and any recession/depression.

    I would be thrilled with a 25% or more APY. That should be easy enough...(famous last words)

    ES
     
    Last edited: Sep 21, 2019
    #23     Sep 21, 2019
  4. To know what to expect after you discover a system or trading methodology that is comfortable for you to trade profitably. It is preferred to use scaling based on the strength of your trading set-up but in my case I cannot discover it yet. The beauty of the micros is that you can use
    • wider stops
    • less capital
    • scaling
    I made a spreadsheet to capture what I must do to do my job and what to expect from trading the MNQ Contract that is comfortable and realistic. Stop at compounding up to 9 micros just trade the Mini when you get to 10 and save the commish. I increase one contract when I must make 10 MNQ points a day (I am lazy) to keep up with the compounding.

    This costs 6k a year for trading this without my labor (making more points per trade is my goal). Traders be careful with these Micros as the high commissions and costs makes it nearly impossible to make a profit compared to the risk.

    ES

     
    Last edited: Sep 21, 2019
    #24     Sep 21, 2019
  5. I must go for more than 10 points per 24 hour period....that is lame. I will try for 30 MNQ points per 24 hour period.

    The spreadsheet above shows the adjustments

    Es
     
    #25     Sep 21, 2019
  6. #26     Sep 22, 2019