Sorry pennystocker I have to disagree in the end There is a huge difference to trading with size suddenly the emotions are engaged - numbers start to impact its great to go from demo wizard to making a little money following the system, but when more capital is in play it is a lot easier to break the rules, freeze, or get emotional. I tend to think its important to break your rules, in small experimental size, so you understand how to push the limits of your system and optimize, understand new opportunities beyond the backtest - which is a lot. A coin toss backtests well with good enough money management. Liquidity, slippage, emotions, all these come into play to a greater and greater degree as you size up. If you're a quant algo, perhaps you can remove the emotions to an extent but they are there in your calibrations! (which are like daily) Size is commitment. It is mental involvement ranging from the spectrum of nothing - to watching - having a position - to having too much. It's important to get those buckets right: you don't want to have crap on your screen taking up time, and you want more size for a higher W/L, right? That being said, today was an OK +511 with way too much of that going to my broker and those damn ECNs. Churning is fun.
my everyday prediction and live account and screen http://www.elitetrader.com/vb/showthread.php?s=&threadid=228133&perpage=6&pagenumber=17
I see what you mean. Sort of like working with a 5 ounce hammer vs a 3 pound hammer. One learns quicker on the first miss.