You need to understand it all depends on timeframe, if you have low timeframe trades based on seconds or minutes you can compound much faster but the risk is higher, on higher timeframes the risk should be lower. So with 240m I can put 20% or even 40% of capital to work on a trade because as I use 10:1 on these types of trade the risk is 2-4%. With 30s or 1mn I will use much smaller stops but as the risk metrics are much higher the trade size is proportionately lower, because you can compound offsetting the difference. Without the details the advice you get is at best vague, you'll have 10s or 100s of replies to a question, you'll have to pick out the parts that suit your view, and piece it together often getting some very unpleasant results. Should you start with one contract, yes, should you be trading CL at this stage, no, should you be using 15ticks, not enough details, should you scale in and/or out, not enough details, should you be testing your strategy on something less volatile like gold mini, maybe, should you change timeframes, not enough details, should you risk more than 1% of account, not enough details, is your psychology suited to large or small drawdowns, not enough details, do you want income or capital appreciation, not enough details, do you work on technical or fundamentals, not enough details. Recommendation, step back and live test on the smallest contracts over a period of months or quarters, you need to explore your options for increased leverage and that requires making mistakes. Or you need to find someone who understands exploration so they can look at your strategy and tell you exactly where you're going wrong. Or you need to sit back patiently and look at income based trading with lower returns but with more effort, 2% per month is the benchmark.
Yes, i understand overnight. Sometimes my brain goes dead at times and forget to simplify and not try to rush profitability.
What are your thoughts please? ____________________________________________________________________________ People used to tell me the way I traded would give them a heart attack - that was a long time ago. Now I look at how some traders with small accounts relative to the massive leverage they are using on one of the most volatile contracts and think "man, that would give me a heart attack".