Why complicate things?

Discussion in 'Trading' started by trader1974, Apr 3, 2022.

  1. %%
    Monthly % sure could be meaningless.
    But all the funds + brokerages still use that measure. Good reason$ for it
    Short term trading is fun\ i'm sure there are some that can do it well, skilled market makers+ specialists can.
    Partial disclosure . I'm not a market maker:D:D But the book ''Market Maker's Edge, by Joshua Lukeman'' has plenty of 6 month candle charts. His % measures maybe more helpful than his old school fractions, bid\ ask spread.:D:D
     
    #41     Apr 4, 2022
  2. The other account is growing, not the trading account. I just keep a specific $ amount in the trading account.

    I only try to take a specific $ amount. That works out to 50%, that's all.
     
    #42     Apr 4, 2022
    murray t turtle likes this.
  3. SunTrader

    SunTrader

    :D coincidentally each month. Month after month.
     
    #43     Apr 4, 2022
  4. Yes, because no one is reading what I am writing and focusing on %.
     
    #44     Apr 4, 2022
    savoir likes this.
  5. SunTrader

    SunTrader

    Well you say you are taking out 50% each month. Is that all profit or is that part of your original capital because if it is just profit it is not possible, on a practical, logical level to make 50% net profit month after month .... for any great length of time.
     
    #45     Apr 4, 2022
  6. Question: can you make $500 per day on ES trading a single setup with a 70% win rate?

    Answer: yes.

    If that is the case, and assuming the R:R is 1:1, then you need to prepare for ~ a $1500 drawdown. So you fund an account with (say) 3-4x the expected drawdown + 2-3x the required amount for the leverage required.

    So if you have an account with $10K, and the above is true, then you have an expected value of ~4K/month which is ~50%.

    So end of the month, you take out $4K to do what you want and leave the $10K.
     
    #46     Apr 4, 2022
    Leob likes this.
  7. SunTrader

    SunTrader

    You're either purposely or ignorantly (seriously can't tell which, no disrespect meant if it is the latter) avoiding the question of whether you believe a high% win rate is possible day after day, or week after week, or month after month - whichever is the case you are claiming - indefinitely?
     
    #47     Apr 4, 2022
    Ericballchu likes this.
  8. I think if there was nothing hard, we wouldn't have anything to compare and wouldn't understand what's hard and what's easy.
     
    #48     Apr 4, 2022
  9. I have to believe it, lol.
     
    #49     Apr 4, 2022
    Ericballchu likes this.
  10. SunTrader

    SunTrader

    Blissfully. :)
     
    #50     Apr 4, 2022