Managed Accounts

pt49 posted:

petays posted:
If you trading for living there is huge difference between 100 trades a month approach compared to 4 trades a month.
Hit rate and RR has to be radically different if you both want to earn as much yearly.

Risking 1% per trade with 100 trades a month you are going to make 25 times as much profit as a trader making 4 trades a month... every thing else being equal.

Forexedge logic is not correct... he assumes that taking 100 trades a month means you will lose 25 times as much as at 4 trades a month.

Personally while my live account doesn't look that crash hot, however in May I took 192 trades for a total loss of 1.2% of my account balance... and I'm a manual trader.

57.3% winners, most consecutive losses 8, most consecutive wins 14

I've been trading on and off for about 10 years now and like most traders my style is continually evolving.

My #1 priority is to protect my equity, and then, if possible, to make a profit.

Making a profit is my #2 priority... protecting equity is #1... as long as I minimize losses, it doesn't matter how many trades I take.

@pt49 You need to relax a bit. I have been doing this since 2002.

It is all about controlling volatility. All I am saying, if you make over 100 trades, and you calculate risk to reward ratio, and you look at how your strategy has been performing over the months..... you can gain an insight into how much risk % you need to take up.

I think you have yourself muddled up.

Look, I want every trader to be successful but I am afraid that will never happen as everyone cannot be winners. But try to understand where people are going wrong please?

@pt49 you should know. Have you forgotten how you lost your account in a space of a few months just because the market tanked in 2008/9? You need to understand. In this game to come out as a winner you have to last the bad times. You have to come out with small damage. Hence why you should not be a greedy person and go all out attack as all that hard work will fail in a month or two. Therefore it is better to earn profit steadily.

You made 192 trades with a loss of 1.2%..... With 10 years of on and off trading..... Have you not even realized how much money you have given back to the market? We have created many strategies in the past that have made between 200 - 300 trades a month and even strategies that some might not consider too crazy with around 60-150 trades a month. Let me tell you, we had calculated that we had given around 30% - 60% profit back to the market. The brokers had smiles on their faces back in their hey day. It just does not work for us anymore. The way to win in this game is to really think through your system risk management. Those 192 trades with the spread you are paying, you have lost a lot, and gained very little.

Your 192 trades seem too much. What if the market caught you out. You will be out of the game again.

No offence!

Please just think it through and learn about risk management.

This is a zero sum game. Understand this.

You miss the point... sure I've had blowouts over the years of learning, as have you.

Every trader who starts forex and doesn't give up has blown accounts... as for myself its happened 3 or 4 times but I've not blown an account since early 2009.

As for the spread on my 192 trades last month... it was about 240 pips (spread + commission), but I get rebates on my trades which is 25% of the cost.

You are wrong in saying that the cost of trading (spread + commission) is coming out of my profit, in fact its not, as it is included in my calculations. When I said 1.2% loss, that is including the spread and commission. Actually my loss was less than 1% as I forgot to include my rebates.

The market can't catch me out (not easily anyway) as I place a 6 to 15 pip stop when I enter every trade... if its a swing trade maybe a 30 pip stop, however my entry's are all based on short day trades lately.

So my risk management is... a short stop and moving that stop to zero or thereabouts as soon as possible. Lately I've been placing 2 entries on each position and when 10 to 15 pips in profit, closing one position and moving stop to break even +1 or so pips on the other position.... as I said in earlier post, the #1 priority for me is protecting my equity.

pt49 posted:
You miss the point... sure I've had blowouts over the years of learning, as have you.

Every trader who starts forex and doesn't give up has blown accounts... as for myself its happened 3 or 4 times but I've not blown an account since early 2009.

As for the spread on my 192 trades last month... it was about 240 pips (spread + commission), but I get rebates on my trades which is 25% of the cost.

You are wrong in saying that the cost of trading (spread + commission) is coming out of my profit, in fact its not, as it is included in my calculations. When I said 1.2% loss, that is including the spread and commission. Actually my loss was less than 1% as I forgot to include my rebates.

The market can't catch me out (not easily anyway) as I place a 6 to 15 pip stop when I enter every trade... if its a swing trade maybe a 30 pip stop, however my entry's are all based on short day trades lately.

So my risk management is... a short stop and moving that stop to zero or thereabouts as soon as possible. Lately I've been placing 2 entries on each position and when 10 to 15 pips in profit, closing one position and moving stop to break even +1 or so pips on the other position.... as I said in earlier post, the #1 priority for me is protecting my equity.

@pt49 Good luck to you. You need to be humble and let go of the bravado that everything you do is correct as it sounds very egotistical. I am just trying to highlight how things work our end and it works well. You need to remember that you still have not hit the big time. You are still learning big time.

You need to just go out of your way and do a little research. Read up on money management and you will find out it will help you hell of a lot.

That is all I am saying. You do not have to agree with me as there are billions of different strategies that have been created and only a few work.

If you have an algo program and it makes many trades, then that is not a problem. But you are trading manually.

You need to start now and do research as you will get wiped out again.

We have not been wiped out. Only when we started forex in 2002 we lost small amount of money that we could afford to lose. After that it has not happened as we are careful with our trading models and risk management. We are still alive. You need to think like the big players.

Unfortunately it seems you are chasing the lost pips.

I am saying as a fellow trader. Just take some time out and read up on money management risk models or whatever you want to call it. It will help you immensely.

Lets move on from this subject and hope you succeed in forex.

You are sounding more and more like an egotistical 'expert'.

You say that you have never blown out an account... I contend that you lie... stop hiding behind your 'fund', or whatever it is.

You HAVE blown out accounts, and you can't deny it.

Ummmmm.... where is your live account on myfxbook?

forexedge posted:
We have created many strategies in the past that have made between 200 - 300 trades a month and even strategies that some might not consider too crazy with around 60-150 trades a month. Let me tell you, we had calculated that we had given around 30% - 60% profit back to the market

If you gave back 30 - 60% of your profit in spread, that shows you were only a scalper... and brokers love scalpers for that very reason.

Broker costs are part of the game and you need to calculate them in when making your trade. If you don't want brokers costs to be a significant part of your turnover you need to stop being a scalper/day trader... trade off 4 hour charts instead of 5 minute charts (even better, trade off daily charts).

Swing trading off daily charts you can reduce your cost of trading (brokers fees) to less than 5% of your turnover, whereas scalping 4 or 5 pips a trade will see your costs as high as 50% of your turnover..

You could trade weekly charts and put your broker on a starvation diet.

pt49 posted:
You are sounding more and more like an egotistical 'expert'.

You say that you have never blown out an account... I contend that you lie... stop hiding behind your 'fund', or whatever it is.

You HAVE blown out accounts, and you can't deny it.

Ummmmm.... where is your live account on myfxbook?

Yours is here: https://www.myfxbook.com/members/pt49 It too is not listed.

I took that live account link off as it was mainly for private viewing for me. Besides as I mentioned before, I closed that account. Our strategy was up around 25% on that particular account. I even showed you on private message many months ago, so do not go all ghetto with me. You need to be reasonable :)

Lets not get petty. I have said, we had blown out accounts in early 2002 with our own money. We were starting out and learning. It was only £3k. Like we care for that money for when we started. We did it on purpose to have some slush money tested and risked. At the time we had graduated from University. We needed to learn.

We became smarter. After losing small amount, we decided it was time to do research in money management, and test out strategies on demo account rather than real money. It took a while to go through hundreds of indicators and creating many systems. When we found a strategy that worked and we thought we were onto a winner, we demo tested for 3-6months solid and then put real money in if it was clearly making profit and profit curve was going upwards. That is how we did it. Sometimes some strategies displayed profit for 6 months and then end up being not so great. When account dropped down to 20% of initial deposit, we called it quits and moved on. Hence why we never had a blow out after that. We had an exit strategy. We move on. Some strategies have an expiry date. You need to know when to get out.

You are really still a child learning the game.

I can sense it from your messages. You are clearly still hurt with all the money that is lost. Do not worry, just clear your head, and really take it onboard.

If someone on here is willing to test our strategy with 20k minimum and are willing to let it run for many years to come,.. and are also willing to have it listed on myfxbook to show the speculators such as @pt49 then send a message and we will be happy to show live trading on this website.

pt49 posted:
You could trade weekly charts and put your broker on a starvation diet.

You have a sense of humour at least :) I like it!

If you make 20%+ percent in comssion there is a huge problem with the system you are running...

The balance of my account is now above $ 34 million dollar and i hitted my target.. see my history

https://www.myfxbook.com/community/trading-systems/wwwforexmanagedbiz/260455,1

fxtom posted:
The balance of my account is now above $ 34 million dollar and i hitted my target.. see my history

https://www.myfxbook.com/community/trading-systems/wwwforexmanagedbiz/260455,1

You are back again :)

You started with 10M and made it to 30M in 2 years compounded. So take away the big marketing word for you '30MILLION' and lets look at it as 240% profit made in 2 years. You risked 40% DD. to get there. I do not think people will want to hire you because of your big drawdown.

In fact after 1 year of trading your equity went back to 0 near enough but as you held onto the trade, it went back up which is very risky. I remember you said you changed your risk management but that was just a ploy to regain people's attention.

Imagine if the trade never came back, you would have held on and whole account could have been wiped.

You are gambling.

Exactly

pt49 posted:
Exactly

Hey @pt49 I think I am just getting sick and tired of @fxtom. If you look at his website, he mentions he will make 100% profit in 1month for investors.

Is he taking the piss?

If you could do that @fxtom , i will sell up my assets and give you all my money and families money worth 20M. You can turn 20M into 40M for me in 1month?

forexedge posted:

fxtom posted:
The balance of my account is now above $ 34 million dollar and i hitted my target.. see my history

https://www.myfxbook.com/community/trading-systems/wwwforexmanagedbiz/260455,1

You are back again :)

You started with 10M and made it to 30M in 2 years compounded. So take away the big marketing word for you '30MILLION' and lets look at it as 240% profit made in 2 years. You risked 40% DD. to get there. I do not think people will want to hire you because of your big drawdown.

In fact after 1 year of trading your equity went back to 0 near enough but as you held onto the trade, it went back up which is very risky. I remember you said you changed your risk management but that was just a ploy to regain people's attention.

Imagine if the trade never came back, you would have held on and whole account could have been wiped.

You are gambling.

Also.. DEMO account

forexedge posted:Imagine if the trade never came back, you would have held on and whole account could have been wiped.

You are gambling.

Just like the other 20 accounts he started 2 years ago.

It's a common scam... they begin with multiple demo accounts and promote the one that doesn't get blown outa the ballpark.

Scammers selling systems and EA's use the same MO, they have multiple accounts running either in backtest or forward test mode, and they only show results for the accounts that are currently profitable.

Serious scammers will fund multiple LIVE accounts and do the same thing.

Nothing new here. Hes trying to fish out forex newbies. Theres plenty of those scammers everywhere.

Forex is all about the emotion , control that, you good to succeed

https://www.myfxbook.com/members/mytraderadvisor/performance-managed-account/557647

Not much good posting without at least history showing MTA.

I would assume that you are using an EA with no stops given that its a 400:1 leveraged account.