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Money management using margin level??

Mohd Najib (zebbcro)
Jun 30 2014 at 19:17
28 posts
Hi anyone.. I'm newbies.. just want some advice from the expertise here.. does it relevant to use margin level as a money management when open a trading position??.. for example, when I trade to multiply currencies, I will open about 7 position with a suitable lot each, and make sure that the margin level above the 1000%.. when I have loss, and look at the margin level below 1000%, I will cut loss my open position.. does this way of trading can hold in a long terms??.. if not, any suggestions??

be calm, the world is in your hand
CrazyTraderfx (CrazyTrader)
Jun 30 2014 at 22:24
1718 posts
The easiest way for you to check this out, would be to create a demo account with the same deposit you would trade live and set same leverage.

Open your 7 positions, after 2 weeks or so, see how it goes and then forecast deeper move.

Mohd Najib (zebbcro)
Jul 01 2014 at 06:34
28 posts
CrazyTrader posted:
The easiest way for you to check this out, would be to create a demo account with the same deposit you would trade live and set same leverage.

Open your 7 positions, after 2 weeks or so, see how it goes and then forecast deeper move.


Ow.. thank you for reply.. I will do that

be calm, the world is in your hand
growthera
Jul 01 2014 at 14:52
86 posts
there are of course millions of ways to do MM. One item I always want to keep in mind as well is, independently of margin considerations, is if all my trades go the wrong way at the same time, what's the maximum amount in $$$ I am willing to lose.

Mohd Najib (zebbcro)
Jul 01 2014 at 18:07
28 posts
growthera posted:
there are of course millions of ways to do MM. One item I always want to keep in mind as well is, independently of margin considerations, is if all my trades go the wrong way at the same time, what's the maximum amount in $$$ I am willing to lose.


Thanks for ur opinions.. I will keep that in mind

be calm, the world is in your hand
helgie
Jul 11 2014 at 16:37
34 posts
yes you better test them before, or backtest them.. i have backtest strategy like this (but cutloss in pips,using EA) but the account not long lasting..

Mohd Najib (zebbcro)
Jul 16 2014 at 06:31
28 posts
helgie posted:
yes you better test them before, or backtest them.. i have backtest strategy like this (but cutloss in pips,using EA) but the account not long lasting..


Yeah.. that's right helgie.. I found that mm control using this strategy are not valid for the big leverage like 1:1000.. so I need to put stop loss for my trade.. tanx everybody for help and comment

be calm, the world is in your hand
vontogr (togr)
Jul 16 2014 at 09:33
4862 posts
Using low leverage to limit the trade risk is...
...outdated

Trying the same on high leverage will require you upfront PC as long as there is open trade

You can use either SL per position, either manually or by EA

Or some of the many tools monitoring your equity and closing trades at defined level

Mohd Najib (zebbcro)
Jul 16 2014 at 19:48
28 posts
togr posted:
Or some of the many tools monitoring your equity and closing trades at defined level


Yeah.. it depends on individual.. many old time traders suggest me to using low leverage to hold long in this industry.. but i have seen your portfolio sir and u are a good trader.. its ok if u have winning system above 80%.. I seems very comfortable with my leverage now.. thanks for your advice

be calm, the world is in your hand
Adrian Matusiak (adrian8891)
Jul 16 2014 at 20:01
696 posts
togr posted:
Using low leverage to limit the trade risk is...
...outdated


Indeed. I wish to have even 1:2000 levereage. I got my own ideas how to decrease risk , and no matter do I have 1:200 or 1:2000 . Problem is that we MUST go to lower leverage when deposit/earn more money.

PAMM MANAGER // Professional Fund Manager
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