prochargedmopar wrote:Think about it,
I started today with $1200 balance. Scalped off and on all day until about 3ish pm.
Got up to $3470+ using 1 mini.
Boom, No stop, added 2nd mini, Acct blown.
ONE "trade".
As I said, 95% of people LOSE because they are losers.
NOT because the market is some complex random jumble of dicks. hahaha
It's not the lack of a stop loss
Only 30% of your money should be considered risk capital; 0.42857 * margin (it's a kewl combo on the numpad).
You started with $1200, great, do you have margin for at least 4 contracts? that's your first step;
if you cannot minimize your loss (small size) and maximize your wins (large size) then you're a loser before you even place your first trade.
MNQ has a day margin of $80, 70% of $1200 is $840, that gives you 10 contracts:
Risk = 0.42857 * 800, the remainder is $57.15:
10 max.
Margin: $800
Risk: $342.85
r: $57.15
Your maximum initial size is 20-25%, so you'd start by trading 2 contracts.
The only time you will be trading larger than 2 contracts is when you're risking nothing but OPM.
10 max. <-- which increases this (2)
Margin: $800 <-- increasing this (1)
Risk: $342.85 <-- reducing this (0)
r: $57.15
--> which increases your minimum size (3)
You might not be able to afford to risk it with 12, 16, or 20 contracts, but the important thing is that you can press to those numbers because you have the margin set aside to do so.
