Money Management 101
$1k in equity means you can use 1 mini lot if your stop is 20 pips away (2%), 2 mini lots if your stop is 10 pips away. Not a whole "lot" of flexibility. My advice would be either to trade on demo so you can develop and build confidence in your system, while you take on extra hours at your regular job and build up your equity, or to find a broker who allows micro lots so that you can implement proper money management and strategy with the amount you have to work with. I know it's not the advice people want to hear, but it is the best I can offer. If you go in "gunslinger", you will eventually (but inevitably) just join that 95%, the ones trying desperately to trade their account back up to even.
Good luck,
Black Knight
fxKnight.com
|