This January I started something bold.
At a different forum I decided to start my trading journal about how I am going to reach 1 million US dollars with forex trading, starting from my $1.500 savings.
Because I liked people’s reaction at my thread, I decided to share my journal also here.
I am not going to paste all my trades here back to January, only my monthly statements.
But from now on I am going to share all my trades here.
I trade the fx market only after the best high-impact economic news events.
I created a strategy with years of work, research, and backtest, and I have around 25% loss ratio, the rest of the 75% is win, or break-even.
Also I have 2:1 reward/risk ratio. My stop loss is always 15 pips, my target profit is 30 pips.
Because of this winning ratio, I risk more than usual; always 8% of my current equity (that’s the 15pips).
So I am using compound interest as well.
Historically, some trading months end up with little loss or break even, the rest will end up with big profit.
Started at January, 2014, with $1.487.
Current balance is [B]$88.702[/B]
Performance
2014
January [B]+47%[/B]
February [B]+16%[/B]
March [B]+73%[/B]
April [B]-18%[/B]
May [B]-9%[/B]
June [B]+5%[/B]
July [B]+73%[/B]
August [B]+4%[/B]
September [B]-31%[/B]
October [B]+38%[/B]
November [B]+48%[/B]
December [B]+6%[/B]
2015
January [B]+1%[/B]
February [B]+31%[/B]
March [B]-9%[/B]
April [B]+107%[/B]
May [B]-12%[/B]
June [B]+1%[/B]
July [B]-15%[/B]
August [B]+37%[/B]
September [B]+5%[/B]
October [B]+18%[/B]
November [B]+30%[/B]
December [B]+48%[/B]
I will only post the pictures of the results.
I am only trading when the markets are very volatile, so my trade setups would be valid for like 1 minute
Just would like to give you a little advice…You might want to lower that Risk Percentage…sounds like you got a good system but all systems have losing streaks and you will have one that puts a dent in that account that you may never recover from…why you in such a hurry to get to 1mill…slow down a little and trade your system and make improvements and keep learning and the 1mill will come so easy…but not if you knock your account out…sometimes just trading to survive to trade another day is better than trying to make a lot of money as fast as possible…this game is about survival and learning and with that comes all the money you could ever spend. If you have never heard of Tharp and position sizing I suggest going to his website and looking into some of his ideas and concepts and taking them and applying them to your strategy. I wish you the best with your dreams and goals…but sometimes what we think we want gets in the way of what we are really trying to do.
It would have been a nice win if there is no Manuf PMI news. But I didn’t want to re-enter my position because it had some push to the different direction.
Thank you. For the moment, I am fine with this risk.
I am never going to blow my account because I am only risking the 8% of the current balance.
And compound interest rules!!
At May I had a huge losing streak what I didn’t expect, and had a drawdown of almost 50%, but I made it back, so nothing can stop me If there will be an another big losing streak, than bring it on, I already defeated them mentally.
Parachutes only work when you open them up and funny thing is minds are the same way!!! So good luck but a drawdown of 50% is a major redflag with a $1500 account…not to mention if you were trading with a million dollar account. REALLY this is how you want to trade. You mentally defeated yourself and it probably will not be long before you do the same to your account!!!
Hard to knock a guy who has been profitable 5/7 months this year. He says his high win ratio offsets his high risk approach. It’s early days, there is plenty of time for him to find out what his true tolerances are to drawdown on a bigger account. At that point he will make probably make adjustments.
Well done Peti305 and good luck. I look forward to your future posts
You are exactly right about knocking someone…right in the head so they might get a chance to make those adjustments and get to that million dollars. Just trying to get him to think about his risk level and what it truly means to his accounts survival. 5 out 7 months is great but what good is it…if on Month 8 he blows out because he draws down 50% and tries to make up for it by doubling his risk. Then he goes back to trading with air…and trading with air is not really that interesting after you have gotten a taste of the real thing. Not to mention the psychological damage he would have gained for himself that will take years to fix. It’s easy to pat someone on the back and say “thata boy” but is that truly helping someone.
Lets say he is on $28k and gets knocked down to $14k how will he react? That depends on alot of factors some of which will be individual to him. Anyway, he will learn alot about himself and how drawdown effects him psychologically and how that in turn effects his trading way before he gets to a million. There will probably be alot of adjustments on that journey.
Should another big drawdown occurr he will probably remember your words flashingpips and they might form part of an adjustment… or they might not. So you might be helping or then again, you might not.
Chances of him listening to you now with the results he is getting = Zero.
All the best peti305. Go forward with your own strategy and defined comfortable risk. Wish you success in this journey. Try to reduce the risk as your capital increases.
