I’m not new to trading, but fairly new to forex. I ve avoided it actively because I assumed the retail market was designed for suckers.
Then I traded currency futures, lost lots of money, and realised that I’m quite capable of losing money Without the help of a retail desk!!!
I read lots of good books, I’m still wary of retail with overly wide spreads, and being at the mercy of retail market makers and their tricks.
But, one good thing, I feel, is being about to start trading very small in micro and mini lots…this is crucial I am learning to keep money management tight and controlled.
Trading small…
This is my motto at the moment.
I asked myself, after killing a larger futures account a few times this year due in part to inappropriate position size, or too large a position and risk stop in relation to my account size etc I always need to learn the hard way, and repeatedly !!!
So I asked myself a simple question. How small would I have to trade to almost not care about the loss? So my emotions weren’t overly brought into play? So I could jut shrug, and say ’ No big deal?’. So that I did to hesitate in taking the next trade of my system ?
The answer surprised me. I felt almost embarrassed by the answer… It was trading 1 mini lot, and risking no more than $40.0 per trade. So then I asked myself, how capital can I start with? Well, if its the so called magic number of 2% per trade, my account size starts at $2000.0 . But I’m only willing to try with $1000. Damn.
So begins my journey…with all your help etc