Managing the pip cost?

Beginner Questions
1

I was wondering if any of you manage your spread cost per day, week or month and do you find this management beneficial in any way?

If so, do you increase or decrease your spread cost allowance as the time frame progresses depending on your success or failure?

For example:
If you opened up a $1,000 account would it be beneficial to plan on restrict your spread costs to $100 per month?

This way, assuming your win/loss ratio as 50/50 and that your pip change is 0 pips each month(excluding the spread), you could forecast the lifespan of your account? (10 months in the example)

I was thinking this type of analysis may be useful to help a new trader to plan the lifespan of an account.

What do you guys think?

2

I’d venture to say that few, if any, folks are thinking about the spread in this fashion. You have to realize the spread isn’t like a commission. The spread is a direct part of the prices where you execute your trades. Let’s say you bought EUR/USD at 1.3500 and sold at 1.3600 and the spread was 2 pips. You wouldn’t say you bought at 1.3498 and sold at 1.3600, or that you bought at 1.3500 and sold at 1.3602, then seperately subtract out the 2 pips from your P&L.

That in mind, a trade who thinks of his performance as break-even on net would be thinking that on an “after spread” basis, so they would have an infinite lifespan.