Ive read this several times and I think we have to respectfully agree to disagree if thats ok :hi: let me explain....Gertje » Tue May 22, 2018 11:21 am wrote: I'm well aware of the power of compounding interest, but I would consider myself a fool to chase the basket closure just for this purpose. I lost to many accounts to go that route.
Thing is that at all costs you want to avoid overtrading otherwise your compounding interest will end up with $0,-
So if lotsize 'x' will be capable of basketTP 'y' while maintaining reasonable DD, then why aim for a bigger basketTP, or bigger lotsizing when this might damage the account? Just trade a few years longer before retirement.
If the strategy can handle the bigger lotsize without dangerous DD, then it's a no-brainer; GO!
The main problem with retail-accounts like we trade is that there is no smaller lotsize than 0.01 in Forex, and that was the only reason for me to use a cent-account initially. Now my equity is big enough to trade bigger lotsizes, I transfered all to GP to take it a step further.
Attached a spreadsheet I mocked up to see what a certain percentage daily profit will bring in a few day's/ weeks/ months/ years.
Just need to change the two red cels and see in awe what lies ahead [if one has the balls to stick with the current dollup while trading HUGE accounts.
I hate DD with a passion and with some of the EA's on offer and trialed I ended up with -50% in the hole which could last for some time, very scary
so tried to come up with a strategy where my money isn't tied up for more then a couple of days max, the target at 1% is achievable and I can still rake off say 5-10% per week to contimue growing the account. The little money making machines all make 1% up to $500 balance and we then start another so no EA is trying to achieve more than 1% or $5 per day and close down. 2 machines are then added then 3 then 4 etc... Each 1 has small targets to still achieve our 1% per day of the balance which is growing. We obviously do this by adding lots and not EA's its relative, at least thats my theory.“Compound interest is the 8th Wonder of the World...
He who understands it earns it...
He who doesn't pays it!”
Any drawdown seems to be negligeable so far and not long term and im happy with that
. I also wanted to be able to grow a very small a/c which is also Steve's dream (he put the spark in my brain) and I have 1 demo which I started with $278 and its now gained 15% at $330 from the 9th to the 22nd of May. It is an extreme experiment and may break as the starting balance was ridiculously low, but atm still going.So huge respect to you and the methods you have adopted, but this one's not for me atm, we all need to make our own mistakes and hopefully I wont go bust doing it
So keep on making the suggestions I love your ideas but im going to pass on this one :hi:Btw other members ignore Gertje's ideas/comments at your peril
