We managed to grab +23 pips this week.
Not bad at all, wasn't it guys??
Lets talk about money management now, specially for our "15 is the number" system.
Money management is very important, it will safe our neck for being cut off by the market crazy movements. These are mine:
1. I Never trade without Stop Loss and Target Price. It'll surely make me relaxed and confidence.Your brain will released some kind of chemical substance once you place this two friends of your immediately after you put your order, I turn off computer and go to work and get the result later that day.
2. I Never bear a grudge, that is the heaviest thing in life you can carry. I Do not double trade, to suffer some losses is part of our trade. There isnt such system that 100% win.
3. I Trade only 15% of money, risk only 4%.
I think thats it :)
If you have your personal money management, would you be kind to share it with us?
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2 comments:
Fear and greed are the two biggest things to overcome. I blew my first account and lost $10k (USdol) trading Eur/Dol. While I do not know anything about the Yen I very much appreciate the discipline you apply to each trade; using a SL & TP. Like you said, that's critical. And, not trying to scalp the market. Your risk/reward ratio is conservative which is good. Bottom line is, you got to have a system and you must stick to it. I like your system. I wish you would teach the algorithms or mechanics of the analysis you use. Thank you for all the work you put into your program. My pip chest is excited about the coming week... ~ B in Arizona, USA
Thanks again for your comment.
Yes, I couldn't agree more that fear and greed are our friendliest enemies.
Stick to the rules is very important, but again...rules are made to be broken. Just like now, I closed my trade manually. Why did I do that? because it's been to long and it's very reasonable to get out of the market while you still can get positive pips.
Thank you B. I really appreciate your comments.
Anyway, GBP/JPY is truly annoying!! Why dont we concentrate our money on USD/JPY? what do you think?
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