Wednesday, 24 June 2009

Another Steady Day

Despite the markets attempts to frustrate me early on I was quite pleased with today’s trading. I didn’t break any records again and even incurred a small loss in my 2nd traded race, which at one point was around £1.30 down.

I nearly destroyed my days “work” in the 16:40, finding myself again around £1.30 down, but managed to pull it back for a small profit.

In the final race I managed to lay “Budwiser” at 2.54 and trade out at 2.60, I thought I’d done well only to see it continue right up to 2.80, then fall down to 2.22 and then rise back up to about 2.74, these swings I must learn to catch!

It turned out to be my most profitable race of the day and topped my days profit up to a grand total of £1.70 and keeps me on course for a profitable June.

It’s been suggested that when calculating my return % I should express it as a percentage of the total back stake used. So today’s return, with a total back stake of £266 is 0.63%, I know it needs to be better.

I understand a little more, not nearly enough though, of the kind of mindset needed to trade effectively. I’m afraid my “demons” visited me a few times during the afternoon but, all in all, an ok day.

Cheers


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4 comments:

  1. Managed Risk24 June 2009 at 22:11

    Andy,

    Looking to develop your CONSISTENCY with my own wagering campaign on 1 July. Keep up the steady gain...as they say a little adds up to alot in time.

    Jake

    ReplyDelete
  2. Steve25 June 2009 at 12:50

    I think the majority gamblers quote the ROI % (return on investment) as an indication of their profitability so I guess it makes sense to do the same.

    Obviously your ROI will depend alot on your style of trading one tick trading around 1.98/1.99 is never gonna get you more than 0.48% whereas letting the ticks run or even one ticking around different price points will return higher %'s i.e. 110/100 (9.5%).

    Remember all ticks are equal only some ticks are more equal than others.

    I won't go into the intracacies of ticks sizes as there's far too much to post but you should familiarise yourself with all the % tick takes and pay attention to increment crossover points with regard to the risk/reward ratios and when to let things run/close early

    ReplyDelete
  3. TraderGray26 June 2009 at 16:28

    Hi Steve

    I’m conscious that my trading style is quite reserved and I believe the reason I miss many opportunities is due to me taking a small profit on “swings” when the market hesitates as in the example above.

    Despite this I am now beginning to recognise some recurring patterns and just need the confidence and courage to go with my decisions a few times. Even if it is just to see what happens.

    I am aware of the “crossover” points and look for these opportunities some of the time, although I don’t catch very many at all I’m aware of the pros & cons of being on either side.

    My cautious approach has probably cost me more in profit than my genuine errors but I’m still learning.

    Thanks for the comment, very helpful.

    Andy

    ReplyDelete
  4. Steve27 June 2009 at 01:09

    Wasn't a criticism TG just a lot of new traders don't consider the risk/rewards with regard to their entry/exit points. One tick trading lower down the ladder has a lot more risk than reward. Taking small profits at those points leaves far too little room for error.

    Don't fall into the trap of thinking you need to be spotting trends to profit from the markets. If you're risk averse and taking small ticks they're the very runners you should be steering clear of. If you're one tick trading look for the static prices and let the natural ebb and flow of the market fill your positions.

    I think I'm basically saying don't go looking for large movements if you're not prepared to follow them through, there's opportunities for all types of trading in the markets just find whichever suits you best for now.

    ReplyDelete

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