Practice Usage #2 (Money Administration Examination On Demo)

If yous started this Practice Exercise #1 yous in all probability honor that this isn't working on ranging marketplace (we had around examples of 5% losses on the final dyad of days, due to Republic of Cyprus situation).

Testing this, amongst a SL=30p, nosotros honor that inwards a attain marketplace of let's tell 50p, our net income target of 90p is most impossible to accomplish fifty-fifty if our seat run inwards profit, for a while. And the SL volition live on hit, eventually, unless the PA volition intermission whatsoever side, to convey that 50% to grab the novel trend (based on flipping the money math probabilities).

The showtime consider that nosotros tin mean value of, to better the initial exercise, is to work the Position Management (to "lock the profits"). 

Therefore afterward the stride no8 ("8. After having xx opened positions, halt trading"), nosotros tin work the side past times side formula to motility the SL for the profitable positions:

New SL = Entry ± Spread ± few pips (i.e. 5p)

Or we tin work a Trailing Stop = Initial SL ± Spread ± few pips (In instance yous tin monitor the platform)

(Ofcourse yous take away to calculate this for every pair, since the Spread can vary from 2p upwards to +25p or more, for around pairs.)

Then, nosotros volition convey the side past times side steps for this novel exercise:

1. Open a DEMO concern human relationship = $10,000 (or expire on to work the quondam one)
2. Take a money (yes a coin).
3. Establish which money sides volition hand yous the signals. E.q caput = long, tail=short
4. Open xx pairs on your platform
(only pairs for non ruining the margins requirement. e.q no gold/silver/oil/indices, etc)
5. Flip the money for showtime pair.
6. Enter (market order) using 0.01 lots (0.1 for $100,000 account), SL = 30p, TP =90p
7. Go to the side past times side pair in addition to create the same entry technique, in addition to thence the next...until xx pairs
8. After having xx opened positions, halt trading.
9. If whatsoever seat run inwards profit, motility the SL = Entry ± Spread ± few pips or work Trailing Stop (NEW)
10. Let all the positions to run, until the novel SL/TP hit.
11. If whatsoever seat is unopen (TP/SL hit), on the side past times side day, opened upwards a novel merchandise past times flipping the coin, over again (and move, the SL, for the profitable positions - NEW).

* Important note: Practice TEST on DEMO purpose, only!

I expect the results to vary, because non everyone tin monitor their trading platform, during the 24-hour interval trading sessions (i.e. NY, London). Also, for the Trailing Stop command, the trading station must live on on (computer).

I volition update here, the average results posted past times all of yous inwards my Main Facebook Group, on the halt of the side past times side week. We volition look for developing novel ideas (new exercises) to better the master statistic, too.

Best Regards,
^^_Lord_Ice_^^