Wednesday 20 August 2008

Position Sizing

See that this is the way to money management. There are so many success story out on EliteTrader Price Action Thread.
The trick is to enter a trade with 2 cars, take profit on first car with 5-6 ticks and move the stop of remaining car to Break Even. Phychologically easier to swallow as there is no downside once we move 2nd car to BE.
2nd car is the money spinner, let it ride as far as possible.