Friday, June 12, 2009

+29 pips... or $8.70... wtf?

So I went live today in FX and ran into the reality of margin I hadn't quite planned on. For some reason in my tiny little math confused brain I thought I could come in here with 100.00 and be able to trade 10,000 lot size with 50:1 margin. Durrrrrr no I can't. I can trade 3,000 lot size.

So I traded this morning, took some good entries, all winners and walked out with 29 pips after an hour and half. And on 3,000 lot size that is... 8.70. Saweet! But lets think about this in terms of percent return for a second. After the paypal fees the actual deposit was $97.80. Which means my 8.70 profit was actually a 8.8% return on the account. Not shabby I suppose.

In the future i'll add more funds to it so I can up the size buy for right now I think its probably a really good exercise for me to trade with this small size and see what I can do. No sense adding funds to an account that I can't grow. I need to be able to prove a distinct change in my profitability in both my futures accounts and my Forex account if i'm going to move forward trading.

Have a great weekend guys!

Trade Results:

NQ: +0.00
Forex: +29 Pips

5 comments:

Syed Omar (Hilmy) said...
This comment has been removed by the author.
Syed Omar (Hilmy) said...

how do you determine you initial risk? 3000 units seem like a lot on a $100 balance

Ace_Rockolla said...

Good trading. 29 pips in an hour and a half is awesome, keep it up. You have also inspired me to look to forex.

E-Mini Player said...

Well done man! Once you have a solid strategy, it's all about position sizing.

GulzaarFX said...

Congratulations! Pretty soon you will be trading 100,000$ lots!
I was positive today too. Good luck!