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simplegreen

04/22/09 7:34 PM

#22867 RE: letsmakesummoney #22866

Its not the number of winning trades but a minimum of 6 months demo acct trading is highly recommended not just by me but any reputable sites.You are shooting for 80% or better success ratio on trades and that is if you trade every trade in the same manner as far as trade size goes.If trading 10K units(a dollar a pip) then all trades must be the same.Try to avoid adding to losing positions ...close losers quickly and reenter trade at a better level.Chasing a losing position in the name of cost averaging will work out for you later on as your tech skills develop to a razors edge and losing entries are rare and surprising but til the skills are fully developed its best to quickly close a trade going against you.Chances are they will move considerably against you before retrace...protect capital at all costs.Nothing shameful about taking a small loss so your powder is dry for next trade opportunity.
Even in demo..I recommend trading 10K units($1 a pip) and no more...you are trying to establish confidence and credibility to/for yourself...you stand alone in trading..you must!
Once you achieve the 80% I speak of I tell traders to raise the bar on their demo...go for 100% ..you cannot do it nor can anyone else but the goal is so lofty that you learn to treat your demo trading more like its real and carefully examine why THAT trade was a loser and what did I do wrong...the road to enlightenment is paved with stupidity.A bad trade is not stupidity ..it is simply a break in the disciplines and skills that we are developing.Getting to be a novel letsmake..,gonna stop here til round 2 of preaching(LOL)...Simple