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| Determining Optimal Risk | Three traders... why did one make so much more? |
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Placing a trade with a predetermined stop-loss point can be compared to placing a bet:
The more money risked, the larger the bet.
Conservative betting produces conservative performance, while bold betting leads to a can lead to a devastating collapse of equity.
A bold trader placing large bets feels stress from the volatility of his portfolio. A high stress portfolio keeps more at risk than does a low stress one.
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Presented are a series of examples which proves this is absolutely true.
The full formula in excel is also contained within the download, just simply enter your trading statistics into the sheet and you will know exactly how much to risk on each trade to get optimum profitability from your trading.
You may be sceptical to believe that such a "magic formula" exists and to indicate my confidence in this product I issue a full money back guarantee if you are not completely satisfied.
Still not convinced? View example here
Download article and Excel spreadsheet
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Introducing the latest from Precision Trading systems, the Precision Lagless Average with ZERO overshoot
PLA
Precision Lagless Average a world class low lag filter for trading
Example above is 35 day Precision Lagless average (PLA) red line verus 35 day JMA from Jurikes research. Precision trading systems wishes to thank MIT labs for providing these screenshots.
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