Hopefully many eggs were consumed over Easter - they certainly were here. I did a lot of event watching rather than trading over the weekend. Some football, rowing (The
Facebook millionaires will have to stick to that), Grand Prix (with all the fast cars at the back of the grid) and a bank holiday packed race card for horse racing. The problem with so many events, is that they tend to overlap and it only takes one of them to be delayed to put the whole day into a bit of shambles from a trading perspective. This meant that I had a good catch up with family and friends and left worrying about an income until today!
Trading today was pretty good. Very nearly, very good. I had one race go very against me but being disciplined I cut the trade out. The other races all made up for this loss and the day was profitable overall. Without the large loss from the one earlier on it would have been even better. I am slowly but surely learning the lesson that you can't win them all and that taking a loss in the short term will make greater returns in the long run. Lets see if I can keep it up for the rest of the week.
4 comments:
Hi
Do have a daily target for your trading ?
I've just started, convert from betting, looking for sustainable profitability. I set myself an initial target of £40 per day based on an initial bank of £300 for the next 3 weeks....I would be grateful with any suggestions...
regards
Jeremy
Hi Jeremy,
Initially I set myself targets. The problem with this is that it puts you under too much pressure to reach those targets. The biggest difference between punting and trading is to make sure you have finished before going in-play. If instead of having a daily target initially, you use a mindset of ending the day in profit you will have greater success. This will mean you can cut your losses and you will make what the market has on offer. If you try and force profits when they're not there, this is another time where you will struggle, especially when just starting out.
I don't want to dampen your spirits, but I have a slightly larger bank and am still not making £40 a day. When starting down the road of trading, you have to be much more ready to make small profits. Once you're completely sure you have the discipline you can then start using larger stakes and the targets can then kick in.
Having a betting background will be your hardest hurdle. For example, if you know the favourite is the most likely to win the race on form, then you will expect their price to come in. This might happen but it could also drift out. When a drift happens and you're expecting the price to shorten you have to be ready to cut out and don't let it go in-play. In-play is as good as betting.
Hope you have success,
David
Thanks for the reply and advice, so far day 4, I've average a £23.35 profit, today was a nightmare and am on a £51 loss cause the gambler instinct kicked in and I went in running twice......haha
I agree with you re profit and am spending more time analysing the p&l and trends.....
I'm planning to increase the bank to £1000 at the end of this 3 week trial....
regards
Jeremy
One thing I have learned from my trial is that I increased my bank and stakes before making sure I don't go in-play. If I could offer you a piece of advice which may save you a bit of cash it would be to consistently prove you're not going to go in-play before increasing stakes. Then only increase at a rate consistent to your profits. This way you're not suddenly looking at taking a small loss to a large one.
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