Hello All,
I have completed one month of public trading log here at Traderji.
Now I would like to share some of overview about my style of trading.
This is to clarify few doubts or concerns who visited my thread ( about 10000 views in one month)
CAPATIAL REQUIEMENT
I have used rs 1,00,000 (1 lakhs) as my trading capital,
RISK/MONEY MANAGEMENT
For me, risk management means how much I can risk per trade and how many continuous trades can hit SL that I can be affordable so that still I am in trading business...
As you can see from my trades log, I used to risk rs 3000 to 4500 per trade..
For silver main lot trading I need only 30K using intraday exposure in RK Global, that means, even if my trades keep hitting 10 SL continuously, still I am in trading business, and I can place next order ..
(But my tested system will not give that much continues loss as you can see from my LOG.)
So I am ensuring that I have reasonable money management is in place.
ROI
Very important expectation from our traders is ROI, what I will get if I invest XXX amount?
For my ROI calculation, I consider hidden losses in my trades too..
1. Brokerage per trade 8 points is MAX to MAX .. so far 12 trade in this month so total loss is 96 points..
2. Charting software rs 2000 /month thats around 70 points loss..
3. ODIN cost rs 299 loss is around 10 points
4. Internet charges airtel 3G data card rs 750 per month ..loss is around 25 points..
I will minus sum of above 4 points from my cumulative profit/loss points, then calculate actual ROI for the month.
For example, my ROI for month of Mar13 is as per below tables.
Total no Trade 14
Total Gain/Loss
Cumaltive profit/loss 1838
Brokerage -112
Airtel 3 G -25
Charting S/W -67
ODIN -10
Total profit/loss 1624
ROI 49%
