The account was down 4.23% this week to 149% of inception value. Last week I mentioned my concern about the volatility in the account due to an issue with my money/risk management rules. The problem was that my initial entry sizes were based on my maximum allowable risk, but I then continued to add to those positions in later weeks. This obviously causes position sizes to be much too high.
My fix for that will be to size my initial entry for 1/2 my maximum risk on the position. I’ll then size subsequent entries to bring that risk up to 3/4, 7/8, and so on. I’ll provide more detail on this in upcoming posts on trading tactics.
Speaking of upcoming posts, here’s where we stand on site development. I’ve finished my 3 planned e-books and the “Getting started in Forex” page. I’ve also finished most of the “Trading Profitably” page, with the exception of the last section on trading tactics. That section will consist of links to the series of posts that I’m going to write next. Now that just about everything else is done, I can finally concentrate on writing more substantive posts each week along with these lame updates!
So stay tuned for that and…keep pipping up!
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