Why did price spike on my broker but not on the FTSE?

This is a discussion on Why did price spike on my broker but not on the FTSE? within the Forex Brokers forums, part of the Commercial category; Originally Posted by brewski1984 Why would you use no risk management on small accounts but use it on large accounts? ...

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Old Sep 18, 2017, 4:54pm   #46
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Originally Posted by brewski1984 View Post
Why would you use no risk management on small accounts but use it on large accounts? Shouldn't you trade these both the same? I have a 1k account that I use standard risk management on because that's all I have set aside for my trading journal, should I use a "small stakes" strategy and just go £1 a point with no stop?
Far be it for me to dictate to you what to do, unlike some people.

But you've missed the point, I've covered all this before:

I suppose the larger you trade the more beginner you think smaller sizes are.

Trading in larger sizes IS different. For example, you can trade without a SL if you trade small say 1 ppp and you have 500 pound on margin then you could well be given a margin call if you have gone down by 250 points (50%). To hold this position you will have to top up by 250 pound, not a large sum.

Eventually the market will recover and you may eek out say 30points.

However , If you trade 10ppp and you have 5000 in account, you will have to cough up 2500 pound . That's a huge difference and a large chunk out of most ordinary people's finances.

So trading w/o a SL, hitting and hoping is not appropriate for larger size and 10ppp is nothing special.

Strategies for small sizes don't scale up well. That is the point.

Indeed I would agree one should not trade w/o SLs so is that clearer now?
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Old Sep 18, 2017, 5:08pm   #47
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Originally Posted by wisefoolx View Post
Far be it for me to dictate to you what to do, unlike some people.

But you've missed the point, I've covered all this before:

I suppose the larger you trade the more beginner you think smaller sizes are.

Trading in larger sizes IS different. For example, you can trade without a SL if you trade small say 1 ppp and you have 500 pound on margin then you could well be given a margin call if you have gone down by 250 points (50%). To hold this position you will have to top up by 250 pound, not a large sum.

Eventually the market will recover and you may eek out say 30points.

However , If you trade 10ppp and you have 5000 in account, you will have to cough up 2500 pound . That's a huge difference and a large chunk out of most ordinary people's finances.

So trading w/o a SL, hitting and hoping is not appropriate for larger size and 10ppp is nothing special.

Strategies for small sizes don't scale up well. That is the point.

Indeed I would agree one should not trade w/o SLs so is that clearer now?
Your strategy for small sizes in your example is actually risking the whole £500. You need an account size of 25k to make that a 2% risk. Is 25k a large account or small stakes account?
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Old Sep 18, 2017, 5:14pm   #48
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If you're gambling then a £500 account would be different to a 5k account but it shouldn't be if you're trading properly.
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Old Sep 18, 2017, 7:12pm   #49
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wisefool you get yourself all tangled up in different concepts when someone is trying to talk about one straightforward principle with you. im not going to say anymore about it, its been said now already..

thanks @brewski1984 for illustrating the point as well
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Old Sep 18, 2017, 9:02pm   #50
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Your strategy for small sizes in your example is actually risking the whole £500. You need an account size of 25k to make that a 2% risk. Is 25k a large account or small stakes account?
Your reading comprehension is poor, I am stating the opposite of that, in rebuttal to someone here who advocated no stop loss trading.

What part of that is unclear ?
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Old Sep 18, 2017, 9:11pm   #51
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wisefool you get yourself all tangled up in different concepts when someone is trying to talk about one straightforward principle with you. im not going to say anymore about it, its been said now already..

thanks @brewski1984 for illustrating the point as well
What principle ?

All you have demonstrated to me is that you don't want to be labelled " a beginner " and I replied that labels are irrelevant, you somehow took offence to that.

Would you like us to call you the Soros of T2W ?

My point is simple and I stand by it - that very small stake strategies are not genuinely replicable to larger sizes - end of and I gave you many simplified examples for your benefit.

Is this too complicated for you?

I suspect you are feigning ignorance because you somehow took offense to the word " beginner ".
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Old Sep 18, 2017, 9:43pm   #52
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What principle ?

All you have demonstrated to me is that you don't want to be labelled " a beginner " and I replied that labels are irrelevant, you somehow took offence to that.

Would you like us to call you the Soros of T2W ?

My point is simple and I stand by it - that very small stake strategies are not genuinely replicable to larger sizes - end of and I gave you many simplified examples for your benefit.

Is this too complicated for you?

I suspect you are feigning ignorance because you somehow took offense to the word " beginner ".
you got off to a good start with "what principle?" then got tangled up again
its all been said already im not gonna spend anymore time on it
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Old Sep 18, 2017, 9:52pm   #53
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you got off to a good start with "what principle?" then got tangled up again
its all been said already im not gonna spend anymore time on it
How about pot... kettle... black ?

Or I suppose that tangles you up as well , you must be very simple minded.

Last edited by wisefoolx; Sep 19, 2017 at 1:54am.
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Old Sep 19, 2017, 12:27am   #54
 
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How pot... kettle... black ?

Or I suppose that tangles you up as well , you must be very simple minded.
have you been reading this book by any chance-
Click the image to open in full size.
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reloading another "K" next week.
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you don't really have an orange juice position do you?
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Old Sep 19, 2017, 1:02pm   #55
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Nah , he must be a beginner.

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Old Sep 19, 2017, 7:35pm   #56
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have you been reading this book by any chance-
god knows what cr@p hes been reading, the mind boggles!

maybe this:
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81kxcgyxntl._sl1500_.jpg  
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Old Sep 19, 2017, 8:23pm   #57
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At least I don't trade pennies and think I'm some sort pro-trader.

LOL
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Old Sep 19, 2017, 9:34pm   #58
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At least I don't trade pennies and think I'm some sort pro-trader.
whatever turns you on
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Old Sep 20, 2017, 5:34am   #59
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Guys do you know brokers that offer low-cost CFD's to trade FTSE?
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