I am too good in demo FX trading... stop me!

[aigo]

Last month I started to learn how to trade on the Forex.
I spent days and night reading stuff and not really understanding all of it.
I then started to trade on the ACM-FX demo platform Nov. 25th with a basic account of $20 000
I blew almost half of it until Dec. 2nd ($12 197).
Of course it's hard to be in the shoes of someone investing real money... but believe me... I really tried to play like it was real... I did some experiments of course... but real losses came from very small investiment and huge mistakes.
After a long string of losses, I was so pissed off at myself and not understanding a thing to what I have been doing wrong, I took the time to just look at the screen all night long each and every charts and try to find patterns.
I then tried a small trade, got it perfectly... a bigger trade... go it nicely... a much bigger trade... no problem
From Dec 2nd. until now I have a string of wins with all kind of currencies pair and brought back my account up to $28 523.36
That is a real epiphany for me... but have difficulty to understand why and how I am capable to do that with so little training, so little TA and FA analysis.
During this period, I made about 80 trades, among it 6 mistakes averaging a couple of $100s and 1 big mistake from a stupid experiment that cost me $2550.

... so of course after this kind of success, it is extremly tempting to go real... and I of course do not feel it is very wise to start that early.... but I would like to know if anyone have this kind of experience... what happened next and what I really should do to get my self confidence in trading to be lowered a little bit before I blew a real $10000 account.

Thanks for your help.

Greg

 

[donaldduke]

That is a real epiphany for me... but have difficulty to understand why and how I am capable to do that with so little training, so little TA and FA analysis.
Greg

Walk into a casino with 20K (or even 12K) and sometimes you might take your starting equity to 28K, but eventually you will go bankrupt.

Do you have any difficultly understanding now?

 

[Roberto]

During this period, I made about 80 trades, among it 6 mistakes averaging a couple of $100s and 1 big mistake from a stupid experiment that cost me $2550.

Are you saying that you have made 74 profitable trades out of 80? If that were true for me, I'm not sure I would be wanting people to "stop me". That's statistically _very_ significant indeed.

 

[donaldduke]

Roberto,

Its not hard to paper trade 74 out 80 profitable trades when a market is in a strong trend. (like
the FX markets were yesterday) Just keep a hold of your losers eventually they will turn into winners
because the market will come back.

 

[aigo]

I did less... 65 exactly
I was averaging how many trades I was doing per day... but I just counted it and it's 65
Mistakes during this period are 7, I think I have to count also when I made a $0

From 12 197 to 15 423, I used a mix 100k, 300k and 500k
From 15 423 to 21 239 I used 200k, 300k and many 1Mk
From 21 239 to 28523 I started to use 2Mk mixed with 1Mk

I made my biggest movement with just 300k during an experiment with an OCO trading giving me $2958... that is obviously pure luck and balanced my $2550 mistake

Greg

 

[Roberto]

I see what you mean. I had stupidly failed to appreciate from your original post that you had done such a huge number of trades in 1 day! In that case, I agree entirely with Donald. If you did something of the kind every day for a few weeks or months (which is what I had mistakenly envisaged), we would have something to talk about!

 

[aigo]

So from Dec. 2nd midnight to Dec.3rd midnight anyone trading any instruments could do no wrong?

Greg

 

[TWI]

Put your money down but beware FX has been fairly one way of late.

 

[ERA]

I did less... 65 exactly


From 21 239 to 28523 I started to use 2Mk mixed with 1Mk


Greg

This leverage is insane, one or two bad trades and your acc will go t!ts ups for sure.

 

[des44]

Aigo,
It's great to have yet another trader in the makings who is "brave" enough to post on the forums. Sometimes the members can be unforgiving, but don't take it to heart. I agree with twalker. Get your money working. This will begin to shape your psychological make up in regards to trading.

You might want to hold roughly 50% of your trading capital back for the first 6 months of your active trading. Then you can analyze what you have either accomplished or lost. this will allow you to make the decision to either: 1) put the remainder of your money (you haven't lost already) into a mentor or institutional training, or 2) due to making a healthy return on your money thus far fund your trading capital with the remainder 50% and go get 'em.

Just some thoughts. Good luck.

d-

 

[anley]

Des

You don't have to be brave to post on this board. Tempers only tend to get frayed when posters come on stating how wonderful all the expensive courses are such as VS, Doji Darren and the convicted thief Russ Whitney.

Many would agree with this including myself alongside countless other posters on the internet who admit to shelling out fortunes for the courses which never (in their opinion) lived up to the heavy hard sell, get rich quick marketing.

Anyway Greg, good luck if you decide to risk real money with your trading but remember two things. Firstly one Swallow never makes a summer and secondly 99% of successful traders will tell you that trading is a very hard game to make money in overtime (and these guys have been doing it for many years). So what makes you think it's going to be easy after just a month of learning?

 

[FTSE Beater]

Hi Greg

Welcome to T2W
The big thing that would trip you up for real is the large losses you sustain. Could you please have a look over the good trading period and work out your % of winning trades, your average win and your average loss. I would like to see them, as I believe this is where you could come unstuck

As a rule you shouldn't risk more than 1-2% of your trading capital on one trade. This makes sure that you can't get wiped out of your trading too early. The 2000 loss works out to be in the region of 10%.

Hope this helps