SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Non-Tech : Dorsey Wright & Associates. Point and Figure
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Ms. X who started this subject7/10/2000 9:35:40 AM
From: Tommy Dorsey  Read Replies (2) of 9427
 
Position Sizing can be very effective in increasing profits for traders and investors. Here's the idea. Say $100 M portfolio. You have decided to risk only 5% of the portfolio on any one trade. You like WIND (real situation and does look good)at $38. For traders your stop would be the break of the trend line and quadruple bottom sell signal. From $38 the stop is $35. That is 3 points. You then divide $3 into the max risk of $5000 and you get a position of 1666 shares. As your equity rises your position will also increase. Beacuse you can do verticle and horizontal counts on P&f you can readily determine your risk reward and have the ability to positon size. Tom
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News