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Strategies & Market Trends : The Player's Club -- Ignore unavailable to you. Want to Upgrade?

To: Gersh Avery who wrote (9737)	6/16/2000 10:02:00 AM
From: F Robert Simms	Respond to of 11513

If I have an emini account for $9k and trade one contract then if the margin is $3k then I am trading 1/3 of the maximum account that I can trade. If I happen to start trading during a drawdown period then the account can quickly go to $6k and I would be trading 1/2 the mount that I can trade. I cannot reduce my trade to less than one emini so I have to have keep the high trading size. This is what I am trying to simulate with my large trading size. I had 1.4 mill and 1/3 was about 40 contracts. I had to keep the 40 contract size until I figured that I would have busted out which was about $700k. I then started over and traded 20 contract size which was 1/3 of my account and am keeping it to see if I can pull out of my drop. If I have a mistake in my reasoning please correct me;)

To: Gersh Avery who wrote (9737)	6/16/2000 10:58:00 AM
From: F Robert Simms	Read Replies (1) \| Respond to of 11513

<If you have the account go up 30% one day and then down 30% the next day, the account is at a loss.> I think it is finally sinking in what you are saying. I have been trading 2 systems at the same time thinking that one may offset the other when they one has a bad drawdown. The problem is that if both have drawdowns together then they can accelerate my losses beyond a reasonable amount. That is a very good point. I need to think about that for a while.