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Strategies & Market Trends : AL is Not a Human Being -- Ignore unavailable to you. Want to Upgrade?


To: Kirk © who wrote (613)9/26/2002 11:43:19 AM
From: Steve Lee  Read Replies (1) | Respond to of 793
 
It's a possibility but I think 25% per trade would more accurately reflect how I use Al.

Al has had, I think, a maximum of 4 trades open at one time, which would correlate to me being fully invested. If you use 2%, then Al would have "wasted" at least 92$ of the money he had to hand at any one time.

Alternately, you could just assume Al puts a certain amount of dollars on each trade, and add up how much he has made or lost. To get an idea of return on investment, calculate the maximum number of dollars Al has had at risk during his lifetime. You won't get the benefit of compounding, but it's a much simpler calculation.