JS

Thanks for the insight! May I ask what your avg R for winning trades and overall avg R are in the bolded part? What about after the adjustment was made? Thanks! I agree that every trader is unique. Just look at our moderators, avg R for John or Norm is below 1 R and for the style to make money, one would need a bigger account size and take more risk per trade. I am sure Aiman and Thor will be over 1 and they must have use less capital to achieve the same goal.

Thanks and good to know. Same situation here.

Nice Journal Peter! Is the stat gross R or net? Thanks!

Nice Journal Skye. May I ask what caused the big drawdown between mid July to September? Thanks!

I think a perfect example would be one of our moderator John's HOD strategy. Below is a screen shot from his 2nd presentation. His is averaging 0.29R/trader at 89% of win rate. he can still accumulate more than 20R/ month. I would be more than happy to consistently get 20R per month even I pay more commission. The key is here is consistency. I would say if more green trades helps you psychology, it is then the right strategy for you. edit: I am not trying to say that John is scalping, just to show that it might be okay to have less than 1:1 R/R trades.

honestly, I am new and I am open to anything but I need to know that I know what I am doing. I still want to keep working on existing BBT strategies. If my stats say I can scalp with profit and my BP is not an issue, I am willing to try it. However, it does have a lot of inefficiency by its own.

I did not invent anything. All my trades are based on existing strategies from BBT. As a beginner I do not believe you can create your own strategy. But because of the bad trade management, I feel that I am scalping all the time. Not saying that I am scalping on purpose. What I do want to know is that does Scalping really work? I hear and read that people do it and it is a specific type of trading style.

Thanks. I am in no way satisfy with what I got now. Like I said, I consider more than 30% of the trades in "bad" category, regardless the results. my current daily goal is 1-1.5 R and I am not even there yet. The last 2 months has been more stable after I made some adjusts on my trading. However, is the improvement due to my adjustments or market condition? I do not know. Guess I will just need to keep plowing through and time will tell.

I was not trying to brag about my stats as I said that I am a new trader and have a lot to learn in all aspects of trading. However, I am not quite certain if it is irrational to risk $1 to get less than $1, providing probability of winning is in my favour. For instance, casino only needs a 1-2 % edge to be overall profitable. I could be wrong so please keep the discussion going.

glad to hear your opinion. So what is the an acceptable overall R/ trade to make it statistical significant? is gain to pain ratio something we can use to measure? It would also be great for consistent traders to share their average R and standard deviation of it.

Hi Peter, I would agree on this point if the selection of his setups is random. However one key difference for Jeremy is that the setup has to be in his playbook. For instance, instead of waiting for 2R before taking pa partial, he takes early partials to lock in profit. Probably not the best trade management but entry and stop loss qualification should remain the same. For my self, my performance has been consistent for the last 2 months but I always feel that I am scalping. That is why I want to work on my trade management. I am not good at statistics and have no reputable sources to back up my claim. However below is my cumulated R for the last 2 months. Average winning trade R is only 0.55 but my win rate is over 70% so I am ahead overall. These are around 240 trades for November and December. Would this work in the long run? I am not sure and that is why I want to keep working on all aspects of my trading. In addition, after reviewing my trades, there around 30% of all them are considered bad decisions ( positive results or not). I probably need to do some probability analysis such as regression analysis to see if anything is random but I am not there yet.

Hi Jeremy I think certain risk reward ratio for a strategy only makes sense when taking win rate into consideration. I think your strategy works at a higher win rate. The video below explains it well I think. however the difference between a higher R/R strategy and a lower one would be how capital is utilized. You might need a much bigger BP when playing lower R/R strategy to get the same profit. Commission percentage would be higher as well. So I think as long as that capital is not an issue, the strategy should work out well.

This is good analysis but I am only trading small amount of shares so I cannot comment. have you watched Andrews commission video from a few months ago? It seems that he is paying about $0.0055/share for what he trades. The calculation starts at around 23 minutes in the video.

Tiered is cheaper. $0.0035/share, $0.35 min./trade. Min./trade for fixed structure is $1.00.

Hi thanks for answering questions. Based on my research, it seems that I have to claim as a full time trader to get any trading related expenses (office expenses, platform fee etc.) deducted. Is this correct? and does it make sense to incorporate from tax perspective? Thank you very much!