Risk profits aggressively, risk capital conservatively

...cont'd from yesterday...

Day Three.

Risk 1D on each trade PLUS one third of yesterday’s profit. In this case that would be
= Risk 1D + (Yesterday’s Profit of 6D/3)
= 3D Risk

Then:

Trade One: lose 3D
Trade Two: lose 3D
Trade Three lose 3D
Trade Four: win 6D
Trade Five: win 6D
Trade Six: win 6D

Net profits for the six trades today is (6 + 6 + 6- 3 -3 -3)D = 9D

...cont'd tomorrow...

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Copyright 2008 Raymond T. Lee. All rights reserved.
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