April trading results

April has proven rather rough, but losses have been well contained at -5% (after expenses). On previous occasions, when opportunities have been few and far between, I have tended to ramp up my risk and try to force a profit. On balance, this approach has paid off, but I know it is the equivalent of playing with fire. This time around, decent opportunities have been thin on the ground but I’m trying to ride out the dry patch with the patient approach. This is far less taxing psychologically, and it also give me more time to do my rain dance and ask the gods to bring back the good times. 

PS – I’ve introduced a point of ruin at £9,000. At this level, I will accept failure and close shop.

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4 responses to “April trading results

  1. I think you need to introduce a point of success and push forward. You’ve taken a very tiny amount and run it up well over 200%. Do you have any idea how many professional money managers in the world would kill to have 10% of that kind of return in a period of time measured in weeks?

    Remember: What we focus on, becomes our reality. You are focused on getting out of the business. If that’s the case, then just do it.

  2. You’re doing incredibly well living on the returns from a small amount of capital. I’d be very happy if I could make a living out of that amount of capital (I am trading a similar amount in US Dollars and averaging about half what my living expenses would be – I also have a job and a lot more capital in long-term investments). What would your returns look like with out taking out your expenditure?

  3. David – Thanks for the comment. But what do you mean by ‘a point of success’? Can you give an eg?

    A portion of my energy is focused away from trading, and a portion is focused on the dangers in my method, but I have taken your earlier points about positive thinking on board. However, instead of having blind optimism and faith in my abilities, I am trying to appreciate and deal with risks involved.

    In one sense I am ‘just doing it’, as I have already started to send out my resume and I am working on other projects, but in the interim it makes sense to keep trading because the activity seems to have a positive expectancy and so it can contribute to funding my expenses.

  4. Moom – Thanks for the compliments. If I took out expenses, my returns would be around 30% pa (I’ve been trading for two years).

    I like your approach of having trading as an adjunct to your job and long-term investments. It is a healthy, balanced approach, so perhaps you do not need to worry about trying to cover your living expenses from this fund?

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