Is this a good or not that good begining?

Hi!
Im really new to trading and to forex, but i've been doing my homework for some time and just wanted to know in a scale of 1-10 how you think my demo account statement is?

My strategy right now is to look for reversals using MACD, Stochastic and CCI to pinpoint my entry/exit points, and using 3 EMA crosses to see longer term trends. I usually start a trade when i have most (if not all) indicators pointing in the same direction. I set my stops tight (tight being relative to the base timeframe im using and the time i plan to hold a position).

http://www.juanchoc.com.ar/DetailedStatement.htm

I obviously accept all constructive critics ^^

Thanks in advance,
JCC

Ahhh, the infamous newbie question - "is this a good strategy?" Well, you may get a number of opinions. Some may be critical, some may be encouraging. Unfortunately, noone can answer that question except for you. We so often want our ideas to be validated, but, in the Forex market, we're often left to our own devices when developing our own trading rules and discipline. The rare exception are the few threads where people describe a detail in system and make it available to others. These systems, however, have usually passed a litmus test by the poster before going to everyone else.

There are 3 ways to find out if a system is any good:

1. Ask other traders. This has many drawbacks. You don't know if the traders are applying your rules effectively or not. You also don't know whether they are actually trading it. Since your system is custom-built, it might take a long time to get feedback.

2. Backtest. This is where every new trader should begin with their systems. Here's a hint. Get a charting platform that lets you go back a year or so. I do this with MetaTrader. Setup your charts with all the right indicators and stuff. Manually move your chart forward bar by bar without looking ahead. Record when you would take a trade based on a signal. Then record what happened in the trade - win or loss, number of pips, etc. In the end, you end up with a decent indication of how well the system will do.

3. Forward test. Start with demo. Apply your rules. Try to not trade any other way for a little while to get you in the habit of applying one set of rules. Then go live when you're ready.

Good luck. You're on your way.

stockwet

Thanks for your reply!
In fact i have a propertary platform my partners and i developed, so backtesting is not a problem.
The question itself was really about the account statement i linked, just to know how it was considered the performance i had for a beginer and for a pro?
I mean, books dont tell how much return % per month on a balance is good or not that good or great.
I guess the answers may not be completely objective as some people does much more than what i did, but i just want to take the opinions as a reference point so that i understand where im standing in means of trading quality.

Thanks in advance,
JCC

Got it. It's a bit of a subjective question, though. Your expected return should be commensurate with your risk, which is a function of the amount of lots you trade relative to your balance. Any one making consistent profits, month over month, is successful in my book, regardless of the return at any given time. So, if you're a beginner and can turn those profits consistently, well done!

Well, today i doubled my demo account balance (was U$S 1000 and now U$S 2059) y less than a month (23 days), investing mostly 0.1 lots, and sometimes 0.2 when the signals are really clear or when im adding to a winning position on a daily trade.
I consider it pretty good, but obviously it's just one month of trading, maybe next month i wont perform the same.

Anyway, thanks for your answers!

JCC

My demo account is over one million $. I stopped trading it a week ago and have doubled my real account 15k to 31k last week. Im going to try to double 31k this week.

As long as you only risk 1% per trade, you'll be fine... otherwise prepare to lose a LOT sooner or later.