Battling my mind | Forex Factory

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Battling my mind

  • #1
  • First Post: Edited 7:47am Jan 9, 2008 7:42am | Edited 7:47am
I have now been trading with dummy accounts for 3 years. I am at the point where I can make up to 100 pips per day profit. I have one big problem however, I cannot bring myself to open a real position. There seems to be a fear in the background. It is not lack of confidence. I am sure if I were trading someone else's account I would do well and not have this hesitation.

I was wondering whether anyone else has come across this and found a way to master it.

Many thanks.
  • #2
  • Jan 9, 2008 7:44am Jan 9, 2008 7:44am
My first thought is to fund one of those $1 MT4 brokers. That's right, for only $1 you can fund an account, and trade a penny a pip.

And you thought a McDonald's Double Cheeseburger was all a dollar could get you! ;-)
  • #3
  • Jan 9, 2008 8:38am Jan 9, 2008 8:38am
I think the problem comes with the comfort zone found when demoing... I believe that every trader experience this when going from FUNNY money to REAL money. The only way to bite the bullet is to "just do it". Not much of an answer I know, but that is the only way.

I think tdion nailed it when he suggested that you trade a penny a pip... doesn't matter how small the amount is you trade with, it is a percentage of your account balance and when you move up the ladder to $1 a pip, it will still stay a percentage of your account balance.
  • #4
  • Jan 9, 2008 8:59am Jan 9, 2008 8:59am
Quoting TotalMadness
I have now been trading with dummy accounts for 3 years. I am at the point where I can make up to 100 pips per day profit. I have one big problem however, I cannot bring myself to open a real position. There seems to be a fear in the background. It is not lack of confidence. I am sure if I were trading someone else's account I would do well and not have this hesitation.

I was wondering whether anyone else has come across this and found a way to master it.

Many thanks.
Hi,

ok, here we go: 2 questions for you -

1. How well do you know your trading method (expectancy, risk, etc) ?

and by far more important

2. How well do you know yourself (I mean how thorough are you with self-evaluation) ?

See if you can answer honestly.

regards
daytrading
Enter Signature
  • #5
  • Jan 9, 2008 9:25am Jan 9, 2008 9:25am
Chances are you will struggle with first account. So start with an amount of money you can afford to lose. If you lose it, it will give you the motivation to figure it out what went wrong; if you don't lose it, you're good to go.
  • #6
  • Jan 9, 2008 9:43am Jan 9, 2008 9:43am
Quoting TotalMadness
I have now been trading with dummy accounts for 3 years. I am at the point where I can make up to 100 pips per day profit. I have one big problem however, I cannot bring myself to open a real position. There seems to be a fear in the background. It is not lack of confidence. I am sure if I were trading someone else's account I would do well and not have this hesitation.

I was wondering whether anyone else has come across this and found a way to master it.

Many thanks.
It ia big, but its not that hard,...maybe this link will help u...
http://articles.citringroup.com/Day-...ger.id.881.htm

Been there but not before i opened real account, i got here when i lost a lot, and i need to start from scratch....or with other words when i moved to dailly or weekly charts...

i thought this tread is about what is my state of mind, is my karma good, am i focused on profit, or am i focused on hom much i can loose,....etc.
its just money
  • #7
  • Jan 9, 2008 9:58am Jan 9, 2008 9:58am
I would start with a small account, but not so small it is meaningless. It should be large enough that, if you blow the account, it will sting a little bit. 1 penny per pip, for most people, is insignificant. Obviously, the amount should be small enough that you can afford to lose----probability is very high that you will blow your first account.
  • #8
  • Jan 9, 2008 10:16am Jan 9, 2008 10:16am
You can always adopt an exponential approach in order to limit the psychollogical implications of live trading.

1) Open a $100 account. That virtually is like a demo account, no big deal at all if you lose it.

2) Set yourself a goal for that account: 500 pips, double the account, 3 consecutive months in the green, etc. Whatever goal fits you.

3) If you reach your goal, add new funds (let's say $500).

4) Set another goal and go for it.

5) Then fund another $2000

6) and so on.

This way, the step into live trading will be progressive and painless.
  • #9
  • Jan 9, 2008 10:23am Jan 9, 2008 10:23am
  •  MPP
  • Joined Jun 2007 | Status: Be yourself, everyone else is taken | 2,734 Posts
Try this thread - someone else's money

http://www.forexfactory.com/showthread.php?t=63403

but still real money. thats if your happy with giving someone else the lion's share of the profit.

WTB's idea seems the best to me, start small and build on up.
  • #10
  • Jan 9, 2008 1:14pm Jan 9, 2008 1:14pm
Thank you all for your help.

I believe I have now found the solution. At the end of the day it is a simple solution that is right for me.

I have used tdion's idea to reduce my potential monetary loss. I have done this by only using 20% of my capital. I've already been trading today doing this with success. It felt good to be able to just open a trade without the fear in the background. Also, I will not be using the rest of the capital. My reasoning is that if I am as good as I believe, my capital will grow quite fast. If instead I crash and burn, I won't get fried. It seems like I have the feeling that the extra 80% of funds gives me comfort.

So thanks again everyone.
  • #11
  • Last Post: Jan 9, 2008 2:13pm Jan 9, 2008 2:13pm
Might I suggest putting the other 80% in a First Federal checking account? They offer 6% annual interest, and you can add additional margin to your FX account as needed. This is better than locking the 80% into bonds, which can be a hassle to liquidate.

Quoting TotalMadness
Thank you all for your help.

I believe I have now found the solution. At the end of the day it is a simple solution that is right for me.

I have used tdion's idea to reduce my potential monetary loss. I have done this by only using 20% of my capital. I've already been trading today doing this with success. It felt good to be able to just open a trade without the fear in the background. Also, I will not be using the rest of the capital. My reasoning is that if I am as good as I believe, my capital will grow quite fast. If instead I crash and burn, I won't get fried. It seems like I have the feeling that the extra 80% of funds gives me comfort.

So thanks again everyone.
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