Reducing my risk

After a small run of losses I was trying to reflect on what I can bring to the table to reduce my risk. I had to seriously sit down and instead of analyzing the trades I looked at what I was doing. So I have decided to stop getting caught in a game of chase the trend I am simply going to change markets and start a new trade. I usually trade the Eur/USD and I noticed it is a 1 point spread, I am now going to try and find other markets that have a 1 point spread also. Does anyone know a list of 1 point markets?

Thanks

Pike

Imho, try not to focus on the spread, unless you are doing spread trading (another form of trading besides outright and option). Spread should not be a determinant of your profitability but spread is a determinant of the extent of your profitability. There is a difference.

If you want spread 'stability' or 'consistency', my advice for you is to look at trading futures contract. Futures is regulated by exchanges and have specific contract specification. For example, an e-mini S&P500 (ES) contract specifies price bid in increment of 0.25 points. ES contract is a heavily traded instrument in the US market. So when US market opens, there will always be orders parked at the bid and ask giving trader a constant spread of 0.25 point most of the time. It is totally transparent.

But since you mentioned about your need to reduce your risk, spread should not your key focus. Your trading size positioning should be the key focus. If you don't quite understand what I meant by size positioning, you should read up. There are plenty of information on Internet on trading size positioning viz-a-viz money management and risk control of your trading capital. I suggest you really equip yourself with this knowledge before you start another real trade order. Do demo trading in the meantime.

I learnt my trading lesson the hard way. I hope you can be spared some of the pain that I have gone through. Don't give up and I am sure you will find your path eventually. However you can only be in this trading game if you still have capital to trade. Capital preservation is therefore the number one principle to always bear in mind and trade size positioning is key to help you preserve your trading capital while you learn the rope of the trading business.