[wsam29]

There is some truth to this money management method but it will only work if you truly accept it as a key method to riches from trading.

I did exactly that when I made $10k trading 1 lot of SP, my exit plan was screwy, in fact did not have one back then, but the profit targets were from 2 ticks ($50)to 40 ticks($1000), 100% discretionary.

Believe me, I practically shot from the hip back in those days.

Trading more lots comes with time and the stomach to take those loses and wins when the occur. I remember reading an article from Stocks and Commodities and it illustrated just that, when you first start out, you can only stomach small loses, but as you gain more experience, your ability to take large loses increase. Only you know just how much pain you can take, not basing it off your strategy and its winning probabilities because in my opinion, if you have a 80% winning strategy, it only takes that 1 time when you take a big hit to totally lose confidence in it. Had that lose been kept small, well you get the idea.

I SHOULD HAVE READ THE WHOLE INITIAL POST!!!

Why do traders have a hard time walking away after they make their targets and points?

What else are they gonna do for the rest of the day???

Heck people think to be a trader, one must always trade or be on the look out for a trade. People may be trading for the sake of trading and not about the money, but then they say to themselves, that contradicts what traders do, its not about the money. Heck it took me a long time to get over that. It is about the money, you need to have a total lack of disregard when you lose, but keep it when you gain it. Still a total contradiction if you ask me and makes no sense.

There are many reasons in my mind why people cannot follow that, win or lose, call it a day mentality. Some people just like the action. Some what to make a point to themselves and to others that they know what the heck they are doing.