[Frank]

Frank logical post except for the final step. Without knowing the size he trades it is pretty hard to tell % of range. Not sure who the guy is or how he trades but it is quite likely that he would increase his size as account equity grew.

we do have idea of size he trades -- he discusses it -- we can't be precise about the size --- this is why I did ranges. further, he has stated that he does not increase his size much with account growth, fwiw.

[BlowFish]

Ahh OK thanks for clarifying that Frank.

The fact remains that the easiest way (by far) to increase equity is by increasing size provided you have a consistent edge. The limit of course is the size you can trade without getting excessive slippage.

Having said that some traders never trades more than 2 cars and when thier account gets to a certain size they essentially start again. Most traders have psychological hurdles at certain sizes that can be problematic too.

The main point I am trying to make (and to answer the question in your first sentence) you can use small leverage and take small pieces of the market and still making massive returns without ever incurring extra risk (as a percentage of account equity) or needing excessive leverage. That is the wonder of compounding. Increasing leverage increases the risk of ruin so increase size whilst keeping leverage constant (or even reducing it slightly over time as your account grows).

[Frank]

Don Miller provided this screenshot of how he watches the market --- he watches 1 (yes one) monitor:

[brownsfan019]

That's incredible Frank. That guy is a machine. I'm sure it's like nothing to him now, but just glancing at that is making my head spin!