Thursday 5 August 2010

A battle against trading costs

Today I paid £1440 for my desk for the month, which is still reduced. It seems such a lot but the cost can't be avoided, just to trade on the exchanges alone are costly. Also I have to pay each time I trade but before those costs I am aiming to make £250 a day which is definitely doable. Although today was a big wake up call how hard this job is. Making money in the markets doesn't seem too hard but making enough to overcome the costs does seem quite hard. Although I am only starting my 4th month so still early days and since I upped my size I haven't had one of those easy days and it's been quite a struggle just to hit my target. This week it's been the case that I have put 2 clips on at a price then it goes against me just half a tick and I normally average at 1 tick but I want to improve my position so I put 1 clip on at that price and then take it off where I had my 2 clips originally on and then keep doing it and eventually just scratch my original 2 clips, so I end up making money just from the 1 clip so hoping I can have some days where I just put 2 clips on and take them off for a profit. Anyway I can easily be positive in my account at the end of this month, although its the slowest month and perhaps the hardest so I won't expect too much from it. Couldn't hit 1200 for the week as I lost 485 euros on tuesday but 1/3 of the way with still friday to go lol... which is the day where blow outs regularly happen so I will just be happy to have a positive day.

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