Trade Journal: No Risk No Story

6 min read
Nenad Kerkez

Nenad Kerkez

Head of Trading

Dear Traders,

Last week (10-14 June) saw the cammacd.MTF going above the limit on many markets that were not strictly related to Forex. Although results with our trading channel  group were positive at the end of the week, I had a situation where I was very fortunate, to say the least. So, what has happened?

Reality Check

If you’re not a little scared, then you’re not doing it right. Well, I might say exactly the opposite happened. As I researched into further testing of Super-Dots, I placed an EA (just for internal testing) that was based on CAMMACD.MTF 4.1.

The EA should have traded most Yen pairs and Equities during the Tokyo session with a volume of 1 standard lot. At least, that was what I was thinking. When I opened the platform later during the London Session, I saw the account went sky-high.


Source: MyFXBook

Before the spike, the account was around 22% in profits and I was aiming this week for approximately +30-35%. But I didn’t check the parameters of my Super-Dots correctly. Instead of 1 lot per trade, the EA went with 10 lots for each trade. Due to a positive correlation with Equities, the account exploded, making fantastic results and breaking the limits that no one expected.

Although I was happy, this was a mistake. Doing a reality check, I figured out the account could have EASILY gone to 0. Absolute zero. The point of no return.

Then again, I am very happy for CAMMACD. MTF Super-Dots as they were super accurate. They saved the day. They kept the account from an ordinary human error. I have been working so hard on this update with our coder Carlos and had many sleepless nights. Then, I wake up in the morning doing what I do my best, trading, analysis, managing ecs.LIVE group.

Mark Zuckerberg, the founder of Facebook, once said –

“The biggest risk is not taking any risk… In a world that changing really quickly, the only strategy that is guaranteed to fail is not taking risks.”

I tend to agree, but this time, the risk was way too big.

It is crucial that we remember the infamous risk warning: “Trading using leverage carries a high degree of risk to your capital, and it is possible to lose more than your initial investment. Only speculate with money you can afford to lose”.

Determining your risk tolerance involves several different things. First, you need to know how much money you have to invest and what your investment and financial goals are.

For instance, if you aim to become financially independent in five to ten years, and you’ve not saved a single penny towards that end, then you need to have a high-risk tolerance because you will need to do some aggressive – risky – investing to reach your financial goals.

On the other hand, if for instance you are at the start of investing for your old days or your retirement, your risk tolerance can obviously be lower and less aggressive.

This time, I was fortunate, next time I guess I won’t be that lucky. But one thing is for sure – I will keep trading Super-Dots with higher risk limit than my other “normal” trades.

And yeah – the Super-Dots will be included into CAMMACD counter-trend lessons soon.

The Summer has Already Started

Although it is the middle of June, here where I live, the summer has already started. The volatility is the same (lack of volatility) as it has been for the last 4 months, so nothing has changed. Market conditions are more stringent than ever, but we are managing to battle with it.

Summer days can be warm or even hot with temperatures exceeding 30⁰. Trading allows you to be flexible and enjoy the day by:

  • taking your laptop with you to the pool, lake, or sea; or
  • trading during the times you are home, like mornings or evenings.

Trading with ecs.LIVE allows you to directly improve your own skills in analysis, trading psychology, and risk management. Not just that, but you also learn the special techniques for ecs.CAMMACD and ecs.SWAT systems.

The time spent on learning, testing, and trading is time well-spent and will always contribute to your personal development. This allows you to challenge yourself and improve each step of the way. In return, you might get even more pips than myself.

One thing is certain. I will be there for the rest of the summer, trading and enjoying the beautiful summer sun.

And if you are interested in joining us at ecs.LIVE, then check out our special summer offer that is valid till Friday 21 June at 11:59pm EST and get euro 500+ in extra freebies like extra ecs.LIVE months, the ecs.CAMARILLA indicator, and the cammacd.LOA systems.

Cheers and safe trading,
Nenad

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