Monday, 30 November 2009

Near hits

I felt good today, mentally strong. Surprising really because I had another dodgy night's sleep and almost didn't trade at all.

I had a few 'near hits' where I nearly got on a good move but missed it. Sometimes this is down to hesitation and other times it's down to my risk aversion. I'm starting to realise that this risk aversion is the reason I continue to plateau, and I think it's time to start pushing through it. One approach I took was to only trade using £15 stakes today, which involved me 'robbing Peter to pay Paul' and increasing my bank size!

Despite the potential penalties involved with bigger tick sizes, the benefit is that you don't have to work so hard to get £1-2 a race. I came out of today's session quite upbeat and without the usual clenched jaw, so that's good.

The P+L Subtotal (red line) is on an upward trajectory at last. Last Tuesday was very friendly to me so I'm going to attack it again tomorrow.


£4 using £15 stakes.

2 comments:

  1. You're right about the larger tick sizes meaning it's easier to get to a target profit per trade or per race, but, and I know this is obvious, it also increases the risk. This pretty much reflects some of the problems I've had in the past and as someone once pointed out to me on my blog, my potential gain is 2 or 3 or 4 ticks while my potential loss is any number of ticks in the wrong direction. This is the problem with increasing your tick size but leaving the target profit the same. It's easier to gain, but the losses can be much bigger. You find that your trading style changes a bit too. I'm experiencing this again now in my trading, and it's a constant thorn in my side. I think it's important to NOT think about increasing stakes to make a similar return, but to gradually increase stakes with a view to making a proportional increase in return. This way you'll be sticking to a strategy that you know works, and that you're comfortable and natural performing.

    Like the look of the red line though! Good man!

    ReplyDelete
  2. Interesting points there Robbie. The bigger stakes really are testing my mettle but I'm determined to stick with them and push through to the other side. I can't go back to £5 stakes I just can't! It will destroy my very soul!! I know what you've been through with large tick sizes though and will tread very carefully :D

    ReplyDelete

Note: only a member of this blog may post a comment.