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    Are you looking only for the profit? Than you might be doing a mistake…

    15 Feb 2017,

    There are two points how to see profit in trading (no matter if you are trading discretely or with the trading automats). Most of the less experienced traders are interested only in one of them, and the AOS sellers are abusing this. Let me show you how to avoid this trap.

    Profit based on closed positions

    The first type of profit is profit is calculated from closed positions. Our profit can be for example 80%, but it does mean that we have to be in profit. It only tells us how much we have earned on closed positions where SL or TP has already been hit. But it does not say anything about open positions.

    Profit including open positions

    This number is much more important. If we have a good portfolio of trading robots, than we have the profit from the closed positions and profit from the open positions practically the same. However, if we have a strategy built on the so-called position holdings, ie keeping losing positions opened until they are in profit, then it may look completely different and our results may be much worse.

    Here’s an example

    How do you like the outcome of this automated trading strategy?

    Nice, isn’t it? Gain 35% is not bad.

    Just do not forget to look at open positions.

    Nice profit of 35%, but the open positions are having the “profit” of almost -58% of the initial capital. That is something every trader is looking for :). Plus, you’ll pay 1300 dollars for this strategy, which is basically the same price as the price of our unique StrategyQuant strategy building program that helps many traders to become profitable.

    So watch out!

    Do search for easy ways like martingale, trading without stop loss, etc. There will always be a day when this will happen and the account will fall to zero. I have experienced traders who had sent me every week reports how they did and sometimes it lasted a year, but eventually they all deleted their accounts. You’d better go through rational trading with a solid portfolio where you have both SL and PT for every trade and you will have results as one of my students from the January course. Equity is not as “straight” but it is realistic and without losses on open positions. Look at it and tell me, what would you prefer.

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