$$/ symbol (Position size) for a 50k acount balance - futures io
futures io futures trading



$$/ symbol (Position size) for a 50k acount balance


Discussion in Psychology and Money Management

Updated by PeakGrowth
      Top Posters
    1. looks_one Quick Summary with 1 posts (0 thanks)
    2. looks_two PeakGrowth with 1 posts (0 thanks)
    3. looks_3 emini_Holy_Grail with 1 posts (0 thanks)
    4. looks_4 Tymbeline with 1 posts (0 thanks)
    1. trending_up 762 views
    2. thumb_up 0 thanks given
    3. group 2 followers
    1. forum 3 replies
    2. attach_file 0 attachments




Welcome to futures io: the largest futures trading community on the planet, with well over 100,000 members
  • Genuine reviews from real traders, not fake reviews from stealth vendors
  • Quality education from leading professional traders
  • We are a friendly, helpful, and positive community
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts
  • We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

(If you already have an account, login at the top of the page)

 
Search this Thread
 

$$/ symbol (Position size) for a 50k acount balance

(login for full post details)
  #1 (permalink)
Dallas,TX
 
Experience: Intermediate
Platform: NinjaTrader, OpenQuant
Broker: Zaner/Zen Fire
Trading: ES,6E,6B,GC,CL
 
Posts: 598 since Nov 2009
Thanks: 176 given, 120 received

I know it depends on individual trading style and r/r
but by average,
how much $$/each symbol for a 50k account balance

how much $$/each symbol for Descretionary Trading
how much $$/each symbol for Automated Trading

I am sure Automated, we can do more symbols, but if I do 1k 0r 2k/symbol.
doesnt sound crazy? too many symbols to analyse and manage ?

Reply With Quote

Can you help answer these questions
from other members on futures io?
The Better Line Break Charts works in Ninjatrader 8 ?
NinjaTrader
QDEL
Stocks and ETFs
Degiro Negative Balance Advice
Traders Hideout
Spoofing,Bluff Orders, Manipulation?
Emini and Emicro Index
Where I can find knoxville divergence indicator for ninja trader 8?
NinjaTrader
 
Best Threads (Most Thanked)
in the last 7 days on futures io
VWAP for stock index futures trading?
43 thanks
VWAP oscillator for NT8
15 thanks
Battlestations: Show us your trading desks!
12 thanks
Building a high-performance data system
7 thanks
Parabolic moves / lumber
7 thanks
 
(login for full post details)
  #3 (permalink)
Leeds UK
 
Experience: Intermediate
Platform: TradingView
Broker: LCG, Oanda
Trading: ES, 6E, Cable
 
Tymbeline's Avatar
 
Posts: 451 since Apr 2015
Thanks: 1,133 given, 606 received


I'm slightly surprised that your questions have been sitting unanswered for a week or so (though on the other hand, I can also appreciate that it's perhaps not easy for people to judge exactly what approach to take, in offering a response.)

Position-sizing just isn't (or shouldn't be) determined by the criteria you're asking about. It depends on all kinds of statistical/probabilistic criteria, many related to specific issues like win-rate, maximum anticipated loss-size, risk of ruin, and so on. It isn't possible (or sensible) for anyone to try to put figures on what you're asking about without knowing a wealth of information not offered in the question, but it would be unusual indeed - to put it really mildly - for it to be wise to expose to risk more than a maximum of 2% of your allocated trading funds on any individual trade (whether discretionary or automated). Many would probably say 1%.

("Discretionary" and "automated" are not really quite counterparts: trading can be non-discretionary and still manual rather than automated).

A very good overall introduction to both the concepts and details of position-sizing, which one of your other recently-started threads also actually prompts me to recommend to you, is provided by the book Trade Your Way to Financial Freedom by Van K Tharp: I think you'd find it extremely helpful.

Reply With Quote
 
(login for full post details)
  #4 (permalink)
Sydney, Australia
 
Experience: Intermediate
Platform: Sierra Chart, IRESS
Broker: IB, IQFeed
Trading: ES, SPI, ASX stocks, options
 
Posts: 399 since Jun 2015
Thanks: 169 given, 463 received


emini_Holy_Grail View Post
I know it depends on individual trading style and r/r
but by average,
how much $$/each symbol for a 50k account balance

how much $$/each symbol for Descretionary Trading
how much $$/each symbol for Automated Trading

I am sure Automated, we can do more symbols, but if I do 1k 0r 2k/symbol.
doesnt sound crazy? too many symbols to analyse and manage ?


It depends on what the maximum amount of positions your system opens at a time and your max drawdown tolerance.

If it opens 10 at a time, then you generally would need to reduce the risk exposure for each so you don't end up risking 1% for each position, and have 10% total risk open (or whatever your max risk is). This is particularly important if the positions you have opened all have the same macro risk - i.e. all US stocks.

Also rather than looking at % risk per trade, look at drawdown. if your max drawdown is 20%, your stop loss is 1% at 1x leverage and your max tolerance for MDD is 40%, then theoretically you can double your bet by having a 2% stop loss with a MDD of 40% and still be within your maximum drawdown tolerance.

The best systems manages its risks (drawdowns), you want to get as small a drawdown as possible so you can gear it as much as possible.

i.e. reference CALMAR and MAR ratio
https://en.wikipedia.org/wiki/Calmar_ratio

Visit my futures io Trade Journal Reply With Quote


futures io Trading Community Psychology and Money Management > $$/ symbol (Position size) for a 50k acount balance


July 19, 2015


Upcoming Webinars and Events
 

An Afternoon With futures io member TropicalTrader

Elite only
     



Copyright © 2020 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts