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In a message dated 5/9/99 6:08:43 AM Pacific Daylight Time,
paan@xxxxxxxxxxxxxx writes:
<<
Do you adjust your money management formula to trade "good" markets more
heavily that the "mediocre" ones? >>
Hi Peter,
Interesting question. Here is an idea. Divide your capital according to
market groups and employ a percentage of capital approach where you risk x
percentage of the capital in each group. The capital in the best groups will
expand allowing you to trade more contracts. The capital in the mediocre
groups will remain at smaller levels and you will have less exposure.
If a mediocre group becomes a good group it will automatically begin to trade
in larger size.
Pretty simple but it should do what you want.
Chuck
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