[RT] Multiple Contract entry doesnt seem to make sense??????

["Sean Cassidy" <scassidy@xxxxxxxxx>]

In trying to reason through this....I would like 
some comments. Lets say the market is at 880 on the S&P and i want to go 
short at 890 and 895. One at the low end and another at the high end. Doesnt 
that mean that all of my losers will be for 2 contracts and several of my 
winners will only be for 1 contract. Fowllowing that....it would then seem that 
if I had twice as many winners as losers I would only break even, assuming a 10 
point stop and profit target.
 
I am having a discussion with someone about this 
and would like some feedback....although it seems obvious that with this method 
a 67 5 win rate breaks even....before commissions.
 
An example
 
12 trades 
 
8 winners at 10 pts    
                
            80 pts
 
4 losers at 10 pts but on 2 
contracts       -80 pts    
    
 
Total        
                
                
                0 
pts
 
Sean






Yahoo! Groups Sponsor


  ADVERTISEMENT









To unsubscribe from this group, send an email to:
realtraders-unsubscribe@xxxxxxxxxxxxxxx





Your use of Yahoo! Groups is subject to the Yahoo! Terms of Service.