What should we do when there are repeated actions and an increase in our winning probability??? – waaaaaaa confirm it is a sure win trade????!?!?!
KIASU Aunty; Buy gold or silver? or buy both? since both markets have repeated actions and both also going up??…..
Should we really hedge two positions based on repeated actions? – Like Brother Buffet said “if past history was all there was to the game, the richest person would be librarians”
I believe understanding your current financial position is very essential before making any financial decisions. You need to know the exact excess amount you can invest and risk into the market.
[Remember there’s always more than 1000 and 1 financial reasons why u should do it and learning to pick out the right one will help reduce the time required to achieve your financial goals]
For example; if you have $10 dollars excess to risk, risk ratio is 1:5, average winning rate is 1:5 (making it simpler) and just like majority of the traders (including me) out there, you would have a leveraged account (this means you would be putting more dollars into a trade). Entering a simple trade on the silver would cost you about $2+ (leverage 1:500) because the current market price is currently at 1350+ and remember you have spread(40pips). The spread puts you in a negative position and hence decreasing your winning probability for this trade. Commodities tend to have a higher spread. So how much excess do u have for Gold? (Remember there’s a margin requirement of safety) ……. hope you get what I meant because I’m getting lazy to calculate for now:(
“The true value of an object comes from the effort used to obtain it”