As usual, I expected that blackness sensation you get. You feel lost, you feel depressed, as a part of you is missing, hands are shaking, week knees (arms are heavy, sorry for my reference to ”Eminem – Lose yourself”).
But that sensation never came. And I waited and looked again on the app..and waited some more.
I was a little surprised, considering I know the bitter sensation I felt each time. Some months ago I was upset for a -6, -8, -12USD loose. What I felt is just a frustration that 240 USD are gone at an account of 1300USD. So just barely over 20%. But the blackness never came (it had a shade of red this time, as the app shows the loss in red)
What just happen
My copy-trader just added to a losing position, double-ing the size each time (respecting Martingale and Mediation techniques). We both went (and I say we because I have my fair share of the blame) against the EURUSD downtrend, waiting for a correction. This correction was awaited by a big part of the FOREX community (or so it seems to me from all the articles I read), but it didn’t come till now.
As the copied trader is using a robot, the robot just stopped out after 4 consecutive entries with a drop or open position bigger than a set limit ( I think 30% of the account).
I just opened my trading app, saw all the closed positions and closed my position also. Why do I have open positions on a losing trade? I told you earlier I have my blame also. As a copy-trader for the other trader, there is a big difference between the balances of our account. Every time he opens a new position there is a balance that calculates the lot size of my positions and sometimes is short by a number of mini-lots. So every now and then I just have to open a position, in the same direction to respect the robot strategies.
And guess what…At the moment I am writing this article, the correction already started, 1 week after all the transactions closed.
But I am confident we will get back on it next month and everything should get back on track. After all, in FOREX you have substantial risks of losing. I can’t except all the months to finish on green. Also, a big concern is a current illness happening on the globe. We have to be realistic that maybe, next month will not be green.
In the future, the plan is to get back on track. We are still in front of our investment plan, but this is mainly because of deposits. To resolve the current situation I will target a 6% return per month. After all 240USD is not a big loss when you start to gain 120-130-150USD per month. Before I had a plan, in all my experience during FOREX I disappeared (I am not Houdini, I just stopped doing it )for 4-5-6 months before starting to trade again.
But since now (well since last year to be exact) I didn’t have a plan to follow, I didn’t have an investing plan to fund our trading account.
I am more optimistic this time about a return of loss and I have the future in the side ( a financial future where I will be trading for a living). What can I say, the dice were thrown and I got the worst combination possible, but sometimes, you can win with the game with 1-1.
Thank you for reading this!
Disclaimer: I am not a financial consultant, all the information you find here are my decisions, I taken in that moment, on my own analysis. I am open to any type of discussion about money. If you want to replicate my portfolio take into consideration that it is your money.