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6 Comments

  1. Manoj-Reply
    February 10, 2017 at 2:17 pm

    Hi Charlie,
    Firstly, do you use a live news squawk during the day?
    Secondly, what are your views on money management – do you always risk a set proportion of your capital e.g 1% or does it depend on your gut feeling / confidence on a particular trade?
    Cheers.

    Manoj.

    • Charlie Burton-Reply
      February 10, 2017 at 2:24 pm

      Hi manoj. No I don’t use any squawk feeds as that is not my style trying to catch rapid moves. I tend to trade once the technicals are all aligned for me so a squawk has no use. I vary position size per trade depending on the grade that I have for that particular trade.

  2. Al-Reply
    February 10, 2017 at 11:50 pm

    When you buy 50k to close half the position, aren’t you paying the spread again? Seems kinda pointless to me?

    • Charlie Burton-Reply
      February 11, 2017 at 4:25 am

      It’s the only way of banking half on this platform but with a spread of 0.7 it’s hardly something to worry about

      • Al-Reply
        February 11, 2017 at 1:56 pm

        It adds up, doesn’t it? I’ll assume you’re with Saxo bank (based on your twitter feed) so let’s say I have a £10k account. Saxo’s spreads are generally quite low, but they usually charge some commission fees here and there so let’s assume EUR/USD has, on average, a total transaction cost of 1 pip. So closing half a 100k position means you’re paying a 1 pip spread on 50k units for each half of the position you close. That equates to £5.

        Now if you’re a daytrader you might take about 8 setups per day, so let’s say four of those include closing positions at half. That means you’re effectively paying £10 to fully close such a position and if you have 4 of those per day that means you’re looking at £40 per day, which is 0.4% of your £10k account. Even if you had £50k in your account and were only using 2:1 leverage (i.e. trading 100k unit positions), £40 per day would be something like a fraction of your account which over the course of a month certainly adds up, eating away at profits.

        Although I may just be speculating and pulling numbers out of my behind but really wanted to share my thoughts on it. I respect the fact that you have a different understanding and opinion about it and that’s fine.

        • Charlie Burton-Reply
          February 11, 2017 at 3:32 pm

          I think you are over analysing this. Yes you have a point but I don’t do 8 trades a day and generally I plan ahead for taking partial profits by getting a separate number of lots in. Sometimes I haven’t allowed for that as per Friday hence why it’s no issue.

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