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Profile: Jeff7181
About User Name: Jeff7181 Groups: Gold User, Member, TeleChart Rank: Registered User Real Name: Location Occupation: Interests: Gender: Unsure	Statistics Joined: Sunday, February 27, 2005 Last Visit: Tuesday, September 13, 2005 8:51:59 AM Number of Posts: 2 [0.00% of all post / 0.00 posts per day]
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Last 10 Posts Topic: Risk/reward ratio Posted: Friday, March 11, 2005 7:01:31 AM Not sure how much this will help anyone... and it may look familiar to some of you who looked into trading the ForEx market with a certain piece of software. Basically, the method they presented was pretty simple. They recommended setting stops and limits and saying, for every 10% you want to make, you're willing to risk a loss of 5%. So If a stock or fund or currency or whatever was trading at 10.00, you'd set a limit at 11.00, and a stop at 9.50. The theory was that you only have to be right 50% of the time to come out ahead. Sounds good in theory... but didn't turn out to be successful for me in my paper trading. Topic: Intermediate to longer term investing Posted: Friday, March 11, 2005 6:49:35 AM I think an important question is what do you consider long term? Long term to some people is a week, to others it's 6 months, to others it's a year or more.