I think by now I have a pretty good understanding of your entire workflow as well as the strategy and a system that you are using, and frankly I’m not sure how much more you can attempt to improve in terms of the winning ratio. Maybe you can improve by another five to 10%. I think that will probably be about the max, and if you are able to maintain your winning ratio based one-to-one risk reward, and a 80% kind of winning ratio, I think you are already a very fantastic intraday trader to that extent.
Alright? So maybe on that front, I think maybe your EPI system might able to help you push towards that 75 to 80% winning ratio, but on top of that there’s some other things that I thought that you might want to think about and consider, is that have you… Right now, based on what I understand, probably your intraday trading you are not using any leverage at all. Am I right to say that?
Generally I don’t tend to use leverage in the 90% cases. In 10% cases where my already positions are open. But if I still want to enter some position, if some good trades are coming by, so that is when I might want to use that and try to leverage as well. But that would be a 10% scenario, and that trade would be a very convincing sort of a trade where I would want to go about that trade.
I see. Which means that… What I’m trying to say is that, if you have decided that you’re just going to stick your risk-reward ratio to one is to 1%, and you are trying to optimize your winning ratio, which may be another five to 10%, you can try to increase more. But beyond that, the other way that you can increase your profitability, or your annualized profitability, would be to think about using leverage to increase your position size of your trades more from the extent. So these, well basically I would actually look at it.
But other than that, I think if you’re able to just maintain this day-in, day-out, year-in, year-out, I think you are already doing a fantastic job, and probably you should focus more towards getting the money out and look at some ways to put them into your longer term position trades, to protect, to preserve the wealth, or to actually increase the wealth from that.
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