This time I would like to invite you talking about the part that is "good" from trading, ie: profit. Well tuh, fun right? Who would not like to profit well? Hehehe ... Lah memangnya what the heck the problem is related to profit? Maybe you think, profit does not have to be discussed again lah ...'re living in WD aja tuh ... But wait ...
As a trader, I assume you are an investor, so that the profit from your trading results also need to be managed properly.
Sure, there are a trader friend who always draws the entire profit earned on each end of the week. There's even a trader friend who pulled the whole balance their accounts every week. That she was attractive profits and capital as well. According to a more practical like that, ntar easy if you want to trade longer stay deposit again ajah yes ... But there is also a disciplined trader friend just draw half of the profit he earns per week. Then the rest how's that? He said he invested back half profit as trading capital.
Reinvested profit as trading capital is what is commonly known as compounding profits in trading. The principle is almost the same as a company that holds most of its profits (not distributed to shareholders) as a reserve expansion.
The question now: how effective are compounding this profit?
Ok, if you see the calculations on paper, compounding profits this way when done consistently it can generate capital (and profit) are fantastic. Imagine, with a capital of $ 100, if you make a profit of 3% per day and then dicompounding for 3 months, you will be able to generate profits of millions of dollars per day!
Uh, but do not always impetuous well ... hehehe ... Remember, there are keywords that are relatively difficult to be fulfilled here, namely: consistency. Well, here's the problem ... In trading, 100% profit per day might happen, but to be able to continue like that so bluntly wrote: oom hard ... Lol ...
Another problem regarding the compounding of profit is a psychological problem. For a relatively new trader, to open position for 1 lot to 10 lots would be different 'rasa'nya. If you open 1 lot, usually levels 'dag dig dug its' lighter than if we open 10 lots. Uh, well this does on personal experience ... hehehe ... Well, as a result when capital began to rise and a lot of our transactions to be relatively high, will become its own psychological burden for us when trading. Psychological burden this will certainly affect the performance of our trading.
Other psychological problems are not less decisive when we try to do compounding profits is "itching" account we see that "fat". Hehehe ... Yeah fair anyway ... if we had to invest $ 100 then now we balance amounted to $ 1,000, for example, who does not want WD gatel?
Well, so how ya conclusion? Compounding this profit can actually be done not you think? Um ... if my advice anyway ... if you want to do compounding profit, do it slowly, while you adjust psychologically to handle the transaction in a lot bigger. In fact, if I normally anyway, profit for first time deposits should be withdrawn first. It means that psychologically, we feel we have the capital behind and we just mentradingkan profit alone. It certainly makes the psychological burden much lighter. Well, then, if we are willing to do any compounding, preferably within a relatively short time ago, for example 3 or 4 months.
Alternatively, you can also apply the advice of my discussion partner traders who suggested that we do the separation of short-term trading account and trading account the long-term. So eventually we apply the compounding profit long-term trading account, while to cover our operating costs, can be taken from a short-term trading account.
Oh yes, one more thing. Before you make a profit compounding this, make sure that the broker you can trust. Surely we do not want our hard-earned results of trade (plus refrain from WD) ilang sudden just because the broker scam.
Well, please you choose how to manage the most profit that you think fit. What is clear anyway ... as an investor, dapet gedhe profit in one day / week does not mean we are legitimate to dissipate right? Hehehe ...
