A question in from Chris, one of our merry band of PlugIn Trader members:
“I’ve been trading actively for 22 weeks now and I’m at 84% profit, starting very slowly from a very modest pot. I figured I would make my mistakes and get my trading mindset in place without too much skin in the game!
However, my goal to grow at 3% per week is on track, and IF I can keep doing that, my pot has the potential to earn a living after about 5 years. I guess the stakes get pretty high after a few years, I’m not sure if there are any other strategies for growth other than up’ing the £s per PIP?”
Now, before we get onto the growth strategies Chris asks about, I’d like you to take note of a couple of things he mentions…
1) He started very slowly from a very modest pot.
2) He took the approach of making mistakes and getting his trading mindset in place without too much skin in the game.
I think they are critical components for building solid foundations for long term success. It’s always worth double-checking your trading approach, especially in the early days, for any unneeded psychological pressure you might be placing yourself under (HINT!)
Now, on to the advice for future growth… here’s what I told him:
“Once you get into big £ numbers you could always look at spreading your business around a bit. Forex futures contracts can come into play, and/or you can spread your positions around a few different brokers, just so you haven’t got all your eggs in one basket.
Another approach to consider is having a ‘portfolio’ of different strategies working alongside each other e.g PIT, plus FXBA method, plus some swing trades etc… It can help to diversify your activities and prevent a bad month in one particular strategy having too adverse an effect on the whole account.
Anyway, all things to consider further down the line, so drop me an email when the time’s right and I can suggest some things to look at. In the meantime, keep up the good work :)”
Growth is a NICE problem to have. It means you have an approach that is working and you’ve pulled yourself clear of the early ‘system seeker’ phase of trading.
If you’re still on the hunt for a reliable strategy, and you’d like to see what Chris himself has been using to achieve his results, you can check out PlugIn Trader here: