March Review

Well, March is over and I'm satisfied, generally, with how the Project is proceeding.

On the up-side, the account has grown by 50% (of it's starting balance) this month, which is great ( ... you will see I have posted this month's trading statement for completeness).

However, the system I trade had far greater potential, still, that I might have harvested. On reflection, the reason for this failure is timidity - argued on my personal, and clearly sub-optimal - reading of the market. Basically, there are occasions when, despite my rigorous testing, I have stayed out of the market when my system indicated a trade trigger, only to watch it mature profitably - just as my testing had indicated it would.

This, as you will appreciate, is self-defeating behavior which will kill me long term, if I let it.

So, how do I rectify it ? Well, there is only one way so far as I can see, and that is increased trading discipline.

... But how do I go about acquiring it ?

Well, at the moment, and based on backtesting, I risk 10% of the total account on each trade, in the hope of harvesting 5% profit for each winner.

This, admittedly audacious, risk profile is based on a very well tested probability ratio of 4 wins in every 5 trades. With compounding - which I have yet to implement - it is extremely profitable. Indeed, if you want to see just how profitable this proprietary system can be, just follow the link to view my first month's recorded stats.

However, as the cash sums grow, it is likely that my own psychological alter-ego is stepping in to spoil the party.

Hmm... Solutions ?

Well, the most obvious way ahead would be to reduce my trade size - perhaps half it - In order to wrestle my destructive sub-conscious back into its box.

- and I may well do this, but it would be a pity as the whole psychology of the thing is a lot of what Project One Million is about, so I'm going to give myself another month to straighten this discipline issue out, before I step in to clip my own wings.

Wish me luck...