Welcome to the blog.

Dear Trader

A few years ago Trading Edge came across an article on money management that opened our eyes to the incredible power of compounding.

The article not only showed how to increase your profits but how to manage and keep your losses to an absolute minimum.

The method uses an Excel programme whereby you input your starting capitol and decide your risk exposure i.e. 1%, 2%. Then the programme tells you how much to trade.

If you have losses the programme decreases your exposure until you are back in profit but it has one more ingredient from the programme maker which makes so much sense.

If you increase your profit by 20% you increase your exposure by 0.5% and if your profit decreases by 10% you decrease your exposure by 0.5%.

This is such a simple method and it works extremely well.

We have been using this money management system from January 2011 and it has increased our profits considerably.

We are going to show this table on our website and if any of our subscribers are interested we will email you the programme for FREE.

As a result of spending considerable time and money automating our system we are producing incredible results and this is just another tool to help our clients increase their hard earned profits.

Regards

Trading Edge

Dear Members

We would like to explain why we had a stop loss double our normal stop on our last trade 28/2/11.

If you notice these extra wide stops the reason is that there are two entries and it is impossible to tell which one the market will turn at.

This last trade went through our first target but hit our second almost perfectly and dropped like a stone.

If we were to treat these as two separate trades the first trade with an entry at 1332.1 would have been stopped out with 3.6 points. Our second entry was  at 1335.8 which actually gave us over 10 points but we had to respect our first entry price of 1332.1 and manage the trade accordingly, this is why we sent out an Exit at Market taking 6.6 points.

The second entry was almost the same price as the stop of the first trade so we treated it as one trade.

Regards

Trading Edge

Dear Traders

Since we started our service we have always given our trade prices with a rolling spread based on our broker Finspreads. But a lot of our subscribers do not have a Finspreads account.

Over the last few years there have been a number of new spread betting companies each with a different spread and rolling price to Finspreads.

This means when we send out a trade it could be filled with Finspreads but not another spread betting company and visa versa.

The only constant in trading are FUTURES.

To level the playing field and make it fair to all our subscribers we will only quote FUTURES from now on.

If you trade using rolling prices please look at the example below and adjust accordingly.

Example:

Buy S+P 500, Futures price 1126.00. Finspreads Rolling is 1129.00 so the difference is 3 points. Place your trade 3 points higher at 1129.

But you MUST check your own spread betting company’s rolling price.

A lot of our subscribers trade spread betting daily Futures or Futures contracts so there is no calculation to do.

Regards

Trading Edge