# Discussion of position control the difference between a simulated position and a real position

Most people m forex discount brokersunderstand the difference between a simulated position and a real position. Do not understand what is position control, what is the long and forexdiscountbrokers forexbonusrebate position control. The biggest difference between a simulated position and a real position is that: when doing a simulation, you cashback forex keep it when you lose money, and you can keep it when you make money. The real position is difficult, it is difficult to hold. Do simulation, most do not pay attention to position control, under the heavy position, if good luck to turn the position is easy. But encounter a bad luck, all lost or lost most. There is another kind is to do a long line to turn over the position, long line to turn over the position is not very meaningful, because can turn over the position is also because of heavy positions. Six months in a row of good luck, did not encounter unexpected circumstances, you can even turn over a few. But once you encounter a few unexpected circumstances, the probability of blowing the position is very large. Why I advocate doing short term, because the short term has been fighting with their own unexpected circumstances, short term can survive, will always be able to survive, provided that the position is very light. My advice is to enlarge the short term capital 2 to 5 times, that is, 1 forexrebatesbrokers,000 U.S. dollars to do 0.2 hands to 0.5 hands. In the medium and long term, you can zoom in 1-2 times, i.e. 0.1 to 0.2 lots of $10,000. Such a position can cope with long-term contingencies. If you can do a good position control in a demo position, it is the same effect as doing a real position. For example, 10,000 capital, each time only 0.2 lots, the maximum additional 0.5 lots. A month down the short term down can have a 10% return, the long term down can have a 30% return. Then congratulations, you are out of school. Do not underestimate the 10% of 0.2 to 0.5 lots, which can be equivalent to 1 lot to 2 lots of the 50% return, equivalent to 5 lots of the position of 200% return. Do not underestimate the 0.1 to 0.2 lots of the long term 30%, which is equivalent to 1 to 2 lots of more than four hundred percent return. From the position risk control, 30% of the long term operation level is equivalent to 10% of the short term operation level, long term blunt knife cut meat, short term sharp knife stab meat. The risk inside the long term is much greater than the short term. Everyone in the forum, your position control and how much is it? Convert, if converted into my recommended safe position, the rate of return is equivalent to how much. 100000USD10000USD2000USD1000USD short term a few days to do once. 2 hands to 5 hands 0.2 hands to 0.5 hands 0.1 hands 0.05 hands long term a few weeks to do once. 1 hand to 2 hands 0.1 hands to 0.2 hands can not do long term can not. If your position is equivalent to the above position is too heavy, the approximate algorithm is to divide the rate of return by the number of times you zoom in. For example, if your yield is 80% and you should do 0.1 lot but you do 1 lot, then your yield is 8%. If it is 400%, then the calculation is very complicated, involving the issue of adding positions, the actual rate of return after a light position is equivalent to 20%. Long-term normal rate of return is higher than the short term, but the long term risk resistance is weaker. Basic earnings rate divided by three is equal to the level of the short term. Lets say the long term earnings 80%, position ten times heavier, is equivalent to 10%, and then divided by 3, is equivalent to the short term 3% profit level. Welcome to point out more appropriate position control, this position control method is only my own calculations, the position is relatively light a little, mainly I focus more on safety. After doing a good position control, there is no difference between the simulated position and the real position. I hope that every newbie do a good position control when doing a demo position, so that they will become better mentality and get the right operation method, which is conducive to the real position in the future. Forex agencies generally encourage heavy positions for newbies is completely irresponsible. Nowadays, most of the simulated capital is 10,000USD, short term is 0.2 to 0.5 lots, long term is 0.1 to 0.2 lots, all currencies together should not exceed this position. The level you make out is your real level. Most people are zooming in ten to twenty times, which is meaningless and will only distort your thinking. Talk about the calculation method again. Standard short term can resist continuous 500 points of loss, 500 points of loss on the overall capital impact of less than 20%. Long-term can resist a continuous loss of 1500 points, after a loss of less than 20% of the overall capital impact. The 500 points Im talking about here is not the 500 points of several currencies added up, nor the 500 points of different lots added up. But the overall market, is the graph of 500 points. In a bad state, the possibility of losing 500 points in a row is very high. If the position is greater than five times my recommended position, it means that the position is burst. Even 300 points, the position will be burst. Because people have a bad state of loss will operate very poorly. Similarly, the long term if the control is not good, the position is greater than my recommended five times, then the graph you get it wrong 1000-1500 points, also means burst. Although you may have doubled many times in the early, brilliant performance. Author: reciprocal

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Discussion of position control the difference between a simulated position and a real position

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