Signal PerformanceIt is important that prior to viewing the LTG GoldRock Signal Results pages you understand about LTG GoldRock’s money management.LTG GoldRock teaches and recommends its traders have a maximum risk on total capital of approximately 2.5% per trade.The following is a hypothetical example to provide you with the appreciation and importance of money management and the benefits of Forex and trading with LTG GoldRock.
If a trader has an account balance of $10,000 their risk per trade should be $250. 2.5% of $10,000 = $250 Or if a trader has an account balance of $1000 their risk per trade should be $25. 2.5% of $1000 = $25 The return can far exceed the risk of 2.5% per trade and the individual trader chooses the dollar amount traded per point based on their account size and stop loss position required for the trade. If you are not familiar with how currencies are calculated please click on this link. http://www.livetraderglobal.com/profits.html It is critical you understand that provided a trader uses the 2.5% at risk guide, the size of the stop loss does not matter so long as they adjust the volume traded per point. Forex is unlike other markets and you can adjust the volume of each point traded. #1 gives an example of a 35 point profit target and a 25 point stop loss. #2 gives an example of a 75 point profit target and a 50 point stop loss. Both examples only risk 2.5% of the total capital however the stop loss on #2 is larger. This is achieved through lowering the dollar amount traded per point. Therefore if you are alarmed to see a result in the Signals Results area that has a larger stop loss than other trades, you will now understand the capital at risk was no more. Of course this is provided the trader used the 2.5% at risk rule we teach. Example #1Account Size = $10000 2.5% at risk = $250 Stop loss required on trade = -25 Maximum investment per point = $10 ($10 * 25 = $250) Profit target on trade = +35 If the trade is successful the trader would earn $350 or if unsuccessful lose $250 or 2.5% Example #2Account Size = $10000 2.5% at risk = $250 Stop loss required on trade = -50 Maximum investment per point = $5 Profit target on trade = +75 If the trade is successful the trader would earn $375 or if the unsuccessful lose $250 or 2.5%. Regards,
Andrew Barnett Managing Director - LTG GoldRock
At LTG GoldRock we offer a live trading room to guide traders into each trade in the live market with our professional traders advising you of the entry and exit points. To view a full report of our Signals taught in the LTG GoldRock Program please click on the links below. HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IN THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARETION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS.
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