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The King's Trader Education
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Trader Training - Free Educational Trading Articles:The Trading PlanPage 3 - Phase 21:Onward and upward to 23 contracts. Risk per trade now grows to $2300.00. Our goal for this phase becomes 23 x 1200.00 = $27,600.00 • Daily goal now is $2,760 When phase 21 is completed our account balance will have reached $329,600.00. Phase 22:We are now reaching a point where our main target is in sight. Your boat is not in yet but its rounding the cape and heading for the harbor. 24 x 1200.00 = $28,800.00 goal for this phase. Risk per trade has increased to $2400.00. Needless to say we are only taking trades that come to us. We are fat and green enough to be patient. • Daily goal for this phase is $2,880 The completion of this phase of our trading plan brings the account balance to $358,400.00. Phase 23:Just find me a winner damnit! We are up to 25 contracts now which will increase our risk to $2500.00 per trade. Stupid entries are going to make us wince. Wild swings and we will need the puke bucket. The goal for this phase is going to be 25 x 1200.00 = $30,000.00 • Daily goal is now $3,000 Our account balance has now reached the level of $388,400.00. Phase 24:26 contracts on deck. The goal for this phase then is 26 x 1200.00 = $31,200.00. Maximum risk per trade now has grown to $2600.00 • Daily goal is now $3,120 Finishing up this phase will bring the account to $419, 600.00. We are almost there. Phase 25:Target is getting very close now. And as we move up to 27 contracts our risk per trade is $2700. 27 x 1200.00 = $32,400.00 which is our goal for this phase. • Daily goal is now $3,240 Completion of this phase of our trading plan brings the account balances to $452,000. Phase 26:Time for 28 contracts. The risk per trade then becomes $2800.00. 28 x 1200.00 = $33,600.00 which will be the goal for this phase of our plan. • Daily goal is now $3,360 Our accounts at the end of this phase now total $485,600.00 Phase 27:Our ships have come in. The last phase is at hand. And since we are feeling COCKY now let’s make the last phase a nice round number of 30 contracts. 30 x 1200.00 = $36,000.00 the final part of our goal. Maximum risk per trade is $3,000.00. • Daily goal is $3,600 Congratulations! Your five thousand dollar piker account is at $521,600.00 You can now go write your book “How I Made A Whole Bunch Of Money In NQ Futures” by Irving A. Piker. Final Phase:Tell your broker to wire you $516,000.00 and put that money somewhere safe. You now are a $5000 piker again and can start the whole process over. Conclusions:As you can see, this was not a get rich quick scheme. I have mapped out a very conservative low risk attack plan, that even if I could do each phase in 10 sessions – which I doubt I could – would take 27 phases of 10 days, so a bit over a year. But I made this pretty conservative. Only taking small gains 2 or 3 times a day and then stopping trading. More aggressive traders, can probably reach each phase of the plan in far under 10 days. Where it is not a get rich quick plan, you could call it a get smart quick plan. There was no magic entry signals, no triple lindy, no Finnegan pins, zorch covers etc… It is a method about managing the equity curve which is the one part of having a trading method that most traders never even look at. We started with a risk per tradeoff $300, and at its maximum becomes $3,000. As you can see the rate of risk stayed constant, $100 per level. What is the likelihood of pulling the plan off? Well, think about it. Do some back testing. NQ on average will swing 15 points at least, each day between the extreme low and the extreme high. In this plan we are only trying to catch 6 points of it. And we are not even trying to catch the 6 points all at once. We are taking 2 scalps or three scalps and calling it a day. The quantum leap in balances come not from the trading method, it comes from the “managing the equity curve method”. So this is my trading plan for 2003. I know of traders using this method that are a lot more aggressive then the manner that I have laid out. In those instances the plan can be completed in a matter of months as opposed to a year. Study this plan as I have laid it out. Most traders will scoff at it because it’s too damn simple. I have adjusted my own account to start again exactly fresh from Phase One. I will be offering a six week hands on traders boot camp, probably later in April or at latest in May on using this method with all of the trading signals we have written about in the Trend Times Magazine archive. If you're interested in the mentoring program send me an email at support@kingcambo.com and I will send you the details when I decide on them. I suggest you print this article out and memorize it. And get your own piker plan together and then implement it. Happy Trading!
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