I have setup spreadsheets to be able to plug in different values for number of contracts per trade by month in the TFSA so I decided to try something similar with the momentum trading, not so easy at first glance. So I took the total value of the profits per contract (which I already had) and totaled them up. Easy enough to just multiply by the number of contracts aimed for and multiply that by 100. It does not accommodate commissions without some tinkering to setup a scale for those as well so it is a little high.
Actual profits = $9448 Average trade size is 2.8 contracts profit per contract overall is $39.06
2.8 contract gross profit projection = $10,936
My real commission cost was $1073 so my performance versus the ideal 2.8 contract trade is not far off.
3 contracts = 11,718
4 contracts = 15,624
5 contracts = 19,530
I expect that the commissions would scale up slightly as they are only $1 per contract after the initial $9.95 per trade... so maybe allow for $1,200 overall.
While this is not per month, it is since the plan started, I cannot break it down based on that but with 27 completed trades it gives a good idea.
It is worth noting that of those 27 trades, three lost money. Not a bad win rate.
Jeff.
Questrade, My direct access discount broker.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment