Quote:
Originally Posted by babytrader
Thanks Jeremy.
Also, I am experimenting with the use of fixed ratio money management to channel capital to performing systems. Right now I have both ratio base and delta set to 100. Any thoughts on that?
Thanks
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I just realized your question on the Fixed Ratio portion. The ratio base is how much you wish to increase your trade size when your delta is reached. So by having 100 listed in the ratio base, you are stating when my delta is reached increase my trade size by 100k.
The delta is how much gain the system must achieve before it will increase your trade size. So a 100 delta means, when this system gains $100, increase my trade size by 100k.
Those figures listed may be a little lopsided. Generally, traders might use a ratio base of 10 and a delta of 1000-3000.
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