I have been reading and studying information here on apex investing for quite some time however this is my first post.
I would like some help from anybody who has experience with ITM binaries and using good risk management doing them. I will try to be specific about what I am doing (my strategy) and what my dilemma is.
I have been trading on Nadex for about 5 months now using the demo account, I have been quite successful doing this. I do ITM binaries on forex usually doing the trades on pairs that aren't very volatile;
For example I will trade AUD/USD and USD/CAD between 3am and 7am ET, and I will trade EUR/GBP in the afternoons after all the high impact news for the day. I do trade other pairs at other times but this is predominantly what I focus on.
I do ITM trades on 2hr contracts and daily contracts (no more than 3 1/2 hours from expiry) usually aiming for a $15-$30 profit. I try get a strike at least 10 pips ITM however sometimes I am able to get a strike 40 pips ITM for a good 15 dollar profit (this obviously depends on the markets volatility.).
My exact strategy is as follows:
I always go with the trend.
I watch a 5min candlestick chart on tradingview and look for reasons to place trades with the trend (probabilities).
So for example I will trade after a pullback, the stochastic will be oversold/bought and there will be a good candle signal such as a hammer signaling the trend will continue. I will then place my ITM trade a minimum of 10 pips ITM for a maximum expiry of 3 1/2 hours away.
I HOPE THIS MAKES SENCE.
On my demo account a pretty much never lose a trade this way, to be honest I think the only time I have lost these ITM trades is when i don't stick to all my rules. I do understand that there will always be losses in trading forex and I accept that.
I am confident in my strategy but whenever I get in front of my live account I choke and I just cant place a trade. Like I said, I know there will always be losses, im just so scared that the first live trade I take will be a losing one and it will destroy my confidence.
Now to get into the details...
My goal is to consistently profit and grow my account. I want to earn a full time living from trading as I feel I am good enough to do this.
I have an account balance of $500. With this account balance how do I practice proper risk management and appropriately grow my account.
I have seen examples of how to do it with much bigger account balances but I would like some advise on how to do it with my account balance.
I am South African so if I can just get to a point where i'm making a withdrawal of $500 a week this is a lot of money here.
Any and all advise from experienced traders welcome.
Even if there is a different strategy that would be better (i also like doing a strangle on the oil inventories every wednesday)