Home > Articles > Volume 20 (2002) > Chapter 6 (June 2002) > V. 20:6 (54-59): Do Equations Tell The Whole Story? by Gordon Gustafson

V. 20:6 (54-59): Do Equations Tell The Whole Story? by Gordon Gustafson

V. 20:6 (54-59): Do Equations Tell The Whole Story? by Gordon Gustafson
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Do Equations Tell The Whole Story? by Gordon Gustafson

Success in systems trading depends on having good trading systems and good money management practices. Optimal f can help you.

Once you have a good trading system, wouldn’t it be wonderful if you had an equation you could plug into a system to discover the perfect amount to risk on each trade? All you’d have to do would be to plug the results into a risk calculation and relax, knowing that the chances of ever losing again were practically nil.

It’s a nice idea. But the fact of the matter? Such equations could easily lead you astray.




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