Re: Over trading mein lot size increase ho jati hai
Slippage and commissions are the important variable costs when designing a
trading strategy and managing your business. How you treat these can make the
difference in choosing what strategy to trade and what parameters to use on that
strategy.
Commissions are the easiest to deal with, as this number is simply what you pay
your broker, per contract or per share or per trade. It is a fixed number so it
should be easy to add to the strategy.
Slippage is more difficult to figure. Slippage is the difference between the order
that you gave your broker and the actual price that you got for your order. It is
very common to get slippage on a trade, and you should include an amount for
slippage in the calculations for your strategy.
Slippage and commissions are the important variable costs when designing a
trading strategy and managing your business. How you treat these can make the
difference in choosing what strategy to trade and what parameters to use on that
strategy.
Commissions are the easiest to deal with, as this number is simply what you pay
your broker, per contract or per share or per trade. It is a fixed number so it
should be easy to add to the strategy.
Slippage is more difficult to figure. Slippage is the difference between the order
that you gave your broker and the actual price that you got for your order. It is
very common to get slippage on a trade, and you should include an amount for
slippage in the calculations for your strategy.
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