September Was Good For Scale Trading

September turned out to be a very good month for scale trading futures.

I really don’t like to quote percentages because they are so meaningless when your scale trading, but I am up about 9% for the month of September.

With scale trading the percentage your up really does not mean much without knowing the level of risk you took to get there.

It’s very easy to be up 50% for a couple years if you’re willing to take a 33% risk of losing your account.

I was thinking that my risk of losing my account was under 1% but looking back at the 9% in less than a month makes me think it was probably a little higher.

September was a good month for two reasons:

1. I happen to set a couple scales at just the right levels.


2. I started my cotton scale late so I made some extra profits.

I had two times where the futures market went up and though my order by 1 tick then turned and fell. This is one of the big advantages to entering limit orders when they work they are great.

The other thing that happened this month was that I started my cotton scale late so the last contracts I sell will not have the normal $1,000.00 profit, I had one which came in at $1,825.00