More trades means more risks ?

More trades means more risks ?
Each time you take a new trade, you take on a completely new risk.
i.e. More trades = More Risks (and higher trading costs).

On the other hand the longer you stay in the market the more likely something will go wrong. So the longer you stay in, the greater the risk.

Question is, which do other people think is the greater risk ?

Glenn

Quote " More trades means more risks ? "

Not a correct statement.

It means more commission though

If you have a positive expectancy system the more trades you
make the more likely you are to make money.

If you have a system that is right 75% of the time and has
win/loss ratio of 1:1, after 10 trades you could still be sitting on a
loss but after 100 trades the chances of still being down
are very very remote.

Quote: "It means more commission though"

Not if you SB!!

Quote:
Originally posted by Grey1
Quote " More trades means more risks ? "

Not a correct statement.

It means more commission though
Hi Grey1
I'd be interested to know why you think it's not a correct statement.
Daresay others would too.
Glenn