Daily Loss £211.50
I’m not going to explain in detail how I’ve managed to fritter away another large loss in 2 days but I’ve traded 5 races in the evenings, resulting in 4 losses and a break-even. I again got involved in a few drifters that I got involved in too early and in 2 races, I ended up with my whole bank on a horse which continued to drift.
As you’ll see from the P&L this month, I’m nearly £400 down this month which is an amazing turnaround from last month and previous months if I’m honest.
For those of you that like stats, if I ignore my trading at Alton Towers on BF Mobile, I’ve traded 24 races this month, resulting in 12 losses, 5 break-even and 7 wins. My average win has been £25 and average loss has been £48.
Without stating the obvious, having an average loss that is twice the average win and losing in more races than you win is only going to lead to a disaster. Statistics don’t lie!
Subsequently, I’ve done a lot of soul searching this week trying to understand how the hell I’ve managed to go from having a licence to print money it seemed to where I’m at now. It’s been quite hard for me but I think I’ve managed to get my head screwed on again and hopefully, I can kick on from here. Andrew has helped me greatly and without his guidance, I’m sure I’d be giving up now.
I’ve basically read over every blog post (fuck, I do write a lot I’ve noticed!) I’ve written in the past 2 months to try to understand what has happened to me. What have I changed, am I trading differently, have I lost my bottle, am I trading the wrong horses, am I reading the market indicators wrong etc.
I think my problem all goes to back to a horse called Tony James on Friday the 13th of June. I lost a substantial amount of money on this race (£286) and it has affected me in so many different ways. I didn’t realise it until now but after reading my blog posts and from looking at my P&L, I’m sure I can trace the problem back to this horse.
That was my first ever large loss on a trade and it was an absolute fluke. I was trading the horse, it did the splits on the way to the start, it drifted wildly and I cut my losses as soon as possible but it still cost me a fair amount.
My knee-jerk reaction was to decrease my trading bank, decrease my stakes, stop queuing up money to back horses (spoof money) and stop taking so many chances with trades. I effectively changed the way I trade without realising it!
Importantly, I continued to trade profitably but I was finding everything hard work all of a sudden. I was posting up comments saying my confidence was shattered and still posting up a £150 win! I think I got lucky by picking a few winners which papered over the cracks and this is clearly evident if you read some of my blog posts.
To change my trading strategy and try to hold different betting banks this week was also crazy as that’s part of the reason why I was doing so well. I’m not a conventional trader, I’ll never be able to trade systematic like most other traders, I’ll never be able to write down why I trade a horse and I’ll never be able to have a staking plan as it isn’t me! I’ve been reading other blogs and trying to become more systematic like these traders but it’s just not me and it never will be if I’m honest.
So, £400 down for the month and only a trading bank of £290, where do I go from here?
When I started out on The Experiment, I had no experience of Betfair, no strategy and yet I was willing to throw money at it to find a way to earn extra income. 5 months on, I’ve won £2k (which has been spent!) and I now have some experience and a strategy. However, I have a small trading bank.
From tomorrow, I’m transferring across £1,000 from my savings account to my Betfair account. Importantly, I’m putting a stop loss on myself at £300 loss as I don’t want to go below the £2k profit without discussing it with Denise. Basically, that £2k has been and gone now anyway as it helped us get on our feet in our new home and clear our overdrafts. It’s not like I’d be dipping into a fund. I would need to fund my trading bank with my overdraft!
So, from tomorrow, I’ll have a trading bank of £1,300 again for the first time in a while and let’s pray that I start to find some form from somewhere. If I do lose another £300 this month, I fancy a long break may be coming for The Experiment as I can’t go on losing money indefinitely at the moment as I don’t have the money to lose.
I’ve taken tomorrow off work to trade since Denise is at T in the Park, so I’ll trade tomorrow afternoon and tomorrow evening as well as Saturday afternoon. Obviously, my target is pure and simple…….
TO MAKE A PROFIT! Don’t care if it’s £10, just let me make a profit again!