In this article, we will discuss the results of a trader who had managed to meet the requirements of the Verification phase even prior to the publication of the article about the successful Challenge. This means that the trader obtains from us 10,000 USD for Forex trading. Congratulations!
Let us have a look at the results of our trader. Since the operation of the project FTMO.com, we have traced several basic parameters that are common to successful traders. This successful Challenge marks no exception.
The parameters of success consist mainly of:
- Quality money management.
- Systematic approach of the trader.
Everyone knows that discipline is the cornerstone of success in every aspect of life, including trading. Everyone talks about discipline but who, in fact, observes it? Our trader does. Over the whole Challenge period, there was no violation of the maximum losses which is key for us as the investors. The rules of maximum losses are to protect not only the capital but also the trader's psyche. If obeyed, these rules ensure that the account never drops by too high an amount on a day.
The second building block of successful trading is good money management. Our trader shows that in practice. The average loss is nearly half the average profit while the trading success rate achieves an excellent 71%. It is likely that such trading success rate will decrease over time but if a positive RRR is maintained, the trader will still be keeping positive returns. We would also like to underline the profitability within business days which reached 91%. This means that the rule of more than half profitable days was fulfilled.
Curiously, the conqueror of the Challenge trades a wide range of markets but did not suffer any significant decline. This indicates the strength of the trading system which is so robust that it works on many markets. Trading many markets at once is also in conflict with our past experience in evaluating challenges. Our analysis of the results of both the trial and the real Challenges shows that traders who specialize in one or two instruments are most successful. However, this is an exception.
During the personal meeting as we signed the capital management contract, we also liked one thing we find very important from our perspective. It was the mindset of the trader. Speaking of trading, the trader never mentioned money, but only the so-called R-Multiples. This is a concept defined by Van Tharp which simply stands for RRR. The necessity of steel discipline has already been mentioned here in connection with the analysis of the account. During the personal interview, discipline was utterly radiating from the trader and he absolutely understood that he has to get multiples of the amounts of loses on his profitable trades.
Note that his maximum daily loss was only 217 USD. There's no need to trade large positions in order to meet the requirements of the Challenge.